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Shopee | ‘The Future of Shopping’ Study Reveals Gen Z Purchase Habits



Shopee, the leading e-commerce platform in Southeast Asia and Taiwan, officially unveils the ‘The Future of Shopping: Engaging Generation Z Shoppers in the Digital Era’ study. The study discovered that 7 in 10 Generation Z (Gen Zs) consumers aged 18 to 24 leverage e-commerce platforms as the primary touchpoint in their shopping journey. This highlights a critical shift, with Gen Z actively utilising these platforms to gather information and conduct in-depth research before committing to a purchase.


Findings revealed a continued preference for e-commerce platforms despite exploring alternative channels for product research and discovery. A significant 68% of Gen Z respondents demonstrate a higher purchase completion rate on e-commerce platforms. 18% of Gen Zs prefer to explore products on social commerce platforms, while the remaining 14% opted to finalise transactions through other channels.

 

Enhancing Service Quality for Gen Zs

 

Interestingly, when asked, “What information do you search for when shopping for a product?”, a significant 67% actively seek out positive recommendations, emphasising the importance of high customer reviews and influencer endorsements. This focus on external validation aligns with their value for user trust. They view clear communication of product benefits and effectiveness as justification, prioritising products that deliver strong value for money over affordability (16%) and quality (17%).

 

While two-thirds of Gen Zs complete their purchase journey within a day, another third dedicate at least five days to in-depth research, demonstrating meticulous research habits. This extended research phase prioritises reviews and video demonstrations to ensure product performance and user satisfaction.

 

Ming Kit Tan, Head of Marketing and Business Intelligence at Shopee Malaysia, said, “Gen Zs in Malaysia are more than just online shoppers; they're digital explorers who leverage e-commerce for deep dives and informed decisions. They crave a seamless, dependable, and unified shopping experience. Brands can cultivate trust through authentic user-generated content and crystal-clear product information, presenting a golden opportunity to leverage affiliate marketing and Shopee Live. By prioritising their needs, we can continue to be the leading destination for Gen Z's shopping journey.”

 

Enlivening Shopping Experience

 

When asked why Gen Zs are choosing e-commerce platforms for purchase, nearly 82% cited the platforms' extensive product variety and brand selection, competitive pricing, and guaranteed quality as key factors. The remaining 18% make informed decisions based on a platform’s reputation and personal experiences. This highlights Gen Z's data-driven approach to shopping, where they actively utilise platform functionalities to validate purchases before committing.

 

A significant difference emerged among Gen Z shoppers regarding the most impactful attributes influencing their choice of purchase channel. Established fulfilment practices, encompassing flexible shipping options, on-time deliveries, and real-time order tracking, were prioritised by a dominant two-thirds of respondents while the remaining third prioritised a seamless checkout experience and product search convenience. This finding underscores the critical role that trust in fulfilment practices plays in securing Gen Z's loyalty.

 

In response to these evolving shopping behaviours, Shopee introduced the 15-Days Free Returns, No Questions Asked* program. This policy empowers buyers with unprecedented flexibility by offering "Change Of Mind" returns on eligible items with No Questions Asked* for hassle-free returns, fostering a culture of unwavering customer trust. By prioritising customer satisfaction, Shopee is streamlining the shopping journey and providing users an ultimate peace of mind.


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Shopee Live | Dubai Chocolates by PHINIX STORE Go Viral

 


PHINIX STORE is the local homegrown seller responsible for making Dubai Chocolates go viral on Shopee Live. Deploying a creative and systematic approach to live selling, founders Husman Setta and Khaled Hassan, also known as Abang Ah Ah switched from a social commerce site to Shopee Live in July 2023 and saw Malaysian candy lovers place more than 1,000 orders per day with them, far outstripping their initial targets of 50 orders a day. 


They attribute their rapid growth, of up to 90% uplift in sales, to the fact that Shopee Live has the right audience familiar with the platform and primed to shop on livestream events, compared to other apps in their experience where audiences were seeking entertainment but not shopping.


“At the time, these chocolates were not that well known on social media or other platforms…Now I can say that 90% of our daily sales come from Shopee Live, especially from returning customers. We get to build customer relationships and have good interactions with our customers. Sometimes, our customers have become like friends to us, they join the livestream to ‘hang out’. Even offline, sometimes the customers recognise us and say hi to us, and we talk as well,” Husman said.


