ASIA-PACIFIC – SINGAPORE – Grey and G2 released the findings of its 2010 Eye on Asia – Retail study uncovering fresh insights on shopping mindsets across the Asia Pacific region and its implications to marketers.
The retail findings are based on real-time conversations with over 2,100 shoppers from Australia, China, India, Indonesia, Japan, Korea, Malaysia and Vietnam. The analysis is drawn from shopping experiences in hypermarkets/supermarkets, pharmacies/drugstores and provision shops/mom & pop stores with a focus on categories encompassing Over-The-Counter (OTC) supplements and treatments, health food and drinks, beauty and snacks.
The study identified four classes of shoppers:
1. Engaged Info Seekers browse every aisle for new products and wish to be more informed in-store and appreciate promotions such as discount coupons. These shoppers are common in China, Korea and Malaysia.
2. Loyal Listers follow a list, do not take their time in the store and are willing to pay more for a brand they trust. They value word-of-mouth about products. India, Indonesia and Vietnam have many of these shoppers.
3. Whim Indulgers can be found mainly in Japan and Indonesia. They thrive on variety and like to browse and compare prices, but tend to indulge or over-spend on whim. They are swayed by new and interesting finds.
4. Passive Value Fans are keen on comparing prices before buying. They want to find the lowest prices and are not affected by in-store communications. These shoppers are mainly from Australia and Malaysia.
Key “eye-sights” captured along the Purchase Decision Journey include:
– Two-thirds of final purchase choices are made in-store, more so in hypermarkets and supermarkets. This is also true for high involvement categories like OTC & Beauty.
– Asian shoppers take time to study products in-store, spending an average of 37 minutes in-store.Two thirds of shoppers are spending this time in browsing and comparing products.
-Advice is appreciated as long as the staff’s approach is non-intrusive. In Pharmacies, advice is more sought after inemerging markets than developed ones. Especially for Health Supplements & Treatments and Beauty products.
-Almost half the promotions done in-store are wasted, as 62% of Asian shoppers do not buy products on promotion. Among those who do, 40% would have bought it anyway. Over 50% of shoppers in emerging markets don’t look for promotions as they buy the same brand every time, but in China and Malaysia, shoppers are conditioned to expect promotions.
-Asian shoppers visit stores not just for products but also for the experience. In Hypermarkets/Supermarkets, the novelty of experiences makes shopper moods more positive in China and Indonesia, as compared to developed markets like Australia. For emerging markets, promotions and the in-store environment are the key traffic drivers.
Now in its fifth year, the highly regarded Eye on Asia has to date interviewed over 35,100 people across the region. Grey and G2 will continue to track the latest shopper trends throughout the year and unveil subsequent new findings each month.
