The number of Southeast Asian e-commerce consumers as of the first half of 2021 reaches 350 million people. Accordingly, average spend also increased and the size of the shopping cart became larger. Customers are willing to shop in larger quantities to avoid shipping delays or other risks.
The number of online shoppers in Southeast Asia is growing 13% annually and reach 350 million in the first half of 2021. Average e-commerce spending also increases from $238 to $381 in 2021 and is expected to increase further.
The disposable income of shoppers in Southeast Asia has reached the benchmark of $300 billion. This is an online retailer’s opportunity not to be missed in 2022.
New shopping trend
Southeast Asians are also shopping online with more categories/good industries. Survey respondents said they now shop online for an average of 8.1 categories, 60% higher than the 5.1 average in 2020.
- 7 out of 10 online consumers tend to buy home decor, personal care to make life at home more convenient during this time of social distancing.
- Online grocery stores have been one of the most searched categories amid the complicated pandemic.
- Online consumers from South Malaysia, Vietnam and Indonesia tend to buy in bulk.
- Online shopping is attracting more and more new consumers. If you do not have an online platform to sell products, now is the time to expand your sales channels and reach more customers.
Indonesia has a solid customer base of 44 million online buyers and the size of the e-commerce market doubles every year. Therefore, this nation of more than 17,000 islands is an ideal land for e-commerce sellers in 2022.
Demand for medical products is growing as people face the worst health crisis in Southeast Asia caused by Covid-19. These health products will continue increasing in 2022 as health becomes a top priority.
- Omega-3 fish oil
- Other functional foods
Indonesians have a special fondness for electronic devices. Accordingly, smartphones and other gadgets will attract a large number of customers by 2022.
About 70% of tech lovers are Gen Y and Gen Z. Therefore, small sized videos on popular social media channels will be the best strategy to get their attention.
Mother and baby products
Indonesia is the region’s most populous country with a high birth rate making it a potential market for mother and baby products. The results of a survey show that: 66% of shoppers in Indonesia prefer to buy mother and baby products online and 57% need to shop monthly.
The Malaysian e-commerce market is expected to reach $13 billion by 2025. The four main categories that will attract potential customers:
Malaysians have a penchant for travel, but have been restricted in 2020 and 2021 due to the pandemic. In 2022, when the proportion of people getting vaccinated is higher, they will travel again. And it’s common to find travel-related accessories.
Another segment that has become popular due to its high dependence in daily life is smartphones and home appliances.
Fashion & Beauty
Most searched products by Malaysians under Fashion & Beauty category. Top-rated skin care products, with masks becoming a staple post-pandemic.
A promising 10.2%/year CAGR (Compounded Annual Growth Rate) shows the strong potential of personal care products by 2022. Of which, 4 out of 5 Malaysians prefer to buy these items from international brands.
Home gym equipment
Dumbbells are one of the most popular home workouts among Filipinos. Besides, other supporting products such as mats, weight racks, etc. are also interesting.
Another product category that online retailers should take advantage of is Skin Care. For age groups belonging to the X gens, special attention is paid to skin care with anti-aging products.
Besides, Filipino men are more interested in taking care of their appearance than a few years ago. As a result, men’s skin care products are becoming more and more popular.
Fashion and Beauty
Zalora’s Southeast Asia Trend report shows that up to 87% of fashion lovers are concentrated in the central and suburban areas of the Philippines. In addition, the southern Philippines is more attracted to Korean-inspired fashion than any other country.