High pressure Double Days
The success of online promotional programs such as Black Friday and Double 11 has paved the way for Double Days every month. NielsenIQ’s E-commerce Accelerator solution measures the sales of products daily and has uncovered extraordinary consumer behavior around these event days, which determines the fate of many a manufacturers’ performance in just 24 hours.
With e-commerce now the second biggest channel across Asia Pacific, it is not surprising that retailers and manufacturers are scrambling to better understand consumers changing purchasing behaviors. We have known for a while that Chinese and Korean consumers have embraced online sales, but other markets are catching up and we are already forecasting countries such as Australia, Singapore, and Taiwan will have over 20% of their consumer goods sales coming from online channels by 2025. With the most mature e-commerce markets in the world, other countries are looking at these Asian dynamics as lead indicators for e-commerce development years ahead of even more developed regions like Europe and North America.
Major drivers of behavior
The major drivers of these changing purchasing behaviors are evident. When we surveyed Asian consumers on the top factors influencing their online purchases, pricing and promotions came out on top. In addition, we can see that availability, ratings, and delivery are also top of mind, challenging retailers and manufacturers across this ever-growing important channel to meet these consumer demands.
With increasing inflationary pressures across countries, consumers are going to double down on their desire to find cheaper prices and promotions, which could mean the importance of Double Days will only grow. When we dived deeper into the NielsenIQ E-commerce Accelerator data and the impact of these Double Day promotions, we saw extraordinary uplifts across markets and categories compared to the previous three weeks of sales.
In 2021, we saw a +956% uplift in sales for facial cleansers on Double 11 in Singapore compared to the previous 3 weeks’ sales, while health supplements/ vitamins saw +494% uplift in sales in Thailand on 10.10. You can see how massive the influence of these Double Days is on sales, and we see this pattern across categories.
Simply put, just one day a month—12 days per year—will determine if you fail or succeed. It is important to understand how e-commerce is shaping the overall consumer goods industry, so you can devise your business strategy to make the most of the shifting consumer mindset and purchase behavior.