Mumbai: Axis My India, a leading consumer data intelligence company, released its latest findings of the India Consumer Sentiment Index (CSI), a monthly analysis of consumer perception on a wide range of issues.
According to reports, 20 per cent of consumers are planning to shop more this festive season. On media consumption, 61 per cent mentioned that they watch online video content either on their mobiles or connected TV. 32 per cent mentioned that they notice advertising on TV, followed by digital (26 per cent). An interesting observation was on app usage. On average, nine apps are used by a smartphone user.
The net CSI score for September, calculated by percentage increase minus percentage decrease in sentiment, is at +10, from +9 last month, reflecting an increase of one point. The sentiment analysis delves into five relevant sub-indices: overall household spending; spending on essential and non-essential items; spending on healthcare; media consumption habits; and mobility trends.
- Overall, household spending has increased for 61 per cent of families, which is the same as in August. The net score, which was +52 last month, has increased by +1 to +53 in September.
- Consumption of media remains the same as the previous month, i.e., 19 per cent. The overall net score, which is -1 in September, also remains the same.
- Mobility has increased for seven per cent of families, representing a one per cent increase over the previous month.
- Spending on essentials like personal care and household items has increased for 46 per cent of the families, which is an increase of one per cent from last month. The net score, which was at +26 this month, has increased by +3 to +29.
- Spending on non-essential and discretionary products like air conditioners, cars, and refrigerators has increased for seven per cent of families, which reflects an increase of one per cent from last month. The net score, which was at nil last month, has improved to +2 this month. This could reflect the spirit of the festive season approaching.
- Consumption of health-related items has increased for 37 per cent of the families, which reflects a decrease of one per cent from last month. The health score, which has a negative connotation i.e., the less spent on health items, the better the sentiments, has a net score value of -23 for September, as compared to -24 last month.
On topics of current national interest:
- In an attempt to understand consumers' engagement with mobile apps, the survey discovered that, on average, consumers have nine apps on their smartphones. 16 per cent use a minimum of 4–8 apps on their smartphone, and 22 per cent have more than eight apps. A significant 24 per cent mentioned that they use a feature phone.
- In order to determine which medium advertisements are more likely to be noticed, the survey discovered that a majority of 32 per cent notice ads on TV, while 26 per cent notice them on online media. It was also discovered that only 17 per cent notice ads on social media platforms, 15 per cent in print, six per cent in outdoor and two per cent on radio.
- The survey further revealed that a majority of 61 per cent watch online video content like YouTube or OTT on their mobile/home TV.
- Digging deeper into the festive spirit, the survey shows that 20 per cent plan to shop more this festive season compared to last year. However, 32 per cent plan to shop the same as last year.
- According to the Axis My India Consumer Sentiment Index Survey, 48 per cent of consumers shop/purchase more products during the festive season as compared to the rest of the year.
- Exploring farmers' sentiments towards new tractors, the survey found out that 10 per cent are planning to purchase new tractors in the coming year, while three per cent and two per cent plan to do so within six months and three months, respectively. For reasons like smaller land size, renting, or affordability, a significant 86 per cent of farmers don’t own a tractor.
The survey was carried out via computer-aided telephonic interviews with a sample size of 10014 people across 32 states and UTs. 68 per cent belonged to rural India, while 32 per cent belonged to urban India. In terms of regional spread, 23 per cent belong to the northern parts while 24 per cent belong to the eastern parts of India. Moreover, 29 per cent and 23 per cent belonged to the western and southern parts of India, respectively. 59 per cent of the respondents were male, while 41 per cent were female. In terms of the two majority sample groups, 32 per cent reflect the age group of 36-year olds to 50-year olds, while 31 per cent reflect the age group of 26-year olds to 35-year olds.
Axis My India chairman and MD Pradeep Gupta said, "After compromising the past two festive seasons because of the pandemic and its related constraints, this year consumers are expected to shop more during festivities. One can already witness a slight increase in expenses across essential and discretionary products. Further improvement in mobility sentiments highlights the fact that more and more people are enjoying the stores' and malls' experiences of discovering, shopping, and gifting."
He further added, "This sentiment is also extended among the Indian farmers, wherein a significant percentage of 15 per cent intend to buy a brand new tractor in the next one year. This is thus a crucial time for the Indian advertising business as spending is expected to bring a lot more returns than usual. As more and more people (61 per cent) are watching online video content (YouTube/OTT) on their mobile/home TV and thereby noticing ads across TV, online and social media platforms, it is of utmost importance for the media industry to tap the right medium for addressing differentiated consumer needs."