Fashion
Lunar New Year shopping is getting more mobile. Thirty-two percent of all e-commerce transactions happened on a mobile device while more than six in 10 consumers browsed on a combination of PCs and mobile devices, before making a final purchase on either device.
These were among the findings based on an analysis of 65 million online transactions in Hong Kong, Singapore and Taiwan before, during and after Lunar New Year in 2016 conducted by performance marketing technology company Criteo.
“Easy navigation and shorter checkout processes on mobile sites and applications, and multi-channel integration are key to improving retail sales before, during and after Lunar New Year in 2017,” it concluded.
The company’s deep-dive into consumer browsing and buying activity revealed that in the two weeks before and after the first day of Lunar New Year, consumers browsed and purchased retail products more actively than before – an 81 percent increase in online visitors to e-commerce sites and a 68 percent increase in e-commerce sales.
Two trends are expected to impact regional retailers during the Lunar New Year season this year.
The first trend is that mobile devices will be used to make high value purchases. Criteo said that desktops were once the king of big-ticket purchases, but in 2017, consumers in Hong Kong, Singapore and Taiwan will feel equally comfortable purchasing expensive items on smartphones.
The Average Order Value (AOV) on mobile applications was 27 percent higher than desktops in the second quarter of 2016. The AOV on mobile browsers was only 9 percent lower than desktop during the same period, according to Criteo’s 1H 2016 State of Mobile Commerce Report.
The second trend is that retailers will see a high web influence on offline sales.
Shoppers in Hong Kong, Singapore and Taiwan are becoming experts at “showrooming” – the phenomenon of looking at items at a brick-and-mortar store while checking the prices available online.
In Singapore, while in physical stores, 62 percent of local shoppers are browsing similar products online and comparing prices to ensure they get the best deals, according to Edelman Intelligence’ Singapore Consumers Online Shopping Survey in September 2016.Sixty-nine percent of these consumers end up purchasing the same product or service online rather than offline.
In Hong Kong and Taiwan, 32 percent and 47 percent of consumers are looking to make purchases online, rather than offline, according to Google’s 2016 Consumer Barometer.
“Consumers have come to expect exclusive online collections and discounts during this period, timing their purchases so they have the best deals and new clothes or jewellery to symbolise the new beginning. They also tend to continue shopping indoors and online throughout all 15 days of Lunar New Year,” said Yvonne Chang, Executive Managing Director, Asia-Pacific, Criteo.
“Given the fluid nature of online shopping behavior and intense competition, retailers must use advanced technology that delivers personalized engagement, based on each consumer’s buying habits, expressed interests and online surfing history to leverage this opportunity,” she added.
