TikTok’s Shoppertaiment Report Shows APAC Users Connected But Uninterested
Shoppertainment could uncover USD 1 trillion in market value for brands in Asia Pacific (APAC) by 2025, according to the latest study published by TikTok and Boston Consulting Group (BCG).
Titled ‘Shoppertainment: APAC’s Trillion-Dollar Opportunity’, the report surveyed markets across APAC, including Australia, Indonesia, Thailand, Vietnam, South Korea, and Japan, and found that the immense choices afforded by technology have shaped consumers’ appetite for discovery, authenticity and community-driven recommendations, giving rise to next era of online commerce, Shoppertainment.
Shoppertainment is content-driven commerce that seeks to entertain and educate first while integrating content and community to create highly immersive shopping experiences. This presents an intriguing pathway for brands to revolutionise the way they engage with audiences through video-first, sound-on formats. Analysis conducted by BCG also predicted that Shoppertainment is expected to grow at a 63 per cent compound annual growth rate (CAGR) for markets included in the report, with the top three contributing markets in APAC as Indonesia, Japan, and South Korea.
Brett Armstrong, global business solutions, general manager ANZ said: “The e-commerce experience has always been about bringing the best deals to the right audiences as efficiently as possible. However, consumer purchasing habits are evolving, and people are looking to be delighted online. Nobody wants to be sold to, but everyone will say yes to being entertained,”
“This presents an opportunity for businesses to embrace Shoppertainment: a content-first approach where brands educate and entertain audiences. Shoppertainment combines content and culture and commerce in a seamless way, allowing brands to engage with audiences throughout the purchasing journey without overtly selling. This allows brands to meet both functional and emotional needs, thereby building stronger and longer relationships.”
Research conducted by TikTok and BCG found that online experiences have now reached a saturation point for advertising, with consumers citing key pain points in the path to purchase as follows:
- Inertia to make decisions: 26 per cent of consumers want more time to consider purchases and 46 per cent decide to buy on a different day.
- Distracted journey with multiple pathways: 89 per cent of consumers research inside and outside the app, 63 per cent need to see content at least 3-4 times, and 85 per cent switch apps while going through the purchasing journey.
- High scepticism of branded content: 34 per cent are sceptical about branded content, keeping them from making the purchase.
To further understand consumers’ needs, BCG conducted in-depth ethnographic insights and quantitative research, unveiling six consumer demand spaces – intersections of context and consumers’ functional and emotional needs, and dividing them into two main groups. These define what consumers desire when it comes to making a purchase, and carry important implications for future brand engagement efforts:
- Functional demand spaces: covers approximately 60 per cent of the entire network of buying and selling, where consumers transact out of habit, focusing on existing products and services without considering new options.
- Emotional demand spaces: covers approximately 40 per cent of the entire network of buying and selling, where change is happening, and consumers are actively considering new products, and making brand switch choices.
By understanding these demand spaces, brands can capture the attention of new consumers as well as re-engage with existing customers through entertainment-first content that inspires and integrates consumers back into their respective online purchasing pathways.
While consumer sentiment varies from market to market, Shoppertainment is likely to grow more rapidly to represent larger shares of the total e-commerce market.
The study revealed that APAC consumers are expecting brands to focus on entertainment before complementing it with clear product information and intuitive paths to purchase to seamlessly drive consumers from awareness, and desire to conversion.
- Fun and entertainment: 81 per cent expect storytelling and educational-first content and 76 per cent are keen on video-first formats. This can be created by influencer and brand collaborations and shown through shoppable TV, livestream broadcasts or even live events online, weaving in comedy to entertain and engage.
- Credible and original: 71 per cent find that authenticity is important in making content engaging. Brands can create an authentic brand sentiment, with credible reviews and open and engaging community conversations that inspire the community through product reviews or unboxing videos.
- Inspiration and indulgence: 71 per cent expect brands not to force decision-making when engaging consumers. Brands must ensure content is associated with interests and hobbies that align with consumers by targeting good feelings and nostalgic recollections that rekindle excitement while building stories around uplifting and engaging themes.
- Trend and community: 65 per cent want to see trusted advice and recommendations on brands online. It is important to include the voices of credible and trusted community experts and facilitate extended conversations between friends and users.
Brands such as CeraVe and Garnier have leveraged platforms like TikTok to build brand awareness and boost sales. In Australia, CeraVe launched two pieces of creator-led TopView content on TikTok. The TopView videos utilised in CeraVe’s launch campaign helped maximise brand awareness in a completely native and immersive environment.
