More SEA shoppers to return to physical stores in ’23, SAYS study
Global trend forecasting firm WGSN said it expects more shoppers to return to brick-and-mortar stores in Southeast Asia (SEA), including the Philippines, with the region enjoying a simultaneous growth in online shopping as e-commerce continues to thrive in a postpandemic world.
Citing their annual flagship report, Asian Shopper Forecast, Jess Tang, senior consultant for the Asia-Pacific region of WGSN, said that private consumption in the region will remain resilient this year, indicating a rosy outlook for the retail and travel industry, which experienced deep cuts at the height of the pandemic.
“With shoppers in the region driving a physical comeback in stores, savvier decision-makers will also be making decisions and purchases to enjoy life to its fullest—be it maximizing value by balancing quality and price or finding respite in luxury shopping and experiences,” Tang told the Inquirer in an email last week.
Tang said that for Singapore consumers for instance, three out of four shoppers enjoy shopping or browsing in a physical store, citing a 2022 study from retail solution firm Sensormatic Solutions.
Tang also cited Vincom, the largest operator in Vietnam, has reported a more than 30 percent increase in foot traffic year-on-year as of August of last year.
Despite the rebound in in-store shopping, Tang said that they expect online and omni channels to continue to grow, as shoppers now have expectations of being able to compare stocks in other locations and order products in real time in stores.
“Tech-savvy phygital consumers that have grown accustomed to contactless self-services despite returning to in-store shopping are able to move seamlessly between online and offline channels,” she added.
According to the WGSN report, phygital—a cross of the words physical and digital—has become a trend used to describe shoppers who are returning to in-store shopping while still being able to move seamlessly between online and offline channels.
The same report says that shoppers who use online and offline channels now account for 79 percent of shoppers in Asia-Pacific, highlighting the importance for retailers to maintain a presence in both fields. INQ
