More Britons are turning to online grocery shopping (Source: The Guardian)
- There are big differences from country to country and region to region around Europe. Understand the market in the region you’re operating and adjust accordingly. If you’re a grocery retailer in the UK, for example, you should start selling online.
- Variety is key for Europeans. To succeed, you’ll need to offer your clients multiple ways to buy from you.
Convenience is king for Asia Pacific consumers
Asia is the globe’s powerhouse of consumption, making it a tantalizing prospect for any company thinking of expanding into new regions. According to McKinsey, half of the globe’s consumption growth in the next decade will come from Asian consumers—the equivalent of $10 trillion. Half of all upper-middle-income and above households will be in Asia, and every other consumer transaction will likely happen in the region.
This is a big leap from 2000, when only 15 percent of Asia’s population were considered to be part of the “consuming class.” In-store trade is booming, and the region's rapid digitalization is also propelling e-commerce and m-commerce forward rapidly, particularly in bigger cities where convenience and efficiency are highly prized.
In China, online transactions are expected to reach 30 percent of retail sales by 2025. That said, there are still large swaths of the Chinese population who don’t have an internet connection. During the pandemic, three Chinese e-commerce companies, Alibaba, JD.com and Pinduoduo, delivered 29 percent of the global retail industry’s market-cap growth.
In Japan, online shopping accounted for 77 percent of transactions in 2020. In Southeast Asia, 20 million people became new online shoppers during the first half of 2021. In South Korea, nearly a third of all retail sales are happening online. Google’s survey found that nearly half of APAC consumers see no point in going into a store if they can shop online.
Mobile commerce is very popular in parts of Asia. According to the Digital 2021 report, Indonesia (79.1 percent) has the highest share of the online population in the world who bought something on a mobile device in 2020. This was followed by Thailand (74.2 percent), the Philippines (69.6 percent) and Malaysia (68.4 percent). The worldwide share is 55.4 percent.
There has also been a significant shift in buying behavior in Australia since the start of the pandemic. This has happened in both online and offline shopping experiences. Similar to Europeans, Australians prefer a multi-channel approach to retail. Customers now expect more spacious layouts inside stores with more attention to hygiene and prioritization of health.
Overall spending has declined since the pandemic, but Australian Gen Z and Gen Y consumers have increased the number of purchases they make online. Currently, 26 percent of retail purchases are online. Forty percent of customers feel more comfortable ordering items online without viewing them in-person first, and 80 percent of these people now feel more confident to keep doing so going forward. This trend is also being observed with online grocery shopping.