Citing the data drawn from Indicus Analytics Market Skyline of India 2013, Suresh showed how nearly half of urban consumer wealth in India is distributed between the four tiers of cities that come after the top eight metros. As a result, brands are now taking them seriously in their expansion and growth plans.
However, socio-cultural and economic variations have kept the Tier 2 and other cities from becoming metropolitan cities. Yet, Suresh attributed this spread of affluence to growth in market infrastructure and logistics in the last 10 years. In fact, cities with 1 lakh to 10 lakh population show higher consumption pattern among various consumer products, except internet usage, as compared to metros, he asserted.
He concluded the presentation wondering if brands were underestimating the depth of the markets. With the rising affluence in 'middle India', there is a need for revised assessment and monitoring techniques, he observed.