"A new middle class with a culture of consumption has emerged in India, and it is closely associated with the growth of Tier 2 cities. Some of the reasons for this are:
- Compared to Tier 1 cities, Tier 2 cities have lower living expenses and more economic prospects, which attract migrants from smaller towns and rural areas who want to enhance their living standards.
- The new middle class in Tier 2 cities has the financial capacity to buy various products and services, ranging from basic necessities to luxury items such as cars, electronic devices, and fashionable clothing. They have a culture of consumption that emphasizes their purchasing power.
- The new middle class in Tier 2 cities is also exposed to global trends and lifestyles through media, internet, and e-commerce. They aspire to follow the consumption patterns of their peers in Tier 1 cities and overseas.
- The growth of Tier 2 cities also leads to a demand for improved infrastructure, education, health care, entertainment, and tourism facilities, which boost the local economy and create more jobs and income opportunities.
- The culture of consumption in Tier 2 cities also shows the changing values and aspirations of the new middle class, who are more individualistic, ambitious, and status-conscious than their predecessors. They use their consumption choices to express their identity and social position.
Therefore, the rise of a new middle class with a culture of consumption is an important factor in the growth of Tier 2 cities in India. This new middle class is creating a dynamic consumer market in these cities by demanding a wide range of goods and services."