Comprehension Passage
Nothing sways an Indian buyer’s choice more than a word of reassurance from the people he knows. Even for the purchases like cars, mobile phones and home loans, majority of the consumers in India rely on the references from their friends and relatives while making their decisions. The story is different in developed economies. Take the case of automobiles. In markets like the US, Canada and Japan, more people are influenced by conventional advertising by automobile companies, in developing markets like India, Malaysia and Thailand it’s the neighbour or the colleague who tips the scales one way or the other. “In case of luxury goods, the psyche of Indians has always been different. Buying a car is a family decision, so it is only natural that all the members of the family will talk to all the other users of a similar products, who they know”, General Motors India director P Balendran said. When the whole world is going crazy with Internet and mobile marketing, it is interesting that for Indians it’s still conventional advertising and word of mouth campaigns that sways their choices. Unlike in the West, Indians come from a very closely-knit society where people get influenced by their peers, relatives and local celebrities. People are more than willing to accept a brand if it’s endorsed by their favourite superstar or is recommended by their close associates.
What makes marketing strategies in India different from the West?
1
Indians prefer online marketing over traditional advertising
2
Indians are mainly influenced by celebrities and close associates
3
Indians make independent purchase decisions
4
Indians avoid luxury goods