ASIA. New research from Asia’s leading brand distributor and operator, Bluebell Group, has found that 80% of consumers across Asia would choose to buy from premium or lifestyle brands that offer them experiences through events, technology, entertainment or gaming elements.
The feeling is almost universal in Mainland China, according to the research, with 94% of respondents agreeing with this statement, followed by Taiwan (90%) and Hong Kong (83%).
The findings come from the Bluebell’s market study, Asia Lifestyle Consumer Profile, which involved a survey tracking lifestyle consumption drivers and trends in what it describes as the world’s most dynamic consumer markets.
The Asia-wide survey involved 2,100 premium lifestyle consumers across six markets, namely Mainland China, Japan, South Korea, Hong Kong, Taiwan and Southeast Asia (Singapore and Malaysia).
Bluebell’s report findings noted that a desire for novelty from brands is apparent among consumers – in both experiences and products. In Asia, the majority of markets showed a strong interest for virtual products, with the preference particularly marked among Mainland Chinese (85%), Taiwanese (77%) and Hong Kong consumers (73%).
More traditional attitudes to brand reputation and luxury as a ‘reward’ are equally apparent, Bluebell observed in its report. Its findings show that the importance placed on brand reputation is again strongest in Mainland China, Taiwan and Hong Kong, and suggests a traditional attitude to luxury as a way to affirm status.
The majority of consumers are also aligned in their purchasing behaviour: between 76% and 94% of consumers (from Southeast Asia and Mainland China, respectively), agree that they will buy luxury items as a reward to themselves.
In its report commentary, Bluebell observed that brands investing in creating natural products currently seems a better bet than a long-term plan towards sustainability. It noted that, along with the pursuit of health, comes the pursuit of all things ‘natural’, with consumers across Asia preferring to buy more natural choice brands, be it in their ingredients or fabric.
This preference is again most prevalent among Mainland Chinese consumers (95%), followed by those from Taiwan (89%) and Hong Kong (85%). Bluebell noted that this trend does not align with expectations on sustainability: over 70% of consumers in all markets except Japan say that ‘sustainability’ would not be in their top three decision-making factors when purchasing premium brands.
On an encouraging note, Bluebell’s survey revealed that 80% of consumers across Asia say they are generally feeling positive about the future. Mainland Chinese consumers are almost universally positive, which Bluebell attributes to a short lockdown and a high public approval of pandemic-related measures. In contrast, among Japanese consumers, only 51% said they are feeling positive about the future.
Reflecting on the findings of the study, Bluebell Group President and CE, Ashley Micklewright said: “As lifestyle brands enter a new phase of planning post-COVID, there is a fundamental need to understand the differences and commonalities across Asia consumers’ outlooks. This is not just about the impacts of the pandemic on Asian consumer trends.
“It is about a region in evolution and each market within evolving differently, with regards to consumers’ state of mind, purchasing intent and preferences. In essence, this is a playbook for brands whether they have retail operations across Asia, or in specific Asian markets.”
Consumer traits
Bluebell Group identified five consumer traits shared by large consumer groups across the six monitored markets in Asia:
Experientialist: Events, technology, entertainment, gaming, human or digital, they want to experience it all, and across all channels.
Culturalist: In tune with their own roots, they value brands which show local relevance in their branding and product.
Traditionalist: Luxury is still a way for them to affirm their status – both to the world and to themselves. By and large, for them niche is not the new luxury.
Comfort-me-ist: Health, home, natural – consumers care about self-improvement and self-enjoyment. While natural products are part of the mix, sustainability is not yet a top criteria in their consumption.
Neophilist: They thrive on novelty and are curious to explore new things, from mix and matching to virtual and second-hand products.