Why retailers should plan now for year-end mega sales
Digital shopping habits formed during the pandemic continue to be relevant to consumers, despite them returning to stores in the new era, with retailers advised to plan now for end-of-year mega sales.
On behalf of Facebook parent Meta, YouGov researched more than 18,000 consumers aged 18 or more across the Asia Pacific region asking about their year-end shopping habits and attitudes during the first 24 days of last December. The study included consumers in Australia, Singapore, Malaysia, Thailand, Vietnam, Indonesia, the Philippines, Hong Kong, Taiwan, Japan, South Korea and Pakistan.
The research found that 67 per cent of year-end shoppers discovered new products in-store and 66 per cent discovered new products on their mobile phones. Among Gen X and Baby Boomers, using mobile as a discovery channel increased by five points to 58 per cent compared to another poll a year earlier.
Brands need to start building for discovery and being part of the consideration set well ahead of Mega Sale Days at the year’s end, said Dan Neary, VP of Asia Pacific at Meta.
“Brands also need to meet people where they are. We recommend four key pathways to authentically engage: One, brands need to be social and mobile-first and deliver personalised ad experiences. Two, shoppers need to be able to connect with brands directly through instant messaging. Third, brands need to create immersive experiences through AR, live shopping and trusted creators. And finally, they must find creative ways to communicate their brand values and purpose.”
Neary said mega sale days drive new product discovery and consideration, with 94 per cent of year-end shoppers likely to try a new brand, particularly in apparel and fashion, food and electronics. Two-thirds of all year-end shoppers said they enjoy discovering relevant items they were not actively looking for.
The research also found that Gen Z and Millennials are shopping more on social platforms: 40 per cent of those surveyed have discovered and shopped on social platforms, and 61 per cent of them tend to be Gen Z and Millennials. Further, 89 per cent of social shoppers made a spontaneous discovery while shopping online and are 1.3 times more likely to purchase on mobile compared to non-social shoppers. Two in three social shoppers have purchased a product they discovered via a personalised ad and 66 per cent of social shoppers surveyed are most likely to trust a brand that partners with a trustworthy creator and influencer.