Indian consumers show a strong preference for human customer service, with nearly 78% favouring it over automated options for online shopping, according to the latest EY report. Additionally, the EY Future Consumer Index (FCI) reveals that 84% of consumers buy products purely based on influencer recommendations or promotions. The survey is based on feedback from 1,000 Indian participants in the survey.

While 61% of shoppers find AI-driven product recommendations valuable, they remain concerned about data breaches and prefer sharing personal information with a human rather than through automated systems.

The latest EY Future Consumer Index (FCI) shows that 62% of Indian consumers have bought products based on AI recommendations, stark contrast to the global average of just 30%. Indian consumers are deeply concerned about data breaches during online shopping, with 77% expressing worry, and 73% concerned about exposure of their private information.

Angshuman Bhattacharya, partner and national leader-Consumer Product and Retail Sector, EY Parthenon said, “To connect with today’s consumers, retailers must understand their evolving needs. As consumers become more discerning in their choices and empowered to demand fair value for their money, retailers need to step up to be able to satisfy these demands. While Indian consumers are putting a lot of faith in artificial intelligence and other technologies, the human touch through authentic, trustworthy connections and engagement is becoming more important than ever before."

Bhattacharya emphasises that while data is crucial for consumer products companies and brands, retailers must ensure transparency in their data practices and make it easy for consumers to opt out if they wish to keep their data private.

In stark contrast, 81% of Indian consumers follow social media influencers, bloggers, or vloggers, while only 45% of global respondents do. Additionally, 60% of Indian consumers trust influencer recommendations, compared to just 27% worldwide.

75% of consumers prefer shopping online and only visit stores that offer exceptional experience, compared to just 41% of global consumers feel the same way.

Despite the convenience of online shopping, Indian consumers face several challenges. The most common problems are receiving damaged goods (21%), inadequate customer support (20%), and difficulties with processing refunds (19%).

"To truly embrace consumer centricity, consumer products companies must forge authentic relationships with the influencer community, selecting individuals aligned with brand values and audience aspirations. Establishing an influencer network that maximises return on investment demands a delicate balance between trust and oversight. Choosing the right influencers is critical to protect the brand's image, and it is equally important to keep a close watch on how these collaborations perform,” Bhattacharya adds.

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