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characterstics of indian consumer.pptx

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characterstics of indian consumer.pptx

  1. 1. CHARACTERSTICS OF INDIAN CONSUMER
  2. 2. INTRODUCTION • With the growth of India’s middle class and changes in its lifestyle, the quality and quantity of demand for retail of foodstuffs and daily goods are undergoing significant changes. While traditional Kirana (small shops) hold sway over the industry, accounting for more than 90% of the market, modern distribution stores such as supermarkets and hypermarkets of localconglomerates are also expanding rapidly.
  3. 3. CONSUMER GROWTH IN INDIA The Indian economy is changing in profound ways by the onward marchof its “consumers”. India’s ascendance as an economic power to reckon with has forced the world to unravel the mystery called India. An intriguing element of this mystery is India’s Consumer Market; characterized by diverse languages, regions, religions, and economic and social status. Consumer growth has, of course, always beena central engine of economic growth, but what is significant about the past decade is the acceleration in the paceof change.
  4. 4. RAPIDLY GROWING SECTORS IN CONSUMER INDIA INFORMATION TECHNOLOGY & COMMUNICATION INDUSTRY AUTOMOBILE INDUSTRY E-COMMERCE INDUSTRY OR ONLINE SHOPPING RETAIL INDUSTRY INDUSTRIES UNDER WOMEN EMPOWERMENT. INDIAN FAST MOVING CONSUMER GOODS (FMCG) INDUSTRY
  5. 5. INDIAN CONSUMER MARKET TODAY It is a market with three segments : The first comprises the top end with the mindset: “I pay more to get more”,where the purchase is driven by the emotional surplus that theconsumer experiences. The second is the mid-level which thinks: “I get good value at a reasonable price”. More important, however, is the large block at the bottom which says: “I pay less and I get less” and is totally satisfied with that. This is probably a segment that many marketers tend to overlook since they feel that there is no existing demand there.
  6. 6. INDIAN RETAIL INDUSTRY Despite the rosy hopes, some facts have to be considered to positively initiate the retail momentum and ensure its sustained growth. The major constraint of the organized retail market in India is the competition from the un-organized sector.
  7. 7. CONSUMPTIONAL &CHARACTERISTIC TRENDS IN INDIAN CONSUMERS 1. ECONOMIC GROWTH AND RISING DISPOSABLE INCOMES • India is growing at an average annual rate of 7.6% for the past five years and it is expected to continue growing at an equal if not faster rate. The rapid economic growth is increasing and enhancing employment and business opportunities and in turn increasing disposable incomes Extreme rural poverty has declined from 94% in 1985 to 61% in 2005 and is projected to drop to 26% by 2025.
  8. 8. CONSUMPTIONAL &CHARACTERISTIC TRENDS IN INDIAN CONSUMERS 2. PRO-GROWTH DEMOGRAPHICS In India, the proportion of citizens of working age is forecast to fall slowly and the overall labor force will continue to grow. India has a young population, 54% of Indians are under 25 years of age. A young, economically empowered population not only translates into increasing consumer demand but also into a more value-conscious demand. Thus, pro-growth demographics will expand consumer market in India.
  9. 9. • ASPIRATION FOR A BETTER LIFE • As millions of economically deprived households move into the lower strata of the middle class segment, they will begin to be able to afford and demand products and services beyond food and clothing. Increasing penetration of media and infrastructure facilities will expose the rural India to urbanized lifestyle and fuel the latent desire for improved living standards CONSUMPTIONAL &CHARACTERISTIC TRENDS IN INDIAN CONSUMERS
  10. 10. CONCLUSION • The Indian consumption patterns are slowly converging with global norms. The Indian consumer is now spending more on consumer durables, apparel, entertainment, vacations and lifestyle related activities. Entertainment, clothing and restaurant dining are categories that have been witnessing a maximum rise in consumer spending since 2002.

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