As 2024 nears its end, many of you may be planning year-end parties to ring out the old and ring in the new. Or you may not have begun planning yet, because you like doing these things closer to the hour. It does not matter really, because you can now get virtually everything you need for a party in 10 minutes flat.

Quick commerce

Indeed, 10-minute delivery is the first big trend of 2024 that I would like to call out. This is the year when Blinkit, Zepto, Swiggy Instamart and Big Basket Now became household names in India. They were collectively labelled ‘quick commerce’ (QC), and their progress has been remarkable. A recent study indicates a clear and dramatic shift towards these platforms, with 46 per cent of all urban consumers surveyed reporting they have reduced spending at traditional kirana stores and begun experimenting with QC.

And it’s not just groceries. My editor (who generally does not act on impulse) tells me that, just last month, she ordered a large air purifier through a QC platform — because the price there was on par with other outlets, and she needed one as quickly as possible. And she could breathe easy, because it did arrive in exactly 10 minutes. There is a flywheel at work here — the easy availability and affordability of QC is making us more unplanned in our purchase habits, and this shift in behaviour will lead us towards even more 10-minute purchases.

Cautious consumption

Even as urban Indian consumers enjoy faster deliveries at home, they have also begun slowing down on their discretionary purchases — from soaps to biscuits to cars — particularly during the second half of 2024. Middle-class consumers are said to be spending less because of falling real wages and subdued income growth, as well as the pinch of inflation. 

Inflation, in turn, has been driven primarily by food prices (food comprises around half the consumer price basket in India).

In contrast, rural consumer demand has remained relatively robust. Also, affluent households across the country continue to spend on categories as diverse as durable goods, healthcare, out-of-home food and travel. Popular restaurants in my home town, Bengaluru, continue to be packed, and some consumer brands continue to report robust double-digit growth.

In this scenario, smart and thoughtful marketing needs to trigger consumer demand in the right segments. India is a large market, with immense opportunities for growth. Marketers have to leverage this to create demand, rather than whining about urban slowdown.

Premiumisation

One such area that marketers can focus on is the continued rise in Indian consumers’ aspirations — 2024 saw the continuation of this secular trend towards premiumisation, notwithstanding the urban slowdown. Just to be clear, premiumisation does not mean that millions of consumers are moving towards luxury products. On the other hand, they are seeking aspirational products and services in every price segment.

Whether it is garments or electronics or vehicles, Indians are buying products that are unique and expressive, and services that make them feel special. Catering to this slice of consumer demand may require marketers to focus on areas such as desirable product features, refined packaging, beautiful shopping experience, and the irresistible blend of aspiration and value.

Ubiquitous AI

The year 2024 is when artificial intelligence (AI) became the new normal for marketers for a range of use-cases — generating custom content at scale, automation of direct marketing, choice of media, and analysis of huge amounts of consumer and market data.

In particular, AI has begun revolutionising personalisation, by recognising patterns missed by human eye. Generative AI has also enabled marketers to test such content on a real-time basis, to give consumers the most appealing recommendations and offers.

On that note, I would like to wish all readers a very happy new year, made even happier by 10-minute deliveries we now have access to.

(Harish Bhat is an avid marketer and bestselling author. He was previously the Brand Custodian at Tata Sons)