Accelerated by covid, online shopping across Asia-Pacific is expected to shift from a pandemic necessity to a permanent shift in retail consumption, according to a new study from Reprise. Across the region, regular online shoppers “a few times a month” now outnumber their offline counterparts by 42% to 31% and those who shop online “once every few months” outpace offline shoppers by 66%.
The study, which was conducted in collaboration with Google during the first half of 2021, surveyed 13,000 buyers (1,000 per market), in Australia, China, Hong Kong, India, Indonesia, Japan, in Malaysia, the Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam. While some results are predictable – consumers aggressively search for deals online – other results are surprising. For example, the pandemic restrictions did not dampen consumers’ desire to look and feel good: the top 3 categories purchased online in APAC in the past six months were; Clothing and Clothing (67%), Health and Beauty (47%) and Consumer Electronics (40%).
“Many APAC markets have jumped up to 5 times, already hitting forecasts for 2025,†says Ritika Gupta, director of e-commerce Reprise APAC and author of the report. This acceleration of e-commerce is partly driven by platforms which have accelerated their interface roadmaps. and have advanced their technology. This, along with targeting the audience through ads on the platform, played an important role. “
Marketers and agencies will be pleased to know that half of those surveyed said they turn to online ads to discover new brands and products when shopping online. Social media is now the top search point for 42% of APAC buyers.
Despite this rapid growth in e-commerce in the region, the approach to online shopping has some nuances here. “APAC once again demonstrates that there are fundamental differences in behavior by market, and when it comes to e-commerce, brands that take a local first approach are likely to be the most successful.” , says Pippa Berlocher, President of Reprise APAC.
Here’s how some markets performed:
China
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When it comes to in-store purchases, 63% of Chinese shoppers buy “anytime” and don’t wait for sales and promotions. While 52% of online shoppers wait until the sale season to make their purchases.
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The top three online shopping triggers are “good reviews”, “product information” and “good star ratings”, as voted by 71%, 64% and 58% of online shoppers, respectively.
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Chinese online shoppers are loyal to their needs and not specifically to brands. 75% of shoppers say they’re ready to buy new brands they see online.
India
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Consumer reviews of a product seen as the biggest benefit by 64% of online shoppers in India
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Markets like Flipkart and Amazon have ranked higher for product discovery across all categories over the past 12 months.
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TV ads are still seen as an important channel, 64% of online shoppers in India refer to TV ads to find out about new products.
Japan
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“Saving time†and “not having to go to a store†are seen as the top two benefits by 61% of online shoppers in Japan.
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As the giants battle for the title of platform leader, Amazon and Rakuten have ranked among the best for product discovery across all product categories over the past 12 months.
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Online retailers are considered the main point of research when considering purchasing a new product in Japan. Buyers are twice as likely to choose this channel.
Australia
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Unlike the rest of APAC, in Australia, marketplaces are not the primary destination for online shopping: two-thirds of shoppers prefer branded websites.
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Delivery charges are a deterrent for two-thirds of Australian respondents
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Marketplaces like eBay and Amazon have ranked higher for product discovery in all categories over the past 12 months. 61% of online shoppers have used eBay and 52% of them have used Amazon to find new products.
Indonesia
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Almost three quarters of consumers here prefer marketplaces to branded websites for shopping online.
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Frictionless e-commerce is becoming difficult in Indonesia, given the vastness of the country, with up to 60% of shoppers seeing “delivery time” as one of the main drawbacks to shopping online.
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Half of Indonesians surveyed refer to social media platforms to search for brands and products
The Philippines
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The Philippines is a market that has not kept up with the weight of e-commerce compared to neighboring countries in the region.
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Two in three Filipino shoppers will try the new brands they find online, and 57% of online shoppers also wait for products to be on sale or discount before hitting the checkout button.
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In terms of friction, 65% of online shoppers find it very difficult to return a product when making an online purchase.
