In the rapidly evolving fashion industry, transformative technology has become key to engaging consumers and driving purchases. With the help of AI-powered data, businesses can now precisely target shoppers in India’s Tier II and III cities and thus maximise their market reach and impact. Meta has been a major player and has had a substantial impact in this arena. Insights into Meta platforms revealed a global monthly active user base of 3.8 billion and an astounding 2 billion individuals resharing reels daily.
Speaking at the India Fashion Forum 2024 in Bengaluru on February 21, 2024, Meghna Apparao, Director of E-Commerce & Omnichannel Retail, Meta India, highlighted Meta platforms’ role as a powerful touchpoint for fashion businesses to connect with consumers and drive spontaneous purchases.
India’s Digital Decade
From the Bronze and Copper ages, humankind has now reached the Digital Age. In Apparao’s opinion, this transition is significantly impacting the GDP and economic growth, with India projected to become the third largest economy of the world by 2030. “There is a huge amount of spending power that we are seeing across. And within that, we are also seeing the digital economy transforming in all possible ways,” she stated.
Meghna discussed upcoming trends and how businesses can integrate into this age of digital transformation. Notably, this transformation is not limited to big cities. “About 75% of new online shoppers last year came from tier two and three cities,” she stated. According to her, this shift is driven by increasing disposable incomes, with the economic structure evolving from a pyramid to a diamond shape, indicating a growing and affluent middle segment.
Meta has 3.8 billion monthly active users worldwide, with India being a big market. This engagement highlights how deeply integrated digital platforms are in consumers’ lives for entertainment, information, and more. Meghna encourages businesses to explore these mediums to understand consumer behaviour and leverage this engagement to build businesses. The factors that make digital platforms like Meta a powerful tool for businesses, according to her, include:
- Popular Across Generations: The older generation got their Facebook accounts in their 20s while the younger generations have grown up with the digital world. “They do not know a world where Facebook did not exist. You (businesses) have such a massive chunk of what we call digital native consumers, shoppers, viewers, and for them, it is just a part of their lives,” she stated.
- Vernacular Content: Another significant trend is the rise of vernacular content, with massive growth in consumption outside of major cities, where English is less prevalent. Meghna presented data from 2021 to 2026, showing a projection of 200-250 million online product transactors, illustrating the expanding digital ecosystem reflecting the immense power of vernacular content in reaching the areas beyond the metros.
- Ubiquitous Platforms: Meghna pointed out that nearly all Internet users in India are likely using Meta platforms, making these platforms both ubiquitous and highly engaging. Meta’s strategy is to help businesses effectively use these platforms.
- Highly-Engaging Content: She emphasised the power of video content, particularly short-form videos like Instagram Reels, which have transcended boundaries and become hugely popular. About 2 billion reels are reshared daily globally, showing high engagement.
How Businesses Can Adapt
“Almost 62% of urban users discover products online before they make a purchase,” Meghna noted. According to her, these platforms provide businesses with a powerful touchpoint to engage with consumers and showcase their products. In the past, people went and found products in the marketplace, but now the products find people in this digital age.
“You may not be on a quest to find a product but the product finds you on its own. This is a very interesting stat on spontaneous versus planned purchases – the number of spontaneous purchases are almost double those of planned purchases. We call this discovery commerce – where the products find people,” she explained. “One of the researches that we did show us that 74% of this discovery is happening on different Meta platforms. While some other stats revealed that about 84% of the shoppers surveyed first discovered a product online and got inspired before purchasing it offline.”
She also spoke about Meta’s role in shaping this shopping transformation in consumers as well as the concept of Webrooming, and how it has witnessed a 2x increase. She revealed that customers who have already seen the products online have a 34% higher change of spending offline. The amount they purchase also tends to be higher hence, the retention is also higher.
“Businesses can maintain ongoing engagement with consumers through various Meta platforms, offering an omnichannel experience and measurable outcomes. Unlike singular print or TV ads, these platforms allow interactions through stories, AR and VR filters, influencers, creators, and reels,” she said.
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The Power of AI “AI has become a buzzword in the past 12-18 months. But for those of us at Meta, it has been the genesis of our organisation right from the start,” Meghna explained.
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Leveraging Transformative Technologies
Meghna explained that the magic of AI shines through when using AI-powered chatbots to drive the entire engine. She highlighted opportunities for omnichannel marketers and advised businesses to consider these five points when marketing online:
- Use platforms to build brands and create effective communication to tell your stories.
- Develop an omnichannel strategy that integrates online viewing (webrooming) and offline buying.
- Adopt ‘digi local’ strategies to target specific stores in particular areas.
- Personalise engagement through effective communication and stories.
- Measure, test, learn, and experiment with digital efforts to optimise marketing strategies.
Connected Experiences
Meghna also discussed the concept of connected brands and discovery commerce, using Sephora as an example. During the pandemic, when retail outlets were shut and businesses had to resort to selling their products online, Sephora innovatively used different platforms to launch a fragrance. They employed visual stimuli to simulate the fragrance experience and used an AR filter to enhance this effect. This creative use of AR provided the customers with a sensory experience without actually smelling the product.
“India is one of the largest creator economies in the world,” she said. A huge amount of shopping discovery and influence is happening through these creators now. She emphasised the importance of influencers and creators in marketing, highlighting India’s large creator economy. Creators bring authenticity and trust, making them valuable for brand messaging.
She also spoke about integrating offline and online marketing, suggesting using the same visuals from print ads in digital formats to achieve a multiplier effect, enhancing brand recall throughout the day.
She highlighted the potential of messaging platforms like WhatsApp in the marketing funnel, from discovery to post-purchase encouraging businesses to exploring how messaging can be used to achieve their specific outcomes.
As an example, she presented a two-minute video showcasing Coca-Cola’s innovative use of WhatsApp during Christmas in Brazil. The campaign challenged users to draw the iconic Coke bottle using WhatsApp audios. AI analysed the waveforms to identify shapes, sounds, and accents. The two-week promotion resulted in 4 million messages which recorded over 12 million seconds of audio, 100,000 new WhatsApp users, 400,000 Christmas audios, and over 800 gifts delivered. This campaign, she said, demonstrates the limitless possibilities of creative use of platforms, inspiring imagination and innovation.
Meghna concluded her session by encouraging experimentation and measurement, emphasising the limitless possibilities of these platforms.
