E-commerce adoption in tier 2+ set to grow as more than 60% of mass consumers increase online shopping budgets this festive season
50% of the respondents use influencer links to shop for trending products, with 70% following influencers for product reviews and hauls
75% of sellers are new entrepreneurs, many transitioning from traditional jobs, reflecting the growing appeal of e-commerce
Bengaluru 11 September 2024: Meesho, India’s only true e-commerce marketplace, today released its ‘E-commerce Festive Forecast 2024’. Ahead of the festive season, this forecast will provide a detailed analysis of seller preparedness and insights into how consumers plan to shop during the upcoming festive season. The comprehensive report delves into the evolving preferences of online festive shoppers and the strategies adopted by e-commerce sellers to expand their opportunities this festive season.
Megha Agarwal, General Manager, Business at Meesho, said, “As we approach the festive season, Meesho’s ‘E-commerce Festive Forecast 2024’ reveals a vibrant landscape of shifting consumer and seller dynamics. While a majority of our consumers are looking to increase their online spending, it’s fascinating how social media is reshaping shopping—half of our users now turn to influencers for product recommendations, highlighting their significant role in driving purchase decisions. For our sellers, who are increasingly new to e-commerce, innovation is crucial. Sellers are venturing into new categories and launching innovative products, reflecting their strategic push to meet evolving consumer demands. At Meesho, we are excited to support this growth and enhance the festive shopping experience for millions of users across India.”
Key Shopping Trends for the Festive Season:
- E-Commerce Budgets Look Bright: The forecast reveals a notable shift in festive spending, with more than 60% of Meesho shoppers planning to increase their online shopping budgets. This underscores the growing influence of e-commerce on festive shopping habits.
- Planned Versus Last Minute: The survey highlights a pattern towards planned shopping, with around 60% of respondents organizing their festive purchases well in advance. Meanwhile, 24% of shoppers combine planned purchases with occasional last-minute buys, and 16% are identified as purely last-minute shoppers.
- The Age of Influencers: Half of the respondents (50%) rely on influencer affiliate links when shopping for trending products, underscoring the significant role influencers play in shaping consumer purchasing decisions. Nearly 70% follow social media influencers for product reviews and hauls, demonstrating the growing impact of influencer content on consumer choices.
- FOMO Fuels Festive Shopping: Social media significantly influences festive shopping, with 40% of shoppers driven by the FOMO (fear of missing out) on popular products. This reveals the nuanced ways in which social media influences consumer decisions during the festive season.
- Decision Drivers: Positive reviews have emerged as a crucial factor influencing online purchases on Meesho, with nearly 54% of shoppers identifying them as the primary driver. Meanwhile, 43% of shoppers prioritize high-quality content and detailed product information, highlighting the essential role of informative content in building user trust.
Key Insights for Seller Preparedness:
- Enabling First-time Entrepreneurs: The report highlights that 75% of the respondents are first-time entrepreneurs who have started selling online, many of whom have transitioned from government or corporate roles, illustrating the growing appeal of the e-commerce industry.
- Meesho Recommends: Nearly 44% of sellers rely on Meesho’s recommendations to curate their festive product selections, demonstrating the platform’s influence in shaping seller strategies.
- Innovation is the Key: 65% of sellers are preparing for the festive season by launching new products, while others are adding new categories and investing in seller ads. This indicates that product innovation is the primary strategy for boosting competitiveness during the festive period.
- SMEs navigating the Digital Age: Surveyed sellers reported varying levels of technology use with 70% using basic tools while 25% use advanced solutions such as ERP systems and AI analytics. This highlights how Indian SMEs are increasingly adopting technology to enhance their business operations in today’s digital age.
With a strong emphasis on innovation, technology adoption, and the growing influence of social media, the Meesho’s ‘Ecommerce Festive Forecast 2024’ highlights shifting consumer behaviors and the strategies sellers are using to seize new opportunities. As Meesho gears up for the festive season, it remains dedicated to democratizing e-commerce and providing a seamless shopping experience for everyone.
*Survey was rolled out to ~10 lakhs Meesho customers and ~2.5 lakh sellers
