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New Survey Reveals 90 Percent of Gen Z Students in India Are More Likely to Purchase from Brands That Give Exclusive Offers
CIO Review
PORTLAND, Ore--SheerID, the global leader in identity verification for commerce, today announced the publication of its 2024 India Gen Z Report. This survey, fielded by Centiment on behalf of SheerID, looked at Gen Z purchasing behaviors, what they want from brands and how brands can provide it. It revealed that Indian Gen Z students are feeling optimistic about the economy, and brands can effectively tap into that optimism by sharing exclusive offers just for them. Nine out of 10 Gen Z students surveyed said they would be more likely to purchase from a brand that gave them an exclusive offer and a whopping 99 percent would share that offer with others who are eligible.
Fast-growing economy in India creates new retail opportunities
Ninety-nine percent of Indian college students today are Gen Z, and the number of college students in India is estimated to nearly double by 2035. To learn how this influential group makes purchasing decisions and better understand how to effectively reach them, SheerID commissioned a survey by Centiment from June to July 2024 that yielded actionable data relevant to any brand seeking to reach the lucrative and fast-growing Gen Z market in India.
Fueled by their country’s astonishing seven percent estimated annual GDP growth rate, 57 percent of Gen Z students in India said they feel optimistic about the economy. While they’re living on limited student budgets today, the brand relationships they form today will hold the key to tapping into this group’s significant future spending power.
Capture Gen Z’s attention with exclusive offers
The survey showed one of the best ways brands can leverage both Gen Z’s optimism and budget-consciousness is by offering a student discount. While nearly half of Gen Z students said a general discount from a brand would motivate them to buy, a special offer, just for students, stands out even more. A whopping 93 percent of Gen Z students said they would be more likely to purchase from a brand that gave them an exclusive student offer, and 92 percent said they check to see if a brand offers them an exclusive discount before purchasing from it.
Exclusive offers for students promote viral sharing
Students in India are active on social media, and 74 percent of Gen Z college students surveyed said they find out about new brands through social media. In addition, 37 percent learn about a new brand through a recommendation from a friend or family member.
Tapping into that brand enthusiasm pays off. Ninety-nine percent of Gen Z students in the survey said they would share an exclusive offer with others who were eligible for it. That is a powerful way to rise above the social media noise, inspire viral sharing and build engagement with this influential community. And for brands that are seeking lower cost customer acquisition strategies, this data suggests there is a big opportunity for brands to capitalize on this opportunity.
Build a foundation of loyalty based on emotional connection
The engagement a brand fosters today with Gen Z students lays the groundwork for incredible opportunities India’s Gen Z will provide in the coming decade. Sixty-four percent of students say they feel more emotionally connected to a brand that gives them an exclusive offer, 9 in 10 are more likely to buy from the brand and nearly 8 in 10 would be more likely to join the brand’s loyalty program to redeem it.
In a country where 40 percent of Gen Z college students said they would switch their loyalty from one brand to another if they were given an exclusive student discount, brands simply can’t afford not to give exclusive discounts.
Grab more attention with freebies
While Gen Z loves exclusive discounts on price (more than 37 percent said they like getting both an occasional 20 percent discount and 10 percent off every purchase), the survey showed that even more of Gen Z are attracted by freebies. When asked what kind of exclusive offer would be appealing, 57 percent said free shipping, 56 percent said a free gift and 39 percent said buy one get one (BOGO).
The verification experience matters for both Gen Z and brands
Brands need verification to ensure a Gen Z student is enrolled in college to minimize fraudulent behavior. Students are attracted to the exclusivity of an offer, but they also have concerns about data privacy and want a frictionless digital experience. Sixty-six percent of Gen Z students in the survey said that being verified instantly and not having their data shared with other brands would have a positive impact on their decision to redeem an offer. Nearly half said a verification process that takes longer than five minutes creates a negative impact on their purchase decision.
Closed affiliate verification providers require consumers to leave the brand’s website to create a separate account, adding friction that can drive Gen Z away from completing a purchase. However an open verification platform – one that verifies eligibility as a part of the natural flow of the purchase process – addresses all of these concerns, increasing conversions while ensuring a positive, trustworthy, in-brand experience.
“Exclusive offers are not just a way to capture Gen Z's attention—they are the key to building lasting brand loyalty,” said SheerID President and Co-Founder David Shear. “We're thrilled to tap into the India market and help brands connect with the next generation of consumers in a way that drives engagement and growth.”
Shear will be talking in-depth about these findings exclusively at India's premier ecommerce event, ETRetail E-Commerce & Digital Natives Summit 2024 in Bengaluru on September 4th and 5th.
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