The Thai smart retail market is set for significant transformation as it progresses toward 2025, echoing the need for innovative strategies and deep emotional engagement with consumers. A recent report indicates the importance of adapting business models and marketing strategies aimed at modern consumers, who value emotional resonance and interactive experiences with products.
According to Vincent Kan, Deputy General Manager at SHOPLINE Hong Kong, "We believe emotional connections with customers will be the key to success. Traditional marketing strategies cannot reach the new generation anymore." This sentiment captures the heart of the shift taking place: today's consumers are searching for products and experiences laden with emotional value rather than mere transactions.
The growth of the intellectual property (IP) economy is also noteworthy. With brands capitalizing on character licensing and cross-border collaborations, sales tied to IP-related products skyrocketed by 448.94% compared to the previous year. Notably, several brands, including Pokémon, which has generated over $100 billion since its inception, are leading the way.
The introduction of blind box products reflects consumers’ appetite for surprise and novelty, with sales climbing by 137.77%. Platforms like Medialink's Ani-Mall®, for example, are leveraging pre-order strategies and interactive marketing to capitalize on fan engagement, showcasing the phenomenon where sales grew tenfold during the Lunar New Year from campaigns tied to beloved properties.
Instances such as the success of the pre-order campaign for Blu-ray Boxset "THE FIRST SLAM DUNK" combine innovative strategies, live streaming, promotions, and pop-up shops to convert fandom enthusiasm directly to sales. Kan signifies this approach as pivotal, asserting how technology—increasingly infused with artificial intelligence—helps retailers optimize their sales strategy, adapt to consumer behavior, and manage inventory more effectively.
For retailers eyeing success, the integration of AI is no longer optional but mandatory. By utilizing tools like SHOPLINE’s Product Growth Explorer, retailers can analyze vast amounts of data to adjust pricing dynamically and efficiently handle high-demand items. Such continuous adaptation is necessary as trends shift rapidly with consumers eager for fresh experiences.
Simultaneously, Taboola is redefining performance marketing with the launch of their new platform, "Realize," aimed at enhancing native advertising. Adam Singolda, the company’s Founder and CEO, articulates, "Our platform, Realize, helps advertisers boost performance effectively." This initiative signifies not just technological upgrade but also reveals how performance marketing must evolve to drive both engagement and measurable outcomes for advertisers.
The pulse of modern retail drives brands to capitalize on globally trending products, particularly those within the anime fandom, which are fostering increased consumer interest. With Asia being the primary playground for anime and related merchandise, optimizing sales strategies for these products cannot be overstated.
Engagement with technology also plays strongly on global platforms, contributing to successful cross-border retail strategies. The ability to target international consumer bases has been made even more accessible thanks to government support for cross-border commerce, which amplifies opportunities for Thai brands to align with Hong Kong’s established online storefronts for reaching broader markets.
Collaboration is viewed as indispensable for Thai businesses dealing with IP products. Retailers are encouraged to forge partnerships with Hong Kong platforms to effectively tap foreign audiences and market opportunities. Developing strategies imbued with emotional prompts is viewed not only as aiding sales but also fostering genuine consumer loyalty.
While experts stress the significance of AI and market analytics, the biggest takeaway from these developments remains on the potential of emotional connections, intelligent marketing strategies, and leveraging technology to voicing retailers’ narratives. Each of these components becomes increasingly intertwined as the smart retail market readies itself for 2025.
The path may not always be straightforward, but as the retail terrain evolves, those who master the art of combining emotional engagement with astute technological application are most likely to emerge as frontrunners of success. The smart retail market's future is bright, and it's up to the industry to embrace necessary changes to meet and exceed consumer expectations.