Meta has revealed two key trends reshaping India’s online shopping landscape: the rise of Quick Commerce and the rapid growth of online shopping in tier-2 and tier-3 towns. According to Meta's commissioned studies, artificial intelligence (AI), creators, and messaging platforms are playing a pivotal role in making it easier for consumers to shop online and engage with Quick Commerce platforms.
Arun Srinivas, Director and Head (India) of Ads Business at Meta, commented, "As we approach the close of 2024, the key trends driving the e-commerce space are the rise of Quick Commerce and the accelerating online shopping habits of consumers in tier-2 and tier-3 towns. AI-driven personalisation, influencer engagement, and messaging are transforming these platforms, making them more accessible and user-friendly."
The GWI study commissioned by Meta on Quick Commerce surveyed over 2,500 internet users aged 16 to 64 across India. It found that nine out of ten respondents were aware of Quick Commerce services, with half of them using these services at least once in the last week. Quick Commerce has become a crucial part of daily life for many consumers, with groceries and personal care products being the most commonly purchased. However, the study also noted a growing adoption of niche categories such as skincare, hair care, and health and wellness.
Meta’s platforms, powered by AI, have become essential tools for discovering new Quick Commerce brands and products. A significant 86% of respondents reported finding new products through Meta’s channels, with the platforms also generating high conversion rates. Additionally, more than a third of respondents discovered new products via influencers, and 30% made purchases based on influencer recommendations. Gen Z is particularly influential in the growth of Quick Commerce, with 87% of Gen Z respondents discovering new products through Meta platforms and driving the adoption of niche categories like wellness, sportswear, and pet supplies.
In parallel, Meta’s study on the E-Commerce Purchase Journey in Tier-2 and Tier-3 cities, which surveyed 2,182 internet users from these regions, highlighted a significant shift in shopping habits. The study found that fashion, food, beauty, and mobile products are the top online purchases in these towns, with categories like jewellery, home furnishings, and large electronics now seeing similar trends for both online and offline shopping.
Social media was identified as the primary channel for discovering new products, with 68% of respondents from tier-2 and tier-3 cities finding products via social platforms. Of those, 59% discovered products through Reels, while 57% relied on influencers for product recommendations. Messaging apps also play a crucial role, with 55% of respondents using them to complete purchases in the last year, and 95% using WhatsApp during their purchase journey.
Meta’s research suggests that tier-2 and tier-3 towns are becoming a fertile ground for Quick Commerce, with social media platforms, particularly Meta, leading the charge in the next wave of online shopping across these regions.
