Mobile growth shaping India's internet usage, says Google India report

As the number of mobile internet users crosses 200 million mark in India, Google reveals that mobile captured 60 per cent share of all shopping related queries and more than 50 per cent share of all travel related queries in 2015

BestMediaInfo Bureau | Delhi | February 26, 2016

A Google India report captures the incredible pace of internet growth that India is witnessing. The report captures how mobile is influencing and in many cases defining the Indian users' first experience with the internet. The report outlines key consumer trends, based on the enormity of the impact of smart phones across industries.

Specifying mobile as the growth engine for the internet industry, the report outlines how mass adoption of mobile phones is driving adoption of newer services, becoming the primary screen for consumption of media and defining the new user experiences. With more than 200 million mobile internet users in the country, mobile captured 60 per cent share of all shopping related queries and more than 50 per cent share of all travel related queries.

Even for YouTube, more than 60 per cent of views were now coming from mobile. In the classifieds space, online job listings saw revival with more than 41 per cent job related searches coming from mobile phones. With users adopting hyperlocal services, buying beauty products and furniture online, the report highlights the evolving behaviour of the Indian users on the internet, with growing confidence to shop online.

In 2015, 50 per cent of women who shop online purchased beauty products on the internet. Home furnishing saw 57 per cent year on year (y-o-y) growth in search queries on Google and hyperlocal services saw fast adoption in metros registering 32 per cent y-o-y growth in search queries.

“From planning holidays, to decorating homes, to buying groceries, watching their favourite videos online, mobile internet is beginning to influence, and in many cases define, an Indian user's first experience online - and the industry is taking notice,” said Rajan Anandan, Vice President and Managing Director, Google India. “It is exciting to see, for example, how search interest for cars is seeing a strong correlation to actual sales,” he added.

“The year 2015 saw whole new categories such as Hyperlocal, Standardized Accommodation getting established as mainstream, while others like digital payments and cab services found a strong foothold - all powered by the internet and mobile. Looking at these trends, it is clear that the Indian users are embracing the internet like never before,” Anandan went on to say.

With Tier Two cities driving the next wave of growth driven from smart phones, 2015 saw adoption of internet by older age groups seeking diverse variety of information and embracing new age platforms. Used car searches from non-metros grew rapidly, with three in four searches for used car searches coming from Tier Two cities. Real estate searches from Tier Two cities saw massive growth seeing 100 per cent y-o-y growth. In the pre-owned category, searches for used cars formed the largest share with seven in ten searches coming in for used cars.

With growing internet penetration, the industry also evolved its offerings to serve the needs of online users. Easy to adopt products introduced by banking and insurance companies saw immediate adoption with one in four users buying auto insurance online. More than 50 per cent of health insurance queries came from mobile phones.

Omni-channel and multi-platform experience in e-Commerce is fast becoming a reality, with online players launching their offline stores and offline retailers extending their presence on the internet. Telcos also introduced new convenient services aimed to increase customer satisfaction and engagement, with telecom service providers' apps seeing over 170 per cent y-o-y growth in search queries.

Consumer demand pulse as indicated by interest expressed online in form searches on Google by verticals for year 2015.

Wearables - 250% growth in searches y-o-y

4G devices - 200% growth in searches y-o-y

Car rentals - 60% growth in searches y-o-y

Cab services - 86% growth in searches y-o-y

Carpooling & ridesharing - 173% growth in searches y-o-y

Home Furnishing - 57% growth in searches y-o-y

Online Dating - 50% growth in searches y-o-y

Auto: 40% - Used vehicles query growth 200%

Real estate - 40% growth in real estate searches

Job related searches - 45% growth in blue collared job

How to queries for FMCG products - 100% growth in searches y-o-y

Online Shopping - 40% growth in searches y-o-y

Hyperlocal Grocery searches - 55% growth in searches y-o-y

Budget hotels - 42% growth in searches y-o-y

Online education - 30% growth in searches y-o-y

Click here to access the full report.

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