conversational ai

An increasing number of Indian consumers now simply speak their minds when searching for products or services online. Whether it is asking a voice assistant in Hindi about a bank loan or chatting with a fashion retailer’s bot for style advice, conversational search powered by artificial intelligence is rapidly changing how brands and consumers interact. This shift toward voice and chat based interfaces is shaping digital marketing strategies across India’s B2C sectors, from fast moving consumer goods and fashion to retail and banking.

India has quickly emerged as a voice first digital market. Industry data shows that over half of Indian internet users now use voice search regularly, a figure nearly double the global average. Voice queries on Google in India jumped sharply over the last year, reflecting how comfortable people have become talking to their devices. This trend is driven by the convenience of speaking instead of typing and the country’s linguistic diversity. Millions of new internet users from tier two and tier three cities find it easier to use voice in their native languages rather than type in English.

Nakul Dutt, National Strategy Director at FoxyMoron, says voice as a medium has been growing at a very fast pace and reflects a new way of consuming the internet in India. According to him, this behavioural shift is forcing brands to rethink how they structure content and engage users across digital touchpoints.

Conversational AI is also helping bridge long standing language barriers. Google Assistant now supports multiple Indian languages, while Amazon Alexa introduced Hindi capabilities and later expanded to conversational styles that feel local and familiar. This has made digital services more accessible to non English speakers. Reserve Bank of India Governor Sanjay Malhotra has previously observed that AI driven chatbots and voice recognition tools can help remove language friction in a linguistically diverse country like India.

The move from typed search to spoken questions is altering how discovery works. Voice queries are typically longer and intent driven. Instead of typing short keywords, users ask complete questions such as which insurance plan suits a family of four or what is the best phone under a certain budget. Brands must now optimise content to directly answer these questions. Visibility depends on whether an AI assistant chooses a brand’s information as the most relevant response.

Retail and ecommerce companies are adapting quickly. Myntra introduced an AI powered chatbot that allows shoppers to use natural language to search for products. Users can ask about festival outfits, celebrity looks, or occasion specific clothing. Arit Mondal, Director of Product Management at Myntra, says users who shop using the chatbot are three times more likely to make a purchase and tend to explore more categories compared to traditional browsing.

FMCG brands are also experimenting with conversational formats. Cadbury India launched a voice based experience that allowed users to discover gifting ideas and add products to their shopping cart using voice commands. JioMart introduced a multilingual voice assistant to help users search and shop more easily. According to company data, the feature has been used by over a million customers and has helped increase conversion rates significantly.

The BFSI sector has been one of the earliest adopters of conversational AI. Industry surveys show that nearly three quarters of Indian banks and non bank lenders have implemented chatbots or virtual assistants. These systems handle customer queries related to balances, card services, loans, and account information. HDFC Bank’s chatbot Eva has handled millions of interactions since launch. Former digital banking head Nitin Chugh said the bank’s focus has been on using AI to improve service quality and accessibility.

ICICI Bank and State Bank of India have also introduced voice enabled services that allow customers to check account information using voice commands. These tools are particularly useful for elderly users and customers in non metro areas who may not be comfortable navigating apps or typing queries.

For marketers, the rise of conversational interfaces is changing how search optimisation works. Traditional SEO focused on ranking links. Conversational search focuses on being the answer. Brands must structure content clearly, use natural language, and provide accurate information that AI systems can trust. The emphasis is shifting from keywords to intent.

Personalisation is another major benefit. AI chatbots can remember user preferences and tailor responses accordingly. A fashion chatbot can recall sizes and style preferences. A banking assistant can suggest products based on past interactions. Studies show that personalised conversational experiences can significantly improve engagement and conversion.

At the same time, marketers are aware of the need to balance innovation with trust. AI generated responses must be accurate and transparent. Consumers want to know when they are interacting with a machine and how their data is being used. Most Indian marketers view AI as an enhancer rather than a replacement for human creativity and judgment.

Adoption levels suggest the industry is still evolving. While many brands are experimenting with conversational AI, fewer have fully integrated it across all marketing functions. Challenges include training models on diverse language data, ensuring contextual accuracy, and building internal capabilities to manage AI driven systems.

Despite these challenges, momentum continues to build. Conversational AI is becoming central to how brands discover, engage, and convert consumers. Marketing is shifting from one way communication to dialogue. Instead of broadcasting messages, brands are increasingly responding to questions, guiding decisions, and offering assistance in real time.

As AI powered voice and chat interfaces become more sophisticated, they are likely to become the default entry point for many digital journeys. For Indian marketers, the implication is clear. If consumers are talking, brands need to be present, prepared, and responsive. The future of digital marketing in India is conversational, and the conversation has already begun.

Disclaimer: All data points and statistics are attributed to published research studies and verified market research. All quotes are either sourced directly or attributed to public statements.