There is no doubt long lockdowns have had a significant impact on people's daily lives as the world continues its transition from managing the Covid-19 crisis to recovery and the reopening of economies. Consumer behaviours have shifted as a result of lengthy periods of self-isolation and economic uncertainty.
While practically all activities have now returned to normal, most consumers will continue with the online purchasing habits that they developed over the past two years. According to the UOB Asean Consumer 2021 survey, 98% of Thai consumers prefer grocery shopping online, along with 95% for food delivery and 93% for apparel purchases.
All generations of Thais increasingly used online media during the pandemic, particularly among Generation Z, with YouTube (86%) and Facebook (74%) key channels. Gen Z also had the highest average daily internet usage at 12 hours and 5 minutes, according to the Electronic Transactions Development Agency (ETDA).
Small and medium-sized enterprises (SMEs) now have access to a wider range of customers as a result of this growing trend. These customers include younger people to whom they might not have marketed in the past, as well as older generations with more spending power. For SMEs looking to increase revenue, it will be essential to know what resonates with their target consumers and to incorporate these insights into their business plans.
This year's Smart Business Transformation Programme (SBTP), run by UOB Thailand and FinLab, focuses on providing a cross-generation digital marketing guide to help SMEs capitalise on the abundance of opportunities available.
METAVERSE OPPORTUNITY
Many brands are now focusing on the metaverse, a virtual reality experience, to reach out to younger generations who spend the most time online and are more engaged in digital culture than any other generation.
According to a study by Obsess titled "The Metaverse Mindset: Consumer Shopping Insights", 70% of consumers who visited a virtual store completed a purchase. The survey also found 75% of Gen Z shoppers have purchased a digital item within a video game, and 60% think that brands should sell their products on metaverse platforms.
"The metaverse is not just a place to sell products or services, but also a community where brands and businesses can collaborate to improve their customer experience, leading to brand loyalty and new business opportunities," says Oranuch Lerdsuwankij, the co-founder and chief executive of Techsauce Media, a leading Thai media outlet for tech startups and corporate innovation.
The metaverse is still in its infancy. Now is the time for SMEs to adopt a test-and-learn mindset, to be receptive to metaverse experiments, and learn how to quickly recover from failure and capitalise on success.
GAME OF ENGAGEMENT
Gamification is another powerful tool to boost engagement, according to Panuwat Sachaviriyakul, a psychology and user experience expert and co-founder of Nudge Thailand. "People have a competitive nature; putting game-like elements into products and services could make people excited and eager for rewards," he said.
An easy way for SMEs to get started with gamification is to understand their target demographic and make campaigns simple and fun, while providing opportunities and rewards.
Gamification is a technique that SMEs can use to create relationships with their target customers and collect insights. The more a business understands the existing target audience, the more effectively it can promote the campaign.
Given the access that is now available to vast amounts of data gleaned from digital tools and technologies, it is imperative that the data a business acquires can be adequately managed and analysed. As companies amass more data, the more insights they can gain and the better the service they can provide to their consumers.
Business strategies, solutions and promotions should be considered when analysing all data from every source to find the perfect matched answer for customers. This data-driven mindset also helps define the most suitable marketing strategies and campaigns to reach target customers and achieve business goals.
SMEs interested in pursuing digital transformation can learn more at thefinlab.com/th/thailand.
Sirinun Jiradilok is the head of digital engagement and fintech innovation with UOB Thailand.
