Finance Trends and Consumer Market

Finance Trends and Consumer Market 

Author: Rushikesh Sanjay Dhumal  

                Roll No: 0225060 

Literature Review 

1. Investor Behavior 

Nano et al. 2024 examined how Indian investors select financial products in Mumbai region. Surveying 200 respondents aged 24-50, quality (returns), price (fees), brand reputation (banks), and trends (crypto/digital) as primary factors. Varying behaviors: cautious, loyal, exploratory. Media influences preferences. Banks should focus on high-return, low-fee products with marketing. 

2. Youth Finance 

InvestmentGuruIndia 2025 analyzed role of finance in youth identity. Finance enables expression, confidence via apps. Media, influencers shape choices. Excessive risk may lead to debt, pressure. Emphasize balanced investing. Indian youth (18-30) increasingly prioritize savings and investments over spending, influenced by new tax regimes and apps like Groww. A 2025 report notes 60% focus on emergency funds amid rising costs, using UPI for quick transfers. However, peer pressure and influencers push risky crypto, risking debt—similar to fashion’s self-expression pitfalls. Balanced financial education via apps boosts confidence without mismanagement. Studies urge fintechs to promote long-term goals. 

3. Fintech Trust 

Shivashankar style 2024: Fintech positioning in Bangalore. Modernity, security enhance trust. Quality, UX, status factors. Consistent strategies build loyalty. Fintech positioning builds trust through security, ease, and literacy, per Sharma & Munjal (2024). Surveys (n=250+) in Karnataka show informed users prefer apps over banks for modernity and value. Factors like data privacy and UX foster loyalty, mirroring apparel branding. Low trust in rural areas (due to scams) halves adoption; consistent security messaging increases usage by 40%. 

4. Credit Sensitivity 

Sinha 2023: Price sensitivity in loans. Low-income focus affordability, high prioritize terms. Apps for comparison. Retailers (banks) offer competitive rates. Lower-income groups eye affordability in loans/BNPL, while affluent prioritize terms and rewards (RBI 2024). Household debt hit 42.9% GDP, driven by consumption loans in Tier-2 cities. Online comparisons via apps shape decisions; cultural factors amplify. Like retail pricing, competitive rates retain 70% users, but over-borrowing risks stress—banks must educate. 

5. App UX 

Khan 2024: App design impacts decisions in Delhi. Visuals, navigation key. Recommend UX investments. App design (navigation, dashboards) drives 80% of banking engagement in India (2024 analyses). Top apps like PhonePe excel in intuitive layouts, biometrics, reducing drop-offs by 50%. Visual merchandising equivalent: personalized overviews boost transactions. Poor UX (e.g., cluttered menus) mirrors bad store layouts, hurting sales—invest in seamless flows. 

6. Influencer Endorsements 

Sarfare 2025: Influencers affect youth finance attitudes. Positive on adoption. Micro-influencers boost fintech adoption 2.7x among urban youth, per PwC 2025—62% trust locals over celebs. Campaigns on UPI/credit explain complex topics vernacularly, cutting acquisition costs 40%. Like clothing ads, visibility sways intent; gender match minor. Frequent exposure builds savvy against hype. 

7. Investment Features 

Premalatha 2024: Returns, risk, liquidity preferences. Equity top, fixed income next. Preferences lean to equity/mutual funds for growth, FDs/PPF for safety (ClearTax 2025). Surveys favor high returns, low risk, liquidity—like fabric choices. Blue-chip stocks top; women pick safer NPS. Awareness gaps persist; education on features (e.g., SIPs) aids decisions. 

8. Service Satisfaction 

Rathod 2024: Quality, support drive satisfaction in banks. Quality support and digital access drive 70% satisfaction in banks (2024 studies). Post-grads/unemployed rate SBI low on services; environment/UX key. Promotions secondary—like retail. Training staff, green banking ups loyalty by 30%.