Home to almost 60 % of the global millennial population, usually includes those between the ages of 16 and 35, emerging Asia is fast turning into a battleground among both traditional and online retailers. Key reasons for this battle are the rapidly growing urbanization and increasing youth populations which are potential customers in future.
China is one of the most tempting markets for retailers. Last year alone, Alibaba attracted 434 million active buyers, according to the company’s annual report. Of these shoppers, 80 % were aged below 35.
Another emerging market is India. Around 250 million people in the country own smartphones although half of them do not have access to data, said Kunal Bahl, CEO of Snapdeal .
Though there is a great deal of logistic challenges and illiterate and remotely located population, these can be taken as opportunity in disguise. Introduction of 4G in nation is a geat booster for expanding the reach of the business.
In addition, Asian consumers prefer goods that appeal to their “sensorial expressive side”, said Magesvaran Suranjan, president of Procter & Gamble Asia Pacific.
“Consumers in Asia want the best … They don’t want emerging market service, they want developed market services but at emerging market prices,” Snapdeal’s Bahl said.