Look to Double Days for retail boosts: Criteo

- “Double Days” are growing into sales events of their own – during the most recent 9.9 (9th September) sale saw substantial growth in retail sales in Vietnam, Singapore, and Malaysia, of 213%, 183% and 156% respectively.

- Singles’ Day 2019 (11th November) saw a 414% increase in online retail sales and 273% increase in online retail traffic across Southeast Asia. In Singapore, online retail sales and traffic increased significantly, by 477% and 126% respectively.

- In Indonesia, 12.12 (12th December) remained the largest shopping moment within the country (Online retail sales and traffic increases of 258% and 77%)

Criteo, the advertising platform for the open Internet, has unveiled seasonal data for trending shopping festivals for Southeast Asia. In Singapore, Singles’ Day was revealed to be the biggest shopping event of the year in 2019. According to Criteo’s Seasonal Sales Dashboard, which recorded over 2 billion transactions across 5,000 retailers from 35 markets, Criteo found that Singles’ Day 2019 saw a 414% increase in online retail sales and 273% increase in online retail traffic across Southeast Asia. In Singapore, online retail sales and traffic increased significantly, by 477% and 126% respectively.

Singles’ Day, once again, had the highest conversion rate, with an increase of 155% in Singapore, and strong year on year growth of 49% from 2018.

“Singles’ Day continues to be a key retail moment for our region. Specifically, in Singapore, where we continue to see new records in online retail sales and retail traffic on this date, every year,” said Taranjeet Singh, MD, South East Asia and India at Criteo.

“In light of today’s evolving landscape and developments as result of the current pandemic, retailers need to seize the opportunity of Singles’ Day 2020 to succeed with customers and drive strong sales.”

Across Southeast Asia, Singles’ Day remained the largest shopping event in countries including Singapore, Malaysia, and Vietnam. In Indonesia, 12.12 remained the largest shopping moment within the country.

Southeast Asia

- 10.10 (10th October): Online retail sales and traffic increased by 24% and 10%

- Black Friday (the Friday after Thanksgiving): Online retail sales and traffic increases of 44% and 20%

- Cyber Monday (the Monday after Black Friday): Online retail sales and traffic increases of 42% and 25%

Indonesia: 12.12 was the winning shopping festival, followed by Singles’ Day:

- 10.10: Online retail sales and traffic increases of 158% and 40%

- Singles’ Day: Online retail sales and traffic increases of 149% and 60%

- 12.12: Online retail sales and traffic increases of 258% and 77%

Taiwan: Singles’ Day was the largest shopping moment, followed by 12.12 and Black Friday:

- Singles’ Day: Online retail sales and traffic increases of 400% and 165%

- Black Friday: Online retail sales and traffic increases of 59% and 49%

- 12.12: Online retail sales and traffic increases of 149% and 61%

Criteo data also revealed that “Double Days” are growing into sales events of their own. In Malaysia and Vietnam for example, 7.7 (7th July) turned out to be an emerging sales peak this year, with increased retail sales by 132% and 64% in the two countries, respectively.

Most recently this year, substantial growth was recorded in retail sales in September, during 9.9, particularly in Vietnam, Singapore, and Malaysia, of 213%, 183% and 156% respectively. In October, during 10.10, the Southeast Asia region recorded an overall 46% increase in sales when compared to the last two weeks of September, and saw a conversion rate of 460% during the retail moment.

Criteo also noted that shopping apps continue to grow in popularity amongst users in Southeast Asia. According to Criteo’s Peak to Recovery study, which surveyed over 13,000 consumers worldwide in May 2020, 53% of consumers discovered at least one form of online shopping during the peak of the pandemic – be it purchasing through mobile apps, or picking up online purchases in stores – that they wish to continue.

“The unique circumstances of navigating COVID-19 have resulted in evolving consumer behaviour with regards to online shopping. Not only are people shopping more, they are also more inclined to using apps for retail,” explained Singh.

“In Q3 2020, our data revealed that the share of app sales was 75% for retailers with a shopping app and that Southeast Asia was one of the regions with the highest app share globally. With shoppers now inclined toward in-app retail experiences, retailers should step up efforts to engage consumers through these mediums during key retail moments like Singles’ Day for maximum traction.”

Jo Bjordal, CMO, ZALORA explained, "COVID-19 has changed shopping behaviour across our markets, with more people shifting to buying things online. The demand and consumption patterns for product categories have changed dramatically too.”

When it came to key changes in retail preferences, Bjordal elaborated on spikes in consumer demand that fashion e-tailer ZALORA has seen in the last recent months, even during the last Double Day, 10.10. “Within the lifestyle segment, we have seen a spike in demand towards the loungewear, beauty, kids, as well as continued growth in sports and wellness categories. In fact, these categories at ZALORA have grown by as much as 400% as seen in this year’s 10.10 sales days, as people continue to prioritise personal wellbeing and spend more time at home. On the other hand, demand for women’s apparel and occasion wear products has declined as compared to pre-COVID-19 levels, although this is expected to pick up again once the situation around COVID-19 stabilises, and countries gradually ease into their respective re-openings,” he said.

