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23:17

Consumer Mobility & E-commerce Survey

Tuesday, April 11, 2023

23:17

E-.commerceConsumer Mobility

Contact UsDemography

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Respondent DemographySurvey period (Oct- Dec, 2013)

Total Respondents - 1016 Location: NCR and adjoining sub-urban areas

Female Male

28%

72%

Less than 20 years

21-25 years 26-40 years 41-60 years More than 60 years

11%

41% 38%

8%2%

Sub-urban Urban

33%

67%

<3 Lakhs >10 Lakhs 3-6 Lakhs 6-10 Lakhs Not Earning

30%

8%

28%

15% 18%

Graduation Masters and above

Matriculation or Less

57%

30%13%

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Ecommerce

Consumer Mobility

Device Change Trend

Place of Purchase

Spending on Devices

Devices Adoption

Application Usage

App Authenticity

Concern

Ad Clicking Behavior

Payment Mechanisms

Mobility Dashboard OS Comparison

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Mobility Dashboard

• While 83% smartphone users own Laptop/ Desktop, only 16% own a tablet

• Android leading Mobile OS with 76% adoption

Device Adoption

• 61% of consumers (aged less than 40) change their smartphones in less than 2 years.

Retention of Smartphones

• Email, social networking, gaming, multimedia, internet surfing most common use cases

App Use Cases

• Average smartphone price INR 20.1K and 13.7K for urban and sub-urban consumers, respectively

INR

Price of Devices

• 10% of all smartphones bought online

• 15% Windows Phone sold online

Place of Purchase

• 54% users care about app authenticity

• Consumer app reviews best check

App Authenticity

• On an average, Indian smartphone users made the shift from features phones 26 months ago

Shift to Smartphones

• 63% users don’t click on any ad

• E-commerce and gaming ads garner most interest

Ad Clicking Behavior

• 87% users download apps

• Overall 83% users do not purchase any apps

App Behavior

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Device Adoption

Mobility device adoption

Smartphone users also own a

Tablet 16%

Smartphone users also own a

Laptop/Desktop83%

76%Smartphone users use

Android

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Device Change Trend (1/2)

Migration to Smartphone

An average respondent migrated to Smartphones26 months ago

Addition of new users every year31% new users

Urban:

Sub-Urban:

27 months

23 months4 months

late

Sub-Urban users

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Device Change Trend (2/2)

39% users Retain Smartphones for at least 2 years

Retention of Smartphones

Urban :

Sub- Urban :

42%31%

Age < 40 years :

Age > 60 years :

39%56%

Retention increases with

Age

Urban users more prone to

retain smartphones

Retention of smartphones for at least 2 years

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Place of Purchase (1/2)

Online Device Purchase

~15%Devices :

~10%Devices :

Devices : ~4%

18%Income > 10 Lac :

6%Income < 3 Lac :

Affluent users more likely

to purchase phones online

10% Smartphones are sold online

Windows Phones fare best in sales through

e-retailing

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Place of Purchase (2/2)

Multi-brand Organized Retail, a hit in Urban India

45%Multi Brand

Organized Retail

25%Authorized Single-brand Showroom

Urban Respondents

52%Local Mobile

Shop

25%Multi Brand

Organized Retail

Sub - Urban Respondents

Offline Device Purchase

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Spending on Devices (1/2)

Substantial spending on smartphones, even in suburbs

18,230 Average Smartphone Price

*All values in INR

Urban :

Sub- Urban :

20,150

13,680

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Spending on Devices (2/2)

Education and affluencepositively influence spending

*All values in INR

Masters & above :

Matriculation & below :

19,970

11,740

> 10 Lac :

< 3 Lac :

23,190

14,160

Education

Income

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Payment Mechanism

*For Buying Devices

**89% sub-urban respondents prefer to pay by cheque/cash

Urban :

Sub- Urban** :

41%

5%

> 10 Lac :

