Have you ever been to the city centres of Hanoi or Ho Chi Minh City and envied how the Vietnamese productively used their residential units as commercial shops at the same time? Recent data shows us you should start setting up a shop from your home without the need of a shopfront.
Based on the Facebook and Bain & Co. annual report this year, 310 million Southeast Asians will be digital consumers by end 2020. About 70% of Southeast Asians of age 15 years and above will be digitally connected by end 2020. The amount that each consumer spends on average is likely to reach US$172 this year and will triple to US$429 in 2025.
Based on the overall population of 655 million in Southeast Asia, the population of digital consumers will reach almost half of the population in the region. The report covered 16,500 digital consumers in six Southeast Asian countries of Indonesia, Malaysia, the Philippines, Singapore, Vietnam, Thailand. The study was conducted in May 2020.
Online spending across these countries will likely be worth US$147 billion by 2025.
Indeed, with COVID-19 set to be with us for the long haul, the rapid digitalisation of services will create a virtuous cycle of bringing more onboard the digital bandwagon. Heavier consumption of online goods will in turn generate a more robust delivery infrastructure and lead to greater convenience to buyers
Given that early adopters receive an advantage over those who jump in later, it is perhaps time to stop dreaming, and take action to set up your virtual shop.
If you haven’t been convinced to do so, the report also pointed to low brand loyalty within the region. Consumers also visited an average of 5.2 websites before making a purchase – up from an average of 3.8 websites in 2019 – with top comparison factors based on lower prices and product quality. Which means your new product brand might just be the next item on someone’s shopping list 🙂
All the best!