Young shoppers enter the Zudio store. The chain has expanded to more than 800 stores in under a decade. Photographer: Elke Scholiers/Bloomberg
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Moneycontrol30-12-2025, 04:40

India's Next Billion: Fast Fashion, Delivery Apps Reshape Consumption in Smaller Cities

  • Companies like Zudio, Blinkit, and streaming services are aggressively targeting India's "next billion" consumers in Tier 2/3 cities, moving beyond affluent metros.
  • This shift is fueled by rising incomes, cheap smartphones, improved infrastructure, and a growing aspiration for urban conveniences and brands in smaller towns.
  • Brands are adapting products, pricing, logistics, and content, including "faux-premiumization" and regional language offerings, to suit price-sensitive local markets.
  • Quick commerce thrives in smaller cities due to lower operational costs for dark stores and less pressure for ultra-fast delivery times.
  • Global brands must localize offerings, as seen with Harley-Davidson's X440, to succeed in India's diverse and unique consumer landscape.

Why It Matters: India's consumption growth is now driven by aspirational consumers in smaller cities, forcing brands to localize and adapt.

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