63% of Indian Customers Prioritize Experience Over Material Benefits (Infographic)
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The customer is the king. For every new-age business, the saying works appropriately as the penetration of data has shifted the power from business owners to business givers. However, the empowered customers are no more rooting for material benefits like discounts but instead are interested in garnering experiences, especially the mobile-first Indian customers.
While practical benefits hold major importance for the ‘bargain it’ Indian buyers, internet-friendly users keep seamless and personalized experiences on a higher pedestal. In a recent study conducted by Forrester Consulting in association with Epsilon India, customers were found preferring both relevancy and personalized offerings for making their purchase decisions.
Apparently, 63 per cent customers are more likely to purchase from brands that provide relevant content and offers whereas the thirst for immediacy, instant discounts, mobile rewards and real-time offers also drive their loyalty towards a particular brand. The survey which included 405 Indian consumers has come up with various factors for judging customer engagement.
Regardless of a buyers’ age, gender, or social background, they have high expectations of the brand’s digital experiences. Majority of online shoppers own smartphones and hence, expect their preferred brands to have a mobile app for easy and frequent access, 78 per cent to be exact whereas 68 per cent feel frustrated when a website is not mobile-friendly.
Tech-savvy customers are used meeting their requirements on a click and feel disappointed when the same is not the case for online shopping. Digital product reviews are one thing that the majority of new-age shoppers approve of. Even while shopping in physical stores, 71 per cent compare prices on their mobile phones, therefore pushing the marketers to develop a deeper understanding of modern consumers.
In the age when data privacy has become a hot topic, customers are overly cautious about sharing their personal information with companies but 60 per cent don’t mind being contacted with relevant offerings. However, for the sake of practical benefits, 90 per cent Indian customers don’t hesitate to part with their information, compared to only 66 per cent in the US.
Marketers Failures & Efforts
Customers expect too much from the marketers but the latter is hardly able to meet even half of their demands. Balanced values and volume of marketing communication from brands determine customers’ preferred channel. Email is consumers’ most preferred channel to receive marketing updates from a brand but 66 per cent have been disappointed by the performance as they receive too many of them.
Marketers have failed to smartly to utilize the medium for retention and engagement but are rather focused on new customer acquisition. Due to the increased privacy awareness, 55 per cent of them is already aware that companies buy and sell their information as marketers have failed to protect the customers’ data for short-term benefit. Talking about the least preferred medium for receiving marketing updates, only 2 per cent of customers are interested in SMS services.
Given the scenario, personalization is the top marketing priority but marketers face challenges to achieve it and differentiate their brands. However, to keep up with the rising customers’ demands, 92 per cent of Indian marketers' top priority is to improve personalization capabilities. Also, in the next 12 months, 60 per cent of marketers plan to increase their technology spend to develop real-time personalization.