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Global Industry News

FedEx reports strong optimism among APAC businesses for holiday sales

Policy

Sriram Krishnasamy Executive Vice President and Chief Transformation Officer, FedEx Corporation President and CEO, FedEx Dataworks | FedEx

By Sky Industry News

Nov 3, 2024

FedEx has released the results of a survey conducted in October 2024, highlighting optimism among small and medium-sized enterprises (SMEs) and consumers in the Asia Pacific region regarding the holiday shopping season. The survey involved 200 SMEs and 300 consumers across 12 APAC markets.

The findings indicate that 70% of SMEs anticipate year-on-year sales growth during this festive period, with nearly 80% expecting this growth to stem from within Asia, particularly Southeast Asia. This aligns with broader market trends showing double-digit growth in Southeast Asia's e-commerce market for 2024.

Kawal Preet, president of FedEx Asia Pacific, commented on the ongoing gifting season: “In the Asia Pacific region, the gifting season continues in the months leading up to Christmas through to Lunar New Year.” She emphasized that as cross-border e-commerce surges, e-tailers are preparing to maximize sales opportunities during this time.

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The survey reveals several key consumer preferences. Over half of consumers prefer shopping on e-commerce platforms, motivated by discounts and promotions. Additionally, free delivery remains a significant factor influencing purchases. Consumers expect orders to arrive within two to three business days and express interest in sustainable online shopping practices.

To address these expectations, FedEx offers solutions like FedEx® International Connect Plus (FICP), which provides cost-effective international shipping typically delivering within one to three business days. Furthermore, FedEx has established a network of approximately 260,000 smart lockers across APAC for secure deliveries.

Sustainability is increasingly important for consumers; while less than half of SMEs believe customers seek a balance between sustainability and speed, 88% of consumers desire more sustainable online shopping practices. Moreover, over three-quarters are willing to pay extra for sustainable packaging when buying gifts.

The survey was conducted by Milieu Insight across various markets including Australia, China, Hong Kong SAR, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand, and Vietnam.

Organizations Included in this History

FedEx

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