80% online shoppers hail from tier 2 and smaller cities: Meesho Report

Mass consumers make up around 80% of the total online shopper population, according to the Meesho report titled "Meesho Smart Shopper Report". The e-commerce major report, which examines online shopping trends in H1 2024, reveals 80% of the company’s 15 crore annual transacting customers come from tier 2, 3, and 4 cities and beyond. Shoppers from tier 4+ cities are the most frequent repeat buyers, particularly in categories like women’s fashion, footwear, and baby care, the report adds.

Gen Z are the fastest-growing demographic in India, with one in three users under the age of 25. Uttar Pradesh and Bihar have emerged as leaders in e-commerce user growth. Overall, over 80% of online shoppers hail from tier 2 and smaller cities, with Ambur, Rourkela, Sangli, and Zirakpur, the report states.

The report finds that the use of vernacular languages and voice search has also surged, with increases of 162% and 40%, respectively.

In the Northeastern states, influencer content has driven significant e-commerce activity, accounting for 40% of all orders from regions like Arunachal Pradesh, Assam, Manipur, Meghalaya, Mizoram, Nagaland, Tripura, and Sikkim. 

Tier 2+ cities have outpaced tier 1 cities in purchasing electronic accessories, with products like Bluetooth headphones, power banks, and smart speakers being particularly popular. Locations such as Alwar, Bettiah, Pursurah, Rajahmundry, Sindkheda, and Sirsa have shown significant demand for these items.

The home and kitchen category account for 10% of customer spending, reflecting a 50% year-on-year growth, it states.

Inclination towards convenient traditional wear witnessed good sales in the fashion segment, with over 10 lakh saree shapers and 60,000 ready-to-wear sarees sold in six months. Additionally, the rise in content creation has driven demand for products like selfie sticks, ring lights, and microphones.