Consumerism in India
Written by: Nithin Narayanan
India's large youth population is driving the consumerism trend in the country. For the youth shopping is just not a necessity but a leisure activity. Also more disposable income and more number of persons working in families have also contributed to this trend. The good news is that Indian consumerism is yet to attain maturity. But the catch here is society has a whole believes in saving rather than spending.
A liberalized economy has open doors to MNCs, and all the companies have successfully adapted their products or their marketing communication or in some cases both to the local conditions and preferences. Like Mac-Donalds, Pizza- Hut, Maggi - the noodles tastes different in every country. I had the pleasure to have Maggi noodles of different regions; I must tell you it does taste different.
Organized retail formats have also contributed to the spending spree in the country. One myth is that Indian consumers are price sensitive. It is partly true, yet it is fast changing. FMCGs or fashion brands have all above average pricing, but in spite of this, these companies have gained profit from operations in the sub-continent. We need value for money and this is misinterpreted quite a few times. But certain conditions such as high inflation which is prevalent here right now, hinders the new found consumerism confidence.
Well thinking global and acting locally works very well here. The Bharatiya or the Indianness is crucial to the people and this is precisely what companies are cashing in on. One needs to see how this strategy would work in the future as the socio- economic scenario is fast changing here in India.