In a world where convenience and seamless experiences are at the forefront of consumer expectations, Amazon India has been innovating to elevate the shopping experience for customers in the consumer electronics space. Ranjit Babu, who leads the Consumer Electronics, Large Appliances, Wireless, and VAS (Value Added Services) division at Amazon India, recently shared insights into the company’s efforts to bring new capabilities—including AI—to customers across the country, ahead of the Great Indian Festival 2024, its biggest annual sale event of the year.
Babu’s responsibilities span across multiple product categories, including smartphones, home entertainment (televisions and projectors), large appliances, PCs, wearables, musical instruments, and office products. This broad range reflects Amazon’s commitment to being a one-stop shop for electronics needs. “We work with brands and sellers to bring products from these categories on Amazon and look at the customer experience that goes alongside it,” Babu told financialexpress.com. His team also oversees value-added services like installation, demos, warranties, total protection plans, and phone setup services, providing a complete solution from purchase to post-purchase.
The game-changer
One of the most exciting developments this year has been the launch of Amazon’s phone setup service. After a successful pilot run over six to ten months, Amazon is now rolling out this service to more than 300 cities across India, a significant expansion from the initial 20-25 cities. “It’s something we’ve never done globally, and no one else is offering in India,” Babu explained, noting that customer feedback has been overwhelmingly positive, with ratings averaging between 4.7 and 4.8 out of 5. This service addresses the need for professional assistance in setting up new phones, making the process easier for customers who may feel overwhelmed by new technology.
While the adoption rate is currently under 10 percent Babu sees this as an expected trend, given that not every customer needs such assistance. The service is aimed at a specific cohort of customers who have long wanted professional help but were hesitant to buy online due to concerns over support.
Beyond smartphones, Amazon is changing how large appliances and televisions are conventionally sold and installed. The complexities of purchasing appliances from physical stores, especially in smaller towns, where product availability and installation processes are often unpredictable, could be a deterrent. In response, Amazon offers a scheduled delivery and installation service, allowing customers to choose the time and date that suits them best. This ensures a more seamless and professional experience, with certified technicians providing installations and demos. “It’s a nice, seamless experience, and customers started adopting it,” Babu said, noting high double-digit growth in service adoption.
The success of this initiative has led Amazon to explore expanding the service to other product categories like laptops and to offer additional at-home services.
Navigating India’s peak festive season
As India enters its peak festive season, Babu anticipates significant growth in premium product sales. With customers now more confident in making higher-value purchases, Amazon expects an increase in the adoption of financing options like no-cost EMIs and extended warranties. “The expectation is that this year, we will sell more premium devices across all electronics and appliances than we’ve ever done in the past,” Babu remarked. He emphasised that customers, who now upgrade their smartphones and electronics every three to four years, are looking to maximise value through flexible payment options and protection plans.
Amazon is also leveraging AI to enhance the customer journey. Their AI-powered shopping assistant, Rufus, recently launched in India in beta, allows customers to make more informed purchasing decisions by comparing products and providing personalised recommendations. Additionally, AI now summarises product reviews, giving customers a clearer understanding of the pros and cons without needing to sift through hundreds of individual reviews.
Amazon India’s focus on improving logistics, expanding value-added services, and enhancing the customer experience will continue to shape the future of the consumer electronics market. With plans to scale their unified installation and delivery service to more cities, and the potential to expand their phone setup services to laptops and other products, Amazon is set to provide even more comprehensive solutions for Indian consumers. As Babu put it, “We are building absolutely new capabilities, which are fresh experiences for customers in India.”
This year’s festive season is expected to be the largest yet for Amazon, with a focus on helping customers upgrade their devices and appliances. “It’s about aspirations growing in India,” Babu said. And with Amazon leading the charge in providing smarter, more convenient shopping experiences, the future looks bright for the Indian electronics market. The Amazon Great Indian Festival 2024 is set for September 27.
