Indian consumers are entering 2026 with strong confidence, as 60 per cent plan to increase their spending over the next six months, alongside rapid adoption of generative artificial intelligence (GenAI) for shopping, a report said on Monday.
According to a report by the Boston Consulting Group (BCG), 60 per cent of Indian households expect higher spending in the coming six months, driven primarily by purchases of automobiles and mobile devices.
India leads the world in the use of GenAI for shopping. The report said 62 per cent of Indian consumers have used GenAI tools while shopping, with 64 per cent relying on them for brand and product decisions.
More than 60 per cent of Indian consumers remain optimistic about the economy, while only about one-third express concerns about rising unemployment or an economic slowdown.
BCG noted that inflation remains a key driver of higher spending, with 69 per cent of respondents citing rising prices of both essential and non-essential goods.
Parul Bajaj, India Leader for Marketing, Sales and Pricing Practice at BCG, said brands must move beyond traditional search engine optimisation and focus on “answer engine optimisation” by offering structured, trustworthy and comparison-ready content.
As more consumers use GenAI for shopping than even for work, India is emerging as one of the most advanced global markets in how technology is shaping consumption, Bajaj added.
Kanika Sanghi, Partner and Director at BCG, said that while many global markets are witnessing a slowdown, Indian consumers continue to show confidence, with 60 per cent expecting to increase household spending in the next six months.
Only 17 per cent of Indian consumers believe that recent global conflicts or political events will slow India’s economic growth, compared with over 60 per cent of consumers in the UK, France and Germany.
The report also found that while nearly eight in 10 consumers consider climate change or sustainability when making purchases, only 9–15 per cent are willing to pay a premium for sustainable options. Despite 57 per cent of consumers saying they are open to trying new brands, 84 per cent ultimately stick with familiar choices, indicating strong brand inertia.
(With IANS inputs)