Criteo said brands should keep in mind the following best practices to drive maximum traction with customers as they get ready for Singles’ Day this year:

Target the most valuable audiences

Through website and campaign optimisation, brands can be assured of a wider reach from new and existing customers. This includes finding new, interested shoppers and re-engaging existing customers through data and insights.

Maximising customer value

Customers are looking to get the most value from their purchases, so it is key to ensure that this is communicated to customers, and brands look for unique ways to differentiate their offerings, apart from providing substantial discounts in cost. This could include unique and practical customer services, including safer store shopping options and online-meets-offline purchasing to address customer concerns during the pandemic.

Enhancing ad relevance

It is not enough for brands to advertise Singles’ Day deals – they need to ensure that ads are served in the right context and with the relevant content to their specific audience. This means considering the timing at which ads are served, preferably at a time when a consumer is likely to make a purchase.

Clothes, cosmetics and baby products pique 11.11 shoppers' interest

Source: Alizila blog. The 2018 11.11 Global Shopping Festival logo picked out in neon.

Alibaba's 2018 11.11 Global Shopping Festival is already breaking 2017 records. Live updates from Alizila have revealed that it took just 1 minute and 25 seconds for the festival to get past total GMV* of US$1 billion.

As of 1.15pm, Tmall Global’s GMV has surpassed the platform’s total GMV of last year’s 11.11. In addition, more than 100 overseas brands have exceeded RMB10 million in GMV. Moony, Ya-Man, Swisse and Chemist Warehouse were some of the first to see these numbers, Alizila's live updates on the festival.

As of 1 am, Alizila shared that the top 10 countries/regions selling to China were:
1. Japan

2. US

3. Korea

4. Australia

5. Germany

6. UK

7. France

8. Spain

9. New Zealand

10. Italy

Cosmetics, toiletries, and food supplements ruled the roost for Chinese customers on 11.11. Baby-related products were also popular. The top 10 imported brands bought by Chinese consumers were: 

1. Swisse, a health and wellness company

2. Kao, which has a number of brands including for beauty, women's paper products and toiletries, as well as cleaning products, and baby diapers

3. Moony, which makes baby products. Moony is a Unicharm brand.

4. Aptamil, a milk powder brand from Danone

5. Dr.Ci:Labo, a Japanese medical skincare brand

6. MartiDerm, known for its nutricosmetics

7. A.H.C, the cosmetic brand from Korea

8. Bio Island, which makes supplements

9. GNC, which sells supplements

10. Move Free, a brand of supplements from Schiff Vitamins

It appears that shopping for winter clothing was a biggie this year for 11.11 customers outside of China, plus party clothes for the season.

The top 10 categories of products exported from China were:

1. Dresses

2. Wool coats

3. Pants

4. Hoodies

5. Wool-knitted sweaters

6. Sweaters

7. T-shirts

8. Down jackets

9. Shirts

10. Low-top shoes

*GMV for the 11.11 Global Shopping Festival is the total value of orders settled through Alipay on Alibaba's China retail marketplaces, Lazada and AliExpress within a 24-hour period on November 11. It is reported on a real-time basis and includes shipping charges paid (where applicable).
All GMV and other figures presented are unaudited and subject to adjustments.

E-tailing grows in popularity for smartphones in China

Need to reach more customers? Working with an e-mall may be the way to go, particularly in China. IDC's latest Mobile Phone Tracker shows that the share of e-tailers (such as JD, Alibaba's Tmall and Suning Yigou) for smartphones sold in China increased from 14% in Q214 to 21% in Q215. In terms of unit growth, the number of smartphones sold online through e-tailers increased by 58% year-on-year (YoY) in Q215.

"With operators reducing their smartphone subsidies, there is greater opportunity in the open market for vendors, and e-tailers are a key channel that vendors are focusing on,” said Tay Xiaohan, Senior Market Analyst with IDC Asia/Pacific's Client Devices team. "E-tailers in China often offer discounts or free gifts to consumers, and also tend to sell phones at a lower price as compared to the offline retail shops. They have also started offering more services in the recent years."

IDC expects the share of e-tailers to grow over the next few years. Other reasons include:

Major promotions. JD, Tmall and Suning Yigou have huge promotions at least three times a year. This includes the promotions on 18 June and 18 August to celebrate the anniversary of JD and Suning Yigou respectively. Rival e-tailers often match a competitor's promotion. Another major online festival to boost sales is the annual Singles Day promotion, held 11 November.

Discounts and services. E-tailers such as JD offer consumers the option of paying for a phone through monthly instalments, or to trade in their old phones to obtain a discount. They also add service options like insurance for damage to mobile phone screens. JD will repair the phone for free for insurance holders, or provide monetary compensation in the event that the screen is damaged.

