The average order value has skyrocketed! Shopee sellers have grown from 0 to N, and their sales have increased by multiples without any effort

Recently, Southeast Asia's leading Shopee conducted an in-app survey, and the data showed that 35% of sellers said that Shopee is now their main platform for generating income, and more than 50% of sellers believe that Shopee has brought many impacts on their lives.

In Southeast Asia, Shopee has entered multiple blue ocean markets. According to data.ai, an authoritative mobile data analysis platform, in 2022, Shopee ranked among the top three in terms of average monthly active user growth among global shopping apps, and ranked first in terms of average monthly active user growth among shopping apps in Southeast Asia and Brazil . Whether it is Google Play or Apple Store, Shopee's total downloads in multiple markets are firmly at the top of the shopping app list, and its monthly active users are also among the best.

In order to better help sellers and provide them with a broader development space in the cross-border tide, Shopee has also launched a number of support strategies. At the "Peak Season Intensive Cultivation and Successful Start" Seller Incentive Conference held recently, Shopee announced the launch of a million-dollar incentive plan for big sales and a ten-free plan for new sellers, and officially launched a full hosting service. Many measures have been taken together to boost the momentum of cross-border merchants' orders during the peak season.

Today, Shopee is gaining momentum, and sellers of various types, mainly in electronics , fashion , lifestyle , and fast-moving consumer goods, have successfully leveraged the platform's advantages to realize their cross-border dreams in the blue ocean market.

3C electronics: intensive branding, sales soared 6 times

In the era of mobile Internet, the 3C industry is undoubtedly a hot market. In recent years, its market has grown steadily, and the online share has increased year by year. It is expected that by 2025, more than half of the world's 3C products will be sold through online channels.

Although there are many 3C players, there are still a number of cross-border sellers on Shopee who have already enjoyed the market dividend . It is reported that driven by Shopee's big promotion, the sales volume of 3C products has increased by 6 times compared with normal days, and the average order value of some products has increased by as much as 30% . At the level of new sellers, the sales of new sellers of mobile phones and accessories increased by 120% month-on-month this year , and the average order value of new sellers of computers and accessories can reach US$30 , which shows that the market potential of the category is still huge.

The substantial increase in average order value will certainly lead to an expansion of profit margins. In terms of specific categories, home appliances, security monitoring, smart wearables, mobile phones and tablets, computer hardware, keyboards and mice are Shopee's core development categories, and they are also the red ocean products with high average order value and high profit margins on the platform.

In addition, after the end of the epidemic, the demand for travel among people in Southeast Asia increased, and power banks quickly became a potential blue ocean category, with sales increasing by more than 90% year-on-year .

However, it should be noted that the market nowadays pays more and more attention to branding, and branding has become the core of the development of high-order product categories . Shopee data shows that in the first half of this year, the sales growth of brand sellers was impressive, and the sales of 3C brand sellers increased by nearly 60% . At the level of average order value products, the proportion of mall sales is relatively high. Among the products sold with an average order value of more than US$100 , up to 70% of them are from Shopee Mall .

In the Southeast Asian and Brazilian markets where Shopee has been deeply involved, the consumer user base is large and the demand for 3C products is constantly increasing. At the same time, consumers have higher requirements for quality and functions, and the demand for categories is becoming more refined. In this context, sellers who seize the advantages of China's 3C industry chain can build corresponding brands and take advantage of the market boom to usher in wave after wave of sales peaks.

Fashion: Focus on new trends, market demands vary but orders explode quickly

Fashion products advocate individuality, love sharing , and keep a close eye on trends . The growth cycle of fashion products far exceeds that of other categories . According to Statista data, the number of overseas fashion e-commerce consumers will reach 1.77 billion in 2022, accounting for 57.6% of the world's total e-commerce users.

Relying on the industry's high-quality and efficient industrial chain and production model , Chinese fashion products, known for their "high cost-effectiveness and high-speed iteration" , are undoubtedly competitive in overseas markets . Coupled with the low entry cost, fashion has become a high-traffic and high-sales category on many e-commerce platforms, and Shopee is no exception.

In Brazil , fashion has always been the most prominent category in the market. Enthusiastic Latin American consumers generally prefer European and American styles, and are keen on accessories with rich and diverse fashion elements and fast updates. A previous survey by Shopee pointed out that fashion items (mainly clothing) have become a popular Valentine's Day gift for 60% of Brazilian consumers.

In July this year , Shopee even launched a large discount promotion for fashion products in Brazil, "8.8 Liquida Moda Shopee", with product discounts of up to 60%. The promotion lasted for a month, and many Brazilian consumers found their favorite fashion items on the Shopee platform.

In addition to Brazil, Southeast Asian markets such as Thailand, the Philippines, and Vietnam are also key markets where Shopee sellers can deploy fashion categories. However, consumer preferences vary from market to market, and fashion trends change rapidly. Sellers must respond to trend demands in a timely manner in order to tap into sales opportunities that continue to explode in each market.

In Thailand, female consumers account for a large proportion, and their age is concentrated between 25 and 34 years old. They prefer trendy sweet and cool, sexy and hot fashion styles. At the same time, influenced by K-pop and social media, this consumer group pays close attention to the Korean wave trend. Therefore, Korean accessories and Instagram hits are very popular, and the speed of ordering related products is much faster than other similar products.

