The Borneo Post

Shopback: Desktop remains effective channel to drive high-value orders

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KUCHING: Shopback’s analysis has determined that while mobile continues to overtake desktop on the browsing and purchasing rates, desktop remains an effective channel to drive highvalue orders.

To answer the question of whether mobile has usurped desktop as the leading platform in driving online purchases, Shopback presented its findings in terms of usage, transactio­n numbers, and average basket size on mobile and desktop across five key economies in Southeast Asia; Singapore, Malaysia, the Philippine­s, Indonesia and Thailand.

ShopBack first entered the ecommerce scene with a desktopfir­st approach. The mobile app, which was launched in July 2016, topped the charts within 24 hours of launch.

“In less than a year, the mobile app surpassed desktop as our leading source of traffic. In fact, its growth continues to outpace that of desktop over the last few quarters.

“The difference in growth rate is particular­ly pronounced during the year- end period in 2017, with mobile app growing at least three times more than desktop,” ShopBack said.

“We analysed our traffic data by the hour of a typical day and found that users are more engaged with their smartphone­s regardless of the hour of the day; the most compelling difference is typically observed at 11pm with close to seven times difference in traffic volume between mobile app and desktop.”

ShopBack also found that mega shopping days such as 11.11 Singles’ Day, Black Friday, Cyber Monday and 12.12 accounted for the lion’s share of sales over the year- end period. In Malaysia, the recent 11.11 saw ShopBack generates over RM17.5 million of sales for merchant partners, representi­ng more than 170 per cent year on year (y- o-y) growth.

Based on ShopBack’s data, revenue earned from one of these popular shopping days is roughly equivalent to three- quarters of a month’s revenue in 2017, of which mobile app alone accounted for three- quarters of orders.

Of the five countries, Thailand displayed the strongest preference towards making purchases via mobile app.

Malaysia’s mobile app purchases gained 18 per cent over the past four quarters, Singapore gained eight per cent, Philippine­s gained 16 per cent, Indonesia gained 20 per cent, and Thailand gained 36 per cent.

It is estimated that by the end of the fourth quarter of 2018 (4Q18), the volume of app orders in Malaysia will grow beyond 65 per cent.

“Notably, ecommerce giants have been creating mobile- app features to heighten stickiness of the platform, such as Shopee’s Shake and Lazada’s ‘ Slash It’. All of these helped to nurture a regular ‘open- app’ behaviour and indirectly led to the growth of mobile purchases.”

Withallthe­sefindings­presenting a mobile- dominant trend among users, grounded on evidence from its user interactio­ns, ShopBack argued that desktop is and will remain an important channel for ecommerce merchants.

“In fact, in terms of average basket size (average dollar value spent per order), we found that desktop purchases tend to be higher than that of mobile purchases. This finding is consistent across all countries, particular­ly in Malaysia, Philippine­s, and Indonesia.

 ??  ?? Volume of Orders: Mobile VS Desktop per country in 2018. Source: ShopBack
Volume of Orders: Mobile VS Desktop per country in 2018. Source: ShopBack

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