Variety. A wider range of models are offered, and some phone models can now be found only through e-tailers. In contrast, consumers are limited to phones of a specific brand at vendor-branded retail shops. Typically, physical shops which carry multiple brands cannot command the same economies of scale to offer the same variety of models that an e-tailer can.

Convenience. From same-day delivery of purchased phones to easy price comparison of phone models and access to user reviews and feedback, e-tailers offer more options to consumers.

With most major vendors maintaining agreements with e-tailers, IDC expects that e-tailing will continue to be a popular channel in China in the coming years. Even vendors like Xiaomi, which has a large emphasis on retailing via its own website, recently signed a deal to open an online store on JD's website in May 2015. Huawei, which sold the most number of phones through e-tailers in Q215, has online stores with the three major e-tailers in China. 

iCharts

InPost officially launches Malaysia operations

Source: InPost.

InPost, the provider and operator of the world's largest international network of automated parcel lockers in dozens of countries in the world, has launched its operations in Malaysia in conjunction with a roadshow.

InPost Malaysia Managing Director Rosland Mohd Jannes said the initiative, themed Malaysia E-commerce Day (MED) 2015, aims to reach out to businesses and individuals in creating awareness of developments in e-commerce, e-payments and the logistic industry.

"MED can further boost consumers’ confidence in online shopping as well as help mitigate the customer's delivery concerns. The roadshow will bring e-commerce players closer to the housing estate areas starting this September and till year-end, at locations where InPost already installed its automated parcel lockers," said Rosland during the launch of the first roadshow at Petronas Bukit Antarabangsa on 12 September.

Source: InPost. List of roadshows, which will be held till 24 October 2015.

The half-day roadshow, from 11am to 5pm, was a collaboration between InPost's e-merchant retail partners, courier companies, fulfillment companies and location hosts of the self-service parcel lockers by InPost. Rosland said next roadshow will continue at Petronas NKVE Damansara on September 15, followed by others at other Petronas stations where the lockers have already been deployed. Signups for InPost can be done during MED.

"The public as well as small and medium entrepreneurs (SMEs) can meet us and e-commerce merchants in real life at MED to learn about the development in the industry and get fresh ideas on delivery options," he said.

Rosland added that the delivery is one of the biggest concerns of shoppers before placing online orders as consumers might be worried about the additional cost, delivery time frame and risk of failed delivery. MED addresses such issues through highlighting the convenience of parcel lockers as a delivery option.

By integrating InPost’s e-commerce solution, retailers can provide customers with more flexibility in their delivery and return options as they can now opt for their nearest InPost locker at check out.

"With online retail continuing to grow at a rapid pace, consumers want innovative solutions to prevent them missing parcel deliveries. From InPost’s data it transpires that more than half of users collect their parcels outside normal opening hours or during the weekends. Parcel lockers are available 24x7 at customers' convenience and they can pick their parcel anytime with no queues or opening hours. The introduction of this innovative e-commerce solution means parcels wait for shoppers rather than the other way around," said Rosland.

"We hope Malaysians will start familiarising themselves with the convenience features of this automated self-service parcel delivery lockers which have now become a familiar sight in Klang Valley."

InPost has had lockers in 30 locations in Klang Valley since June 2015, and is targeting to have 140 locations in Greater Klang Valley within 2016 and 350 locations nationwide in 2017. InPost self-service parcel lockers are now available at selected Petronas petrol stations, Tesco hypermarkets, TAR University College Kuala Lumpur and soon at selected LRT stations. 

Petronas Dagangan Head of Retail Business Shaharuddin Muhammad Sidek said the partnership with InPost Malaysia brings greater value and convenience to customers, in addition to other facilities currently available at over 1,000 Petronas stations nationwide.

"The addition of InPost lockers is in line with Petronas stations' one-stop convenience concept and matches our aspiration in promoting innovation in our brands, products and services. Now when you fuel tanks, you can also collect your online shopping at the same time," said Shaharuddin, adding that there are currently 15 Petronas stations in the Klang Valley which provide the InPost locker facilities.

"Coupled with over 700 Kedai Mesra outlets nationwide, we are continuously looking at collaborating with our partners to bring greater ease, convenience and a rewarding retail experience to our customers," said Shaharuddin.

InPost already has a designated delivery courier, Skynet Worldwide. Clients can tap on the courier service through integrating their systems with Skynet services through a web application programming interface (API).

Skynet Worldwide Malaysia's Executive Director Dr Teo Bee Yap said, "We are confident with the availability of parcel lockers in selected locations in Malaysia will help to enhance the customer experience in e-commerce purchases." 

IStoreISend.com is another local InPost partner, offering full e-fulfillment services such as warehousing, picking and packing, and delivery to the InPost parcel lockers to retailers.

IStoreISend.com Sales Director Tommy Yong Chu Zheng said customers love InPost. "No more waiting, no more missed delivery. We love InPost for its flexibility and availability anytime. Collect your parcel at your convenience," he said.

Interested?

Check the locations of operational lockers