According to the latest study published by TikTok and Boston Consulting Group (BCG), Shoppertainment could uncover USD 1 trillion in market value for brands in Asia Pacific (APAC) by 2025.
Shoppertainment is content-driven commerce that seeks to entertain and educate first while integrating content and community to create highly immersive shopping experiences.
Titled ‘Shoppertainment: APAC’s Trillion-Dollar Opportunity’, the report surveyed markets across APAC, including Australia, Indonesia, Thailand, Vietnam, South Korea, and Japan, and found that the immense choices afforded by technology have shaped consumers’ appetite for discovery,
Analysis conducted by BCG also predicted that Shoppertainment is expected to grow at a 63% compound annual growth rate (CAGR) for markets included in the report, with the top three contributing markets in APAC as Indonesia, Japan, and South Korea.
Brett Armstrong, global business solutions, general manager ANZ said: “The e-commerce experience has always been about bringing the best deals to the right audiences as efficiently as possible. However, consumer purchasing habits are evolving, and people are looking to be delighted online. Nobody wants to be sold to, but everyone will say yes to being entertained.
“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. This allows brands to meet both functional and emotional needs, thereby building stronger and longer relationships.”
Research conducted by TikTok and BCG found that online experiences have now reached a saturation point for advertising, with consumers citing key pain points in the path to purchase as follows:
1. Inertia to make decisions: 26% of consumers want more time to consider purchases and 46% decide to buy on a different day.
2. Distracted journey with multiple pathways: 89% of consumers research inside and outside the app, 63% need to see content at least 3-4 times, and 85% switch apps while going through the purchasing journey.
3. High scepticism of branded content: 34% are sceptical about branded content, keeping them from making the purchase.
The study also revealed APAC customers want:
• Fun and entertainment: 81% expect storytelling and educational-first content and 76% are keen on video-first formats. This can be created by influencer and brand collaborations and shown through shoppable TV, livestream broadcasts or even live events online, weaving in comedy to entertain and engage.
• Credible and original: 71% find that authenticity is important in making content engaging. Brands can create an authentic brand sentiment, with credible reviews and open and engaging community conversations that inspire the community through product reviews or unboxing videos.
• Inspiration and indulgence: 71% expect brands not to force decision-making when engaging consumers. Brands must ensure content is associated with interests and hobbies that align with consumers by targeting good feelings and nostalgic recollections that rekindle excitement while building stories around uplifting and engaging themes.
• Trend and community: 65% want to see trusted advice and recommendations on brands online. It is important to include the voices of credible and trusted community experts and facilitate extended conversations between friends and users.
To view the full findings of the report, head here.