Over 55% of small-town residents preferred online shopping for gifts, clothing and footwear : Survey, ET BrandEquity
About 60-65% of city center residents prefer to shop online for gifts, cosmetics, clothing and footwear along with essential items (grocery & toiletries), according to a survey by CBRE India.
However, more than 55% of small-town residents preferred online shopping for gifts, clothing & footwear and electronics; only 31% preferred online shopping for essential items (grocery & toiletries).
More than 70% of late millennials preferred to buy their clothing and footwear, and cosmetics online.
In line with APAC and global trends, more than 65% of consumers across all generations have shown a strong preference for shopping in brick-and-mortar stores for big-ticket purchases such as luxury products and jewelery, irrespective of their location.
Brick-and-mortar stores continue to remain a prime retail channel for DIY (Do-It-Yourself) and essential items (grocery & toiletries) at the APAC and global level.
Preference for in-store shopping among Indian consumers of all generations corresponds to their desire to try on an item before buying.
Examining the products remains the top reason driving people to brick-and-mortar stores across most categories; with the exception of essential items where immediate availability of products takes priority.
Consumers believe that they are also able to find a better product assortment in brick-and-mortar stores, especially when customization / personalization takes precedence. The experiential element also becomes a differentiating factor during in-store shopping.
More than 70% of Indian shoppers agreed that they have shopped more online since the COVID-19 pandemic and will continue to do so going forward. On the other hand, consumption via offline channels will be directly driven by product and in-store experience.
According to the survey, more than 70% of survey respondents have stated that they have chosen to buy environment-friendly products despite the additional costs associated with it and the sentiment is stronger among the older generation – early millennials, Gen X and baby boomers.
“It is not just about brands or the right tenant-mix, but about creating an authentic environment that keeps diversification, convenience and experience in mind,” said Ram Chandnani, Managing Director, Advisory & Transactions Services, CBRE India.
This demographic includes mostly high-income earners residing in city centers and are homeowners with a certain sense of security and are in a position to make sustainable choices while buying any product.
About 65-70% of respondents, especially late millennials have stated that they have purchased more locally sourced products and are smaller / independent brands.
Shoppers have also indicated their attempt to reduce consumption not only in a bid to be sustainable but also frugal. High price points of certain products and a desire to have varied options have led many young respondents to rent instead of buying.