For PHINIX STORE in particular, the freedom to communicate with the audience intimately on their new branded content channel, to provide live education about how to store and serve their chocolates, and conduct two-way conversations in real time allowed them to build brand trust quickly. 


Taking advantage of Shopee’s integrated solutions for ecommerce sellers, PHINIX STORE first attracts new audience traffic by offering Shopee Coins, then polls customers on Shopee Live to conduct user research on what products will sell out, uses their sales reports to figure out the best window to livestream, and influences conversion and loyalty by rewarding customers with gifts. 



Khaled, who hosts all livestream events, explains how he drives urgency and spontaneity during the short windows of purchase: “We have a timer countdown for promotion times for the users to come in and rush for the products on special price during game sessions. We also reward loyalty: if they buy a certain quantity of products, for example, we give them free gifts. With every purchase of more than 1kg of chocolate, we give them 100g free.”


Kenneth Soh, Head of Marketing at Shopee Malaysia, said, “We are so happy that PHINIX STORE has found the secret sauce for local sellers to succeed online. Shopee Live has been accelerating as a new and effective way to create two-way, personalised engagements between sellers and buyers to drive on-the-spot sales. We intend to empower even more local businesses to scale online in this way.”


Commenting on plans for the future and aspirations for other Malaysian sellers like themselves, Khaled and Husman agree, “Our plan is to expand our business outside of Malaysia via Shopee International Platform, with our perfume product, Hush, and food products. We call on all sellers to have an online shop with Shopee to expand their market reach. Shopee provides the best platform to sell and promote products. Shopee also can teach us how to sell products for those without any knowledge in live streaming.”


To date, PHINIX STORE has accumulated 74,000 followers on Shopee. These followers have bought 85,714 kilograms of Dubai Chocolate, and 163,000 pieces of Milo Energy Cubes. The store also offers luxury perfumes and sambal, catering to local tastes.


Shopee Live:  https://help.shopee.com.my/portal/article/78854-[Shopee-Live]-What-is-Shopee-Live


PHINIX Store : https://shopee.com.my/phinixstore


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#ShopSafeWithShopee | 9 in 10 Malaysians Choose Shopee for Safe Online Shopping Experience

 


Shopee, the leading e-commerce platform in Southeast Asia and Taiwan, today announced the results of #ShopSafeWithShopee survey that found 9 in 10 Malaysians prefer Shopee for safe online shopping. The survey also found that 8 in 10 Malaysians feel that Shopee provides the best scam support when shopping online.


Factors Influencing Buyers’ Decisions


When selecting a platform for online shopping, the top factor that influences Malaysian buyers is their ability to have safe shopping transactions, such as secure payment methods, clear return and money back policies, authentic/verified products, and great customer service resolutions. 


This is especially true for shoppers aged 35 to 49 years old, whereas younger shoppers aged 18 to 34 years old place greater emphasis on the popularity of the platform (assuming if more people use it, it's safe) and the wide assortment of products available.


#ShopSafeWithShopee survey was conducted among 1,000 Malaysian shoppers aged 18 and above. It found that the features that give shoppers the most peace of mind on Shopee are:


  • Platform features that allow customers to verify sellers, such as 4-to-5 star store ratings, live demos on Shopee live stream, and seller chat functions (34%)

  • Shopee Mall features, such as genuine premium brands, money-back guarantees, and the Authentic Deals Circle (33%)

  • Shopee Guarantee, which releases money to sellers only when the customer confirms receipt of goods (29%)


“We are committed to providing our shoppers with a safe and secure online shopping experience,” said Kenneth Soh, Head of Marketing at Shopee Malaysia. “We have a number of initiatives in place to protect our shoppers, including Shopee Guarantee, Shopee Mall, and our dedicated scam support team. We remain committed to building a safe and secure environment for our users for an enjoyable shopping experience.”



Shoppers’ Awareness Levels about Scams


80% of shoppers consider themselves ‘sufficiently knowledgeable’ to ‘very knowledgeable’ about online shopping scams, whereas 20% have encountered situations involving counterfeit purchases, contact from suspicious sellers, or susceptibility to scams. 50% of respondents are worried about data breach (account stolen/hacked, stolen bank details), and  20% are concerned by fake sellers/counterfeit goods.


