Indian Brands Embrace Tech to Meet Changing Consumer Behavior
13 April 2023, Mumbai
India’s retail sector has undergone significant changes in consumer behavior over the past two years due to the pandemic. With normalcy returning, the retail sector is stabilizing, but disruptions across the retail value chain could impact both brands and their distribution partners.
Macro trends that are shaping the new normal, are small shops are going digital due to easier access to digital offerings and the emergence of eB2B marketplaces and digital lending facilities. More retailers are going direct to consumers, and e-commerce and D2C grocery retail are likely to cross the 2 to 3 percent threshold soon.
The new-age companies are taking on top brand companies across categories by being agile and innovative, engaging with customers on social media, leveraging an omnichannel approach. And, mega distributors are harnessing the power of digital to gain a competitive edge over smaller counterparts.
Premiumization and personalization are also gaining even more traction due to shifting demographics, urbanization, higher aspirations, and hyper-connectivity. Private labels are on the rise, especially for grocery and apparel categories, as modern retail gains a stronger foothold.
The driving force behind all trends is evolving consumer behaviors, supported by innovations in technology, to remain relevant and flourish in this fast-changing reality.