Creators who were experts in their fields like dermatology were featured in the creatives. The brand then used In-Feed Ads to reengage the audience in the For You feed. The campaign generated 15M video views on TikTok, resulting in 84 per cent uplift in brand recall and 29 per cent uplift in brand preference. In Vietnam, Garnier launched a TikTok campaign alongside Gen Z brand ambassador and celebrity, Amee, to promote its new skincare product with a signature music soundtrack and hashtag challenge. The campaign resulted in 283 million video views on TikTok, leading to a 6.6 per cent increase in brand recommendations, ultimately driving a 30 per cent uplift in sales on Garnier’s marketplace in Shopee.
Aparna Bharadwaj, managing director and partner, BCG said: “Shoppertainment can provide the sweet spot for brands to reignite consumers’ purchasing passions in an authentic and consumer-driven way. Aligning brand aspirations with consumer demand spaces, especially at key moments of truth when consumers are seeking new products and experiences, enables highly immersive online experiences that leave a lasting impression on consumers throughout the path to purchase. Brands can then look forward to carving out a lucrative share of the trillion-dollar Shoppertainment opportunity for growth.”
To view the full findings of the report, visit http://www.tiktokshoppertainment.com/.
Latest News
Slew Of Senior Hires At Sparro by Brainlabs & Jack Nimble
Independent digital marketing agency, Sparro by Brainlabs, and creative production agency, Jack Nimble, have announced four new senior hires across the agency group. The appointments follow several significant recent new business wins and product launches. Lead image: Kiki Jones, Morgen Mathews, Lauren Nixon-Smith, Michael Sparkes Kiki Jones joins Jack Nimble as group account director following […]
Initiative’s Fein, Geer, Colter To Depart For Accenture Song
It's great news for Accenture Song, very bad news for the Initiative company card with this triple leaving do.
Pizza Hut Fined $2.5m For Spamming Customers
To be honest, if you're going to spam customers, cheap pizza deals is probably on the low side of the dodgy scale.
Jetstar & Qantas Perception Ratings Soar After Bonza Cancelled Flights, YouGov Finds
This poll is further proof nothing builds a positive brand image like your competitor monumentally f@cking up.
Pedigree Launches AI-Powered Ad Initiative To Give All Dogs A Home, Via Colenso BBDO & Nexus Studios
B&T encourages this dog adoption initiative. And that's despite us barely being able to look after our own selves.
Apparent Launches “All Heart, No hassle” Integrated Campaign For Flight Centre’s Corporate Traveller
Apparent charged with Flight Centre's Corporate Traveller creative. Has avoided any gags about stolen hotel bathrobes.
South African Tourism CMO: ‘We Want Consumers To Experience SA Through The Eyes Of A Child’
B&T chats with South African tourism's Aussie CMO. Admittedly, we had to quickly rectify our Barossa Valley questions.
Market Research Firm TRA Names KFC’s “Look On the Fried Side Of Life” As Australia’s Favourite Ad
A poll of everyday Aussies has revealed our favourite ads. And it'll make difficult reading for the Harvey Norman team.
‘A Big, Big Step In The Right Direction’: Media Buyers React To News Corp’s D_Coded
There was a universal thumbs up for News' D_Coded event. Although there were calls for glitter bombs at the finale.
CommBank Announced As Presenting Partner Of Vogue Codes 2024
Vogue Codes is a top initiative encouraging women into STEM-based careers. All while wearing Jimmy Choos, apparently.
Brad Garbutt Joins OMA As Marketing Lead
Seasoned adlander Garbutt joins the outdoor association. Says he's got the DOOH down pat, but working on the PDOOH.
TV Ratings 15/5/24: Gruen Pulls A Crowd For Aunty As It Enters 16th Season
Although B&T typically shuns predictions, we're expecting big numbers for Peter Dutton's Budget reply speech tonight.
D_Coded panel: ‘If You Are A Marketer Handling Data And Haven’t Spoken To Legal, You’re In Trouble’
This fiery panel was a highlight of Tuesday's D_Coded event. Not that it spilled out into the carpark.
SBS Audio Campaign Tells The Stories Of New Australians, With Multilingual Content Offerings To Assist Migrants
SBS Audio has launched a new marketing campaign for its ‘Australia Explained’ service which supports new migrants to successfully navigate life in Australia and achieve a greater sense of belonging and social cohesion. SBS’s flagship service for new migrants, Australia explained, has launched a multi-platform marketing campaign that reaches into the heart of the migrant […]
Tracker App Launches, Promising Consumers A Read On Brand’s & Products Sustainability Chops
Shoppers can now get access to sustainability information at their fingertips through Tracker, a first-of-its-kind mobile app. The Tracker app centralises sustainability data into a single, easy-to-understand format, helping shoppers make informed choices about the brands and products they support. Shoppers can simply scan the barcode of their favourite supermarket, chemist or department store item […]
Channel Factory Expands Team Across Australia & New Zealand By 20%
Social media agency Channel Factory announces a significant lift in staff numbers. Doesn't thank Tuesday's Budget.
