Yule shopping seen boosting SME sales

Yule shopping seen boosting SME sales | Daily Tribune

Small and medium enterprises (SMEs) in the Asia Pacific (APAC) region are banking on the holiday season for improved sales, the latest survey from Federal Express Corporation (FedEx), one of the world’s largest express transportation companies, said.

According to the findings, 70 percent of SMEs expect year-on-year sales growth during the final quarter, with nearly 80 percent forecasting this growth in sales from within Asia — especially from Southeast Asia.

The optimism aligns with broader market trends, as Southeast Asia’s e-commerce market grew in double digits in 2024, driven by increased digital adoption and cross-border trade.

Additionally, the survey said intra-Asia trade continues its robust expansion, with projections indicating it will surpass $13.5 trillion by 2030.

Conducted in October 2024, the survey gathered responses from 200 SMEs and 300 consumers across 12 APAC markets, exploring their expectations, purchasing motivations, and concerns for the festive season, while identifying key trends shaping consumer behavior during this time.

Online purchases preferred

Based on the survey, 57 percent of consumers prefer shopping on e-commerce platforms, with 70 percent motivated by substantial festive discounts and promotions.

“Free delivery continues to play a crucial role in shaping the shopping experience and driving purchases among consumers. Equally, consumers expect their orders to arrive within two to three business days, with convenient delivery options,” the survey said.

Also, consumers want to see businesses develop more sustainable online shopping practices and are willing to pay a premium for sustainable packaging when purchasing gifts, reinforcing the opportunity for businesses to differentiate themselves in crowded e-commerce marketplaces by offering sustainable options.

“In the Asia Pacific region, the gifting season continues in the months leading up to Christmas through to Lunar New Year,” said Kawal Preet, president for Asia Pacific, FedEx.

“As cross-border e-commerce continues to surge, e-tailers — particularly small and medium-sized businesses — are gearing up to maximize sales this festive season. Through our extensive network and smart, intuitive digital solutions, we empower these businesses to deliver exceptional customer experiences, streamline holiday shipping, and thrive in this competitive landscape,” she said.