Forget the single APAC strategy, brands need to get local and category specific

Jess Tang, senior consultant for APAC at trend forecasting company WGSN, told The Drum the region's increased fragmentation across markets, platforms, and, significantly, consumer behaviours means the idea of an ‘APAC consumer’ does not exist.

“I think that's what makes APAC so interesting. There's no one consumer persona defining the entire region. It's fragmented and very diverse,” says Tang.

“The needs of a consumer in Australia are different from the needs of a consumer in China versus the many other countries in the region.”

“It shows that brands should move away from a single Asia market or brand strategy and really tap into the key priority relevant to their product type and product context.”

Tang says brands need to explore hyper-localised strategies driven by key consumer insights and behaviours for those specific markets or product categories.

“I think having on the ground local teams will be quite key moving forward. As consumer trends and priorities may manifest in different ways in different markets, which can be driven by the local players. That’s what makes APAC challenging but also exciting, particularly across these emerging markets.”

While consumer behaviours and values differ across the region, overall, APAC consumers expect brands to deliver innovative, in-real-life, sensory experiences which can be seamlessly transitioned into online platforms.

“[There is] a growing desire among Asian consumers to make the most out of the present by finding respite in a variety of experiences despite the global economic slowdown,” says Tang.

While the cost-of-living crisis and economic uncertainty are creating a more cautious mindset and driving “more savvy purchasing and decision making”, consumers are still seeking out innovative and engaging brand experiences as they shop for essential purchases.

Tang says after the pandemic and lockdowns, “consumers are craving in real life, sensory and engaging experiences, and this is driving a lot of the retail and commerce trends, which means there's actually a lot of opportunities for brands to be really innovative and create new experiences, particularly in mobile and social commerce.”

“The effects of a global economic crisis and always-rising consumer expectations will force businesses in the region to find new drivers of growth,” says Tang.

Tang says while many consumers across APAC suffered digital fatigue because of extended lockdowns overall, they still expect brands to deliver seamless online to offline experiences and omnichannel strategies.

A major research study by the company identified a number of behavioural trends which have emerged in the post-pandemic environment across the region.

Among these were: ‘Sensory adventurers’, the consumers seeking offline, in-person experiences; ‘Phygital connectors’, who want the best of both the offline and offline worlds; ‘Thrifty indulgers’, consumers who are searching for micro-moments of indulgence on limited budgets; and, ‘Inclusivity advocates’, the consumers who are purchasing based on social values and supporting minority-owned brands and underrepresented communities.