The COVID-19 pandemic, one of the biggest global crisis for this generation of consumers, has brought in massive shifts in consumer behaviour. Businesses are having to rethink the rules of the game to keep up with this evolving consumers.
Health, privacy and hyper-localisation are the prime factors that are driving post-COVID consumers in India, according to a new study by EY.
According to the study titled ‘Life in a Pandemic, about 94.5 percent Indians have settled in a virtual working environment and 40 percent are positive about ‘work from home’(WFH). Nearly 80 percent are eating healthier home cooked meals and more than half (55%) are likely to advocate for WFH after the pandemic. No commute, relatively healthier living and somewhat higher productivity levels are the factors contributing to the rising comfort levels with WFH.
About 80 percent students have shifted to online education and 46 percent are open to continuing with online learning post the pandemic.
The study is based on a survey of 2,033 Indian consumers across the urban, adult population across India. Nearly 30 percent of those surveyed were women, nearly 70 percent were IT professionals and up to 80 percent were in the 24-40 age group.
Social interactions have undergone a sea change during the lockdown with widespread adoption of digital apps. About 78 percent respondents said they are using video conferencing platforms to stay connected with friends and family.
The study finds that consumers are experiencing positive changes in their physical and mental health as a result of new behaviours adopted during the pandemic. Nearly 65 percent stated that increased family time has strengthened their relationships.
Nonetheless, the majority continues to feel overwhelmed by an uncertain future and 70 percent continue to grapple with fear and anxiety. With mental wellbeing becoming a priority, the consumption of online fitness and health programs has increased manifold.
The new telemedicine guidelines meant more people were consulting doctors online, with 32 percent respondents having availed of these services. Nearly 80 percent of the population continues to focus on improving their eating habits with 56 percent engaging in housework and 32 percent are participating in home workouts.
“There is a clear paradigm shift in consumer behaviour towards online, even in traditionally offline categories. Consumers are ‘cocooning’ at home to keep themselves safe from the pandemic, said Shashank Shwet, Partner - Customer Experience and Design Thinking, EY India.
While consumers are leveraging digital tools to stay connected, the study found that 55 percent of the respondents encouraged each other to adhere to the lockdown. Local communities are back in spotlight with one-fifth wanting to be more connected to their neighbours.
As the economic crisis deepens and new jobs become scarce, around 43 percent of respondents stated that they intend to reduce big-ticket spends across categories like automobile, travel and consumer durables.
Of course with more time being spent online, cyber security is top of mind, as 79 percent respondents reported that they avoid visiting unknown websites and services. In order to protect their identity, consumers also refrain from sharing personal data and frequently delete cookies.
Even as business activity limps back to normalcy, a large part of the population will continue to remain cautious according to the report, and will avoid activities like shopping in a mall, travelling, eating out, going to the theatre, etc.
“To win in adversity, companies need to tailor strategies to today’s unique context. Brands that will be nimble enough to capture the pulse of these changes make timely alterations to their modus operandi and add digital and convenience as a service will thrive in these unprecedented scenarios”, added Shashank Shwet.
First Published: Aug 13, 2020 10:56 PM IST
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