Criteo just released findings showing that brand loyalty is up for grabs when it comes to Singaporean consumers. The company’s ‘Why We Buy’ survey revealed that 78% are willing to consider shopping from a new brand across all product categories. ‘Groceries’ (95.8%) and ‘Apparel’ (93.4%) are the top two categories where consumers are willing to do so.
Criteo conducted this market research in partnership with Qualtrics and Dynata to uncover latest insights on consumer shopping habits and preferences, by collecting responses from 1000 residents in Singapore in July 2019.
Loyalty goes beyond low, affordable prices
Offering low, affordable prices is not the only way to win the hearts of consumers, the survey showed. Almost three-quarters of Singaporean consumers (74.9%) are motivated to buy from brands that provide the best value for their money and a wide product selection (54.6%). Contrary to popular belief, loyalty programs which drive purchase through earning points and rewards do little to motivate Singaporean consumers to repurchase. Only 39.5% of Singaporean survey participants will purchase from a brand again for loyalty points.
“In the lead-up to the year-end sale seasons, Singaporean consumers are exposed to a lot more promotions and discounts,” said Alban Villani, Managing Director, SEA. “They are more desensitized to price differences as a result. Since Criteo’s survey has found that Singaporean consumers are open to try new brands, brands who want to stand out and drive brand loyalty among consumers will need to find new ways to appeal beyond low prices and loyalty programs.”
Brand values influence purchase and repeat purchase decisions
Brand values continue to be a priority for businesses due to its influence on a consumer’s decision to purchase or purchase again from a brand. In fact, one in five consumers (19.6%) will stop buying from a brand whose values are not aligned with their personal beliefs. 48.5% agree that purchase decisions are affected by brand values and 46.1% will purchase again from a brand whose values align with their personal values.
“Singapore has the fastest and one of the highest Internet connectivity scores in the world, which enables consumers to be well-informed. In turn, they expect transparency with the brands they transact with, so businesses need to clearly communicate their mission and values,” Villani added.
Personalized, relevant ads encourage repeat purchase
Consumers in Singapore welcome personalized and hyper-relevant online ads that help them discover new products: 61.8% of consumers reported discovering a new product through online ads; furthermore, 71.4% will purchase again if they are offered a discount that is personalized and relevant, after trying a brand for the first time.
In the online world, most Singaporeans go to Facebook (69.2%), websites (61.4%) and YouTube (59.5%) to discover new brands. This is closely followed by Instagram, email and online influencers.
“Consumer purchase decisions are highly complex and dependent on multiple factors. Brands need a trusted advertising partner who can produce hyper-relevant ads by leveraging global consumer data and a strong artificial intelligence (AI) engine. This enables brands to provide a personalized shopping experience throughout the entire customer journey to deliver the right ad, at the right time and place,” Villani concluded. (Source: Criteo)