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2023 Consumer Trends Report

In this report 2
The WARC-GWI Partnership 3
The purpose of this report is to explore the key issues that will influence
Takeaways 4
consumer purchase decisions across brands and categories. It is based
Introduction 5
on a comprehensive set of GWI surveys combined with WARC’s own
research, case studies, and analysis.
Chapter 1: Inflation is driving new spending habits 6

The report focuses on five main areas influencing brand selection:


Chapter 2: The cost of living is shaping sustainable living 16

• Inflation and its continuing impact


Chapter 3: Gen Z is facing a mental health crisis 26
• Growing friction between sustainable endeavours and rising prices
• How Gen Z are approaching mental health
Chapter 4: Social commerce is on the rise 35
• The growing influence of social commerce on consumer purchasing
• New developments in consumer thinking on privacy
Chapter 5: Shifting the balance between privacy and convenience 45

More from WARC 55


Appendix 57

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2
2023 Consumer Trends Report

This report is based primarily on data from a mixture of GWI datasets


including Zeitgeist data from 2022 and 2023 fielded in Australia, Brazil,
WARC has partnered with GWI (formerly GlobalWebIndex) for this report.
Canada, China, France, Germany, India, Italy, Japan, Singapore, UK, and
GWI is a target audience company that provides consumer insight
US. The Asia Pacific (APAC) analysis is also based on data from 14 key
across 52 countries to the world’s leading brands, communication
markets in the region.
agencies and media organisations.

The report also uses data from GWI Core. GWI Core surveys over
The company runs a global survey representing more than two billion
200,000 Internet users across 52 markets on a quarterly basis.
connected consumers, which offers up over 40,000 data points on the
behaviours and perceptions of Internet users around the world.
All GWI figures in this report are based on responses from Internet
users aged 16-64, reflecting the online populations of each market.
Using the subscription-based platform, clients including Twitter, Google,
It is worth noting that in some markets, low Internet penetration
Spotify, WPP, IPG and Omnicom Group can gather in-depth insights into
suggests the online populations there are more likely to skew young,
audience behaviours, attitudes and interests through a combination of
affluent, and educated.
survey data and analytics.

For further information about the datasets, click here.

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2023 Consumer Trends Report

1. Consumers are cutting spend 4. Gen Z’s mental health crisis is 7. APAC consumers are
to cope with rising inflation, worsening. Mental wellbeing is especially receptive to social
and brands should reconsider an area brands can explore to commerce and display high
value propositions most engage and support this levels of trust in influencers.
urgently. audience.
8. Consumers are demanding
2. The high cost of living is 5. The social commerce market both personalisation and
leading consumers to focus on is growing and changing the privacy, highlighting the fine
activities and purchases that are way consumers – especially Gen line that brands must tread to
both eco-friendly and Z – discover and research offer convenience without being
economical. products. intrusive.

3. Second-hand shopping is an 6. Influencer recommendations 9. That said, the right incentives


emerging trend in APAC, but are driving brand discovery (e.g. free trials and improved
trust and product credibility and purchase on social media, convenience) can motivate
remain a barrier to entry. particularly amongst younger consumers to share data.
consumers.

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2023 Consumer Trends Report

The past year has shown us that the and buy products, further This report also contains additional
Consumer behaviours are only certainty about the next 12 fragmenting the way consumers analysis specific to APAC consumer
shifting as they learn to live months is that they will be filled with purchase goods online. trends. A key finding was that APAC
uncertainty. consumers are finding ways satisfy
with long-term unknowns,
With the support of our partner, pent-up demand for goods and
from uncertainty around While headline inflation has begun GWI, we’ve conducted extensive experiences, despite being
the future of the economy to ease in many parts of the world, analysis of a broad range of critical squeezed by rising inflation. The
to rapid advancements in the high cost of living and anxieties datapoints from their platform to region is also seeing a boom in
technology. about the long-term economic identify the broad, macro trends social commerce, driven by
outlook continue to impact that will impact consumers’ influencers and the rise of
consumers’ spending behaviours, spending choices over the coming conversational commerce,
as well as attitudes to important months. amongst other emerging trends.
topics including sustainability and
mental health. We’ve collated information from Our aim was to provide a wider view
across WARC, adding recent news of the major issues confronting our
On top of persisting inflation events and data, relevant insights industry through the lens of the
worries, consumers are traversing from marketing and business consumer, both at the global and
an ever-evolving digital commerce leaders worldwide, and case studies regional level, with suggestions to
Stephanie Siew landscape. The online purchase from our unique database of help businesses transform a year of
Research Executive experience is constantly being campaigns around the world, to uncertainty into one of opportunity.
WARC
reshaped by new ways to discover build on the knowledge from GWI.

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5
Chapter 1

2023 Consumer Trends Report Powered by

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2023 Consumer Trends Report

A simultaneous desire to reduce geopolitical conflicts, and high


spend and splurge on treats interest rates, amongst other risk
highlights two contradictory forces factors, further add to the sense of
influencing consumer purchase uncertainty.
behaviour amid struggles with the
high cost of living. These pressures continue to impact
consumer spending, with many
Inflation rates have fallen slightly, but coping by trading down or delaying
consumers are still struggling with purchases. GWI data shows that 2 in 5
high prices. In the UK, for instance, (40%) are spending less money now
approximately one quarter of the compared to 2022. However, this
population will fail to meet their period of economic hardship has also
energy and food bills with post-tax seen growth in spending on treats
incomes. Across the pond, US such as dining out and skincare.
household debt spiked to a record
high of $17.05 trillion in the first This chapter dives into some of the
quarter of 2023. coping strategies consumers are
employing to deal with the cost of
The economic outlook remains living crisis and how they are
gloomy – turmoil in the financial redefining indulgences in times of
sector, potential escalations of economic hardship.

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2023 Consumer Trends Report

Price conscious consumers are


forced to make tradeoffs as their 25 21 19 22 24 25

purchasing power shrinks.


20 19 24 21 18 16

In essential categories such as


groceries (25%), household 20 12 10 24 12 19

% Percentage
products (24%), and personal care
(25%), a quarter of consumers 18 15 11 17 22 20

would look elsewhere for discounts


if an item increased in price. For 12 21 25 16 12

bigger purchases such as


electronics, a similar proportion 10

(25%) would put off the purchase


until prices decrease.

