By 2020 Singapore Online grocery will triple according to IGD
Well I just came back from a trip in the region, and I must admit that malls, supermarkets and the entire retail life is very different in the South East Asia region compared to what I am used to in Belgium.
It’s a coincidence that IGD published a press release concerning Singapore, but the data published actually confirms my conception that retail in that region is still booming.
Nick Miles, Head of Asia-Pacific at IGD said: “Singapore is hailing a new era of digital grocery retailing, driven by the entry of RedMart in 2011, Giant and Sheng Siong launching online grocery in 2013 and plenty of smaller start-up businesses also looking to grab a slice of the action.
Shopper habits are changing rapidly in South East Asia and in a compact city such as Singapore, with its relatively affluent population, big expat community and high penetration of Internet and smartphone usage; there are huge opportunities for online grocery to meet these evolving needs. To make the most of this opportunity, retailers and suppliers must work together to ensure they really understand online shoppers and can tailor experiences and products to suit their personal preferences.
First, retailers are looking to improve the overall online experience, by getting the basics of search functions, favorites, images and information right for shoppers. At the same time, they’ll be aiming to make delivery options as convenient as possible, whether that’s through shorter timespan delivery slots or greater choice of click and collect points throughout the region. Our UK data shows that 80% of shoppers cite convenience as their number-one reason for shopping online, and we would anticipate Singaporean shoppers to have a very similar mindset when heading online for their groceries.
We also expect online grocery retailers in the region to encourage shopper loyalty through personalized offers and products, plus subscription models and delivery saver passes. On top of that, shoppers in the region are increasingly connected via mobile, so ensuring a seamless shopping experience no matter what device they are using will be critical. Coupled with an increased focus on using innovations such as voice-activated technology, virtual reality and robotics, we predict huge opportunities for those retailers and suppliers who really invest in making the online grocery channel work for them in Singapore.”
According to forecasts published by IGD, Singapore’s online grocery market is set to triple in growth over the next three years, from S$130m (US$91m) to S$0.5bn (US$0.35bn) by 2020.
More info on IGD at www.igd.com
SingaporeIgd Igd Report Grocery SalesOnline