Even though many COVID-19 lockdown restrictions have been lifted globally, research from Adobe, presented at their Adobe Experience Makers Live event, reveals that the extended home confinement has significantly altered consumer shopping habits and brand interactions.
The research highlights how COVID-19 has impacted daily life, with nearly seven in ten consumers (67%) concerned about the pandemic’s overall impact, particularly regarding personal health (73%), job security (40%), and the economy (36%). Millennials (72%) expressed higher concern levels compared to Gen Z (58%), Boomers (62%), and Traditionalists (48%).
Simon Dale, Adobe’s Southeast Asia Managing Director, noted that COVID-19 accelerated pre-existing shifts in consumer behavior and attitudes in the Asia Pacific region. Brands adapting quickly to this new digital landscape will establish stronger customer relationships by effectively addressing their needs. Marketers must understand their customers and tailor communication strategies to resonate with diverse groups.
While 95% of consumers are willing to wait out restrictions, only 61% agree with their continuation, indicating a desire to return to normalcy. Consumers in China showed the most agreement with continued restrictions, while the Asia Pacific region overall demonstrated more willingness to wait compared to Japan and the US.
The study also found consumers placing greater importance on staff treatment (77%), with brands needing to catch up as slightly over half (54%) of consumers believe brands are doing enough for staff wellbeing. This issue sees a generational divide, with Gen Z placing less importance compared to Millennials.
Nearly three-quarters of consumers (73%) find it crucial for brands to reflect the current global situation in their marketing, particularly in China (80%) and India (83%). There is a general expectation for brands to proactively offer assistance or special offers during this time, strongest in China (94%) and India (94%), and weakest in Australia (82%). This sentiment is shared by 78% of US marketers surveyed.
Source: Adobe APAC Consumer Survey (June 2020). Results of responses (n = 4,001) to the question “How, if at all, have you changed your shopping for the following?”. Shopping frequency and habits have changed. Groceries, media, books, and health products saw an increase or no change in purchase frequency; in contrast, clothes, home improvements, and dining/delivery faced the steepest decline.
Male consumers were more inclined to purchase dining/delivery and media, while female consumers shopped less across all categories except groceries and clothes. Media includes movies, games, and music.
Younger generations, particularly in India, reported increased purchasing across all categories except dining/delivery for the latter group.
Despite COVID-19, seven out of ten consumers prefer buying groceries, health/beauty products, and home improvement items in person. Around half (47%) also utilize home delivery, typically for food and books, and 17% rely on curbside pickup.
Across product categories, younger generations and urban dwellers favor home delivery, while older generations, except for media, prefer in-person shopping. Australian consumers, among surveyed countries, showed a stronger preference for in-person shopping across all product categories.
Brands have maintained relatively positive sentiment, with over half (55%) of consumers finding brand-related COVID-19 updates useful and 69% wanting them in the future.
Effective communication frequency and targeting specific consumer groups are crucial. Two-thirds find brand communication frequency to be appropriate, while surprisingly, nearly one in five (16%) believe brands aren’t communicating enough. Younger consumers were more likely to unsubscribe from emails, highlighting the need for personalized engagement strategies.
Responding to shifting consumer preferences, most organizations (79%) are adapting long-term strategies, anticipating prolonged impact, and 82% are modifying future marketing approaches. Notably, Asia Pacific marketers are more inclined towards long-term changes than their US counterparts. These changes involve shifting marketing channels (75%), adjusting target audiences (58%), and reallocating resources across regions (47%).
The importance of addressing COVID-19 in external communications is evident, with over 70% of marketers having a dedicated COVID-19 task force to manage messaging and campaigns. This is less common in Australia (55%) and Singapore (67%) compared to China (81%) and India (80%).
During lockdown, 58% of consumers increased online shopping frequency, while 74% plan to change future shopping habits. This intention is strongest among Indian and Singaporean consumers. Younger generations are more inclined towards changing shopping habits, while older generations prefer maintaining existing ones.
Chinese and Indian consumers reported the highest increase in online shopping, with Indian and Singaporean consumers indicating the strongest intention to change future habits.
Conversely, under half of marketers in Japan and the US have dedicated teams for this. The positive outcome of aligning with a COVID-19 task force is evident in the Asia Pacific region, where the vast majority of marketers find organizational marketing and communications authentic (94%) and resonating with customers (92%).
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Download the reports on the Adobe website – Consumer Report | Marketer Report (PDFs).
*Conducted by research firm Advanis for Adobe, the study surveyed 4,001 consumers in selected Asia Pacific countries – Australia, China, India and Singapore and 1,200 marketers across China, India, Singapore and Australia between 1 – 17 June 2020.
APAC stands for Asia Pacific, and CX for customer experience.
Age bands are defined as: 18 to 29 years old: Gen Z (23%); 30 to 49 years old Millennials (36%); 50 to 64 years old: Boomers (26%); and 65 years+: Traditionalists (15% ).