India has shown double-digit growth in online commerce over the past decade. From US$ 46.2 billion by 2020, India's e-commerce market is expected to grow to US$ 111.40 billion by 2025. A significant portion of the impressive growth rates can be attributed to an increase in smartphone use, grocery and clothing purchases made through e-commerce platforms, and deep discount pricing strategies.
Both shoppers from metro cities and non-metro regions are expected to make significant contributions to incremental growth. Our study on coupon statistics in India shows a Metro online shopper spends an average of $49,000 annually, while a Non-Metro online shopper will spend around $37,500. The study also found that coupon usage is on the rise across the country, which has contributed to the rise in e-commerce sales.
Based on Shopper.com's own data, shoppers from metro cities make 36 online purchases on average per year, while shoppers from non-metro regions make 24 purchases. The average shopper has, regardless of whether they are aware of it or not, two or three chances each month to find a valid coupon code for online shopping and make a saving at checkout. This means for Metro shoppers who can find a 10% discount for every online purchase can save up to ₹5000 per year, while non-metro online shoppers can save over ₹3750.
In an effort to better understand Indian shoppers' relationship with online discounts, Shopper.com conducted a representative survey of Indian online shoppers from 18 to 64 years of age to explore coupon culture and the general coupon market in India.FAQS: India's coupon industry: how big is it? || Every year, how many coupons are redeemed in India? || In India, what demographic uses coupons the most?
In recent years, online shopping has rapidly grown in popularity across the country. In 2020, Indian consumers spent more than $90 billion online, an increase of almost 172% from 2018. This is a major boom, regardless of how you look at it, and indicates that the coupon industry in India is constantly improving and evolving.
A significant rise in coupon redemption in India could well be attributed to factors like a rise in online shopping, smartphone penetration, and the availability of convenient shipping options (same-day delivery is now more common than economy) at affordable rates, as well as online reviews. In India, the coupon industry is also experiencing these changes, with demand for digital coupons reaching record levels during festivals like Diwali and leading sales events like Flipkart's Big Billion Days and Amazon's Prime Day.
In addition, our study of the coupon market in India indicates that nearly half of consumers make online purchases at least once per week, with an almost identical proportion of men and women making purchases online. Women, however, are 21% more likely than men to make at least one online purchase per week using a smartphone or tablet.
Women tend to spend more time on their phones when compared to men (particularly among younger people) and this could probably be a deciding factor for this statistic. Women also tend to make purchases more often than men, especially in product categories that lend themselves to frequent, smaller shops.
Online shopping has resulted in greater competition between retailers for consumers' attention and money than ever before. Moreover, they continually look for innovative ways to entice consumers to choose their stores. As a result, more and more retailers are now offering online couponing discounts, which has led to an increase in digital coupon redemption rates.
It should come as no surprise that as coupon redemptions increase, and as more retailers begin to offer digital coupons, there will also be consumers that are looking forward to bargains. According to our study of coupon trends in the country, 80% of Metro shoppers and 68% of Non-Metro shoppers have used an online coupon at least once.
However, there's still a big difference between a discount that comes looking for you on a store's checkout page (i.e., one that's automatically applied to every customer) and an online shopper who opens a new tab and searches for discount codes. When discounts are visible and accessible easily, online shoppers tend to use them more.
According to our coupon statistics study, 3 in 10 shoppers search for coupon codes before they complete an online purchase. The other half, however, said they went on the hunt for at least half of their purchases. Nearly a fourth (29%) said they look for a chance to save almost every time they add an item to their cart.
In other words, if shoppers from both metro and non-metro areas are presented with more discount coupons upfront, they are more likely to use them than if they search for coupons and discounts online. According to both our study and coupon trends, non-metro shoppers are less likely than metro shoppers to always search for discount codes.
Taking a closer look at the data we collected from our online coupon trends study, we noticed another interesting result. Among metro and non-metro women, discount codes are found at similar rates (respectively, 31% and 28% always search for a code.) However, there is a larger gap between men when analyzing coupon usage and trends in India. Among men from metro areas, 35% always look for coupons compared to 22% of their Non-Metro counterparts.
In the Indian eCommerce market, you will see that 1 in 7 shoppers falls into the category of a "super shopper." They also shop online at least once per week and search for discount codes almost every time they make a purchase. Approximately 21% of Metro shoppers and 15% of Non-Metro shoppers can be considered super shoppers. They account for 1 in 2 and 1 in 4 of all online purchases in India.
According to our study on the coupon market in India, super shoppers are the ones who most frequently search for online coupons (32% in metro areas and 23% in non-metro areas). More than two-thirds of all successfully applied online discounts also come from these savvy super shoppers.
