Effective Measure - Thailand Social Commerce Study

Dubai | Hong Kong | London | Melbourne | New York | Sydney

Key Findings

Users Opinions and Behavior toward Social

Commerce

in Thailand – November 2010

Dubai | Bangkok | Melbourne

Defining Social Commerce:

“Social commerce is the use of social media in the context of e-commerce”

- Wikipedia

“The social graph has the power to redefine the shopping experience

allowing companies to anticipate, personalize and energize the shopping

experience in new ways”

- Lora Cecere, Author of “Supply Chain Shaman”

“The use of Social Technologies to connect, listen, understand and

engage to improve the shopping experience..”

- Altimeter Group, Rise of Social Commerce Conferece


Background : What is Social Commerce?

the use of social media in the context of e-commerce

- User Rating

- Reviews

- User Recommendations and Referrals

- Social Shopping (sharing the act of online shopping together)

- User Forums and Communities

- SMO : Social Media Optimization (for e-commerce)

- Social Applications and Social Ads linked to e-commerce.

Confidential & Proprietary - Copyright © 2010 Effective Measure

Think Ecommerce sites: Ensogo.com, Yopi, Siamphone,

Gmember

Product Review sites with social media tools: Oknation,

Moohin, Thaiware, Lisaguru,


E-commerce sites with social media tools:


Ensogo.com

Gmember.comSiamphone.com

Yopi.co.th


Review sites with social Media tools:


Thaiware.com

Moohin.comOknation.net

Lisaguru.com


Website AnalysisOver 3000 Sample surveys were completed from the following websites:

The research project sample size

came from a diverse range of

content, which assures for a

more representative sample of

internet population in the market.

Please note that Effective

Measure Survey served to

around 1 in every 10 visitors who

have visited the sites at least 2

pages. They do not receive the

survey invitation more than once.



Demographic and Response Summary


Gender

Male 60.34%

Female 39.66%

Monthly Household Income ($US)

$0 - $500 26.95%

$501 - $1,000 15.97%

$1,001 - $1,500 13.62%

$1,501 - $2,000 4.54%

$2,001 - $3,000 5.25%

$3,001 - $4,000 1.96%

$4,001 - $5,000 2%

$5,001 - $7,500 1%

$7,501 - $10,000 1.06%

$10,001 - $15,000 1.38%

$15,000 + 1.64%

Prefer not to say 15.94%

Dependent - No income - Don't work 8.79%

Occupation

Manager or Senior Official 9%

Professional 17.02%

Associate Professional and Technical 16.53%

Administrative and Secretarial 10.49%

Skilled Trade 3.80%

Personal Service 0.94%

Sales and Customer Service 3.70%

Process Plant and Machine Operative 0.81%

Elementary 0.84%

Full time student 22.70%

Retired 0.55%

Housewife/husband 1.79%

Unemployed 2.27%

Don't know 9.65%

Age

15-17 17.21%

18-20 13.39%

21-24 17.31%

25-30 18.97%

31-34 10.35%

35-40 8.95%

41-44 4.21%

45-50 4.08%

51-54 1.80%

55-60 1.24%

>60 1.11%

Prefer not to say 1.47%

Are able to make purchases online?

Yes 60.40%

No 39.64%

Residential Location

Rural / Countryside 35.63%

Large City 29.04%

Capital City 35.37%

Access Internet from Mobile phone?

Yes 32.81%

No 67.19%


Q1: What are the top three factors that can influence your purchasing decisions when you don't have personal experience about the product or service? (Chose 3)

Findings:

• 71.86% of people trust friends and family members when they don't have

personal experience about product/service.

• 41.20% think that opinions published through social media is reliable.

• 45.54% accepted that Ads can influence their purchasing decisions.


71.86%

41.20%

37.22%

42.73%

26.90%

45.54%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Reviews from family members or friends

Opinions published through social media

Reviews in personal blog or web board, forum

Reviews in newspapers, magazine or website article

Reviews and rating in the shopping website

Advertising



Findings:

• No significant difference between male and female.


69.06%

39.71%

37.47%

44.34%

28.43%

47.28%

75.39%

42.92%

35.63%

40.35%

24.36%

43.41%

0% 10% 20% 30% 40% 50% 60% 70% 80%



Reviews in personal blog or web board, forum

Reviews in newspapers, magazine or websitearticle

Reviews and rating in the shopping website

Advertising

Female

Male

Gender




0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

80.00%

15-17 18-20 21-24 25-30 31-34 35-40 41-44 45-50 51-54 55-60 >60 Prefernot tosay



Reviews in personal blog or web board,forum

Reviews in newspapers, magazine orwebsite article

Reviews and rating in the shoppingwebsite

Advertising

Findings:

• Family members and friends most influential across all age groups

• Younger audiences rely on opinions published through social media tools.

• Older audiences trust traditional media reviews .

Age




69.39%

46.76%

44.47%

38.19%

28.51%

41.48%

72.83%

38.41%

33.30%

44.94%

26.14%

47.57%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Reviews from family members orfriends

Opinions published through socialmedia

Reviews in personal blog or webboard, forum

Reviews in newspapers, magazineor website article


Advertising

No Mobile Browsing

Mobile Browsing

Mobile Browsing

Findings:

• People who live life online tend to believe opinions published through social

media, online reviews and rating in the shopping website than who don’t.

• People who are not internet addict tend to more rely on Ads and

advertorials.



