Only 9% of Singapore online shoppers qualify as savvy, report says

This may be due to a lower marketplace exposure.

Only 9% of Singapore online shoppers qualify as “savvy,” the lowest of six Southeast Asian markets.

According to a report by Cube in partnership with Lazada, shoppers qualify by scoring above the regional median on measures such as verification, value optimisation, confidence and protection, and digital fluency.

A further 10% of Singapore shoppers are one dimension short, against 18% regionally.

Protection is the most common missing dimension for Singapore shoppers who are one step from qualifying, at 35%.

Value optimisation and digital fluency each account for 23%, and verification for 20%.

Willingness to pay for better purchase protection is 37% amongst Savvy shoppers and 20% among general shoppers.

For discounts, 34% of Savvy shoppers would spend more to activate them, against 26% of general shoppers.

The report points to lower marketplace exposure as a possible explanation. Some 48% of Singapore shoppers buy on marketplaces at least once a week, compared with 66% in other Southeast Asian markets.

Accordingly, marketplaces account for 65% of Singapore online shopping, against 72% elsewhere in the region.

Moreover, savvy shoppers account for 11% of Singapore's eCommerce spending and spend 13% more per month than general shoppers.

The report puts the associated spending gap at about $127m (US$100m), the smallest of the six markets.

Additionally, younger shoppers are more willing to pay for protection, at 21% for Generation Z against 15% for Gen X.

Social commerce use shows a similar split, at 43% for Gen Z and 26% for Gen X. Both generations lag their regional counterparts on each measure.

($1=USD0.78)