Especially online, sales are increasing, and the buying power of consumers is trending high, making an impressive digital presence the more crucial for any e-commerce companies.
The year-end shopping season just starting, which is why Criteo revealed just now its seasonal shopping data for 11/11 (also known as Singles’ Day) and 12/12. The company’s data reinforces both events’ potential for exponential growth in Southeast Asia (SEA) and massive opportunities for retailers in what is becoming the region’s primetime year-end shopping season, rather than just two standalone dates in the calendar.
In 2017, there was a 238% increase in sales on 11/11 and 258% on 12/12 respectively. Shoppers in the region start browsing and researching products online up to a week ahead of both dates, before completing transactions.
Analyzing 71 million retail shopping transactions across desktop, smartphones and tablets from retail advertisers in SEA last year (1 October to 31 December 2017), Criteo saw a 78% increase in average site visitation on 11/11 itself, signaling the start of a primetime year-end purchasing season that impacts most retail categories across Indonesia, Singapore, Taiwan and Vietnam.
Retailers that aim to engage shoppers and maximize retail sales this year must therefore start executing digital engagement strategies another one to two weeks before the expected increase in shoppers’ browsing behavior. They can do so by analyzing data from every touchpoint on the purchase journey and investing in personalization technologies to capture and retain shoppers’ attention and interest until the day when purchases are completed.
“Retail sales figures on 12/12 are growing at a higher rate in SEA than 11/11. While retailers are already investing in 11/11 and smashing records, 12/12 is starting to mobilize shoppers and deliver opportunities at a similar scale,” said Alban Villani, Managing Director, Southeast Asia, Hong Kong and Taiwan, Criteo. “It now makes sense to pay attention to this entire blockbuster season. Incorporating data-driven and machine learning solutions into your digital strategy throughout this season – and not just on two days – will ensure your products are the ones that get seen and bought across the region.”
Singles’ Day: Kickstarting the primetime year-end shopping season
In the SEA region, retail sales peaked on 11 November, with a 238% increase. Between 4 and 11 November, there was a 32% increase in average online traffic on key retail companies’ websites.
Shoppers embark on an all-day shopping marathon on Singles’ Day, with sales starting to peak from 10am onwards and staying that way until midnight, with just a short break at dinner time. Browsing lasts the whole day, peaking with a 160% increase at 9pm.
Criteo data also revealed that shoppers are buying across all digital channels – desktops, the mobile web and mobile apps. They are increasingly completing transactions on mobile apps, where app transactions dominate with a 278% increase on Singles’ Day. Retailers must therefore make mobile apps the center of their engagement strategies as it is a crucial touchpoint on the shopper path to purchase.
Top performing sub-verticals for Singles’ Day in the SEA region, based on sales uplift figures are:
- Health & Beauty – 526% (Singapore: 1272%)
- Home – 439% (Singapore: 1066%)
- Electronics – 407% (Singapore: 915%)
- Fashion – 384% (Singapore: 763%)
- Toys & Gadgets – 291% (Singapore: 761%)
“Omnichannel shoppers move across screens with seamless ease. To meet them wherever they are, retailers must do likewise, at scale. Whether it is on mobile apps, the mobile web or desktops, it is crucial for retailers to identify and create individual shopper profiles across channels, ensuring that each person is served just the right amount of highly relevant and personalized ads. Powered by machine learning, Criteo’s technology helps retailers engage shoppers with relevant experiences on both mobile apps and other third-party digital platforms, to drive the most sales and best value,” Villani added.
The second wave on 12/12: Primetime doesn’t just end on Singles’ Day
Retailers are presented with a second opportunity to drive engagement and sales with shoppers on 12/12, continuing the momentum created by Singles’ Day. In the SEA region, retail sales peaked on 12 December, with a 258% increase.
Between 9 and 12 December, there was a 46% increase in average online traffic on key retail companies’ websites.
Top performing sub-verticals for 12/12 in the SEA region, based on uplift figures are:
- Health & Beauty – 547% (Singapore: 962%)
- Electronics – 547% (Singapore: 1139%)
- Home – 463% (Singapore: 842%)
- Fashion – 435% (Singapore: 478%
- Toys & Games – 369% (Singapore: 622%)
Clearly, retail sales on 12/12 is growing at a higher rate than on Singles’ Day and transactions on mobile apps dominate other channels, with an expected surge across all retail categories, all day long.
Momentum from 11/11 and 12/12 continues through the rest of the year, meaning retailers should sustain their promotional efforts until 21 December, to continue to drive sales when shoppers are most engaged. (Source: Criteo)