The only category bucking this


trend is gifts, where people are
more likely to still buy the item,
despite the price increase (24%).
Source: GWI, GWI Zeitgeist November 2022. For further information about the dataset, click here.
Base: 15,390 Internet users in 12 markets aged 16-64
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2023 Consumer Trends Report

Discretionary spending is on the Despite a reduction in spending,


chopping block, with over a third however, consumers are still
Out-of-home entertainment (e.g. restaurants) 34%
(34%) having pared back on out-of- finding ways to enjoy life through
Travel / vacations 30%
home entertainment in the last 12 treats – although some regional
Luxury (e.g. watches, handbags) 29%
months. Notably, consumers are differences exist. Two in five (39%)
Clothing / shoes 29%
only half as likely to cut down on in- consumers spent on dining out as a
Electronics / tech 21%
home entertainment (17%). This is treat (either for themselves or for
Food / groceries 19%
likely due in part to the rise of others) in the past 6 months – up
Hobbies 18%
gaming as an entertainment 11pp from August 2022.
Transport (e.g. car fuel, public transit) 17%
platform. With over three billion
In-home entertainment (e.g. gaming) 17%
gamers worldwide, gaming has The growth in dining out as a treat
Fitness (e.g. gym membership) 15%
become one of the most engaged while spend on overall out-of-home
Personal care / toiletries 13%
with entertainment activities at entertainment declines suggests a
Utilities (e.g. electric, gas, water, internet) 11%
home. possible shift in the definition of a
Housing (e.g. rent, mortgage) 10%
treat, where going out for a meal is
Healthcare / medicine 10%
Other areas of discretionary now more likely to be considered
Other 2%
spending seeing reduced spends an indulgence - although diners
None of the above 19%
include travel (30%), luxury may compensate by choosing
purchases (29%), and clothing cheaper options. 0% 10% 20% 30% 40%

(29%).
Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: 15,335 Internet users in 12 markets aged 16-64
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2023 Consumer Trends Report

The evidence shows that if you consistently air good


quality advertising and invest in your brand, you build up
associations that mean people buy it just because it’s easy
to think of, or out of habit. Some will buy it without
checking the price, others might check prices but still
decide the product is worth paying more for…

… Right now, investing into willingness to pay is even more


important than usual. The current crunch in household
budgets is challenging consumers’ loyalty to their regular
purchases even as costs of production are increasing in
many businesses. Kantar’s latest reports show that
shoppers are maintaining their weekly budgets but making
ends meet by switching to lower priced alternatives.
Dr Grace Kite
Founder and Economist
Magic Numbers Marketers that want to survive the coming shakedown
need to look through their toolkits with a new lens and
prioritise strategies that convince consumers their
product is worth paying for.
Source: WARC, Sensitivity to price is a marketing outcome

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2023 Consumer Trends Report

Re-evaluate pricing Address financial anxiety Redefine treats

• Consumers are spending less and • The current economic landscape has • Consumers may be reducing their
making tradeoffs to manage their led to widespread anxiety as overall spending, but for most regions,
finances amidst high inflation. consumers remain uncertain about treats as a category continues to
their financial futures. grow. However, there has been a shift
• As value becomes top of mind, it may in how consumers define treats –
be time to reconsider pricing • During this volatile period, gain a dining out, for example, is more of an
strategies and communications to competitive advantage by investing in indulgence now than it was before.
emphasise value to the consumer. market research to understand shifts in
the brand’s audience and their • Consider reframing products and
• Explore alternative pricing models that behaviours, as well as their needs. services as a treat to increase their
offer value to the customer such as appeal to consumers looking for
product bundles, smaller product • Ensure communications and the indulgences to tide them through
formats for lower prices, or tiered creative approach strikes the right tone tough economic times.
pricing. considering audiences’ current needs.

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11
2023 Consumer Trends Report

Consumers in APAC are less likely Diminishing purchasing power also


No impact Small impact Moderate impact Dramatic impact Not sure
to feel the bite of inflation means big ticket purchases are
compared to other regions. Two less affordable. For large one-off
thirds (66%) of those surveyed by purchases like electronics, a price 100%
10% 4%
GWI think that inflation has had increase would lead more than a 13%
90%
either a moderate or dramatic quarter (28%) of APAC consumers 26% 23% 22%
80%
impact on them personally – less to delay the purchase until prices 26%
than consumers in Europe (77%) come down. 70% 35%
and North America (72%). 60%
Where prices of essential goods
50% 46%
37% 51%
That said, the inflated cost of living such as groceries and household 56%
40%
in this region continues to erode items have increased,
36%
disposable income. In Singapore, approximately a quarter of 30%

for example, rent prices for private consumers would still buy the item 20%
properties surged by 30% in 2022 but look elsewhere for a cheaper 24% 24%
19%
10% 16% 13%
– the highest increase in 15 years. price.
0% 4% 4% 4% 4%
Higher living expenses have
Singapore Australia China India Japan
impacted household savings,
pushing consumers to trim down
on non-essential spending. Source: GWI, GWI Zeitgeist January 2023. For further information about the dataset, click here.
Base: 6,289 Internet users in Singapore, Australia, China, India, and Japan aged 16-64
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12
2023 Consumer Trends Report

Global (%) APAC (%)

The largest reductions in spending Out-of-home entertainment 34 33 Out-of-home entertainment

have been made in discretionary


Travel / vacations 30 31 Luxury
verticals such as out-of-home
entertainment (33%), luxury (31%),
Luxury 29 29 Travel / vacations
and travel (29%).
Clothing / shoes 29 25 Clothing / shoes
One emerging trend as
consumers cut back on their travel Electronics / tech 21 21 Electronics / tech
spend is the rise of staycations
Food / groceries 19 17 Transport
and domestic tourism, with data
from GWI showing a 27% year-on-
Hobbies 18 16 Food / groceries
year increase in domestic travel
across ASEAN countries. Mobility In-home entertainment
Transport 17 15
restrictions from the pandemic
have created pent-up demand for In-home entertainment 17 15 Fitness
travel, and domestic tourism
allows consumers to satisfy their Fitness 15 15 Hobbies
wanderlust in an affordable way.
Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: Global, n=15,335 Internet users in 12 markets aged 16-64; APAC, n=6,285 Internet users in Australia, China, India, Japan, Singapore aged 16-64
© Copyright WARC 2023. All rights reserved.
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2023 Consumer Trends Report

Percentage point (pp) change since August 2022


While APAC consumers are making
the biggest spending cuts in out-
of-home entertainment, dining out Dining out 14
as a treat has grown 14pp since Ordering delivery (e.g. food, drinks, snacks) 11
August 2022. Other areas of Skincare products (e.g. serums, moisturizer) 10
growth within the treats category Clothing / apparel 10
include ordering deliveries (11pp), Health / personal care items (e.g. hair care) 8
skincare (10pp), and clothing Household products (e.g. kitchen appliance) 7
(10pp). Out-of-home entertainment (e.g. going to a musical) 5
In-home entertainment (e.g. films / music) 5
The growth in spend on treats Beauty / cosmetics (e.g. lipstick, nail polish) 5
suggests consumers are Accessories (e.g. shoes, bags, jewelry) 5
increasingly looking for ways to Technology / electronic items 1
indulge themselves, even as they None of these 1
tighten their belts. As with global Home / furniture products 0
consumers, dining out for APAC Travel (e.g. a domestic / international trip) -1
consumers may be more of a treat A day out / experience (e.g. a spa day) -1
than an everyday occurrence in -5 0 5 10 15
this economic climate.
Source: GWI, GWI Zeitgeist February 2023 and August 2022. For further information about the dataset, click here.
Base: 12,597 Internet users in Australia, China, India, Japan, Singapore aged 16-64
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14
2023 Consumer Trends Report

Agency:
Ogilvy Taipei City
In 2021, during a period of economic uncertainty,
consumers in Taiwan were more likely to reduce
Advertiser:
IKEA spending and put off purchasing big-ticket items.
Results Takeaways
Market:
While low prices had become more relevant during
APAC this time, IKEA was not seen as good value for small • IKEA adapted to changes in consumers’
123% increase in value
accessories. Over 36% of respondents to one behaviours and needs by highlighting the
items sales online
survey said their impression was that IKEA’s prices high value of their low-price products.
were worse than at other stores.
264% conversion rate to • Brands can adapt their business models
IKEA’s online store during by shifting relevance and value
In a bid to shift brand perceptions and increase
campaign perceptions amongst consumers.
home accessory sales, IKEA created a Dollar
Catalogue. This included 100 products, where each
21m impressions
page number corresponded to the price of the
product. The campaign was advertised on social
media and in metro stations. VIEW THE CASE STUDY

