How brands can craft the right ‘Shoppertainment’

CONSUMERS ARE WILLING TO PAY MORE FOR 'GREEN'

ASIA PACIFIC

More than 70% of consumers said they are willing to pay higher for products that have a positive impact on the environment or health, Bain & Company reported.

Shoppers in Asia-Pacific led with 90% of consumers who are willing to pay more, followed by European consumers (74%), and American consumers (71%).

Despite this, Bain & Company found that most consumers are not changing their shopping behaviors.

“Inflation is of course making consumers more sensitive to price – but at the same time it’s also encouraging them to revisit deeply engrained consumption habits,” Luciana Batista, a Partner in Bain’s Retail, Consumer Products and Sustainability practices, said.

“This offers a rare opportunity for retailers to disrupt the status quo and encourage circular models that see consumers returning products or reusing packaging for a discount in the future. Combined with greater choice and clear communication at the point of sale, inflation can be a catalyst for more sustainable behaviour.”

Moreover, the report found that the higher inflation is also worsening the funding gaps challenge retailers face in investing in sustainability.

“A high-risk environment may reduce investment into sustainability in the short term but there is much retailers can do to decarbonise without making significant financial investments,” Luciana also said.

“Energy and waste saving measures can help to reduce costs and exposure to risk in the short term, while more comprehensive commitments are developed.”

‘Shoppertainment’ should tell a story and be authentic

How brands can craft the right ‘Shoppertainment’

ASIA PACIFIC

Retailers need to adopt a video-first approach focusing on education and integrating storytelling and even comedy in order to tap the US$1t "shoppertainment" and capture more consumers, according to a report by Boston Consulting Group and social media platform TikTok.

Brands should tell stories and educate. This could be accomplished by telling a story about a certain brand or product and piquing their interest in a way to educate them and integrating comedy to offer entertainment and engagement.

They should also adopt a “videofirst approach” characterised by short content to retain consumers’ attention, and tap influencers that will help amplify your message.

The report also stated the brands should not force decision-making and that their contents should only contain interests and hobbies the consumers can relate to.

“Target good feelings and nostalgic recollections that rekindle excitement, whilst building stories around uplifting and engaging themes,” the report read.

Authenticity in content that will inspire others is also vital for brands to have along with credible reviews and open and engaging community conversations. Brands should also recommend trends by including insights from community experts and enable extended conversations between friends and users, and “build them into a strong and trusted culture and following.”

They should also provide clear information about a product that can be accessed easily and properly communicated, and they should also ensure that there is a “clear and intuitive path to purchase.”

Shoppertainment could open $1t opportunity for APAC brands

Brands in the Asia Pacific region can gain $1t in market value by 2025 due to the rise of “Shoppertainment,” according to a report by Boston Consulting Group and social media platform TikTok.

According to the report, Shoppertainment, a content-driven commerce that targets to entertain and educate first whilst integrating content and community, is expected to grow annually by 63%, across markets included in the report.

Australia, Indonesia, Japan, South Korea, Thailand, and Vietnam were expected to drive significant value opportunities in shoppertainment.

Sam Singh, Vice President of Global Business Solutions for APAC at Tiktok, said this form of e-commerce is another avenue for businesses to tap as consumer habits continue evolving and “people are looking to be delighted online.”

“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,” Singh said.

“This allows brands to meet both functional and emotional needs, thereby building stronger and longer relationships,” he added.

Target good feelings and nostalgic recollections that rekindle excitement