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- Creators have replaced celebrities as the most trusted influence, with 22% of consumers relying on creator recommendations, while celebrity influence has dropped sharply to just ~ 3%.
- Discovery is now video-first and research-led, as 37% of consumers depend on YouTube reviews, 32% discover products via social media, and 35% actively use e-commerce platforms as research engines.
- UPI has become the default payment layer in non-metro India, used by 67% of Tier 2 and Tier 3 consumers, reflecting disciplined, value-led spending rather than impulse buying.
National, 16 January 2026: India’s consumption-led growth is entering a decisive new phase, one that is no longer centred on its largest metropolitan markets. Tier 2 and Tier 3 cities, emerging urban clusters, and small towns are now driving incremental demand, entrepreneurship, and long-term economic momentum. Reflecting this structural shift, Rukam Capital, a venture capital firm backing early-stage consumer brands, unveils how non-metro consumers discover brands, build trust, and make purchasing decisions, in its latest research report- Beyond Metros: The Real Story of Bharat’s Next 500 Million.
The report comes at a time when India’s economic centre of gravity is clearly moving beyond metros, with 65% of India’s population residing in Tier 2, Tier 3, and rural regions. Supported by GST-led formalisation, improving affordability through rate rationalisation, and the rapid scale-up of digital public infrastructure from near-universal 3G/4G coverage to the deep integration of UPI, the report identifies Bharat as the primary engine of India’s next phase of consumption growth.
The consumer report, Beyond Metros: The Real Story of Bharat’s Next 500 Million, moves away from metro-centric assumptions to demonstrate that consumption in Bharat follows a distinct behavioural logic shaped by context, community influence, value discipline, and digital-first habits. The report shows that today’s Bharat consumer is not impulsive or easily swayed by advertising, but increasingly informed, research-driven, and trust-led, demanding proof, relevance, and reliability from brands.
Commenting on the launch of the report, Archana Jahagirdar, Founder and Managing Partner, Rukam Capital, said, “For a long time, Bharat has been spoken about through a metro lens, and that has limited how we understand its consumers. What we saw through this study is a far more confident and deliberate consumer, one who researches deeply, relies on community validation, and values consistency over hype. These consumers are not chasing aspiration; they are making informed choices that fit their lives. For founders and brands, the opportunity in Bharat lies in building trust early, designing for real use cases, and staying rooted in the local context. That is where sustainable, long-term growth will come from.”
Key Takeaways from the Consumer Report “Beyond Metros: The Real Story of Bharat’s Next 500 Million”
Digital Discovery Has Shifted from Advertising to Evidence
The report finds that discovery in Bharat is now decisively video-first and social-led. In Tier 3 markets, YouTube has evolved from a validation tool into a primary discovery channel, influencing decisions from the very start of the purchase journey. 37% of consumers rely on YouTube reviews, while 32% discover new products via social media. Importantly, 35% of consumers across Tier 2 and Tier 3 actively use e-commerce platforms as research engines, signalling that these platforms now play a critical role well before the point of purchase.
This shift has fundamentally altered influence dynamics. 23% of consumers trust creator recommendations. In comparison, celebrity influence has dropped to just ~3%, overturning long-held beliefs around aspiration-led advertising in non-metro India and reinforcing the importance of relatability, demonstration, and lived experience.
Trust Has Become the Core Currency of Consumption
Trust emerges as the most decisive driver shaping consumer choice in Bharat. The report shows that 22% of Tier 2 and Tier 3 consumers are influenced by word-of-mouth, underscoring the role of community validation. Far from being impulse-driven, 43% of Tier 3 consumers actively verify brands via official websites before purchasing, while 32% factor customer service interactions into their decision-making, positioning service and transparency as critical pre-purchase trust signals.
Rising awareness around safety, ingredients, and sustainability further reflects a consumer who is more conscious than commonly assumed. 23% of consumers are influenced by eco-friendly and sustainability claims, particularly when these are reinforced through peer reassurance rather than marketing-led narratives.
Commerce Reflects Value, Timing, and Discipline
Bharat’s commerce behaviour reflects intention rather than impulse. UPI has emerged as the default transaction layer, used by 67% of consumers across Tier 2 and Tier 3 markets, embedding digital payments into everyday life. While 52% of Tier 2 consumers actively track discounts and sale days, festivals continue to play a stronger role in shaping discretionary spending in Tier 3 markets.
Instant gratification has not yet become a mass behaviour. Quick-commerce adoption remains modest at 36% in Tier 3. Food delivery has reached moderate adoption at 44%, while in-home services remain early-stage at 22%, indicating uneven maturity across service-led categories.
Platforms and Media: Utility Over Noise
The report highlights that WhatsApp functions as Bharat’s digital backbone, with ~90% penetration, serving as a communication tool, discovery channel, and commerce enabler. OTT consumption is driven by mass moments and vernacular relevance, with JioHotstar leading usage at over 54% across Tier 2 and Tier 3 markets. 24% of Tier 3 audiences prefer vernacular OTT platforms, reinforcing the importance of language-first, culturally rooted engagement.
Music apps see over 46% adoption across non-metro markets, while Telegram usage at 46% in Tier 3 reflects a shift toward utility-led digital behaviour. Professional networking remains limited in Tier 3 markets, though Tier 2 cities are showing clear momentum, reflecting rising white-collar aspiration beyond metros.
Aspiration Is Subtle, Personal, and Grounded
Contrary to popular belief, aspiration in Bharat is increasingly self-defined rather than mass-driven. 18% of consumers prefer bespoke offerings, while 13% respond to status cues rooted in quality and credibility rather than overt luxury. 12% resonate with nostalgia, and a similar proportion respond positively to smart technology and AI-led features when these deliver visible, everyday utility. Pop culture influence remains limited at 4%, reinforcing the primacy of relevance over trend-driven appeal.
Gaming Emerges as a High-Intent Influence Channel
Gaming has evolved from pure entertainment into a meaningful discovery and engagement medium. The report finds that 55% of Tier 2 consumers and 52% of Tier 3 consumers respond to in-game advertising, positioning gaming as a credible, high-attention channel capable ssssof influencing consideration and purchase decisions.
As India moves toward a $1 trillion retail economy, the report underscores that Bharat’s next 500 million consumers are no longer emerging; they are already shaping demand, narratives, and markets. The next decade of India’s growth story will be defined by brands, startups, and policymakers who understand how Bharat discovers, how it validates, how it spends, and what it truly values.
The survey was conducted in collaboration with YouGov, with over 5000 respondents residing in 18 states to map the evolving consumer landscape of the country, representing both the urban and semi-urban populations.