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Chapter 2

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2023 Consumer Trends Report

Consumers still care about are both climate-friendly and


brands’ commitment to economical. This includes buying
sustainability and social items that are durable to reduce
responsibility, but the high cost of consumption and, ultimately, costs.
living is pushing them to balance
these issues against price The emphasis on ‘practical
concerns. sustainability’ can also be seen in
the rise of circular economy
Consumer awareness around activities that are cost-effective.
environmental, social, and Consumers are increasingly renting,
governance (ESG) issues is growing, repairing, re-selling and buying
shaping purchase behaviours as second-hand.
people search for sustainable,
responsible ways to consume. This chapter provides an overview
of consumers’ evolving priorities
But the current cost-of-living around sustainability as the cost of
squeeze means consumers are re- living continues to bite.
evaluating what a sustainable
lifestyle looks like. Under financial
pressure, sustainable behaviours
centre more around activities that

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reserved.
17
2023 Consumer Trends Report

A brand’s commitment to Instead, being environmentally


sustainability (47%) remains a responsible in the context of the Major impact Minor impact No impact

major influence on purchase cost-of-living crisis goes beyond


Price 74% 18% 8%
decisions, but these concerns are a brand’s high level commitment
substantially outweighed by price to sustainability. It is closely Easy online purchase process 66% 22% 12%
(74%). Especially as wallets shrink, associated with practical product
Quick delivery 60% 28% 12%
consumers are finding it harder to features such as energy efficiency
Easy in-person purchase process 53% 30% 17%
justify paying a premium for eco- (57%) and durability (49%), which
friendly products and services. are both eco-friendly and cost- Product stock availability 48% 32% 20%
saving in the long term.
A brand's position on social issues 47% 30% 23%
Further analysis from Kantar
shows that there is little This shift to practical A brand's commitment to sustainability 47% 31% 22%
relationship between consumers' sustainability is also evident in
A brand's status on political issues 40% 30% 30%
financial situation and their purchasing preferences. GWI data
outlook on sustainability. Even shows that three in four A brand's country of origin 37% 36% 27%

those most passionate about consumers would prefer to buy an A brand's presence in virtual settings (i.e.
24% 31% 45%
in video games / the metaverse)
sustainability are likely to expensive technology product
0% 20% 40% 60% 80% 100%
reconsider sustainable purchases that is energy efficient compared
when under financial pressure. to a cheap technology product
that is not. Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: 15,335 Internet users in 12 markets aged 16-64
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2023 Consumer Trends Report

In many cases, being ‘green’ is used by brands as a


vehicle to drive premium pricing. But, with cost of living
a pressing priority for many, consumers will choose
less expensive options as prices increase. Because
they will have to, and because they can.

This means that to ‘stay green’ companies must see it


as more than a strategy at the top of their premium
pyramid; to be a part of the solution, and viable in the
long term, they must also be committing resources to
developing value priced ‘green’ products…

… The real opportunity is to tie greater value orientation


to better earth-friendly choices. To be about values vs.
Bill Alberti
Managing Partner just low cost. Arguably, lower cost should be where the
Interbrand greatest emphasis on values is represented – by
default. Lower price shouldn’t mean more plastic, it
should mean less. It shouldn’t mean bulk meat, it should
mean meat alternatives (not high-priced Impossible
Burgers, but low-cost beans, for instance).
Source: WARC, How brands can prioritise sustainability as inflation increases

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2023 Consumer Trends Report

90%

Circular economy behaviours such 80% 77%


as second-hand shopping and
selling are experiencing a boost as 70%
consumers rein in their spending. 61%
60%
Online second-hand platform
Thredup forecasts the global 50% 46%
second-hand market to nearly
double by 2027 to USD$ 3bn. 40%

30%
A big part of the appeal of second-
hand shopping lies in its cost- 20%
effectiveness. Three quarters
(77%) of those who have 10%

purchased second-hand cite cost-


0%
effectiveness as the reason for I buy second-hand items online I buy second-hand items because it's I like the style of pre-worn/vintage
doing so. This compares to a because it's more cost effective better for the environment clothes
smaller, but still significant, 61%
who buy second-hand because it
is better for the environment. Source: GWI, GWI Zeitgeist November 2022. For further information about the dataset, click here.
Base: 7,855 Internet users in 12 markets aged 16-64 who say they have shopped second-hand either in person or online
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2023 Consumer Trends Report

Be transparent about Emphasise long-term Collaborate with partners


sustainable practices savings in the circular economy

• A brand’s commitment to • Sustainable goods tend to be • The buying and selling of second-
sustainability has a major impact on associated with a price premium that hand goods is on the rise as
purchase decisions, but price is a can be a barrier to purchase. However, consumers look for more cost-
much bigger factor – especially in environmentally-friendly features friendly ways to consume.
times of financial strain. such as durability and energy
efficiency can save consumers more • Expand the brand’s reach and
• Build trust and relevance with money in the long term. relevance to consumers by
consumers – who are price conscious collaborating with stakeholders in the
but still looking for ways to live • Appeal to price conscious consumers circular economy ecosystem.
sustainably – by transparently by reframing higher upfront costs into Partnering with second-hand
communicating eco-friendly practices longer term savings and highlighting marketplaces, for example, can help
and making this information easily product features that are both brands engage new audiences and
accessible. sustainable and cost-efficient. leverage shared resources to respond
effectively to changes in the market.

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2023 Consumer Trends Report

Major impact
The sustainability-price gap holds As Wei Zhang, co-founder and
true in APAC, with price being CEO of on-demand rental A brand’s commitment to sustainability Price

consistently listed as a major marketplace Lendor, puts it,


influence on purchase decisions “Business and consumers in this
by the majority of consumers region, especially Singapore and
across the region. In contrast, a Thailand, tend to be more
brand’s commitment to pragmatic… Leading with green
sustainability is still important – messaging probably works with
half of respondents say it has a niche segments. But if you want to
major impact on purchase grow the market and make this
decisions – but this is outweighed mainstream, it has to be the other
by price considerations. way around.”

