Updated March 1st, 2024 at 21:15 IST

More than half consumers prefer apps for shopping: PwC Report

About 12.5 crore consumers in India are shopping online, a significant portion of whom hail from smaller towns

Reported by: Business Desk
Online shopping | Image:Pexels

Shopping trends: Over 60 per cent of consumers are shopping through online apps, since they offer easier navigation, user-friendly interfaces and support in regional languages, as per a recent report.

According to the PwC India report themed 'How India shops online: Consumer preferences in the metropolises and tier 1-4 cities', the urban population are attracted by perpetual discounts and the ease of online shopping.


On the other hand, people from the rest of India turn to e-commerce due to the availability of products, as well as products getting out of stock in local brick-and-mortar stores.
About 12.5 crore of Indian consumers are shopping online, with a sizeable chunk of the population coming from Tier II, III and IV cities.

The report is basis a survey of  2,100 people, as well as 100 qualitative interviews, and 400 in-person interviews across India which PwC conducted with experts and industry partners.


Somick Goswami, Partner and Business Transformation Leader at PwC India said the next phase of growth for e-commerce will be driven by the new digital savvy consumers of tier 2,3 and 4 cities in India. 

“In contrast to urban dwellers, these individuals, constrained by limited access to physical stores and brand choices, consider online shopping a gateway to fulfil their aspirations,'' he added.


The report also highlights the pivotal role of social media platforms in driving product trials, as 62 per cent users try products after coming across them on Facebook and Instagram.

There was also a difference in the preferences of urban consumers on social media channels, as opposed to rest of India when it comes to discovering products on social media and opting for trials.


While urban consumers and rest of India have an acceptance of digital payments through UPI transactions, the report said cash on delivery is preferred for its ability to minimise fraud risks.

Ravi Kapoor, Partner and Leader - Retail and Consumer Goods at PwC India said India's online consumption gravity is decisively percolating to markets beyond metros. 

“This report creates an industry-first insight on what are some of the unmissable category wise nuggets a brand needs to imbibe to success in Rest of India,” he added.

(With PTI inputs)


Published March 1st, 2024 at 21:15 IST