Tag: India retail

  • How AI Is Reshaping Festive Shopping in India: Smart Search, Virtual Try-Ons, and Personalized Picks

    How AI Is Reshaping Festive Shopping in India: Smart Search, Virtual Try-Ons, and Personalized Picks

    Artificial intelligence is increasingly becoming a staple in the festive shopping journey in India, as consumers turn to smart search, virtual try-ons, and recommendation tools to guide their purchase decisions. A recent study by InMobi Advertising reveals that 80% of festive shoppers are interested in having an AI shopping assistant, with specific features gaining varying levels of traction across generations.

    Smart Search Emerges as the Top AI Feature

    According to the study, smart search suggestions are the most popular AI feature, attracting interest from 89% of respondents. Virtual product try-ons and “complete-the-look” suggestions follow closely, each capturing 81% of interest. AI-based recommendations are preferred by 75% of shoppers, while 73% show interest in voice search or chat assistants.

    The findings are based on an on-device consumer study conducted between August 7 and 11, covering 1,110 consumers across Android and iOS devices, spanning Tier 1 to Tier 4 cities and various age groups. The survey indicates that shoppers are not just looking for help finding products but also in narrowing down their choices.

    Virtual Try-Ons Drive Engagement

    Virtual try-on tools are gaining significant attention. The report notes that 79% of consumers are interested in personalized smart TV advertising that includes virtual try-on features. A case in point is fashion brand The Bear House, which reported that its AI-powered virtual try-on experience reduced website bounce rates by 50%, boosted add-to-carts by 2.5 times, and increased overall conversions by fivefold.

    Millennials vs. Gen Z: Divergent Interests in AI Recommendations

    When it comes to AI-based recommendations, generational differences become apparent. 82% of Millennials expressed interest in AI recommendations, compared to 71% of Gen Z. However, both groups show strong enthusiasm for smart search, with 90% of Millennials and 88% of Gen Z indicating they would use such suggestions.

    Interestingly, traditional shopping triggers remain influential across both demographics. Limited-time offers sway 66% of Millennials and 66% of Gen Z, while short-video ads engage 66% and 65%, respectively.

    Festive Shopping Moves Across Screens

    AI is just one component of a broader shift in how Indians shop during the festive season. The study reveals that 73% of shoppers make their final purchases online, with 58% researching and buying online, and another 15% researching in stores before purchasing online. Online reviews play a crucial role, with 75% consulting them before buying, while 53% rely on search engines and 47% on social or influencer content.

    For brands, the shopping path is becoming increasingly complex. Consumers may discover a product on social media, compare it through search, use an AI tool to evaluate it, and finally purchase online. This festive season, AI is becoming an integral step in that journey, rather than a standalone technology experience.