APAC Shoppers Pour Half A Trillion Into eCommerce

The global economy rose to prominence off the backs of Western brands — McDonald’s, Coca-Cola and Nike, just to name a few. And while the Western consumer is still chugging along nicely, there’s another region of shoppers on the upswing, and it’s ready to spend.

According to the PayPal and Ipsos “Cross-Border Consumer Research 2015” report, online shoppers in the Asia-Pacific region were responsible for $594 billion in spending throughout 2015. In detail, 69 percent of consumers in Singapore facilitated online orders from merchants outside of their country, just as 65 percent of Australians and 38 percent of Indians did the same.

While Asia-Pacific may already be showing a big appetite for online international shopping, the PayPal/Ipsos report projected massive growth for the region in the near future. By 2017, the firms estimated that India would experience a 53 percent spike in online shopping, while already-booming China would see a 28 percent boost. Singapore, too, should enjoy a modest 16 percent increase in digital cross-border commerce.

Hamish Moline, vice president of regional merchant services for Asia-Pacific at PayPal, explained in a statement, quoted by ZDNet, that the rise of the cross-border consumer outside of the Western world presents innumerable opportunities for retailers.

“As both the Internet and usage of mobile phones and tablets transform the face and form of retail, online borderless shopping continues to grow rapidly, presenting a clear opportunity for businesses to embrace their export potential,” Moline said. “With the transformation of consumer demand for online and cross-border goods, as well as the platforms now available, any business can become a competitive player in the global marketplace. The data from the PayPal research underscores an opportunity for businesses in Asia-Pacific to extend their reach to the global market without the exorbitant cost from traditional geo-expansion.”

While old and new obstacles remain in the path toward a smoothly operating cross-border commercial world — i.e., currency conversions and shipping costs — a strong Asia-Pacific region can only help things along.