< 3 Lac :

44%

20%

Location

Income

Credit/Debit card usage* high among Urban and Affluent Respondents

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Application Usage (1/4)

87%Respondents

download Apps

INR 417Average

Spending on Apps

83%Do Not Purchase

Any Apps

*All figures are for overall respondents

Despite high usage, tendency to purchase apps low

26 AppsAverage # of

Apps Downloaded

6 AppsAverage # of

Apps Purchased

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Application Usage (2/4)

More apps download by Young respondents compared with elders

~2x Age < 16-20 yrs:2913Age > 60 yrs:

Urban: 2822Sub-Urban: More apps downloaded by

Urban users compared to Sub-Urban

27%

Male: 2822Female: More apps downloaded by Male

users compared to females

27%

Trends in App Downloads

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Application Usage (3/4)

Trends in Paid Apps

Affluence Positively Influences download and Spending on Apps

Android users Purchase and spend highest on apps

Income > INR 10 Lac

Income INR < 3 Lac

INR 760

INR 328

7

3

5

7

INR 340

INR 417

Amount spent on Apps

No. of Paid Apps downloaded

Amount spent on Apps

No. of Paid Apps downloaded

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Application Usage (4/4)

App Use Cases

High Usage Among Urban and Sub-urban Respondents

AlikeMusic/Video

Email

Internet Surfing

88%

93%86%

Social Networking

95%Gaming

83%

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App Authenticity Concern

~46%* users not concerned About App Authenticity

Checks to Ensure Authenticity

68%**

Consumer Reviews

27%**

Developers Profile

24%**

Consultation with friends and peers

*Among respondents who download Apps* *Among respondents who download Apps and are concerned

Indifference to Authenticity

Urban40%*

Sub-urban60%*Higher in Suburbs:

Linked with Age:60+ years100%*

< 25 years42%*

<<

<<

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Ad Clicking Behavior (1/2)

63% users Do not click on ads

Male: 8 ads*

4 ads*Female:

*Among those who click on Ads

More Ads clicked by males compared with females

2x

7 ads* clicked on an average over the last one year

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Ad Clicking Behavior (2/2)

Incentivizing Ad Clicking

Interested

NotInterested

3/4th users uninterested in sharing demographic data in exchange

of incentives

Ads Most clicked

46%* respondents

54%* respondents

E-commerceGaming

*Among those who click on Ads

Health and Wellness

10%* respondents

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Android, iOS, Windows

Purchasing from abroad- highest for iPhone

1 5% 32% 2.5%Percentage of Respondents

Most iPhones purchased through Authorized Single Brand

Showroom; Android and Windows phones bought from

Multi-brand Organized Retail

3 20%

40%

41%

30%

29%

43%

Authorized Single Brand showroom

Multi-Brand Organized Retail

iPhone users pay most for data and are also highest users of 3G

4 49%

19%

73%

43%

51%

15%

3G data planMonthly spend >INR 300

Android and Windows users purchase most apps, spending on apps highest by Windows phone users. Android users

most concerned for authenticity of Apps.

5

417

7

56%

340

5

47%

541

7

51%

Apps purchased

Average spend on Apps (INR)

Concerned for App authenticity

Phone usage for E-commerce highest among Windows phone

users

6 45% 55% 56%Percentage of Respondents

Credit card information on device ecosystem Mostly by iPhone

users

74% 18% 5%Percentage of

Respondents

Highest Market share for Android- (Value and Volume)

2 68%76%

20%10%

7%8%

By Value

By Volume

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E-com Dashboard

Consumer Mobility

E-commerce

Purchasing Trends

Payment Mechanisms

Adoption of E-commerce

Top E-com Websites

Initiation to E-com Sites

Deterrents to E-com Adoption

E-com on Mobile Devices

E-commerce as Info Medium

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• 34% respondents shop online at least once a month

