Why Is Facebook Suddenly Bullish On Indian Smartphone Consumers?

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The social media giant Facebook Inc. (NASDAQ:FB) has already been crowned for constituting the largest marketplace in this world. In an all-inclusive state, this dominance on the marketplace can be drawn from the fact that Facebook can boast off of a monthly active user base of 2.2 billion, which constitutes almost a quarter of the world’s population. With intelligent communication and targeted outreach, Facebook can be explored better and in a gainful manner.

As per reports by The News Minute, Facebook India is set to prepare the smartphone industry, eventually, ally with other sectors for eliminating the massive revenue loss owing to consumer drop-off from their purchase journey. Facebook India has been keen on surveying recent trends in market “friction” and has compiled real-time data from primary surveys. This survey depicts the trend slope of Indian consumers, especially Millennial, who shop through smartphones but cancel orders midway of their purchase journey. With about 337 million smartphone users, India triumphs at being the second largest smartphone market globally.

A joint report by The Internet and Mobile Association of India (IAMAI) and Kantar IMRB says that the number of Internet users in India will reach 500 million in the month of June, while user base of Mobile phones shoots the crest of 1.17 billion as per reports by Telecom Regulatory Authority of India.


Today, Facebook has 217 million users in India which are considered to be a fairly huge untapped market. In addition to that, seven in 10 smartphone purchases are estimated to be mobile-influenced and hence, this doesn’t escape hawk-eyed advertisers.

We now have reliable data how people are buying on smartphones. We can make their path to purchase smooth, make those quicker reduce friction, increase sales and cut costs for businesses – Sandeep Bhushan, Director, Facebook India and South Asia

According to a joint Facebook-KPMG report, the key-note findings are:

  • Currently, mobile influences 58% of smartphone purchase decisions, amounting to $8.5 billion worth of sales.
  • Furthermore, this rate is estimated to grow 1.8 times to reach 73% and influence $15.6 billion worth of sales by 2022.
  • Facebook influences 33% of purchase decisions amounting to $4.8 billion worth of sales and is expected to grow double to reach 44% and influence $9.5 billion worth of sales by 2022.


Sandeep Bhushan went ahead to add that they understand that consumers are different; men, women, young, old, affluent and non-affluent, and have different purchasing patterns. Consumers below 25 years are “tech-savvy” while people ageing towards being senior netizens are just curious about their favourite brand and specific features. The tech-savvy netizens, however, will require technical nitty-gritty of the product. These distinctions are simplified for efficient purchase.

Facebook India To Help Smartphone Brands Connect Better With Consumers

With a spur in Internet penetration in India, Facebook India is set to eliminate the massive revenue loss owing to “friction” by helping marketers and advertisers to understand why consumers abandon purchase journeys. For the same, Facebook has announced a “Zero Friction Future” program. This was a result of various industry reports compiled by global research firm, KPMG and insights survey conducted by Nielsen.

With the launch of ‘Zero Friction Future’, Facebook India wants to help businesses adopt relevant mobile marketing strategies to offer seamless purchase experiences. This will be an aim to help marketers and advertisers win consumers and increase sales.


Facebook India Ad Unaffected By Cambridge Analytica Incident: India Director

As per Sandeep Bhushan, The impact of Cambridge Analytica on Indian user base has been quite low-pitched. Pretty vocal about their plans, he added that there are ongoing changes made to ensure better privacy and content engagement as well. The Cambridge Analytica incident has led to no major loss in the advertisement, referring to about 5.62 lakh users affected by Facebook data leaks. Advertisers continue to see tremendous value in the market and for a fact, know that there is no major consumer difference on the platform.

According to the Facebook India’s Director, there are significant changes made in the area of apps and it expects a 30% growth on advertising over digital platforms in general which psychs up the inclusion of Facebook.

A Clear Vision

To take the vision closer to reality, Facebook’s program of ‘Zero Friction Future’ ensures that the advertisers reach the target-audience which includes millions of small business dependent on Facebook, directly or indirectly, to reach the right people.


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