More than half (53.1%) of the consumers spend more money online than in-store during this period. Close to 30.0% split their expenditures evenly for both online and in-store purchases.
Apart from the usual year-end festivals like Christmas and New Year, retail events in Q4 are also fuelling consumers’ year-end shopping spend. In fact, the survey respondents spent a cumulative sum of S$313,710 over four particular days last year — Singles’ Day, Black Friday, Cyber Monday and 12.12. All four days are known for dealing out a slew of deals to encourage online shopping.
Despite the rising global popularity and awareness of Singles’ Day, it did not garner the highest participation or top monetary commitment from the surveyed population. Black Friday topped both categories.
Using Google AdWords Keyword Planner, ShopBack found that laptops and iPads were the top products that Singaporeans searched for during the lead-up to Black Friday in November 2016. The correlation of Black Friday with these higher priced products could explain the higher average expenditure.
According to the survey, it seems like a resounding “yes” to the above question. Price points do have strong influence over consumer behaviour. In fact, almost 90% of Singaporeans are ready to give up brand familiarity to purchase items at the lowest prices.
71.4% indicated that they are willing to buy from a physical store that they have never bought from in order to get an item at the lowest price. However, when it comes to online stores, almost 20% less indicated that they are willing to do so.
In other words, consumers are more willing to sacrifice brand familiarity for the lowest price when it comes to in-store purchases. The reverse is true for online purchases. For online stores, brand familiarity appears to be a more important factor than price point. Hence, it is critical for online stores to build brand awareness and credibility among consumers as well as implement attractive loyalty programmes to keep customers returning for more.
When asked if they are willing to provide personal information for exclusive deals and discounts, only 35.5% indicated that they are not willing to do so. There is an opportunity here for retailers to build better long-term relationships with consumers. The simple tactic will not only encourage sales but also provide retailers with an additional channel to cultivate customer retention, which is pertinent to building trust and top-of-mind recall.
Background of the 800 surveyed:
The ShopBack Group is Asia-Pacific’s leading shopping and rewards platform, serving over 38 million shoppers across ten markets.
ShopBack was founded in 2014 and today, ShopBackers across the region continue to win over shoppers by constantly upping their game - be it rewards or meaningful experiences - such that shoppers can achieve a personal victory every time they use ShopBack.
The Group powers over US$3.7 billion in annual sales for over 15,000 online and in-store merchant partners. In 2022, ShopBack launched ShopBack Pay and PayLater, extending the platform's offerings into financial services, providing shoppers responsible and convenient payment options at checkout.
