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Three out of four phone purchases on Amazon are from buyers in the Tier 2 cities, small towns

The COVID-19 pandemic has spurred the need for better tech gadgets and e-commerce facilities in the last couple of years. Noor Patel Vice President, Amazon India, in a conversation with BGR India reveals that Amazon India has witnessed an increase in technology adoption and a structural shift in online shopping behavior. 

After the pandemic struck, people were cooped up in their homes for a long time, so much so that irrespective of the location, shopping online became the only option. Whether it was for your household staples, buying a music instrument that you were wanting to learn to play for ages or a smartphone that you were planning to buy for your mom for a really long time. 

Amazon India has witnessed a strong demand for smartphones from small towns and tier 2 cities like Chandigarh, Dehradun, and more. In a statement to BGR India, Patel said, “Today, 65% of customer orders and over 86% of new customers on Amazon.in are from tier 2 and below geographies. Customers across nearly 100% of India’s serviceable pin codes are shopping with us. ”

He further added, “In the smartphone category, we observed that 3 out of 4 smartphones that are sold on Amazon.in are being purchased by customers from Tier 2 cities and towns, keeping in mind better and faster processor, AMOLED display along with a bigger battery which directly reflects the demand in tier 2 cities.”

Although in-person school, work and socialisation resumed, the habit of online shopping got picked got up by a vast number of buyers, and it doesn’t look like it is going away anytime soon. As a result, buyers have found a way how they can choose the best gadgets for themselves.

The demand for 5G-ready smartphones with a fast processor increased in the recent past as they are “future-ready”. Amazon India’s Vice-president reveals that “this change is not only across large towns, but also coming across even Tier-1, Tier-2 and Tier-3 towns.”

Do smartphone preferences change depending on the location of a buyer? To this, Patel revealed that there is just one key difference: language support in phones. “There is a very minute difference when it comes to regional preferences in terms of technology. For example, language support by mobile phones, becomes a discriminating factor when it comes to people adopting a particular type of product in some of the regions of the country, but apart from that, we haven’t seen a discriminating factor in south of India to the north of India.”

Amazon India reveals that over the last year, it is observed that customers gravitate towards electronics that are ideal for multitasking and can manage work, entertainment, and day-to-day use-cases as well.

Talking about the future trends, Patel suggests that “customers will continue to choose smartphones that offer a better processor with larger RAM (supported by Virtual RAM or extended RAM solutions), 5G ready smartphones thus making them future-ready, display size and refresh rates will continue to be an ongoing battle, while larger battery size that compromise on design would become need of the hour. ”

Additionally, he revealed, “with corporates adopting hybrid workplace model, we expect a growth in monitors category and PC accessories such as mouse, keyboard, docking stations to improve office like productivity at home as a use-case. “

Wearable Market

In terms of wearables, Patel says, “We expect a lot of new launches in the smartwatch category in less than 2.5K price-point with smartwatches becoming more affordable like fitness bands.”

For the unversed, Amazon India is set to host the Great Indian Festival sale in India starting September 23. During the sale, the company will offer up to 40 percent off on smartphones and accessories. The Amazon India spokesperson states, “With selection from top brands, great deals and offers, customers can look forward to a wide selection of products across categories with over new product launches from top brands such Samsung, OnePlus, IQOO, HP, Boat and Noise amongst others.”

The post Three out of four phone purchases on Amazon are from buyers in the Tier 2 cities, small towns appeared first on BGR India.

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