Jaywing Extends Strategy Team Appointing Fran Martin As Senior Brand Strategist
As is often said, you can never have too much strategy. Same can't be said of programmatic & AI.
Tourism Tasmania Taps Broadsheet For Latest “Off Season” Campaign Iteration
Do you like to drape yourself in sheepskin, flannelette & weird, wooly hats? Tasmania in winter is for you.
Netball WA Appoints 303 MullenLowe As Brand Strategy partner
Netball WA appoints 303 MullenLowe for its brand strategy. Any mention of Gina also now strictly forbidden.
RyvalMedia Flies Off With RedBalloon Media Account
Got family or friends working at RyvalMedia? Say ta-tah to shit birthday presents as agency pricks RedBalloon's media.
“First We Get Plastered Then We Fill Your Holes” – Tradies Face Ad Standards Ire
As juvenile as this plasterer's tagline is, it does sound like the plot to most adult films.
ANZ, Lyre’s, Uber, Adam Ballesty & An Australian Of The Year – More Big Names Join Cannes in Cairns, Presented by Pinterest!
Judging by this cavalcade of A-listers set to star in Cairns, a selfie stick is now mandatory for all attendees.
Grab A Sneak Peek At Pinterest’s Special Guests This Cannes in Cairns!
It's another teaser to the awesome talent you can expect in Cairns. Oddly, no sign of the B&T staff barbershop quartet.
M&C Saatchi Sport & Entertainment’s Steve Martin & Jamie Wynne-Morgan Sign Off From Agency They Set Up
Will Steve and Jamie ape Maurice and Charles with their new agency name? Stay tuned to B&T to find out.
Netflix Has Google & Amazon In Crosshairs With Ad Server Launch
Is your dream weekend Uber Eats & a Netflix binge? More toilet breaks are on the way, as streamer amps up ad offerings.
Boom, Boom, Boom! Get Ready For the Boomtown Bus Whisking You To Cannes in Cairns, Presented By Pinterest In Style!
Worried your hibiscus print kaftan might overshadow things in Cairns? Fear not, as you can see this bus from space.
On The Menu Joins Forces With TBWA\Melbourne To Melt Freezer Shame
This campaign "fights misconceptions about frozen food". Ice-cream, pies, Sara Lee! What misconceptions, B&T asks?
IMAA Announces Digi-Byte Event Featuring Industry’s Top Talent Plus “Immersive” Gaming Competition
The indies fan group unveils plans for its newest event. Says anyone in a WPP running singlet will be refused entry.
Bowel Cancer Revealed As Australia’s Deadliest Creature In New Campaign, Via Ogilvy Health
Does your office have a secret & serial farter? Possibly lure them out with this important bowel cancer campaign.
Who’s In Charge? B&T Reveals The Best Of The Best Industry Association Chiefs!
B&T's acknowledging the 10 very best industry association bosses. Discover if your membership dues are worth it here.
TEDxSydney Splits Into Two; Check Its New Creative Program
TEDxSydney moves to Luna Park's Big Top in June. Get motivated & throw up on the Wild Mouse at the very same time.
TV Ratings 14/5/24: Punters More Interested In Farmer Wants A Wife Drama Than Jeremy Clarkson’s Agricultural Adventures
Think sheep husbandry programs are TV's missing link? You can't complain with Farmer Wants A Wife AND Clarkson's Farm.
Paper Moose and Innocean Australia launch Love Our Work Industry Charter
It's a top initiative fostering harmony in the creative space. Not to downplay the unbridled joy of destroying a rival.
IAB: Privacy Act Changes Might Lead To “Nonsensical Outcomes” For Digital Advertising As Industry Wrings Hands
B&T front row at the IAB's Data & Privacy Summit. So private, in fact, attendees were wearing fake moustaches.
Fortress Games Hits Play On Partnership With Havas Network’s Organic And One Green Bean
The games culture destination names local agency roster who'll hopefully explain what a games culture destination is.
Fabulate Launches New List Of Fastest Growing Aussie Creators, Including Leah Halton, Across Social Media
A list of who's hot in Australia's influencer/creator world's here. And it's bad news for foodies angling for a freebie.