Online spending behavior of Thai people and Southeast Asia has continued to grow A study by Facebook and Ben & Company indicates that the share of Thai digital retail business continues to grow. And it is expected that the Southeast Asian countries will take the leading position in the Asia-Pacific region.
According to Insights on Digital Consumer Behavior, 73% of Thais are digital consumers in 2021, with about half expected to spend more on digital healthcare and financial services. climb After the Covid-19 situation
Thailand and Southeast Asia are leading the growth of digital retail business share. The digital retail business in Southeast Asia has grown 85% year-over-year. It surpassed China (5 percent), Brazil (14 percent) and India (10 percent).
To understand current and upcoming trends, Facebook and Ben & Company surveyed about 16,700 digital consumers and gathered insights from interviews with top executives. Over 20 people from 6 countries in Southeast Asia: Thailand, Indonesia, Malaysia, Philippines, Singapore and Vietnam.
The new study, titled “Southeast Asia, the home for digital transformation,” builds on results from a previous year. It has been conducted continuously since 2018 by Facebook and Ben & Company, and shows that Southeast Asia will have 350 million digital consumers and 73% of consumers in Southeast Asia. Thailand will become a digital consumer by the end of 2021. Moreover, the per capita spending rate through digital channels has grown by 60% compared to the previous year. And overall e-commerce sales will double by 2026.
Consumers in Southeast Asia are not only spending more online as predicted by 2020, but more consumers (45%) will be using online as their primary channel in purchase They are open to discovering new products and services, with 65 percent saying they don’t know what they want to buy when they go online.
For Thais, 64 percent said this year They have tried shopping from new online stores. In addition, Thai consumers are also shopping online in more diverse categories. The survey respondents said that at present They shop online from 8.3 product categories on average. which grew 50 percent from an average rate of 5.4 product categories in 2020
Prae Damrongmongkolkul, Country Director of Facebook Thailand, said, “It is clear that the situation with the COVID-19 epidemic continues to drive people towards online channels At such a high rate that we have never seen before. causing consumers in Thailand to create new behaviors in terms of online product discovery, consideration and purchase for brands both emerging and long-standing brands
These changes signal the need to consider improving the traditional e-commerce experience. and looking for innovative ways to inspire and connect with customers online. In addition, we also look at This changing behavior of consumers will remain a constant trend. Even businesses and shops will be able to reopen in the future.
As a result of people still relying on digital channels to connect with brands. This shows that brands Sustainable digital strategy should be considered. And it provides long-term results to make the target customers feel more approachable and engaged.”
The results of the study show immense opportunities for brand loyalty as well as growth. Because the e-commerce market is still relatively fragmented, in 2021, Thai shoppers spend more time searching through 8.6 websites before making a purchase. This is a 60 percent increase from the average of 5.5 websites in 2020, although value for money remains the top reason. that makes people decide to change brands
But that’s not the only important factor anymore. Because Thai consumers still attach importance to with the quality of the product Still looking for other brands that is worth They are also open to trying new things.
Product discovery through digital channels It is extremely important that 80 percent of the channels that consumers Used to find out what they will buy. live online And for shopping considerations, 83% of the channels used to find out more about a product or service were online, with 56% of retail purchases made via digital channels. while the remaining 44 percent occurred via offline channels. Another thing worth noting is the videos on social media. Media is three times more popular as a product discovery channel, with 22 percent of survey respondents saying video on social media is their main channel for product discovery.
change to sustainability with a home-centered lifestyle
Thai consumers are environmentally conscious, with 93% of those surveyed saying they are willing to will pay more to purchase products that promote sustainability and social responsibility, and 78% are willing to pay up to 10% more on such products.
The study also found that the home-centered lifestyle will grow more in Southeast Asia Approximately 72 percent of survey respondents believe that time spent “In house” Moreover, at least 37 percent of respondents within the region said they expected to work from home even after the situation improved.
And finally, about 90 percent of executives believe that the hybrid work-at-home model will become Work patterns that are common after this epidemic situation
Khun Prae added that “These studies highlight the fact that people want to feel that they It is time for brands to show their courage. and improve the channels and platforms that will be used to differentiate themselves from other brands in order to be discovered by consumers. We hope that we can play a role in supporting brands in Thailand and in Southeast Asia as a whole. to try out the shopping experience in new ways or adopting emerging technologies such as Augmented Reality.”
for new trends The results of the study revealed that more than 80 percent of venture capital funds are flowing into the Internet and technology sectors. In addition, the study also indicates that Thai people More likely to spend on digital banking and healthcare services after the spread higher than the Southeast Asia region as a whole (45% vs. 38%). will cause changes in many sectors The technology industry, finance, education technology. or other e-commerce
Mr. Direk Kesavakarun, Partner and Director of Retail Operations, Ben & Company Southeast Asia, said, “The adjustment has been swift in the past year. It has delivered rewarding results for brand owners and platforms. clearly There are consumers in Thailand A 32 percent increase in the number of people who switched to online channels as the most shopping channel. in all categories
The categories that grew significantly were consumer goods and furniture. The consumer goods business also has opportunities for growth and can generate profits from the behavior of consumers. Changed to Southeast Asia The most successful brand owners It will focus on strategies to profit from digital growth after the epidemic. and create a shield for the business from other digital transformations that may follow.”
for more information The full study results can be read online here. https://www.facebook.com/business/m/sync-southeast-asia