The survey also found that 30% of survey respondents have been a victim of an online scam in the last year. However, 70% said they were very lucky to avoid being scammed. The majority of those who were scammed were shopping for home and living products, followed by fashion and lifestyle items, and electronics. Both males and females across all age groups were equally susceptible to being a victim – scammers do not discriminate.


Of those who fell victim to scams, 38% reported it to Shopee Chat’s Live Agents to seek timely support. An equal number of respondents also reported to the relevant authorities, namely, the CCID via the Scam Response Center or Infoline, PDRM via SEMAKMULE, and to the National Scam Response Center hotline. 10% posted the experience on social media to inform the public, and 20% do not report these incidences.



How Malaysians Choose Trusted Sellers Online


In addition to the safety features offered by the platform itself, Malaysians also rely on social proof and other buyer endorsements when choosing a seller to buy from online. According to the survey, 7 in 10 respondents said that other buyer endorsements matter, with 33% looking at testimonials and reviews, 24% looking at store ratings, 12% looking at the number of loyal followers of the store, and 4% looking at top sales for the keywords searched.


The remaining buyers surveyed also check seller chat performance, cancellation rates and seller verification such as Shopee Mall, Preferred and Preferred+ tags to pick sellers to buy from


This data suggests that Malaysians value the opinions of other buyers when making online purchases. They are also likely to choose sellers who have been verified by Shopee or who have a good track record of customer service. Social proof matters especially for buyers of Automotive, FMCG, Toys, Kids and Babies, Groceries and Pets, and Home and Living items. 




References:

Shopee Seller Summit Ushers in New Era of Value-Based Marketing | Stay Relevant and Drive Economic Inclusion

 

1,200 Malaysian sellers on Shopee’s platform unanimously resolved to stay relevant with shifting values of younger audiences online by embracing Value-Based Marketing at Shopee’s Seller Summit at Sunway Resort on 21 June 2023. The sixth instalment of Malaysia's most popular annual e-commerce conventions provided a safe space for sellers to incorporate latest online consumer trends and newly launched marketplace features in contributing to the development of local communities across various industries nationwide. 


 

Up-ending the notion that purpose-driven business is solely the purview of large MNC corporations, ten value-based sellers set up pop-up booths to demonstrate how they drive unique values through user experience, authentic storytelling, and seamless engagement. Shopee Xpert and Shopee Bintang sellers played interactive games such as Marketplace Inclusion Treats-In-the-Jar, Building Connected Communities Jenga, and Redefining E-Commerce Pictionary, to break the ice and create memorable value-based learning experiences.


 

In his keynote speech, Shopee Malaysia’s Director, Cheng Xun Chua unveiled major 2023 platform initiatives focused on enabling Malaysian sellers’ growth. Firstly, Shopee is enhancing capabilities across logistics and payments, and prioritising brand protection to enable better shopping experiences for value-based customers. Secondly, Shopee is maximising customer lifetime value from its large user base by building cross-category synergy and deepening the connection between sellers and their customers, increasing shopper engagement and maximising sellers’ reach. 


 

According to Chua, "In today's e-commerce landscape, customers pay close attention to what a seller stands for and does, by checking out what the influencers and affiliates say about the brand. With Shopee 360 Marketing Solutions, we provide a comprehensive, end-to-end platform marketing solution that includes a range of tools and services to help sellers increase their visibility and sales.”

 

Khairul Aming, winner of Shopee Super Award 2022 Best New Seller and Best Customer Service awards, led the call to stay relevant during his panel discussion. He was joined by esteemed fellow sellers Roy Sam of PerySmith, Kim Yeo of Ecobb,  Sammy Chong of Celovis Jewelry, and So Bee Leng of Coty Malaysia, who spoke about meeting the needs of value-based consumers to drive long-term loyalty. 

 

He introduced Sambal Nyet on Shopee in 2021 and has made over RM 21.5 million in sales since, selling his millionth bottle last August. By constantly refreshing and customising content for Malaysians’ local preferences, he has over 3.7M followers on Instagram and consistently maintains an average of 5.0 stars ratings on Shopee with over 392.2k followers. Hailing from Kelantan, Khairul's growing business is a model of creating inclusive employment opportunities in his hometown for over 50 staff and 150 household dependents. 