There are super shoppers (those who search for valid coupons every time they shop online), but there are also others who often pass up the opportunity to save. These are all shoppers who have difficulty finding coupon codes and discounts.
According to our study, 7% of Metro shoppers would use codes to earn a discount. Nevertheless, these shoppers feel it is difficult to find discount coupons or didn't know that they could find a coupon by searching online.
It is estimated that about 5% of non-metro regions are not taking advantage of discounts. Furthermore, they cite difficulties in searching and finding coupons as a main reason not to use online couponing.
Coupon hunting is something shoppers, no matter where they live, detest with a common rage. As of now, we've seen that around 60% of shoppers use discount codes for at least half of their online purchases. Almost every time, a third of others open a new tab and search for discount codes. However, it does not necessarily mean they are happy with the amount of work it takes to find these discount codes.
Almost all of the shoppers mentioned above would consider alternative options instead of searching for discount coupons online.
Compared to coupons industry statistics, we also found that an average Metro shopper searches for coupons online every 6 hours, compared to every 4.5 hours for average Non-Metro shoppers. Furthermore, it is also interesting to know that, on average, both spend around the same amount of time searching for online couponing methods (30 minutes and 22 minutes, respectively), which is about seven minutes per week.
However, when you look at it, based on search success rates reported by the shoppers, half of the time shoppers spend looking for online savings is wasted, as they’re unable to find a code that saves them money at checkout. When you have products on your cart and ready to checkout, the last thing you want to be doing is wasting time, looking for discount coupons.
However, this does not necessarily mean that all shoppers struggle equally to find valid discounts or coupons. A lot of people, however, are willing to go the extra mile to find codes that work. A surprising finding of our study is that men are about two times more likely than women to say they "rarely or never fail to find a working coupon".
Interestingly, super shoppers are over three times more likely than regular shoppers to say they seldom or never fail to find valid offers. This is probably due to the fact that they're better at searching due to their experience tracking down codes and coupons.
In the context of sales, friction is one of the major factors that slow the customer's journey towards making a successful purchase. Many factors contribute to increasing friction points in e-commerce. A website's loading speed, a difficult-to-navigate product page, negative reviews, or unattractive delivery options can all rack up friction points, causing consumers to avoid the site.
However, friction points are not just restricted to these issues. Several smaller pain points also make many shoppers decide to skip them when they have the option. Coupon trends in India indicate that actively searching for discount codes is among them. Would you really want to spend a lot of time browsing multiple sites to find a discount coupon? Does it make sense to fight pop-ups and adverts when a tool can do the heavy lifting for you?
Now that's exactly where having an extension like the Shopper.com extension, comes in handy. The extension, which uses coupons handpicked by shoppers to collect more working codes than anywhere else online, helps you get to discount codes that you always wanted at ease, and without unnecessary hassles.
There are also plenty of apps available on the internet that can help you organize some of these codes for use online, or in-store. In a bid to how each of these works, we asked some of our survey participants why and how they use these tools?
The answers were quite interesting!
According to our analysis of coupon usage and trends in India, on average, 1 in 3 Metro shoppers use a browser extension to locate and apply discounts coupons when shopping online.Saving time was found to be one of the main benefits of using coupon tools rather than manually searching for codes. Additionally, users reported a hassle-free shopping experience with guaranteed savings, since they were generated by other users.
According to a study on coupon statistics India, only 1 in 10 users said they enjoy using tools because they can't find coupons by hand. This further proves that convenience is always what users prioritize most. Retailers who provide a frictionless shopping experience and convenience are sure to reap the rewards immediately.
In our study of the online coupon industry in India, the results indicated a potential growth in the use of coupon extensions and apps. Shoppers from Metro and Non-Metro regions were asked if they currently use any tools or if they would be interested in trying out some of the tools in the next 12 months.
13% of Non-Metro shoppers, who have used and experienced the main benefits of coupon tools, agreed that they would be interested in trying an app or extension in the next 12 months.
For shoppers from Metro regions, the statistics were even better, as up to 25% were interested in trying the tools and apps in the new year.
In the next year, if every Metro shopper who said they would like to try a digital couponing tool did so and was able to find a 10% discount on half of their online purchases, they would save approximately ₹4900 each, and Non-Metro shopper would save approximately ₹3750 each.
If you know how to find the right codes at the right time, you can easily save a on all qualifying purchases. The fact that there are many digital discounts that are not personalized or limited to one time use is often overlooked by shoppers.
Our research on the online coupon industry in India suggests that hunting for coupons is very much a team sport. Approximately 47% of women and 33% of men have helped a friend or family member find a discount code online.
The coupon statistics also show that a similar percentage of men and women have shared a code with someone they know.This is a clear indication that coupons, if they are in the right hands, can be highly effective marketing tool.
