New Delhi: Deloitte’s 90-day analysis of the ongoing Global Consumer Tracker survey across 18 countries shows Indian consumers are gearing up for the festival season as the overall anxiety index is at 31 per cent, a reduction of 17 per cent compared with the previous update in July.
“This reflects green shoots in multiple spending parameters during the upcoming festival season,” the survey said.
With reduced anxiety, Indian consumers are open to spending more on convenience (73 per cent) whilst they are scouting for better deals and bargains (55 per cent), exercising caution towards health, hygiene and environment safety.
Indian consumers are positive about visiting stores (58 per cent), restaurants (47 per cent), and in-person service providers (52 per cent). Seventy-nine per cent of consumers (the highest among the 18 countries surveyed) would prefer to keep their current vehicles for a longer period than they had earlier expected.
The survey said Indian consumers are less anxious about their physical well-being, health of their families, and making upcoming payments and large purchases, compared with the start of the pandemic and the lockdown.
This is further reflected by a decrease in the fear of losing jobs.
In-store visits have increased now with the advent of the festive season.
While there is largely an inclination to shop online for convenience and safety, festive deals and the wedding season show a shift towards in-store shopping for both non-discretionary items, such as groceries (61 per cent) and household (62 per cent), as well as discretionary items, such as clothing (47 per cent) and electronics (46 per cent).
As many as 70 per cent consumers prefer locally sourced items and would not hesitate to spend more on responsible and local brands, it said.
The findings indicate consumers’ intent to stick to their current vehicles for a longer period than they had originally expected (79 per cent, the highest among the 18 countries surveyed). Thirty-seven per cent feel safe in staying in a hotel and 42 per cent feel safe while travelling.
Deloitte said Global State of the Consumer Tracker is a survey fielded using an online panel where consumers over 18 years are invited to complete a questionnaire via an e-mail.
It is fielded in 18 countries such as India, Chile, China, Mexico, Australia, the United Kindom, the US, Ireland, South Korea, South Africa, Canada, Japan, France, Polan, Spain, the Netherlands, Germany and Italy.
Commenting on the analysis, Porus Doctor, partner and consumer industry leader, Deloitte India, said, “Our survey results reflect the Indian consumer behaviour that shows positivity in view of the upcoming festive season.”
Doctor added that there is a decline in people’s concerns over the fear of losing jobs as compared with survey results in July and August. “This could be attributed to the positive sentiment as well as reduced anxiety levels that Indian consumers experience.”
Over the past months, Indian consumers have prioritised non-discretionary expenditure with a tilt towards using the digital and e-commerce platforms, largely to avoid visits to grocery stores to ensure health and safety of self as well as that of their immediate family.
“This trend shows that consumers have gravitated towards online shopping for essentials and discretionary items. This trend is likely to continue in the foreseeable future,” Doctor said.
In the age bracket of 55 and above, purchase intention has increased across both the discretionary and non-discretionary categories as well as the offline and online channels.
In terms of mobility, the findings indicate consumers’ intent to continue with their current vehicles for a longer period than they had earlier expected (79 per cent, the highest among the 18 countries surveyed).