 

Kenneth Soh, Head of Marketing at Shopee Malaysia, said, “Every year, thousands of sellers network and learn new things to grow at our Seller Summit. This year, I had the privilege of facilitating first-hand (in my panel forum) very proactive value-based marketing strategies that I’m sure will drive societal and business impacts by industry. Not forgetting, I wanted to thank all the brand sponsors for contributing to the success of Seller Summit 2023: Commerce.Asia, Intrepid, Kumoten, Mono & Co, PayRecon, Red Dino, SiteGiant, and Toyo, among others.“


 

Exemplifying how Made-in-Malaysia stores on marketplace can drive local economic inclusion while meeting the demands of value-based shoppers through Shopee’s ecosystem were: Ooi Zhi Wei of Zhiwei Herb, Felix Lee and Tee Ying Fui of Beehaus, Karen Tee of RPM (Racing Passion Moto), Eelin Lim of BeNourish, Leon Wong of Samview, Mohd Zaid of Lampu Cherita, Edward Wong of HomeDecoStore, Khairil Adhzaha of Tokey Sambal Hitam, Patricia Marin of Mamami Shoppe, and Hafiz Oon of Mr Bentong.


 

Last year, Shopee upskilled and integrated over 250,000 new sellers for digital inclusion, and saw 145 new sellers record over RM500,000 in sales in the first 12 months online. In line with Shopee’s ongoing efforts to leverage the transformative power of technology to create a more inclusive digital economy, Shopee’s Seller Summit provides tools to upskill and empower sellers to achieve online success and build a sustainable future for themselves. 


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ShopeeFood X Pizza Hut Delivers Love to Food Delivery Partners for Ramadhan and Hari Raya Celebrations 2023

 

In conjunction with Ramadhan and the upcoming Hari Raya celebrations, ShopeeFood together with Pizza Hut organised several berbuka puasa sessions across Klang Valley and Selangor for its fleet of food delivery partners. 



The #ShopeeDeliversLove campaign is in its second year and aims to show appreciation to ShopeeFood delivery partners. Hundreds of delivery partners attended the sessions across many locations such as Wangsa Maju, Kota Damansara, Kepong and Kajang. Besides feasting on various yummy pizzas and beverages provided by Pizza Hut, the delivery partners also received many other goodies like Hari Raya cookies and petrol vouchers. 



According to Kwa Yin Leng, Head of Operations for ShopeeFood Malaysia: “We are excited to be able to host this event on an annual basis for our delivery partners. ShopeeFood recognises the important role driver partners play in our business. As such, we continue to engage them closely, to better understand their needs. 



We take our driver partners’ feedback seriously, implement support initiatives and policies that meet their needs and continuously improve their welfare.” “ShopeeFood is committed to delivering the highest quality of service for our customers by providing our users with value, variety and convenience through an integrated ecosystem. 


We hope by providing good food to our delivery partners, they will have more flexibility to observe their religious duties while delivering customer orders during this busy period,” she added. Besides receiving food, delivery partners were also given a chance to win attractive lucky prizes that included smartphones, helmets and other riding apparel like raincoats. Delivery partners interviewed during the event also expressed their appreciation for the gesture from ShopeeFood. 


En. Faizal bin Hashom who has been working with ShopeeFood for more than one and a half years said: “It is such a great event, and I hope ShopeeFood can organise a bigger one in the future so more drivers can attend it together. The timing to have the event during the month of Ramadan and Hari Raya is good as well.” Another delivery partner, En. Abdul Qayum Bin Baharum said: “This event is really good for drivers to get together to not only meet new friends that are working in the same area but also a great opportunity to meet the ShopeeFood management team. The gifts are very attractive and I am grateful that we are able to participate in this event. Thank you ShopeeFood.” For the Hari Raya period, ShopeeFood will also be having special discounts from 20th - 21st April. 


The offers include Free Delivery and features various merchants such as myBurgerLab, HWC Coffee, and Nasi Ayam Penyet. ShopeeFood was established in 2021 to help its users benefit from a convenient and hassle-free food delivery experience by providing numerous eateries, from popular joints to local street food stalls, at the best value. 



As part of Shopee’s existing ecosystem that includes the mobile wallet ShopeePay, along with amazing deals and promotions all year round, Malaysians have a secure, and rewarding payment and delivery experience with ShopeeFood.


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