Sustainability has a clear influence


on purchase decisions in APAC.
However, consumers’
prioritisation of practical aspects
such as price must factor into the
brand’s approach to sustainability.
Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: Global, n=15,335 Internet users in 12 markets aged 16-64; APAC, n=6,285 Internet users in
© Copyright WARC 2023. All rights reserved.
Australia, China, India, Japan, Singapore aged 16-64
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2023 Consumer Trends Report

Global APAC

APAC consumers indicate some Donated an item (i.e. to a charity store) 30%
27%
interest in second-hand shopping,
with over a quarter (27%) having 27%
Shopped for a second-hand item online
shopped for a second-hand item 27%
online in the last 6 months.
Sold an item to friends / family 26%
amongst those who have shopped 17%
second-hand, four in five (80%)
say they do it because it’s more Shopped for a second-hand item in-person 19%
16%
cost-effective.
Sold an item on a second-hand virtual marketplace (e.g. 17%
Resale trends are manifesting in eBay) 16%
different ways across the region. In
Sold an item to a second-hand physical store 12%
Malaysia, there has been a rise in 15%
‘bundle’ shopping – thrifting from
large bundles of clothing that local None of these 37%
39%
merchants import from
wholesalers. China’s second-hand 0% 10% 20% 30% 40% 50%
luxury market is also thriving, with
the market expected to exceed
Source: GWI, GWI Zeitgeist November 2022. For further information about the dataset, click here.
US$32bn by 2025.
Base: Global, n=15,390 Internet users in 12 markets aged 16-64; APAC, n=6,277 Internet users in Australia, China, India, Japan, Singapore aged 16-64
© Copyright WARC 2023. All rights reserved.
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2023 Consumer Trends Report

Index,
Global
APAC requires more reassurance
about the authenticity of second- Product quality 60% 100
hand goods than other regions. Product credibility
52% 113
More than half (52%) of consumers (e.g. items that need authenticating)
in APAC identified product Good customer service
44% 105
(e.g. speedy response, easy return policy)
credibility as the most important
factor when purchasing items on A wide range of items 34% 107
second-hand marketplaces,
compared to 29% in Europe and Fast delivery 29% 97
32% in North America.
Ease when searching for relevant products 24% 96

These concerns are especially I do not purchase from second-hand marketplaces 14% 91
pronounced in the second-hand
luxury market due to the circulation Other 2% 80
of counterfeit goods. A 2019
None of these 2% 83
analysis estimated that only a third
(34%) of luxury products in China 0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
verified through luxury goods
appraisal platforms were genuine.
Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: Global, n=15,390 Internet users in 12 markets aged 16-64; APAC, n=6,285 Internet users in Australia, China, India, Japan, Singapore aged 16-64
© Copyright WARC 2023. All rights reserved.
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2023 Consumer Trends Report

Agency:
McCann Gurugram
OLX, an online platform where people can buy and sell
items, had inadvertently positioned second-hand items
Advertiser:
OLX as something unworthy that sellers were desperate to
Results Takeaways
Market:
dispose of. Many buyers believed second-hand items
APAC were sold because they were too old, too embarrassing, • For some brands, humour can be a highly
50% increase in daily
taking up space, or simply for sellers to earn cash. As a effective tool to connect with audiences.
number of customers
result, buyers had become wary and began to view OLX
purchasing on OLX • Even in a price-sensitive market, brands
second-hand items as undesirable discards.
should avoid assuming that cost is the
70% increase in daily sole consideration. People still need to feel
To improve trust and encourage consumers to
buyer enquiries reassured.
purchase second-hand items, OLX created alternate
‘origin stories’. Through a series of humorous ads, OLX
reframed sellers of second-hand items as people who
had to let go of a perfectly functional item for a great
and unexpected reason beyond cash. VIEW THE CASE STUDY

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25
Chapter 3

2023 Consumer Trends Report Powered by

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2023 Consumer Trends Report

Gen Z’s mental health struggles are online harassment, poor body image,
on the rise, but growing awareness low self-esteem, and depression
around the issue has led this amongst adolescents. An internal
generation to take action and study by Meta also found that using
prioritise their wellbeing. Instagram intensified suicidal
thoughts and eating disorders for
Nearly three in 10 (29%) of Gen Z say some teenage girls. With Gen Z
they are prone to anxiety – a higher predicted to spend nearly three
proportion than any other hours per day on social platforms in
generation. And there are a multitude 2023, there are major concerns
of reasons for them to feel anxious. around how this consumption will
Having spent their formative years impact their mental wellbeing.
under lockdown, many are now
coming of age in an era of economic This chapter looks at Gen Z’s
instability, global conflicts, and worsening mental health struggles
worsening climate change. and the steps they are taking to
alleviate their anxieties.
Adding to the strain on Gen Z is their
high consumption of social media,
which has been linked to poor sleep,

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27
2023 Consumer Trends Report

Selected responses only – ‘Mental health conditions’


Mental health conditions amongst
Gen Z are on a troubling trajectory.
One in 10 (10%) reports having a Gen Z Millennials Gen X Baby boomers
mental health condition, up from 12%
6% in 2019. The White House 10% 10% 10%
declared an ‘unprecedented 10% 9% 9%
mental health crisis’, following 8% 8% 8% 8% 8% 8%
reported increases in suicide, 8% 7% 7% 7%
depression, and anxiety rates 6% 6% 6%
amongst young adults. 6%

Gen Z have a world of worries to 4%


contend with, and some have
reached the point of experiencing 2%
‘crisis fatigue’. According to GWI
data, their biggest concerns 0%
Q1 2019

Q2 2019

Q3 2019

Q4 2019

Q1 2020

Q2 2020

Q3 2020

Q4 2020

Q1 2021

Q2 2021

Q3 2021

Q4 2021

Q1 2022

Q2 2022

Q3 2022

Q4 2022

Q1 2023
revolve around their personal
finances (36%), prices of products
or services (34%), and climate
change (34%).
Source: GWI, GWI Core, Q1 2019 – Q1 2023. For further information about the dataset, click here.
Base: 228,862 Internet users aged 16-64
© Copyright WARC 2023. All rights reserved.
28
2023 Consumer Trends Report

Gen Z may be under greater levels Various other activities help them
of stress, but they are also more to manage their mental wellbeing,
likely to prioritise their wellbeing. too. They are more likely than other
Nearly three quarters (72%) say generations to take steps to Gen Z Gen Y (Millennials) Gen X Baby Boomers
they are more conscious about manage their mental wellbeing
60%
their health and wellbeing now such as doing hobbies / activities 55% 54%
53%53%
compared to 2019, and more than they enjoy (55%) and spending less
50% 46%
half (58%) listed focusing on their time on social media (37%). 43% 43%
41%
mental health as a resolution for 40% 37%
2023. Nearly a third (29%) say ‘no’ to 29%
32%
social activities to focus on 30% 26%
The focus on mental wellbeing themselves. This likely reflects the 23%

manifests partly in their shift in social dynamics for this 20% 17% 18%
appreciation for ‘slowing down’ and group, which moved from offline to 13%

taking a pause from life’s daily online socialising during the 10%
stresses. This includes, for pandemic. Gen Z are now more
example, immersing themselves in likely to retreat inward from social 0%
relaxing, open-ended games such situations and be aware of their Doing hobbies / Exercising / Spending less Saying "no" to
activities I enjoy moving more time on social social activities to
as the record-selling Legend of ‘social battery’, i.e. the energy they
media focus on myself
Zelda – a series famous for offering have for socialising.
players a sense of escapism.
Source: GWI, GWI Zeitgeist, April 2022. For further information about the dataset, click here.
Base: 12,754 Internet users in 12 markets aged 16-64
© Copyright WARC 2023. All rights reserved.
29
2023 Consumer Trends Report

Platforms like Discord have seen drastic growth amongst the


youth as well as other audiences, where it helps people
casually hang out with friends, connect with strangers over
common interests, play games and so much more.

Online groups can help users find specific areas of interest to


engage in and discover connections in more vulnerable
situations and amongst marginalised groups. They enable
like-minded people to create a safe environment and help
people feel less alone in a difficult situation.

