Ecommerce adoption in Tier II set to surge as 60% consumers boost festive online budgets: Meesho report
The survey, which was rolled out to over 10 lakh Meesho customers and 2.5 lakh sellers, explores the shifting trends among online festive shoppers and the strategies used by ecommerce sellers during the festive period.
More than 60% of shoppers on ecommerce marketplace intend to increase their online shopping budgets, indicating a growing trend of ecommerce adoption in Tier II cities.
The company's report, “E-commerce Festive Forecast 2024,” shed light on this trend, providing a detailed analysis of seller preparedness and consumer shopping habits for the upcoming festive season.
The survey, which was rolled out to over 10 lakh Meesho customers and 2.5 lakh sellers, explored the shifting trends among online festive shoppers along with examining strategies used by ecommerce sellers during the festive period.
Estimates revealed a trend toward planned shopping, with 60% of respondents preparing their festive purchases well in advance. Meanwhile, 24% of shoppers blend planned purchases with occasional last-minute buys, while 16% are last-minute shoppers.
Social media has a significant impact on festive shopping, with 40% of shoppers driven by FOMO (fear of missing out) on popular products.
Moreover, influencers have played a major role in shaping consumer purchasing decisions, with half of the respondents (50%) relying on influencer affiliate links while shopping for products that are trending.
The report further revealed a growing impact of influencer content on consumer choices, with around 70% following social media influencers for reviews and hauls of products.
Positive reviews have become a key driver of online purchases on Meesho, with almost 54% of shoppers citing them as the main influence. Meanwhile, 43% of shoppers prioritise high-quality content and detailed product information.
Findings suggested that around 75% of respondents are first-time entrepreneurs, many of whom have transitioned from government or corporate roles and have just started selling online.
Product innovation has also become the key strategy for boosting competitiveness among sellers, with 65% launching new products for the festive season. Meanwhile, others are branching into new categories and investing in seller advertisements.
In addition, nearly 44% of sellers use Meesho's recommendations to guide their festive product choices to enhance their selling strategy.The surveyed sellers also reported diverse levels of technology adoption, with 70% using basic tools and 25% employing advanced solutions like ERP systems and AI analytics.
Meesho has created nearly 850,000 seasonal job opportunities this festive season within its seller and logistics network, marking a 70% increase from last year, according to a statement released by the company.
Edited by Jyoti Narayan