HONG KONG SAR - Media OutReach - 13 July 2021 -
According to a new report published by Carousell Media Group (CMG) and IAB
Southeast Asia and India (IAB SEA+India), income levels and purchasing patterns
in Hong Kong signalled towards a growing aspirational consumer class. 64% of
Hong Kongers noted that their household income was in the top 50% income tier.
The report on the Millennial Motivations and Buying Behaviours Online across Southeast
Asia and Hong Kong, conducted across five Carousell Group's markets -
Singapore, Hong Kong, Philippines, Malaysia (for both Carousell and Mudah.my
platforms) and Vietnam (Cho Tot) with over 3,500 of its respondents, also
uncovered that the global trend of recommerce - or the buying and selling of
pre-owned items - is accelerating in this part of the world.
"This research captures a
highly engaged millennial audience who are in the browsing and buying mindset,
motivated by a great deal, variety of options, and by their belief that
purchasing pre-owned is more sustainable. In addition, when we took a closer
look at the Luxury Category, we found that half of all respondents bought
luxury items in the past 12 months. Overall, Singapore, Carousell Malaysia and
Hong Kong are above the purchasing average; despite being in the midst of a global economic slowdown.
This signals the rise of a growing aspirational consumer class, dominated
primarily by under 35s." JJ Eastwood, Managing Director, CMG shared.
This regional research
establishes the audience profile in each market then explores income and
spending habits, how the audience spends their time online, and offline, motivations
to use buy-and-sell marketplaces, as well as attitudes towards sustainability
in relation to their purchasing habits.
Key findings include:
- 93% of Millennials in Hong Kong
felt that purchasing pre-owned items is more sustainable
- 62% of respondents in Hong Kong
bought a luxury item in the past 12 months, with over 50% buying Bags &
Wallets from brands like Gucci, etc. Luxury accessories and belts are significantly more popular in
Millennials vs over 35s.
- Millennials were more likely to
save to buy luxury items vs over 35s. We see that most of the Millennial
household income goes towards savings (27%), which is higher than the regional
average. However, over 35s are significantly more motivated by promotions and
sales when it comes to purchasing a luxury item.
- Millennials overall, also cared
more about social issues such as sustainability, social responsibility and
climate change in comparison to over 35s.
- In the majority of markets, both
those under 35 and over 35 are equally motivated to use the platform as the
environmental impact is lesser when purchasing a pre-owned item.
- Gaming, Mobile, Gadgets or Accessories is the
top category in Electronic Items, followed by Computer Accessories and Home
& Kitchen Appliances; these are all categories that facilitate
entertainment, communication, virtual working and cooking as respondents spent
more time at home due to COVID-19.
- Asian platforms dominate the
competitor landscape against similar Western platforms such as Amazon
"Across all the local market research, what
was consistently obvious is that we are witnessing the explosive growth of
recommerce as it feeds two key needs of consumers today; the demand for
sustainability and the hunt for a good deal. This
juncture of ethics and eCommerce creates fertile ground for retail media because of the
interplay among customer data, closed-loop reporting, and real-world results
that generate more and better data." Miranda Dimopoulos, Regional
CEO, IAB SEA+India said.
"Recommerce has become
synonymous with sustainability and this research demonstrates how important
this has become to young people across the region. As we see users spending
more on high-value products like luxury, and cars, we also see them being
increasingly conscious of where they spend their money. This presents a unique
opportunity for brands to win the hearts and minds of this core consumer
segment around issues they care deeply about," said JJ Eastwood.
For full access to the local market reports
and to discuss retail media opportunities with Carousell Media Group in more
detail, email us at [email protected]. Any research questions or feedback can be
sent to [email protected].