41% Indians believe economy will bounce back by January 2022 : Axis My India survey

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At least 41 per cent Indians believe that the economy will bounce back by January 2022, a monthly analysis of consumer perception by Axis My India, has found.

The findings released on November 1 revealed that at least 48 per cent of respondents are optimistic of shifting to electric vehicle as fuel prices continue to rise.

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The latest findings of the India Consumer Sentiment Index (CSI), a monthly analysis of consumer perception on a wide range of issues in October, by Axis My India, a leading consumer data intelligence company, also revealed that the overall household spending has increased for 63 percent of families which reflects a 7 per cent increase from the last month, among other things. This increase is highest in Northern India.

Triggering conversations around the Air India sale, 46 per cent respondents reflected their agreement to privatisation of loss making public sector companies, it said.

“The November net CSI score, calculated by percentage increase minus percentage decrease in sentiment, was recorded at +9, up from +7 last month and rising at a constant pace over the last three months, indicative of a positive shift in consumer consumption metrics,” the findings read.

The sentiment analysis delves into 5 relevant sub-indices – Overall household spending, spending on essential and non-essential items, spending on healthcare, media consumption habits and mobility trends.

Also, read: Indians' belief in country's economic future has diminished, says Raghuram Rajan

The survey were carried out via Computer Aided Telephonic interviews with a sample size of 10,430 people. At least 62 per cent belonged to rural India while 38 per cent were from urban India

“With the festivities at its peak, one can easily witness consumer’s excitement in terms of loosening their purse strings for varied expenses and experiences. While Diwali has triggered spending on products of personal indulgence (like 2-wheeler/4-wheelers or jewellery) and household items, the upcoming festivities and enthusiastic consumer sentiment will further set the momentum for the last half of this year,” said Pradeep Gupta, CMD, Axis My India.

In addition, one can also witness a transition in terms of preferences amongst consumers’ like opting for electric vehciles or cheering for privatisation of loss making companies, he said.

“Our survey also shows that a vast majority of India is still not investing in this age of cryptocurrencies, it would be interesting to see how financial players beyond traditional banks can capture and convert their interests for investments using varied instruments,” he said.