Analysis:

• The result is reflecting the effectiveness of social tools that help to increase

revenue for e-commerce in Thailand. People who do shopping online

accepted opinions published through social media, online reviews as well

as reviews & rating in shopping websites can influence when they make

purchasing decisions.

Findings:

• Online shoppers tend to be more influenced by social tools


70.22%

45.15%

43.75%

43.58%

31.19%

41.36%

73.74%

35.05%

26.59%

41.43%

20.55%

51.86%

0% 10% 20% 30% 40% 50% 60% 70% 80%






Advertising

No

Yes

Purchase Online



Findings:

• There’s no significant difference towards opinions published through social

media among people in different location in Thailand.

• However, people in Metro area rather to be engaged in reviews in personal

blog or web board, forum than those people in countryside.


0% 10% 20% 30% 40% 50% 60% 70% 80%






Advertising

Capital City

Large City

Rural / Countryside

Reside Location


Q2: What is the main reason when you express your opinion toward product and service in social media? (Chose only one)

Findings:

• Most of people accepted that they express their opinion toward product and

service in social media because they want to influence others!


0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

I think it can benefit or influence others

I think It can reflect my personal character

I think It gives others the reason to talk about me.

I think It can draw more opinions.

other reasons/ not in choices listed above

Female

Male

Audience Share


Q3: Please select all of the following that apply to how you trust online ratings and reviews? (Chose all that Apply)

Findings:

• 53.98% trust online rating and reviews when it's from reliable source and well-

informed.


53.98%

33.17%

25.37%

30.40%

22.08%

0% 10% 20% 30% 40% 50% 60%

I trust when it's reliable source and well-informed.

I trust when I found the same direction reviews and ratingsfrom several different sources.

The more reviews and rating there are for a particularproduct, the more apt I am to believe them.

I trust those reviews where I can look into the background ofthe reviewers.

I don't trust any ratings and reviews.

Female

Male

Audience Share


Q4: Which of following online activities do you participate in? (Chose all that Apply)

Findings:

• Over 50% of the audience participate in social commerce activities with the

most popular activity being rating products and services.


31.20%

24.51%

18.48%

14.63%

47.13%

0% 10% 20% 30% 40% 50% 60%

Product/Service Rating

Review your experience in website/ blog/ forum

Share your pick lists to others

Participating referral program - recommend youritem to others to get rewards.

Non of activities I have done.

Female

Male

Audience Share



Analysis:

• More engaged in Internet, more tend to participate social commerce activities


0% 10% 20% 30% 40% 50% 60%


Review your experience in website/ blog/forum


Participating referral program - recommendyour item to others to get rewards.

Non of activities I have done.

No Mobile Browsing

Mobile Browsing

Mobile Browsing



Findings:

• People who do online purchasing are far more likely to participate in social

commerce activities.


0% 10% 20% 30% 40% 50% 60% 70%


Review your experience in website/ blog/forum


Participating referral program - recommendyour item to others to get rewards.

Non of activities above I have done.

No

Yes

Purchase Online


Q5: What kind of products you used to (or are comfortable to) purchase online? (Chose all that apply)

Findings:

• Thais are comfortable online purchasing clothing and entertaining products

: books & magazines, music & videos, toys & games, travel-flight-shows

tickets and deal.


0% 5%10% 15% 20% 25%

30%35%

Books & Magazines

Clothing

Computer Hardware & Software

Drugs & Health Aids

Electronics

Food & Beverage

Furniture and Decorations

Music & Videos

Office Supplies

Sporting Goods

Toys & Games

Travel Package / Flight Ticket / Shows…

Gift product

Other

28.52%

20.65%

17.59%

5.54%

14.60%

7.04%

5.39%

22.02%

4.33%

7.62%

20.43%

20.75%

10.45%

32.95%

Audience Share



Findings:

• Significant online product for men: Computer Hardware & Software,

Electronics, Office Supplies, Sport Goods, Toys & Games

• Significant online product for women: Clothing, Tickets & Deal, Gift product


25.76%

13.13%

22.60%

5.61%

18.63%

7.14%

5.66%

22%

4.90%

10.73%

24.24%

17.97%

8.39%

32.73%

32.06%

31.65%

10.02%

5.63%

8.70%

6.88%

4.89%

21.46%

3.40%

2.65%

14.83%

24.52%

13.01%

34.05%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Books & Magazines

Clothing


Drugs & Health Aids

Electronics

Food & Beverage


Music & Videos

Office Supplies

Sporting Goods

Toys & Games


Gift product

Other

Male

Female

Gender



Finding:

• Audiences in metro areas are more likely to make online reservations for

services such as travel, shows, and deals.


Reside Location

0% 5% 10% 15% 20% 25% 30% 35% 40%

Books & Magazines

Clothing


Drugs & Health Aids

Electronics

Food & Beverage


Music & Videos

Office Supplies

Sporting Goods

Toys & Games


Gift product

Other

Capital City

Large City

Rural / Countryside


Final Conclusions and Key Take Aways


1. Social Media is not just sharing status updates and sharing photos

with Friends on Facebook. It’s about using social media tools to

influence commerce.

2. People are far more likely to buy a product based on a

recommendation from a friend or an unbiased review on a site.

3. Social Commerce can take place on both ecommerce sites, but also

on product review sites, forums, and all sites out there , as social

media tools now allow people to comment on all pieces of content.

4. Advertisers need to implement a strategy that includes social sites

that influence commerce, banner ads, and advertorials to maximize

effectiveness.

Documents

Effective Measure - Thailand Social Commerce Study