Filipino consumers are returning to physical stores, but their digital shopping habits formed during the pandemic continue to be higher than in-store purchases, according to a study by Meta.
The latest Seasonal Holidays Study by Meta revealed that 67 percent of year-end 2021 shoppers surveyed said their purchases were made in-store, but a higher 79 percent also did online purchases. The Meta study by YouGov surveyed nearly 2,000 people aged 18+ in the Philippines in December 2021 to determine their year-end shopping attitudes and behaviors during Mega Sales or shopping holiday promos that normally occur in the month of December. The online study covers 12 APAC markets with 18,189 respondents, including the Philippines.
Overall, almost 7 out of 10 shoppers surveyed have discovered and shopped on social platforms and have said that they will spend more or the same as last year.
The study further said that For Gen X and Baby Boomers, mobile as a discovery channel increased by 13 points to 76 percent.
The study outlined five new year-end Mega Sale Days consumer shopping trends to help businesses maximize every sales moment.
First consumer shopping trend is that Mega Sale Days drive new product discovery and consideration. Ninety-four (94%) of year-end shoppers surveyed are likely to try a new brand particularly in the following categories: Food (55%), Apparel and Fashion (38%), and Electronics (36%). Seventy six percent (76%) of all year-end shoppers enjoyed discovering relevant items they were not actively looking for.
The study also revealed that consumer shopping behaviors shift across different Mega Sale Days. In the Philippines, Mega Sale Days span across the calendar year. Among year-end shoppers surveyed, 90 percent bought something during Mega Sale Days in 2021. 12.12 and 11.11 are the most popular Mega Sale Days, with 24 percent and 44 percent of year-end shoppers surveyed participating respectively.
Also, Gen Z and Millennials are shopping more on social platforms. Almost 7 out of 10 of those surveyed have discovered and shopped on social platforms, and 76 percent of which tends to be Gen Z and Millennials. Ninety two percent (92%) of social shoppers made a spontaneous discovery while shopping online and are 1.3 times more likely to purchase on mobile compared to a non-social shopper. Among social shoppers, 80 percent have purchased a product they discovered via a personalized ad. In addition, 76 percent of social shoppers surveyed are most likely to trust a brand who partners with a trustworthy creator and influencer.
The study also revealed that entertaining and immersive experiences influence Mega Sale Days purchase decisions. Social media is a strong discovery driver through personal connections and recommendations (78%), sponsored content (68%) and video content (64%). 81% of social shoppers surveyed have watched or are open to a live shopping event online, with shoppers moving from awareness to purchase within one session. Augmented Reality (AR) technologies also have a strong influence on shoppers with 88% believing AR tools are influential in their purchase decisions.
In the Asia Pacific region, the Meta study showed that cross-border shoppers start shopping earlier, rely on instant business messaging and focus on brand value. APAC shoppers surveyed, 48 percent including Filipinos, made a cross-border purchase, with 43% of APAC cross-border shoppers starting their shopping earlier (by end November) than regular shoppers.Among APAC cross-border shoppers, 61 percent have messaged a business this past year-end.
They said the convenience and instant responses from communicating with a person live were the top reasons for messaging a business. Brand values are particularly important to APAC cross-border shoppers with 41 percent looking at socially responsible brands, those that support local / small production and retail (40%) and have ethical/fair trade business practices (39%).
“Brands need to start building for discovery and being part of the consideration well ahead of Mega Sale Days,” said John Rubio, Philippine Country Director at Meta. “To meet people where they are, we recommend four key pathways to authentically engage. First, brands need to be social and mobile-first and deliver personalized ads experiences. Second, 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. Finally, brands need to find creative ways to communicate your brand values and purpose.”