In the first half of 2024, Meesho, a Softbank-backed e-commerce firm, successfully onboarded 300,000 new sellers, nearly doubling its seller base from the previous year. This significant growth was highlighted in Meesho’s Smart Shopper Report, showcasing the app’s rapid adoption among users. The app was downloaded over 2 billion times during this period, signaling a robust demand in the market.
Crucially, over 80% of Meesho’s 150 million transacting customers come from tier 2 and lower towns. Interestingly, users from tier 4 cities emerged as the most frequent shoppers, particularly in categories like women’s fashion, footwear, and baby care. The home decor segment recorded a remarkable growth of 50% year-on-year.
Moreover, tier 2 cities surpassed tier 1 in electronic accessories orders, indicating a shift in consumer purchasing behavior. The report pointed out that regions in the Northeast are influenced by social media trends, contributing to approximately 40% of e-commerce transactions from these states. The rise in the use of vernacular languages and voice search—up by 162% and 40% respectively—further highlights a growing preference for regional language accessibility among consumers.
Meesho’s success story illustrates the potential for e-commerce growth in smaller towns, emphasizing the importance of understanding regional market dynamics.