February 26, 2014
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Singapore, 26 February 2014 – Even as online shopping continues to grow, more consumers are opting for the convenience of shopping on their smartphones with over half of Chinese and Thai shoppers making purchases via mobile devices, according to the latest MasterCard Online Shopping Survey.
The survey, which serves as a benchmark that measures consumers’ propensity to shop online, was conducted across 25 markets between November and December 2013. The report for the Asia/ Pacific region included interviews with 7010 respondents from 14 markets who were asked questions about their online shopping habits. The survey and its accompanying reports do not represent MasterCard’s financial performance
Two-thirds of Asia/Pacific consumers go online to shop, with nearly 100% of respondents from China indicating that they have made at least one online purchase in the past three months. South Korean and Australian consumers are also passionate about shopping on the net with 97% and 90% of respondents having made at least one purchase online, respectively.
The results also show a spike in the number of Indian respondents who use the internet for shopping from 53.1% in 2012 to 80% in 2013. Consequently, the percentage of Indians who have shopped online in the last three months has also gone up from 70.9% in 2012 to 87.8% in 2013.
The ubiquity of internet-enabled mobile phones has many savvy shoppers in China (59.4%), Thailand (51.2%), Korea (47.6%), India (47.1%) and Indonesia (46.7%) shopping via their smartphones.
In terms of growth rates, top markets for mobile shopping include Taiwan (up by 17% since 2012), India (up by 16.8%) and the Philippines (up by 11.4%) who are proving to be keen adopters. On the other hand, consumers from New Zealand (15.0%), Japan (22.9%) and Australia (24.8%) show the lowest intent to purchase using their smartphones.
Across the 14 Asia/Pacific markets, convenience (46.8%), the ability to shop on the go (41.3%) and the growing availability of apps that make it easier to shop (40.8%) emerged as the most compelling reasons for driving smartphone shopping. Clothing and fashion accessories (26.0%) topped the list of items purchased through smartphones, followed by apps (22.4%) and music (18.8%).
“For the first time, we see that clothing and fashion accessories have overtaken apps to become the top category of items purchased via smartphones. This indicates a strong and successful shift by merchants to enhance the mobile experience to consumers to make it more convenient,” said Pierre Burret, Region Head, Asia/Pacific, MasterCard Advisors.
New mobile technologies are also gaining traction among consumers in the region, with mobile banking apps having the highest awareness-familiarity levels at 48.7%, followed by in-game-app shopping (35.7%) and in-social-networking-app shopping (34.9%).
Security remains a key consideration for consumers across Asia/Pacific (85.3%) when shopping online, with respondents from Indonesia (92%), China (91.8%), Malaysia (91.2%), Singapore (89.8%) and Australia (89.3%) citing it as a top concern, followed by the monetary value of the item (84.8%), and the convenience of the payment method (84.6%).
“The survey shows that there is a strong need to provide not only secure, but also convenient payments solutions to consumers in Asia/Pacific as they move to a more digital lifestyle. MasterCard is committed to providing consumers with convenient and safe payment options that enable a more seamless shopping experience,” Burret added.
The MasterCard Index suite in Asia/Pacific, Middle East and Africa includes the long-running MasterCard Index of Consumer Confidence, as well as the MasterCard Index of Women’s Advancement, MasterCard Survey on Online Shopping, MasterCard Index of Financial Literacy, and the MasterCard Index of Global Destination Cities. In addition to the Indices, MasterCard’s research properties also include a range of consumer surveys including Ethical Spending and a series on Consumer Purchasing Priorities (covering Travel, Dining & Entertainment, Education, Money Management, Luxury and General Shopping).
MasterCard also regularly releases Insights reports providing analysis of business dynamics, financial policies and regulatory activities in the Asia/Pacific, Middle East and Africa region. Over 80 Insights reports have been produced since 2004. MasterCard has also released a series of four books on Asian consumer insights, authored by Dr. Yuwa Hedrick-Wong, Global Economic Advisor for MasterCard and published by John Wiley & Sons.
MasterCard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, join the discussion on the Cashless Pioneers Blog and subscribe for the latest news on the Engagement Bureau.