Online communities can also be used to share the burden of


Abhimanyu Kumta
Lead - Digital Listening stress, much like any interest. Even brand communication
Quantum Consumer Solutions and engagement have benefited from online communities by
letting consumers reach out to the brand directly or
participate in a community of enthusiasts for better
engagement with the product or service that the brand
offers.
Source: WARC, Online communities and the social battery: Alleviating Gen Z anxieties in Asia
© Copyright WARC 2023. All rights reserved.
30
2023 Consumer Trends Report

Break the stigma Provide emotional release Be authentic

• Gen Z struggle with their mental health • A growing list of pent-up anxieties will • Having grown up surrounded by social
and they have trouble opening up. continue to take a toll on Gen Z’s media – a space with unrealistic body
According to GWI, less than a third mental state if left unchecked. images and online abuse – Gen Zs
(31%) feel comfortable talking about have come to value authenticity and
their mental health. • Brands should provide an outlet for embrace imperfection.
emotional release; explore ways in
• Take steps to normalise ‘taboo’ which the product portfolio can help • Authenticity is essential when
conversations around mental health Gen Z express themselves and advocating for Gen Z’s wellbeing. Be
by highlighting the topic and providing alleviate their anxieties. Travel agency mindful in communications on the
a safe space for discussion. For Contiki, for instance, positioned its topic and ensure the brand’s message
example, social enterprise Calm tour packages as the break that Gen Z does not conflict with current
Collective’s peer support programme, needed from the stresses of work life. practices either within or outside the
Calm Circles, offers a non- business.
judgemental space for people to
share their thoughts and feelings.

© Copyright WARC 2023. All rights reserved.


31
2023 Consumer Trends Report

Selected responses only – ‘Mental health conditions’

Mental health conditions Global Gen Z APAC Gen Z


amongst Gen Z in APAC have 12%
increased over the past few 10% 10% 10%
years, albeit at a slower rate 10% 9% 9%
compared to other regions. 8% 8% 8% 8% 8% 8%
Within APAC, the proportion of 8% 7% 7% 7%
Gen Z who disclosed a mental 6% 6% 6%
6% 7% 7%
health condition was highest in
6% 6% 6% 6%
Australia (27%) and New Zealand
4% 5% 5% 5% 5% 5% 5% 5% 5% 5%
(25%), and lowest in South Korea
4% 4%
(5%) and China (2%).
2%

Approximately a third of Gen Z in


this part of the world are most 0%
Q1 2019

Q2 2019

Q3 2019

Q4 2019

Q1 2020

Q2 2020

Q3 2020

Q4 2020

Q1 2021

Q2 2021

Q3 2021

Q4 2021

Q1 2022

Q2 2022

Q3 2022

Q4 2022

Q1 2023
worried about their personal
finances (36%), climate change
(35%), and the prices of products
and services (33%).

Source: GWI, GWI Core, Q1 2019 – Q1 2023. For further information about the dataset, click here.
Base: Global, n= 57,181 Gen Z Internet users; APAC, n=17,440 Gen Z Internet users in APAC
© Copyright WARC 2023. All rights reserved.
32
2023 Consumer Trends Report

Exercising / moving more 55%


Nearly three quarters (73%) of Gen
Doing hobbies / activities I enjoy 54%
Z in APAC say they are more
Practicing relaxation exercises (e.g. yoga) 47%
conscious about their health and
wellbeing now compared to 2019. Speaking to friends / family about my worries 46%

In line with this shift, many are Taking breaks from work 44%
turning to activities such as Spending less time on social media 38%
exercising (55%) and doing Using meditation / mindfulness apps 33%
hobbies (54%) to manage their
Taking a digital detox (e.g. spending less time on mobile) 28%
mental wellbeing.
Saying "no" to social activities to focus on myself 28%

Spending less time reading / watching the news 27%


The workplace is another source of
stress for Gen Z, and just under half Getting professional support 24%

(44%) are taking more breaks from Using natural supplements 23%
work for the sake of their mental Limiting / moderating alcohol consumption 22%
health. A recent survey revealed Other 2%
that 49% of Asian Gen Z struggle to
None of these 2%
separate their work and non-work
life, and 47% find it hard to keep up 0% 10% 20% 30% 40% 50% 60%
with the pace of change at work.
Source: GWI, GWI Zeitgeist April 2022. For further information about the dataset, click here.
Base: 976 Gen Z Internet users in APAC
© Copyright WARC 2023. All rights reserved.
33
2023 Consumer Trends Report

Agency:
Mindshare Ho Chi
Shampoo brand Clear was on a mission to arm
Minh City people with the resilience to overcome challenges
Advertiser: and cope with the fear of judgment. Yet this
Results Takeaways
Unilever
message was failing to reach and connect with
Market: young people in Vietnam, many of whom were • By partnering with a popular dance show, Clear
APAC 7.6% growth in unisex
struggling with high levels of anxiety and was able to reach and connect with a
shampoo market share
depression. generation of consumers that had previously
found its resilience messaging unrelatable.
$1m in earned media
To show young adults that they are not alone, Clear
• Brands must be cautious about engaging with
partnered with Street Dance Vietnam on TV and
733.2m views on TikTok important social issues like mental health,
social media platforms with a hashtag challenge and
ensuring clear alignment with their own values
dance workshop, to show that many successful
so they are perceived as authentic and credible.
people struggle, but that, like them, people should
pursue their dreams fearlessly.
VIEW THE CASE STUDY

© Copyright WARC 2023. All rights reserved.


34
Chapter 4

2023 Consumer Trends Report Powered by

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2023 Consumer Trends Report

The social commerce market Social and e-commerce platforms


shows no signs of slowing down, looking to capitalise on this potential
driven by increasing social media have begun introducing elements of
usage and effective influencer social commerce into the user
marketing. experience. TikTok Shop, for
instance, integrates live shopping
In April 2023, the number of social and shoppable video features while
media users worldwide was Amazon Live leverages celebrities
estimated to be 4.8 billion – nearly and influencers for livestream
60% of the global population. Users events.
spend on average over 2 hours per
day on these platforms, illustrating This chapter examines how social
how integral social media has media and the influencers using
become to consumers’ daily lives. them are inspiring and driving
purchase decisions, particularly
Mirroring this increase in amongst younger audiences who
consumption, the social commerce represent the heaviest users of
market is expected to expand, these platforms.
reaching approximately USD$2tn by
2025 (representing roughly a quarter
of all online retail sales that year).

© Copyright WARC 2023. All rights reserved.


reserved.
36
2023 Consumer Trends Report

The way consumers use the Search engines Social networks


internet is evolving. Younger 70%
users skew towards a more open-
60% 58%
ended style of browsing, where
53%
discovery and inspiration are the
50% 48% 48% 47%
main drivers of search behaviour. 44%

40% 38%
Similarly, Gen Z tend to favour the
more personalised, algorithm-led
30% 28%
social networks (48%) over
search engines (44%) when
20%
researching brands, products, or
services. Google themselves
10%
have admitted that two in five
(40%) young internet users 0%
search for lunch spots via TikTok Gen Z Millennials Gen X Baby boomers

or Instagram rather than Google.

