Trends you should know about Gen Z and the online economy

[Editor’s note: Online digital marketing series Web Wednesdays returned last April 1 with the topic “The E-Conomy and Its New Customer.” Below is a press release from IMMAP featuring insights from the first session of Web Wednesdays.]

MANILA, Philippines – Web Wednesdays, The Internet & Mobile Marketing Association of the Philippines (IMMAP)’s online series, returned last April 1. 

The first session of Web Wednesdays featured timely insights on digital shopping select trends from Neil Trinidad, Country Chief Marketing Officer of Lazada Philippines. It also premiered insights from “The Future 100: 2020” report, care of Pam Garcia, Executive Strategic Planning Director of Wunderman Thompson Philippines

“The Enhanced Community Quarantine (ECQ) is fundamentally changing how we shop,” said Trinidad. “We assume that after this, it will be the new normal with more people looking to online shopping as their channel of choice.” 

Lazada’s data showed that before the ECQ, sales for masks, first aid supplies, milk formulas, and cleaning materials increased by at least 200% and as much as 570%. They also saw a rise in aircon and air purifier purchases, which they credit to work-at-home preparations.

Prior to the current increase in digital transactions, online shopping festivals such as the recent 11-11 and 12-12 sales have already gathered new users and bigger purchases than ever before. Trinidad said that it was a sign that consumers are becoming more at ease with digital transactions at a rate that is faster than expected.

“For the first time we saw over a million online shoppers on the platform in the very first hour,” he said, noting highlights such as 13 million diapers sold, a single shopping cart with Php 1.2 million worth of goods, and almost 350 pre-ordered cars.

With around 92% of urban Filipinos shopping online, Trinidad expects tech-aided shopping to continuously evolve.

“Shopping in the new economy is empowering, is entertaining, and lastly is meaningful,” said Trinidad. With less buying friction through technology, buyers are empowered to make their preferred purchases with interactive experiences. They also tend to engage more with the buying platform if they are engaged through games and livestreams. COVID-19 has also seen meaningful shifts from brands and online markets to digital payment platforms in driving donations, and the system will likely continue after ECQ.

In a study done before the COVID-19 pandemic, businesses were foreseen to be optimistic about the future.

“The past years have left societies across the world adrift in unsettling political, economic, and environmental times. Consumers have been feeling more anxious than ever,” Garcia quoted from “The Future 100: 2020.” “Now, there is a role for brands to provide a realistic but optimistic outlook for a reassuring future. We all need that now at this point.”

In discussing select trends from the annual report, Garcia pointed out select barriers and drivers for consumers. One wall, for example, is a Gen Z consumer’s difficulty to share an optimistic outlook for the future because her parents keep comparing their generation to her’s. A driver for another consumer, in this case, is that mental health awareness is increasing among people.

Other trends discussed by Garcia were “Anti-bullying Gaming” and “Singles Lexicon.” 

The former is a drive for online gaming to be free from violence and harassment. In the Philippines, she noted that the trash talk culture is still strong, but efforts to keep the online space a safe space are being driven by influencers and gaming personalities according to their research. 

“Singles Lexicon,” on the other hand, is reframing the lack of a relationship as a strength, which also translates to purchasing choices. While some Filipinos see being single as a sad situation, there is a rise in the number of people who think otherwise.

Looking at select trends with Gen Z consumers in focus, seamless, and cashless is the preferred purchasing experience. Their generation is the most connected, noted Garcia, and will most likely be strong in the convictions they pick up, such as environment-friendliness or veganism. Markets, she said, should be ready to make these consumers feel considered. – Rappler.com

Web Wednesdays, produced by IMMAP, discuss different digital marketing topics in the Philippines. The next session on April 22, at 6pm, will cover digital consumer behavior in times of crisis.

Register here http://bit.ly/2wtUijT