In Vietnam, female consumers are also the main force of fashion consumption, but their age is concentrated between 19 and 24 years old. Unlike the Thai market, Vietnamese female consumers prefer sweet and fresh styles, and prefer silver colors such as 925 silver and titanium steel for accessories. In addition, young Vietnamese women have high stickiness on social media, and online hot spots can easily drive their consumption desire, so short video hits and Chinese film and television dramas are very popular in Vietnam.

Fashion products have a strong market potential in Southeast Asia, Brazil and other markets, and the wide variety of fashion products have a natural advantage in being suitable for live streaming, and Shopee's promotions have further boosted their sales. Data shows that the fashion products participating in Shopee's promotions saw a 4-fold increase in live streaming orders, a 7-fold increase in live streaming GMV, and a 2-fold increase in live streaming customer spending .

Home life: Focus on differentiation, six high-win product selection directions emerge

In Asian culture, family has always been an important theme, so Southeast Asians also have high requirements for their home environment and are more willing to buy a variety of home products to beautify their living environment. Therefore, for home living category sellers, Shopee is undoubtedly an ideal sales place - the GMV of cross-border sellers in the home living category has increased several times in 5 years, and the average order value has steadily increased in 2022 .

The rapid growth of the macro-economy in Southeast Asia and Latin America and the increase in the proportion of middle-class consumers have also led to the annual expansion of the mid- to high-end home furnishing market. High-quality, branded home furnishing products are expected to become high-potential products. At the same time, social media has to some extent smoothed out the global information gap, and the hot-selling trends in the home furnishing market have shown commonalities, allowing the same product to be expanded to multiple sites. Under this influence, the GMV of brand/vertical home furnishing sellers is expected to achieve rapid growth.

It is worth noting that the current home furnishing category has emerged with six high-win rate product selection directions: seasonal trends, single product hits, functional innovation, multi-piece combinations, quality styles, and professional long tails . In this direction, Shopee has given innovative suggestions for home furnishing category sellers: to meet the three needs of universality, localization, and subculture.

In terms of marketing, Shopee provides a full-range marketing matrix, and sellers can also cleverly use the flash sale + add-on purchase method to create an internal circulation link for store traffic.

Taking outdoor sports as an example, changes in consumer concepts, enhanced health awareness, younger demand, and booming tourism on the supply side have all driven the penetration rate of outdoor sports products in Southeast Asia to continue to increase.

As non-essential products, sports and outdoor products should increase their online layout and create consumption demand for the category through word-of-mouth communication, social media advertising and other methods. At the same time, the products should emphasize both professionalism and brand, and find the right positioning.

For novice sellers, the entry threshold for home living categories is low, the domestic supply chain is complete, and the competition in the category is relatively fierce. Therefore, sellers must do a good job of differentiation and focus on the different characteristics of customer groups and sites in order to build category barriers and attract more consumers and high-quality buyers.

Fast-moving consumer goods: The market has strong explosive power, and the average order value has increased by more than 20%.

As a daily necessity, the market size of fast-moving consumer goods has been growing over the long term. On the Shopee platform, fast-moving consumer goods have three characteristics: fast growth, strong explosiveness, and brand popularity .

Specifically, during Shopee’s big promotions, the average order value of fast-moving consumer goods can increase by 20%, and the sales volume on the day of the promotion increases by an average of more than 5 times. More than 70% of consumers will trust branded goods more when purchasing goods.

If segmented by category, beauty and health care, mother and baby toys, and food and beverages are all popular categories on the platform, each with its own advantages.

On the Shopee platform, there is a large base of female consumers, so the market size of beauty and health products is also large. There are many products in different price ranges, but branded products generally have greater potential.

In the maternal and infant toy market, Southeast Asia's average annual population growth rate is much higher than the global average, which means that the region's consumer demand is only increasing. However, such products also have the characteristics of rapid style updates and iterations, which places extremely high demands on sellers' cooperative supply chains.

As an evergreen and in-demand product category, food and beverage products have a very high repurchase rate. Good product quality supervision can effectively cultivate a loyal consumer customer base.

Currently, Southeast Asian consumers are generally price-sensitive in fast-moving consumer goods, pursue natural and safe ingredients, rely more on branded goods, and are easily influenced by social media. Therefore, in terms of marketing, KOL promotion is the most powerful way to guide the Southeast Asian fast-moving consumer goods market.

Whether it is 3C, fashion, home furnishings, or fast-moving consumer goods, the Shopee platform has gathered a group of loyal consumer groups. The one-stop cross-border seller solution provided by the platform is also constantly breaking through various barriers to cross-border sales, reducing sellers' logistics and operational costs, and supporting sellers with various resources to help them improve their marketing strategies and allow sellers to enjoy a wider profit margin.

In order to help more cross-border sellers to expand overseas easily, Shopee has officially launched a plan for new sellers to enjoy 10 “all” and 10 “free” items. This is a major incentive plan under the “self-operated model”! The 10 “all” items refer to the full opening of the top 10 first sites, and the 10 “free” items include a total of 10 free incentives, including free commissions for three months, free turnover, and free traffic. You can participate in this plan by scanning the QR code below or clicking on the link to join. Shopee will guide new “self-operated” sellers from 0 to 1 to join Shopee and gain traffic!

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