Source: GWI, GWI Core, Q2 2022 – Q1 2023. For further information about the dataset, click here.
Base: 975,787 Internet users aged 16-64
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37
2023 Consumer Trends Report

Strongly agree, somewhat agree

Influencers are another major Gen Z Millennials Gen X Baby boomers


driver behind the growth of social 60%
commerce. Nearly half of Gen Z 53%
49%
and millennials follow influencers 50%
44% 44% 45% 45%
who regularly promote products
or brands (44%) and are likely to 40% 37%
purchase a product 33%
recommended by influencers 30%
30%
(45%). For approximately half of
these cohorts, influencer 19%
20%
recommendations are more 14% 14%
engaging than regular ads.
10%

Notably, Gen Z and millennials


0%
tend to follow different types of
I follow influencers who regularly I am likely to purchase a product Influencer recommendations are more
influencers. Gen Z lean towards promote products / brands recommended by influencers engaging than regular ads
micro and nano influencers, while
celebrity-driven content appeal to
millennials.
Source: GWI, GWI Zeitgeist March 2023. For further information about the dataset, click here.
Base: 15,577 Internet users in 12 markets aged 16-64
© Copyright WARC 2023. All rights reserved.
38
2023 Consumer Trends Report

Strongly agree, somewhat agree

74 % 72 %
Influencers promote products / Influencers make reliable
brands in the best interests of products / brand
their audience recommendations

Influencers add distance between these recommendations as


the brand and the consumer,
which can foster trust in the
affordable (74%), reliable (72%),
and being of good quality (72%). 74 % 72 %
recommendations that they make.
Influencers are increasingly Influencers make affordable The products advertised by
Nearly three quarters (74%) of playing the role of curator, trusted products / brand influencers are of good quality
influencer followers think they for their knowledge and taste to recommendations
promote brands or products in help audiences overwhelmed with
the best interests of their choice.
audience. A similar number view
Source: GWI, GWI Zeitgeist March 2023. For further information about the dataset, click here.
Base: 824 Internet users in 12 markets aged 16-64 who say they follow influencers who regularly
promote products / brands
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39
2023 Consumer Trends Report

In the era of content creation, brands are more focused on offering


valuable, high-quality content that resonates with their target audience.
Instead of simply asking influencers to post photos of their products,
they are actively collaborating with creators to deliver genuine,
engrossing material that lives on the brand’s channels and matches their
beliefs and objectives.

Whether it’s user reviews, demonstrations or something else entirely, this


content is highly relatable and digestible, which helps to build a strong
brand image and drives sales.

These partnerships can greatly assist companies in establishing


Wendy Wang
Head of Influencer Marketing APAC authentic connections with specific demographics while also nurturing
Media.Monks
consumer loyalty, leading to long-term prosperity. Businesses that
devote themselves to producing authenticity-focused content have a
higher chance of succeeding within the competitive social realm
since customers currently crave tailor-made, bona fide experiences.
Source: WARC, From endorsement to co-creation: Why APAC brands need to partner
with creators and not just celebrities
© Copyright WARC 2023. All rights reserved.
40
2023 Consumer Trends Report

Optimise the search


experience on social Create a seamless journey Select the right influencers

• Gen Z turn to social channels for brand • Social commerce demonstrates some • Influencers have earned the trust of
and product research, while older effectiveness in driving upper funnel consumers, with younger audiences
generations rely more on traditional performance across brand discovery being particularly open to discovering
tools such as search engines. and consideration stages, i.e. building and purchasing new products via
future demand for the products. influencer recommendations.
• Tailor search strategies to different
demographics and categories, given • Harness this future demand by • Collaborating with influencers can
the discrepancy in search usage ensuring a seamless e-commerce help to deepen the relationship
across these groups. journey from discovery through to between audiences and the brand.
purchase. Tools such as shoppable Choosing the right influencers is key –
• Fragmenting search behaviours also posts, tags, and links, as well as selecting a creator already followed
signal a need for marketers to evolve prominent call-to-action buttons can by existing customers or a new one
their approach to campaign analytics help create a frictionless experience with good audience fit can boost the
to understand the full breadth of and improve conversion rates. brand’s engagement and reach.
consumer search behaviour.

© Copyright WARC 2023. All rights reserved.


41
2023 Consumer Trends Report

Mirroring global trends, Gen Z in


APAC prefer using social Search engines Social networks
networks over search engines for 50%
brand and product research. 44% 43%
44% 44% 44%

Within APAC, Gen Z in Indonesia 40%


40%
(63%), Vietnam (59%), and the 36%
Philippines (56%) are most likely
to use social networks for their 30% 29%
research.

Inspiration and discovery are 20%


integral to the online shopping
experience for this generation. In
10%
a study commissioned by Meta,
nearly three quarters (72%) of
Gen Z social shoppers in APAC
0%
indicated that they are always Gen Z Millennials Gen X Baby boomers
browsing for shopping inspiration
when spending time online.
Source: GWI, GWI Core, Q2 2022 – Q1 2023. For further information about the dataset, click here.
Base: 375,462 Internet users in APAC aged 16-64
© Copyright WARC 2023. All rights reserved.
42
2023 Consumer Trends Report

The social commerce market in Conversational commerce is Strongly agree, somewhat agree
APAC is expected to reach nearly another major driver behind the
US$900,000m by 2028. social commerce boom, with one
analysis estimating that it enables Gen Z Millennials Gen X Baby boomers
One of the drivers behind this approximately 20-40% of total e- 60%
52% 51%
growth is the region’s commerce sales in Southeast 48% 50%
50%
44% 45% 43%
receptiveness towards influencer Asia. Southeast Asians are heavy 41%
40% 37%
content. APAC consumers – users of messaging apps, and
especially Gen Z and millennials – conversational commerce offers
30% 25% 25%
are substantially more receptive a way for brands to provide direct 22%
to influencers and their support to customers throughout 20%
recommendations compared to the purchase journey in a medium
10%
those in Europe or North America. already familiar to them.
0%
Consumers here have a high level I follow influencers who I am likely to purchase a Influencer
regularly promote product recommended recommendations are
of trust in influencers – 77% of products / brands by influencers more engaging than
influencer followers think they regular ads
promote products / brands in the
best interests of their audience.
Source: GWI, GWI Zeitgeist March 2023. For further information about the dataset, click here.
Base: 6,327 Internet users in Australia, China, India, Japan, and Singapore aged 16-64
© Copyright WARC 2023. All rights reserved.
43
2023 Consumer Trends Report

Agency: With most Indonesian homes run traditionally, BARDI, a


TikTok
smart home electronics brand, knew that, to break into this
Advertiser: untapped market, providing their products at an affordable
BARDI Results Takeaways
price was not enough. As well as amplifying their brand's
Market: • By tapping into TikTok's innovative and seamless
APAC presence in the market, BARDI needed to educate
2,330 products sold e-commerce integration, BARDI was not only
Indonesians on how to use their digitally advanced
products while driving purchases. able to help accelerate smart home tech
1047% increase in GMV adoption across Indonesia, but they were also
To actively engage with the community, BARDI created able to redefine the power of Creator Marketing.
225.6m impressions
#RumahPintarBARDI (#BARDISmartHome) on TikTok. Over • Brands can create an end-to-end consumer
200 creators produced content showing viewers how to journey on TikTok, where creators can be used
use different BARDI products and shared their experiences. to drive actual sales, as well as raise awareness
BARDI also hosted a 72-hour livestream on TikTok with and engagement.
video and live shopping ads, allowing viewers to purchase
products directly through BARDI’s TikTok Shop. VIEW THE CASE STUDY

© Copyright WARC 2023. All rights reserved.


