E-Commerce In Singapore: 2023 Online Shopping Trends | OOm Singapore

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As time passes, more and more people are shopping online. You should take advantage of that opportunity and optimise your e-commerce website. Doing so will help you raise brand awareness and strengthen your online presence to attract customers and increase purchase conversions. To help you make that happen, you should be updated of the current state of online shopping in Singapore and the future of e-commerce. Here are the online shopping trends that you need to know this 2023: 1) Local Brands Are On The Rise; 2) Increase In Voice Search; 3) The Prevalence Of Video Marketing; 4) Rise Adoption Of Augmented Reality, and 5) Social Media Shopping Is Evolving.

The pandemic has changed Singapore, not only in terms of public safety but also the way businesses operate. Online shopping has risen in popularity over recent years, perhaps even more in years to come.

 

Let us look at the current state of online shopping in Singapore and discover how you can adopt the latest e-commerce trends for your e-commerce and improve your SEO.

 


 

Online Shopping Summary Of 2022

 

Online Shopping Summary Of 2022

 

 

Many things have changed since the start of the new decade, no thanks to COVID-19. Everyone, including businesses, had to go through a few setbacks and adapt to changes brought about by the pandemic.

 

Less than a year ago, we discussed the current online shopping trends in Singapore that surfaced during the beginning of 2021. For instance, we have discovered that brick-and-mortar stores use social media such as Facebook for marketing to attract more customers and expand their online presence. 

 

We also found out that middle-class consumers are leading the way for ecommerce growth in Singapore.  J&T Express has shared that around 97% of internet users in Singapore have purchased at least once. 

With artificial intelligence (AI) being a significant asset and most people considering the internet as a source of information, there is no doubt that e-commerce is dominating the marketplace in 2022.

 

However, looking back at these trends from the present day, can we still say that these trends have shaped the e-commerce industry in Singapore for the better? Despite the ongoing COVID-19 affecting most businesses in 2022, the pandemic has proven that online shopping should be part of the norm. You can expect that online shopping will become more prevalent in years to come.


 

The Current State Of Online Shopping In Singapore

 

The Current State Of Online Shopping In Singapore

 

1. Clothing Is The Most Popular Category Of Products

 

Gone are the days when your only option is to go to a store in person to buy a new pair of jeans. As more businesses, especially clothing shops, shift to e-commerce in Singapore, you can shop online for high-quality clothes as long as you know your size. 

 

Given that Singapore has been a fashion-forward city, it is not surprising that clothing is the most popular selling item online. Statista even has found that the revenue in the apparel market in Singapore will reach up to 2.42 billion USD this year, and it will grow by 4.15% every year until 2026.

 

The infographic below will show how the revenue of the apparel market in Singapore will grow in the coming years. 

 

Apparel Market Revenue In Singapore From 2021 To 2026

 

2. Most People Prefer Cashless Payments

 

Most people cannot dispute how more convenient online shopping has become than buying in person. Even though physical stores promote cashless payment options such as digital wallets, credit cards, or debit cards, more buyers prefer to purchase online since they can receive their parcel at their desired delivery location. 

 

With online payments, you can purchase your products without using cash, making it more convenient to go shopping. Plus, in our current situation (pandemic), contactless payment is a lot safer and less risky for our health. 

 

Currently, the most preferred payment method is via a digital wallet. Straits Times has even reported that digital wallets will most likely take over credit cards in the coming years because 27% of the Singapore market is forecasted to use digital wallets by 2024.

 

And because of this new option for contactless payment, you expect the e-commerce industry in Singapore to grow further. 

 

3. Increase Of Mobile Online Shoppers 

 

Mobile devices are several times lighter and easy to carry around compared to laptops, so it is no surprise that the mobile internet users will climb from 5.39 million in 2022 to 5.68 million by 2025.

 

The growth of mobile internet users has an effect on mobile e-commerce revenue in Singapore. Based on Statista’s research, it will increase to over 6 billion USD by 2024.

 

ALSO READ: E-Commerce Vs M-Commerce: What Is The Difference?

 

For that reason, you can expect more online shoppers to purchase their goods from mobile phones and devices. The only way to accommodate them is to optimise your e-commerce website design and make it responsive. 

 


 

We have come a long way since the start of 2022. On the bright side, the future is looking more hopeful for the e-commerce industry. Statista estimated that the Singapore e-commerce market in 2022 will rise to 7.29 billion USD this year. 