• 25% do not intend to do so

E-commerce Adoption

• On an average 19% monthly budget spent on e-commerce by those who shop online

Spending on E-commerce

• Nearly 50% consumers use e-commerce websites to research on products before buying them offline

Medium of Information

• 40% consumers visit an e-commerce website on friend’s suggestion

• TV ads initiate 13% traffic

Initiation of E-commerce

• 31% respondents believe that an intermediary will help uptake of e-commerce

Intermediary Relevance

• Prefer shop visit: 36%• Quality concerns: 30%• Immediate delivery:

29.7%• Fear of wrong product:

28.7%

Key deterrents to e-com

• Books, Travel tickets & packages, Electronic goods, Apparels are the products most shopped

Popular Purchases

• 35% respondents use their smartphones and tablets for e-com

Mobility Devices for E-com

E-commerce Dashboard

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Adoption of E-Commerce (1/2)

Massive e-commerce uptake

OVERALL RESPONDENTS : 34%

Female :

Male :

34%

34%

Similar adoption of e-commerce among Males and Females

Urban :

Sub-Urban :

41%

18%

~2x more urban respondents

shopping online

Online shopping at least once a month

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Adoption of E-Commerce (2/2)

Reluctance to E-com

32%Income < INR 3 Lac:

22%Income > INR 10 Lac:

25% Respondents do not intend to shop online

46%Sub-Urban :

15%Urban :

Less resistance among Affluent Respondents

10%

More reluctance among Sub-Urban Respondents

3x

28%Males :

16%Females :More males reluctant to shop online

~2x

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E-com as Info Medium

~50% consumers Use E-com websites to

research on Products before buying them Offline

Urban Respondents :

Sub-Urban Respondents :

64%20%

E-com websites widely used as

Medium of Information

Tendency higher among urban respondents

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Purchasing Trends (1/2)

Substantial Percentage of Monthly Budgets spent on

E-commerce

Affluent Respondents spend

higher share of wallet online

Income < 3 Lac :

Income > 10 Lac :

14%

19%

Education positively influences the spending on E-

commerce

Matriculates & less :

Graduates & above :

12%

19%

Average share of e-commerce in expenditures: 19%

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Purchasing trends (2/2)

Products most shopped for Online

Books51%

46%Electronic GoodsApparels

47%

Travel Tickets/Packages

47%Shoes38%

*All figures are for those who shopped online over the last one year

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Payment Mechanisms

Credit/Debit Card paymentUsers most comfortable using this

payment model

48% respondents use Credit/Debit Cards for e-commerce

transactions

Urban respondents more comfortable using Credit/Debit cards

Sub-Urban :

Urban :

36%

50%

Female users more inclined to

using Credit/Debit cards

Females :

Males :

55%

44%

*All figures are for those who shopped online over the last one year

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Top E-commerce Sites

Unless specifically asked 73% customers don’t consider IRCTC ticketing as e-commerce

Brand recall limited to few E-com websites

71%

17.3%

17.5% 29.6%

30%

E-com Websites with Highest Recall

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Initiation to E-com Sites

Peer Recommendations critical to site selection

13% Influenced by TV ads

40% on Peer Suggestion

35% Through Product Web Search

Initiation on an E-commerce site:

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Deterrents to E-commerce

31% respondentsBelieve that a local intermediary will help uptake

of E-commerce

Key deterrents to E-com

Concerns regarding product quality

Fear of wrong product delivery

Immediate Product delivery

Preference to visit shops

36%

29.7% 28.7%

30%

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E-com On Mobile Devices

Education and Affluencepositively influence use of Mobility Devices for

E-commerce

Mobility Devices for E-Com

35% respondents use mobility devices for e-commerce

Smartphones Tablets

Matriculates :

Graduates & above :

8%

37%

Income < 3 Lac :

Income > 10 Lac :

30%

40%

23%

41%

33%

43%

*All values for Smartphone and Tablet users who responded

23:17

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