44
Chapter 5

2023 Consumer Trends Report Powered by

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2023 Consumer Trends Report

When it comes to consumer privacy, While data privacy remains a concern


there is a fine line for brands for consumers, recent evidence
between offering convenience and suggests this sentiment has softened.
being intrusive. Consumers want to In the UK, for instance, more than half
protect their privacy, but are open (60%) of consumers now perceive the
to sharing data in exchange for exchange of data as “essential” to the
benefits. running of modern society, compared
to 38% in 2012.
Growing regulation and industry
investment in privacy tools mean Consumers are more willing to share
consumers today have more control data with brands and have greater
over their data. Globally, there are control over how their data is being
over 130 states and countries with handled. This chapter looks at how
their own privacy laws, with even more their attitudes towards privacy are
coming into effect in 2023. Big tech evolving and the trade-offs they are
companies including Meta, Google, making for a better online experience.
and Apple have also introduced new
features to increase transparency and
avoid fines.

© Copyright WARC 2023. All rights reserved.


46
2023 Consumer Trends Report

Strongly agree, somewhat agree

Over half (53%) of internet users


find ads specifically targeting them
to be intrusive, but a slightly larger
proportion (62%) think

62 34 53
personalised product
recommendations are helpful.
Notably, more than a third (34%) % % %
agree with both statements. Personalised product Ads specifically
recommendations are targeted towards
The contradiction in consumer extremely helpful me are intrusive
attitudes towards personalised
marketing highlights the fine line
between convenient and intrusive Internet users who
that brands must tread. Successful agreed to both
statements
personalisation considers the
context in which the brand
appears, including the messaging
and touchpoints used across
online and offline channels. Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: 15,335 Internet users in 12 markets aged 16-64
© Copyright WARC 2023. All rights reserved.
47
2023 Consumer Trends Report

While consumers express (27%) use them to stop


concerns about data privacy, companies from collecting their
There are too many ads 61%
protecting their online experience data altogether.
takes clear precedence. More Ads get in the way 54%
than half of ad-blocker users cited Brands can avoid crossing the
‘too many ads’ (61%) and ‘ads threshold and being intrusive by To protect my privacy 40%
getting in the way’ (54%) as giving consumers tangible
reasons for using the software. benefits in exchange for their Ads aren't relevant to me 39%
Research by the US Advertising data. The biggest incentives To stop any inappropriate content
38%
Research Foundation shows that include free trials (33%) and being shown
intrusive ad formats such as in- samples (32%). A similar number To improve my device's performance
33%
stream pop-up and autoplay are (31%) identified improved (e.g. battery life, page load times)

more likely to drive ad blocking as convenience as a motivator, To stop companies collecting data
27%
about me
they disrupt content. underscoring the importance of
the online experience. Other 1%
Privacy concerns rank lower on
0% 10% 20% 30% 40% 50% 60% 70%
the list. Two in five (40%) use ad
blockers to protect their privacy
and an even lower percentage
Source: GWI, GWI Core, Q2 2022 – Q1 2023. For further information about the dataset, click here.
Base: 316,362 Internet users aged 16-64 who say they use an ad-blocker either regularly or
© Copyright WARC 2023. All rights reserved. occasionally 48
2023 Consumer Trends Report

Just as we’ve seen the cultural shift towards purpose-driven marketing, with
companies using their platforms to support the fight against climate change or
promote DEI initiatives, smart brands have begun to approach data privacy in
the same way…

… Advertisers can leverage this effectively by crafting messaging that positions


data privacy front and center. New products that require subscriptions can
emphasise the security surrounding any personal data. Equally, brands can be
open about the methods advertisers are using on their platform, revealing the
extent to which privacy is maintained throughout the process.

However, like all ‘cause marketing’ initiatives, companies can’t simply talk about
how privacy is an organisational virtue and then turn around and use consumer
Brian Kane
Founder data inappropriately. Instead, they must lead with transparency – being as
Sourcepoint straight with consumers as they can about what data they’re going to collect
and how they’re going to use it. Most customers are happy to hand over data in
exchange for personalised experiences. By using data respectfully, brands
create more loyal customers, improving lifetime value along the way. This is a
balancing act worth figuring out.
Source: WARC, In the privacy-first era, what responsibility do advertisers have?

© Copyright WARC 2023. All rights reserved.


49
2023 Consumer Trends Report

Demonstrate transparency and build trust Prioritise context in personalisation

• Consumers value the conveniences of personalisation but worry • Online advertising can leave consumers feeling overwhelmed,
about being tracked online. Moving forward, privacy regulations especially when there are too many ads or when the ads are
and emerging technologies such as artificial intelligence will keep irrelevant to their needs. This ad fatigue outweighs privacy
privacy concerns front-of-mind for many. concerns as a driver of ad blocker usage, highlighting the
importance of a good online experience to consumers.
• Demonstrating transparency and building trust are essential to the
data strategy. Demonstrate transparency by being honest with • Keep context in mind – as consumers become more
consumers about the type of information that is being collected comfortable moving through online and offline channels,
and how it will be handled and stored. Build trust by delivering maintaining an omnichannel presence in the spaces where the
value to customers, through incentives such as free samples or target audience enjoys spending time is crucial. Providing a
improved convenience. Long-term investment in brand building personalised brand experience that the audience would find
can also foster familiarity and instil trust in the brand. fulfilling can also improve customer engagement and
conversion rates.

© Copyright WARC 2023. All rights reserved.


50
2023 Consumer Trends Report

Strongly agree, somewhat agree

The privacy paradox is even more


apparent in APAC, with two in five
(40%) respondents agreeing that
personalised product
recommendations are extremely
helpful and ads specifically
targeting them are intrusive. 66 % 40 % 56 %
Personalised product Ads specifically
While concerned about the recommendations are targeted towards
intrusive nature of targeted ads, extremely helpful me are intrusive
consumers in this region are more
appreciative of the value that
personalisation can offer. Internet users who
Furthermore, an overwhelming agreed to both
83% of APAC customers surveyed statements
by Adobe reported that great
personalised content experiences,
delivered in the right context, can
actually build trust.
Source: GWI, GWI Zeitgeist February 2023. For further information about the dataset, click here.
Base: 6,285 Internet users in Australia, China, India, Japan, and Singapore aged 16-64
© Copyright WARC 2023. All rights reserved.
51
2023 Consumer Trends Report

To protect my privacy There are too many ads

As with global consumers, APAC


consumers clearly prioritise their
online experience. They are more
likely to use ad blockers because
there are too many ads (58%)
rather than to protect their
privacy (43%).

