Building Brand Relationships with Asian Consumers

Global brand executives share ecommerce strategies for Japan, Korea, and China

In Asia-Pacific countries, consumer shopping habits are rapidly evolving, and digital commerce has become increasingly critical to brand success. In response, leading retail executives are shifting resources, redirecting investments, and developing new ecommerce strategies tailored specifically to Japan, Korea, and—most importantly—China. 

This report provides the following insights, observations, and executive perspectives:

  • How mobile, social, and demographic trends guide the journey of the Asian consumer, and what this means for ecommerce strategies in these regions
  • How retail brands balance marketplace, content, and D2C ecommerce strategies to build authentic experiences and spur sustainable long-term growth
  • How new entrants into these regions can leverage lessons learned by those who have successfully navigated the waters

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Read an excerpt from the article:

As their ecommerce preferences have become more sophisticated, Japanese shoppers have gravitated towards direct-to-consumer (D2C) sites and away from marketplaces. Brands have responded by investing more resources in these sites. In Japan, approximately 60% of fashion brands and 30% of watch & jewelry brands now operate D2C ecommerce sites.

We’re seeing a similar trend evolve in China, especially among consumers of cosmetics and beauty products. Cosmetics brands have been investing in China longer than any other product category. As a result, Chinese consumers of higher-end cosmetics seek more specialized online shopping experiences, and tend to rely disproportionately on brand sites.

Mobile and social media adoption is also driving the increasing sophistication and evolving preferences of Chinese shoppers. Brands that place bets onD2C mobile ecommerce sites are paying off. One Hong Kong-based executive pointed to a local Asia-based fast fashion brand that saw nearly a quarter (23%) of its digital revenue originate from mobile after launching its mobile commerce site in April 2014. Previously it had no mobile presence.

Trusted social networks are also highly influential in driving consumer behavior in China. In a recent consumer study, A.T. Kearney found that social networks had 10 times more influence on purchase decisions in China versus the US. This was particularly true for millennials; for those aged 26 to 35, only 7% of US consumers stated social networks influenced their purchase intent versus 68% in China. 

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