The importance of online discount codes can be easily overlooked if you don't understand how they work. All online shoppers look forward to getting the best prices for the products they purchase. A sense of great joy can always be felt when one knows one saved a lot of money on a product that someone they know purchased at a higher rate.
However, there is the possibility that you could end up paying more than others for the same product, just because you didn't search for a discount code that worked. As a shopper, how does it feel to know that you could have saved money using a valid discount code? Customers who realize this late blame the retailer for failing to notify them, or do they blame their own ignorance?
The majority of shoppers, whether they are from metro or non-metro regions, feel frustrated when they miss out on making a modest saving through an online purchase. Perhaps this is due to the fact that many discount codes are often available right before your eyes.
A majority of shoppers are also aware that discount aggregation websites often offer great deals that guarantee epic savings almost every time. However, the difference between saving and paying full price ultimately depends on the decision to checkout without searching for offers, and they end up regretting this decision.
With the use of the right discount codes, extra savings can always be made. A shopper's approach to applying the coupons, according to our study of digital coupon statistics, can make a huge difference in how positive they feel afterward.
Take the example of browsing through an online store and seeing a banner offering a discount of up to 15% by using the code "15OFF" before checking out. Let's look at a scenario where the banner is absent, but the sale is still ongoing. To find the same discount, you will need to manually search their website or use browser extensions.
Which scenario would make you happier as a shopper? A scenario that enables you to find an unexpected bargain. It's crucial that you know about websites and browser extensions like Shopper that can help you get that special deal.
An increase in the number of digital coupons redeemed is also a key development of late. As a result, shoppers feel savvier and more satisfied when they find coupons themselves, without the retailer offering them.
Those who are searching for bargains either manually or by using tools to boost their search also enjoy the feeling of anticipation and the unknown. Rather than receiving deals directly, shoppers seem to feel more happy after finding a discount.
Pretty big! India is one of the fastest-growing e-commerce markets in the world, and a leading figure in the statistics of the Asia Pacific couponing industry.
The market value of the e-commerce industry in India is approximated at around 84 million US Dollars as of 2021. The overall value of distributed coupons in India is estimated at around 40.3 billion US Dollars and is expected to reach an impressive 124 billion USD by end of 2025.
The online couponing industry in India is estimated to be around 13.5% of the total e-commerce audience in the country. This roughly translates to more than 11 million coupon redemptions being completed every year as of 2021.
However, as the coupon usage & trends in India is consistently growing at a rate of CAGR 20.6%, the numbers have the potential to be much higher.
The coupon market in India is still in a developing stage, but its popularity is rapidly increasing and there have been a few studies to know how the demographics are reflected on coupon usage.
An interesting finding from the Indian coupons industry statistics suggests that 61.8% of coupon users are male, and the remaining 38.2% are female. Mumbai was the city with the highest number of coupon usage in the country.
Electronics, fashion, health, and beauty were also found to be three of the most popular categories for which Indian users searched for coupons.
Based on the results of our online study, it is evident that the coupon industry in India has a huge potential to evolve into a better one every year. Consumers are most likely to use coupons in categories such as electronics, clothing, health, and personal care, furniture, and home decor, dining, groceries, recharges, and cabs.
Our studies also found that 7 out of 10 adults have used an online discount code at least once, and nearly one third search for available discounts for almost every purchase they make. However, not every search ends up giving a successful result.
In addition, millions of shoppers are now using apps and digital couponing tools to help them in their discount hunting adventures. About 1 in 3 Metro shoppers admitted to using online coupon extensions on their browsers. Non-Metro shoppers, on the other hand, did not improve their numbers.
Additionally, most shoppers feel guilty that they didn't use a discount coupon and missed out on savings. However, a third of the participants reported feeling frustrated with the retailer for not pointing out the possibility of savings to them. These statistics strongly suggest that if Metro and Non-Metro shoppers had access to more discount coupons and information related to them, the turnaround time for coupon redemption in India would be significantly higher.
Shopper.com offers personalised storefronts to shopping influencers and creators. The storefront allows shopping influencers to sell their own merchandise, endorse products from different brands and also share exclusive coupons & deals with their audience.
Globally $500+ billion worth of coupons are issued each year, but only around $3.4 billion (less than 1%) of coupons are ever redeemed. For shoppers, the biggest challenge is finding the right coupons when they shop online. Shopper.com addresses this issue with the help of a growing community of savvy shopping influencers who share exclusive deals and curate coupons with the help of self-learning algorithms.
Shopper.com commissioned an independent survey of 500 Indian consumers aged 18 to 65 residing in metro and non-metro cities. Survey respondents were not told in advance that the survey was about coupons or coupon tools in order to avoid self-selection bias.
Responses were age-weighted using Indian 2020 population estimates in order to extrapolate the results to the national level.
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