Across the region, ‘too many ads’


ranks consistently high on the list
of reasons for using ad blockers.
In contrast, privacy concerns vary
by country, with the Philippines
(50%), India (49%), and Malaysia
(46%) most likely to express
privacy concerns. Each market in
APAC has its own unique data
culture, which brands must
understand and adapt to.
Source: GWI, GWI Core, Q2 2022 – Q1 2023. For further information about the dataset, click here.
Base: 126,877 Internet users in APAC aged 16-64 who say they use an ad blocker either regularly or occasionally.
© Copyright WARC 2023. All rights reserved.
52
2023 Consumer Trends Report

Improved convenience (37%), free


trials (35%), and personalised Improved convenience 37%
experiences (33%) are the biggest
Free trials of services 35%
incentives for APAC consumers to
Personalised experience 33%
share their data, highlighting the
Free sample of products 31%
importance of adding value to the
Access to exclusive products / services 30%
customer’s experience.
Extended product warranty 27%

As Gabbi Stubbs, APAC Product More flexible payment options 25%


Marketing Lead for Adobe, points Recurring discount 22%
out, “A brand not only needs to be Extended trials of services 22%
able to deliver personalised Donations to social causes 20%
experiences but ensure that it can Access to content (e.g. games) 18%
be a really great custodian of the
Other 2%
data. This is so that customers can
None of these 8%
continue to trust the brand and
continue to give you more 0% 10% 20% 30% 40%
information so that you can
continue to give them greater
experiences.” Source: GWI, GWI Zeitgeist April 2022. For further information about the dataset, click here.
Base: 4,767 Internet users in China, India, and Japan aged 16-64
© Copyright WARC 2023. All rights reserved.
53
2023 Consumer Trends Report

Agency:
Mindshare Taguig
In an age where many consumers appreciate deeply
personalised and customised communications, Unilever
Advertiser:
Unilever Skin, a consumer goods brand, aimed to create an
Results Takeaways
Market:
efficient data collection campaign to cater to
APAC consumers’ varied needs and wants. • Unilever used a rigorous data-driven strategy,
85% decrease in CPA
allowing them to send relevant and specific
To nurture a strong relationship with its different messages to each audience, instead of generic
Exceeded data
audiences, Unilever divided the campaign into four communications that may not have had as
collection target by 50%
themes, creating personalised offers and discounts for much impact.
audiences at different stages of their skin care journey.
2.6% uplift in sign-ups • Social media data creates new segmentation
Consumers who fit into the “Commerce-centric” theme
during the first month of opportunities by enabling brands to classify
were defined as “bargain hunters”, due to their higher
implementation consumers based on their passions and beliefs.
propensity to buy during payday weekends. These
consumers were offered discount vouchers for beauty
and skin care products in exchange for their data. VIEW THE CASE STUDY

© Copyright WARC 2023. All rights reserved.


54
2023 Consumer Trends Report

Economic slowdown and WARC Sustainability hub Global Ad Trends: Search 3.0
inflation: How to respond
Sustainability’s pricing issue: What we know about data
The WARC Guide to the How to empower low-income protection and privacy
consumer crunch: Navigating consumers
inflation & the threat of What we know about post-
recession Online communities and the cookie audience tracking
social battery: Alleviating Gen
Rethinking value in a cost-of- Z anxieties in Asia Tackling the first-party data
living crisis challenge: A four step
Gen Z experiences ‘crisis approach
Money’s too tight to mention: fatigue’
How behavioural science can
help build understanding, The WARC Guide to working
empathy and connection to the with creators
struggling consumer in 2023

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55
2023 Consumer Trends Report

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Manager, Research Executive Research Executive
Content Analysis WARC WARC
WARC

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2023 Consumer Trends Report

© Copyright WARC 2023. All rights reserved.


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2023 Consumer Trends Report

Biggest percentage point (pp) increases in spending on treats across categories since August 2022

Dining out 11

Skincare products (e.g. serums, moisturiser) 7

Clothing / apparel 6

Ordering delivery (e.g. food, drinks, snacks) 6

Health / personal care items (e.g. hair care, self-care product) 6

Accessories (e.g. shoes, bags, jewelry) 4

0 5 10 15

Source: GWI, GWI Zeitgeist February 2023. Question asked, “Which of these have you bought as a treat, for you / someone else, in the past 6 months? i.e. a gift that you buy that
you normally wouldn't have?”. For further information about the dataset, click here.
Base: 30,734 Global Internet users in 12 markets aged 16-64

© Copyright WARC 2023. All rights reserved.


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2023 Consumer Trends Report

Percent who would do the following in response to a price increase across various categories

25 21 19 20 24 23

21 19 23 19 18 17

21 13 10 28 12 19
% Percentage

15 15 11 17 20 18

14 23 28 18 15

Source: GWI, GWI Zeitgeist November 2022. Question asked, “If you wanted to buy an item that increased in price from 6 months ago, what would you do?”. For further
information about the dataset, click here.
Base: 6,277 Internet users in Singapore, Australia, China, India, and Japan aged 16-64

© Copyright WARC 2023. All rights reserved.


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2023 Consumer Trends Report

Percent who say “environmentally responsible” technology products mean the following
The product is sustainably sourced materials
59%
(i.e. recycled / reused materials)

The product is energy efficient 57%

The product is durable and long lasting 49%

The product can be recycled responsibly


49%
after it is broken or outdated

The product is certified as carbon neutral 40%

The product is ethically produced


38%
(i.e. produced by workers in good working conditions)

The product has "smart" features


31%
(i.e. the ability to turn on / off based on usage, etc.)

None of these 4%

0% 10% 20% 30% 40% 50% 60% 70%

Source: GWI, GWI Zeitgeist December 2022. Question asked, “Thinking specifically about technology products, what does an ‘environmentally responsible’ product mean to you?”. For
further information about the dataset, click here.
Base: 15,563 Global Internet users in 12 markets aged 16-64

© Copyright WARC 2023. All rights reserved.


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2023 Consumer Trends Report

Percent who cite “focus on my mental health” as a resolution for 2023

‘Focus on my mental health’ Gen Z


70%
Learn a new skill / hobby 66%
60% 58%
55% Save more money 64%
54%

50% 47% Focus on my mental health 58%

Eat more healthy food 58%


40%
Practice more self-care 49%
30% Spend more time with friends / family 46%

20% Read more 45%

Be more kind to others 44%


10%
Start a new job / career 42%
0% Travel more 40%
Gen Z Millennials Gen X Baby
Boomers 0% 50% 100%

Source: GWI, GWI Zeitgeist December 2022. Question asked, “Which of these resolutions, if any, will you make for 2023?”. For further information about the dataset, click here.

Base: 1,659 Global Gen Z Internet users who either say they make a New Year’s resolution every year or don’t usually make resolutions but will for 2023

© Copyright WARC 2023. All rights reserved.


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2023 Consumer Trends Report

Percent who strongly or somewhat agree with the following statements about social media influencers

78 % 75 %
Influencers make affordable products / Influencers make reliable products / brand
brand recommendations recommendations

77 % 75 %
Influencers promote products / brands The products advertised by influencers are
in the best interests of their audience of good quality

Source: GWI, GWI Zeitgeist March 2023. Question asked, “Thinking about social media influencers, to what extent do you agree or disagree with the following?”. For further
information about the dataset, click here.

Base: 4,106 Internet users in Australia, China, India, Japan, and Singapore aged 16-64 who say they follow influencers who regularly promote products / brands

© Copyright WARC 2023. All rights reserved.


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2023 Consumer Trends Report

Percent who say the following would encourage them to share personal information with companies

Free trials of services 33%


Free sample of products 32%
Improved convenience 31%
Personalised experience 29%
Access to exclusive products / services 28%
Extended product warranty 25%
Recurring discount 25%
More flexible payment options 22%
Extended trials of services 21%
Donations to social causes 18%
Access to content 17%
Other 2%
None of these 13%

0% 5% 10% 15% 20% 25% 30% 35%


Source: GWI, GWI Zeitgeist April 2022. Question asked, “Which of these would encourage you to share personal information with companies?”. For further information about the
dataset, click here.

Base: 12,803 Global Internet users in 9 markets aged 16-64

© Copyright WARC 2023. All rights reserved.


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