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Survey shows optimism among APAC businesses about upcoming shopping season

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Survey shows optimism among APAC businesses about upcoming shopping season
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Sriram Krishnasamy Executive Vice President and Chief Transformation Officer, FedEx Corporation President and CEO, FedEx Dataworks | FedEx

In the midst of a bustling shopping season, FedEx, one of the world's largest express transportation companies, has released its latest survey results on the Asia-Pacific shopping season. Conducted in October 2024, this survey involved 200 small and medium-sized enterprises (SMEs) and 300 consumers across 12 Asia-Pacific markets. It aimed to understand their expectations for the shopping season, motivations for purchasing, concerns, and key trends shaping consumer behavior during this busy period.

The findings reveal that 70% of SMEs expect sales growth compared to last year’s shopping season. Nearly 80% believe that this growth will primarily come from Asian markets, particularly Southeast Asia. This optimism aligns with overall market trends where Southeast Asia's e-commerce market achieved double-digit growth in 2024 due to digital technology applications and cross-border trade development. Additionally, intra-Asian trade is rapidly growing and is expected to exceed $13.5 trillion by 2030.

Key opportunities for SME growth include:

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- Over half (57%) of consumers prefer shopping on e-commerce platforms, with 70% motivated by significant discounts and promotions during the shopping season.

- "Free shipping" remains crucial in enhancing the shopping experience and driving purchase decisions. Consumers also expect delivery within two to three working days after placing an order and seek convenient delivery options.

- Consumers desire more environmentally sustainable online shopping initiatives from businesses. They are willing to pay extra for sustainable packaging when selecting gifts, giving companies offering such options a competitive edge in the crowded e-commerce market.

FedEx President of Asia Pacific Kawal Preet stated: "The gifting season in Asia Pacific spans several months from before Christmas through Chinese New Year. With cross-border e-commerce continuing its rapid expansion, sellers are gearing up to maximize sales during this holiday peak period, especially SMEs. FedEx empowers businesses with an extensive logistics network and smart digital solutions to deliver excellent customer experiences while ensuring smooth holiday logistics operations."

The survey highlights that e-commerce platforms are essential for SMEs seeking to boost sales:

E-commerce's share in retail continues rising as over three-quarters (87%) of SMEs use third-party platforms to expand their customer base and increase sales opportunities. Major online events like "Singles' Day," "Black Friday," and "Cyber Monday" play critical roles in attracting consumers during the peak buying season.

To maximize customer attraction, sellers innovate personalized services including live streaming product demonstrations and aggressive social media promotions. Logistics reliability, pricing advantages, and digital tools are deemed vital factors by SMEs for meeting international shipping demands during peak seasons; hence nearly half (48%) seek additional support from logistics providers.

FedEx aids sellers by streamlining order fulfillment processes through integrated e-commerce solutions with leading platforms like Shopify and BigCommerce while enhancing FedEx Ship Manager (FSM) usability so that sellers can manage orders seamlessly amid increased seasonal demand.

Delivery becomes a key factor affecting consumer satisfaction:

Beyond festive discounts and promotions, delivery service significantly impacts consumer experience as expressed by 65% who indicated "free shipping" influences their purchase decisions while delays remain a primary concern for over half (54%). A majority (60%) expects deliveries within two-three business days post-ordering; convenience is prioritized by almost half who see it as enhancing their overall experience significantly.

To meet these expectations effectively—FedEx International Connect Plus among other services helps sellers ship goods economically yet efficiently across Asia-Pacific & Western markets often delivering most packages within one-three business days satisfying fast-shipping needs desired today[4].

Recognizing last-mile delivery importance—FedEx’s regional network features around 260k smart lockers providing secure collection points whether recipients are home or not along customizable final-mile options like text alerts plus tracking via tools such as FedEx Delivery Manager International ensuring packages reach intended destinations smoothly using picture proof upon arrival too!

Consumers balancing sustainability alongside speed:

In competitive marketplaces—offering environmentally friendly choices presents increasing opportunities where nearly half(47%)of surveyed SMEs believe customers seek balance between sustainability & speed when buying online meanwhile vast majority(88%)urge more sustainable measures from businesses creating unique advantages further supporting environmental efforts boosting brand loyalty considerably! Overwhelmingly high number(77%),willingness exists paying extra sustainably packaged gifts reflecting strong eco-consciousness observed currently...

Sustainability now integral rather than optional add-on according insights gathered showing decisive role played within decision-making process nowadays particularly those aiming expanding commerce presence can evaluate supply chains utilizing digital tools make informed decisions regarding carbon footprint reduction facilitated notably via FedEx Sustainability Insights enabling historical emission reporting transparency convenience alike![5]

Organizations Included in this History
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