Indian consumers value brands based on their health (76%) and the environment (73%). This is one of the best results of the Edelman Trust Barometer 2023, carried out in 14 countries.
The study found that India's Gen Z marketing industry has done something that needs urgent attention: they have fundamentally altered the path to purchase. Defined as the generation born between 1996 and 2010, this Generation Z is the largest in India (472 million people, or slightly more than the entire population of the European Union). The study shows that Generation Z has purchasing power and influence like no previous generation. This has given them the opportunity to transform marketing from a discipline that moves customers through a narrowly defined funnel, to an authentic experience where customers are present.
According to the report, there are four key changes that define the new world of marketing presented by Generation Z.Prioritize safety and trust first. Therefore, Gen Z Indian consumers are more sensitive to climate change, global conflicts, misinformation, healthcare, inflation, polarization, and rights and freedoms. For the majority of Indian consumers (70%), brands that overcome these weaknesses are the ones they trust.
Interestingly, what goes into India's baskets depends on geopolitical conditions. In India, in particular, the country of origin (where these brands are based) played an important role for 85 percent of consumers, much higher than the global average of 77 percent.
Overall, trust plays a bigger role for brands than it did a year ago. In the year This is not surprising, since between 2022 and 2023, Generation Z will for the first time face the combined force of geopolitical and climate issues, as well as the health risks that have led to the pandemic. Growing over the years, Gen Z Indian consumers demand respect for the environment (89%), along with diversity in brand advertising (84%) and diversity in employees (82%).
The survey found that 90 per cent of Indians under the age of 20 and individuals influence where and how they shop. Indian Gen Z has more influence (68%) on how Indian consumers think, interact and discuss brands than global respondents (68%).
The Gen Z purchasing funnel is coming of age. The funnel, which is the fundamental principle of all marketing strategies and tactics, has been completely altered. As a result, 72 percent in India (vs. 78 percent of global respondents) begin their relationship with a brand by purchasing a product directly, so the traditional approach of pushing consumers down the aisle is no longer effective. A purchase that used to be the end of a fund is now the beginning of a journey full of signs of interest and appreciation.
In fact, the majority (94%) interact with brands beyond using their products or services. They consume branded content, attend brand events, interact on social media or provide feedback, all to evaluate how well the brand fits into their lives and how much they trust it.
Research says the circle of trust between brands and consumers is being replaced by a "circle of trust."
Purchasing decisions are based on interaction, which generates attraction and trust. Therefore, the Circle of Trust is not only a consumer action but a brand action enhanced by communication. Trust is based on a spirit of mutual trust between brands and consumers: when brands make good things, not just good products, this drives consumer acceptance, promotion and loyalty. Furthermore, this belief leads to growth beyond a single trade. Sales are good, but repeat sales are better than loyal customers who support them. And this reinforces the need for constant commitment to convince vulnerable consumers that the brand supports their efforts towards a better, safer world.
A staggering 80 percent of Diwali consumers are actively engaging with content created by influencers, confirming the central role of influencers in shaping consumer choices. Influencer marketing is 1.5 times more effective than other age groups, such as Boomers and Generations X and Z.
