Indians turn to social media over banks for financial advice, new report shows

A recent study commissioned by Meta and conducted by Ipsos highlights the significant impact of digital platforms on the financial decision-making process among Indian consumers. The report, titled "From Feeds to Financial Futures," surveyed over 2,000 individuals aged 25 to 45 in major cities including Delhi, Mumbai, Bengaluru, and Kolkata. The findings indicate a remarkable shift towards digital avenues for discovering, assessing, and purchasing financial products. Particularly among younger and more digitally savvy demographics, social media and messaging apps have become central to these processes. According to the research, six out of eight key touchpoints in the financial purchase journey are now digital, with Meta-owned platforms representing half of these interactions. Diving deeper into the results, an impressive 81% of respondents utilized Meta platforms during the initial discovery phase of their financial journey, 79% during evaluation, and 83% at the moment of purchase. This trend spans various categories, including loans, investments, insurance, and savings. Notably, Instagram and Facebook have emerged as vital resources for financial literacy, with 57% of participants relying on Instagram and 53% on Facebook to guide their decisions. The study also emphasized the effectiveness of Reels and short-form videos featuring creators and influencers in simplifying complex financial topics. WhatsApp, another prominent Meta platform, also plays a crucial role. Half of the respondents reported using the app during the evaluation phase, while 44% and 48% utilized it during the discovery and purchase stages, respectively. On average, financial service consumers spend about 56 minutes on WhatsApp. The research further illustrates a shift in consumer trust dynamics. Although traditional finance authorities still hold some influence, a notable 75% of respondents expressed trust in financial podcasts, while 67% look to influencers and subject matter experts for advice, reflecting a growing preference for authenticity. Shweta Bajpai, Director for Financial Services at Meta India, commented on the results, stating that the financial planning landscape is rapidly evolving due to digital platforms. She noted that the findings challenge conventional views on how financial products are discovered and purchased, highlighting the increasing financial independence of women, with nearly 80% of female respondents indicating they make financial decisions independently. The report concludes that as financial decision-making shifts increasingly towards digital platforms, there are new opportunities for brands and marketers to engage with audiences through content, community building, and conversational commerce.