Someone once said that if you truly want to understand India, take a train across the country. As you journey from a bustling metro city to a smaller town, you’ll witness not just changing landscapes but also distinct lifestyles, aspirations, and consumer behaviours. The needs of these two Indias are vastly different, and catering to them requires more than just a one-size-fits-all approach.
India is a land of vibrant contrasts, offering both challenges and opportunities for brands. While the traditional ‘metro vs. non-metro’ divide helps in segmenting audiences, it does not fully capture the complexity of modern consumer behaviour. A third cohort - Gen Z - is emerging as a distinct force, characterised by conscious consumerism and a heightened awareness.
More than just geography, culture codes - a set of shared values, practices, and expectations - are shaping buying decisions. To truly succeed, brands must look beyond this binary view and embrace the ‘many Indias.’
The Diverging Consumer Landscape
The urban-rural divide in India extends beyond geography—it shapes how people live, shop, and interact with brands. While metro consumers are early adopters of new trends and technologies, non-metro markets are rapidly catching up. Rising disposable incomes, increased digital access and greater exposure to global trends are transforming consumer behaviour nationwide. Aspirational buying is no longer confined to urban centres—it’s a nationwide phenomenon. Consumers in Tier II & III cities now seek branded products, quality experiences, and a sense of connection with the brands they choose. They are increasingly willing to pay for branded, high-quality products and better shopping experiences. Differences in income, education, digital exposure, and cultural influences further shape distinct consumption patterns.
Understanding Urban India: Digital-First and Experience-Driven
Health and wellness have also become dominant themes in urban consumption. From sugar-free alternatives to protein-rich diets, metro consumers are willing to pay a premium for products that align with their evolving lifestyles. Brands looking to capture this segment must leverage digital storytelling through influencer collaborations and AI-driven personalisation, offer premium and sustainable products that align with conscious consumer choices, and create seamless omnichannel experiences that integrate online and offline buying.
The Non-Metro Consumer: Aspirational and Brand-Conscious
Non-metro consumers, while increasingly aspirational, remain value-driven. They seek quality and branded experiences but are also highly price-conscious. Increased digital penetration and exposure to urban lifestyles through films, OTT platforms, and social media, have led to a growing demand for premium products.
In non-metro areas, global awareness is increasing, leading consumers to choose trusted brands over unbranded alternatives. This shift highlights the growing importance of brand trust and perceived quality.
Gen’z redefining marketing strategies
Gen Z has grown up with the internet, social media, and smartphones. This makes them very skilled at gathering information from different sources and blending online and offline experiences, which also results in them engaging with brands through social media, e-commerce platforms, and influencer-led content. They prioritise convenience, personalisation, and brands that align with their values. Marketeers need to rethink how they create value with personalisation and stay true to their ethos in marketing.
Campaigns to gain loyalty
To succeed in India’s dynamic consumer landscape, brands must invest in localised marketing. While metro markets are digital-heavy, non-metro consumers still engage with offline channels, making a hybrid approach essential. Tailoring product offerings with regional flavours, specialised formulations, and affordable pack sizes ensures relevance across markets. Strengthening retail and distribution networks by partnering with kirana stores and investing in last-mile logistics is crucial for deeper market penetration. Trust remains a key factor in metro and non-metro markets.
Conclusion
While the metro and non-metro divide remains, the gap is narrowing, and Gen Z is redefining consumer behaviour across both markets. By acknowledging cultural nuances and evolving consumer expectations, brands can unlock the immense potential of India’s dynamic market. The future of marketing lies in balancing aspiration with accessibility, digital innovation with traditional touchpoints, and global narratives with local relevance.
