Key Consumer Trends of Gen Z in India
Gen Z in India has significant buying power, currently contributing $860 billion to the country's consumer spending, which is 43% of India's total consumption. This figure is expected to grow to $2 trillion by 2035 as more Gen Z individuals enter the workforce. Presently, $200 billion comes from direct spending (money earned and spent by Gen Z themselves), while $660 billion is influenced spending, meaning they strongly influence household purchases
Key Consumer Trends of Gen Z in India:
- Phygital Shopping – They blend online and offline shopping, using digital tools to discover and buy products.
- Authenticity Matters – 76% demand genuine brand communication and reject brands they find misleading.
- Social Influence – 70% rely on recommendations from friends and influencers rather than traditional ads.
- Cause-Driven Consumption – They prefer brands that align with social and environmental values.
- Experience Over Ownership – They prioritize experiences such as travel, dining, and entertainment over material possessions.
What This Means for Brands:
- Brands need to embrace social commerce, integrating influencer collaborations and immersive experiences like AR/VR shopping.
- Sustainability matters, as eco-consciousness is a driving factor in their purchases.
- Trends are more important than brand loyalty, meaning businesses must constantly innovate to stay relevant
For businesses like Bamboology Pvt Ltd, which focuses on sustainable products like bamboo menstrual panties and diapers, Gen Z presents a strong market. Their eco-conscious mindset and preference for authentic, sustainable brand is align well with required offerings.
AR/VR Shopping refers to the use of Augmented Reality (AR) and Virtual Reality (VR) technologies to create immersive and interactive shopping experiences. These technologies enhance how customers browse, try, and purchase products online and in physical stores.
AR Shopping (Augmented Reality)
- Virtual Try-Ons – Customers can see how products (like clothes, makeup, or glasses) look on them using their phone camera (e.g., Lenskart’s AR try-on for eyewear).
- AR Filters – Brands use Instagram, Snapchat, or e-commerce apps to let users visualize furniture in their home (e.g., IKEA Place app).
- Interactive Packaging – Scanning a product label reveals additional information, demos, or AR animations.
VR Shopping (Virtual Reality)
- Virtual Stores – Shoppers enter a fully digital store using VR headsets to browse and buy products (e.g., Walmart’s virtual shopping experience).
- 360° Product Views – Users can explore products in a virtual showroom, seeing details from all angles.
- Immersive Brand Experiences – Companies like Nike and Gucci use VR to create digital experiences where customers engage with products in unique, interactive ways.
Why It’s Popular?
- Bridges Online & Offline Shopping – Blends the convenience of online shopping with in-store experiences.
- Enhances Customer Engagement – AR/VR increases interaction time and confidence in purchases.
- Reduces Returns – Virtual try-ons help customers choose better, reducing returns in fashion, cosmetics, and home decor.