Be on the lookout for these top five online shopping trends in Singapore for 2023:

 

5 Online Shopping Trends In Singapore For 2023

 

1. Local Brands Are On The Rise

 

If there is one thing that the pandemic has proven, it is the fact that online shopping is convenient and usually cheap. Fortunately, local brands such as in the fashion industry are rising in popularity lately, with more people shopping for high-quality goods made and distributed by Singaporean businesses. 

 

Local brands are not just popular with locals but also with tourists. With the easing of COVID-19 restrictions, local brands should expect some of their target audience will consider shopping in person after checking out their products or services on e-commerce websites. 

 

As a local brand, the only way to increase your customer base online and in person is to optimise your e-commerce website to improve SEO for local search results. 

 

ALSO READ: Local SEO: Why Is It Essential For Your Business?

 

 

Whether it is Apple or Samsung, most smartphones these days have voice search features. Most people use this feature to search for things they want to buy without typing their inquiries  themselves. After all, they need to call their smartphone’s virtual assistants like Siri or Alexa to help them find what they want.  

 

KNOW MORE: The Ultimate Guide To Voice Search (And How it Impacts Your SEO)

 

Given that 77% of consumers prefer voice search over typing, there is no doubt that voice search is changing online shopping. According to Statista, voice search will become more popular in the coming years since its market rate will reach 27.16 billion USD by 2026.

 

To guarantee your customers will find your products or services online, you should optimise your e-commerce website design in Singapore for mobile voice search. Ensure to include your physical address with your contact details and business hours to increase your chances of appearing more on search engine results pages (SERPs).

 

3. The Prevalence Of Video Marketing

 

High-quality ads and commercials have always been a staple for digital marketing. After all, 78% of people are watching online videos weekly with an average of 16 hours of screen time. Thus, it only makes sense to start an effective video marketing campaign.

 

ALSO READ: 5 Tips For Launching A Video Marketing Campaign

 

Video marketing works for e-commerce because commercials or interactive videos are the best way to showcase your products online. You should know that high-quality images alone are not enough to convince your customers that your products are worth buying. In that case, you can create interactive videos that let customers know more about your products.

 

4. Rise Adoptions Of Augmented Reality

 

If you want your customers to view your products in the best way possible, try implementing augmented reality (AR). AR is becoming popular once again, and more brands are showcasing their products.

 

LEARN MORE: Augmented Reality: Giving life to imagination

 

For example, IKEA uses AR for its app to let customers know what their favourite home furniture and furnishings will look like in their very own homes. All you have to do is open the app, point your camera in any direction, and click on a product of your choice to envision its appearance, size, and shape of what the furniture looks like in person. Perhaps you can do the same for your products by using AR for your business?

 

 

AR USE BY IKEA

 

Consider using AR to give your customers an unparalleled experience when demonstrating your products. It is the best way for your customers to get a closer look at your products without laying a hand at all.

 

Besides AR, extended reality (XR) is the next biggest trend that will take the e-commerce industry by storm. Here is how XR will change the reality for everyone. 

 

5. Social Media Shopping Is Evolving

 

Online stores such as Shopee, Lazada, and Qoo10 are still the most popular e-commerce websites, but did you know that Facebook and Instagram are becoming fan-favourites as well?

 

Facebook Shopping

 

This image is a screenshot from the introduction of a customisable online shop.

 

Social media sites such as Facebook and Instagram have their very own online shopping platform. Many businesses are trying to use these two to attract more customers to buy from them even on social media. Thus, expect more of these social media shopping sites to improve in terms of ecommerce.

 


 

Do You Need Help With Your E-Commerce Business?

Consider applying for Productivity Solutions Grant (PSG) for e-commerce development and engage with a pre-approved PSG provider. With a PSG grant for e-commerce, you can claim up to 70% of funding support. If your e-commerce business belongs to Food Services And Retail Sectors, you are eligible for 80% of funding support until 31st of March 2023.

 

LEARN MORE: Productivity Solutions Grant (PSG) For E-Commerce Websites 101

 


 

Conclusion

 

These are just some of the predicted latest shopping trends in Singapore that you may want to consider for your e-commerce and improve your SEO! If you need help in creating effective e-commerce SEO strategies, get in touch with an e-commerce SEO agency soon.

 

For Singapore e-commerce statistics, trends, and tips, contact OOm at +65 6391 0930 or leave a message on our website if you want to learn more. 

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