DEO Shopper Understanding on Ecommerce Report 20160823 V2-update

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Deodorant Shopper Study on Ecommerce Report

Transcript of DEO Shopper Understanding on Ecommerce Report 20160823 V2-update

Deodorant Shopper Study on Ecommerce Report

Contents

Project Background

Target Shoppers’ Lifestyle

Shoppers’ Attitude to Deodorant

Online Shopping Journey

Study Highlights

Project Background

Project Background

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• Background• The current penetration of deodorant in China has room to grow. On the other hand,

ecommerce is developing fast and attract more and more shoppers purchase on it• To seize this opportunity, and utilize ecommerce learnings to increase deodorant

penetration; a study about ecommerce shoppers’ shopping behavior online thus is called for to target their needs on ecommerce

• Research Design• Step I: DEO target shopper understanding

Methodology: Qualitative – WeChat Listening Research Focus:

• Profiling for DEO target shopper (both user & potential user)• Channel Role and Opportunity Identification for Ecommerce

• Step II: Trip Path to Purchase Understanding Methodology: Qualitative

– Shopping behavior tracking on mobile and PC– 10 minutes WeChat interview to understand reason why behind the behavior

Research Focus: Online shopping flow and touch point usage

Research Design – Respondent Criteria

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• Age: 18-30 y.o.• Gender: Male and Female• Education: College and above• Age & Occupation Quota 18-24 y.o covers university student, first/free jobbers, entrepreneurs 25-30 y.o. full time employee

• All aware of deodorant category• Mix deodorant users and non-users: 50% / 50%• Online Shopper, respondent needs to purchase online, at least, 2 times for last month. Also one of the

purchase must be personal care product.• Respondents should includes both “New Trend Catchers” & “Leading-edge EC User”. Besides criteria above,

respondents should be:• New trend catchers

• Who likes to follow digital media information (e.g. bilibili, acfun, Qdaily, Mono, Zhihu etc, also web celebrities’ or popular blog expert.)

• Familiar and look for newest marketing campaigns/news of website/app, e.g. TED etc• Leading-edge EC users

• Active internet user, spend at least 2 hours online every day (including PC and/or Mobile)• Use eCommerce as key source of information collection and purchase channel for

personal care products (especially new & imported product)• Active in social media such as wechat moment, weibo to share experience & feeling• Always willing to try new product & purchase online such as special facial cleanser (酵

素类/氨基酸类), Dry shampoo, Male facial mask, BB cream & Electrical facial cleanser (any one of them)

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Behavior Tracking_ mTracker & PCTracker

Research Design – Sample Distribution

WeChat Listening +

DEO User DEO Non-UserBeijing 16 16

1. Deo user, Male: Female => 4:12 1. Deo Non-user, Male: Female => 4:12Deo User Male, age 18-24: 25-30 => 3:1 Deo Non-User Male, age 18-24: 25-30=> 3:1

Deo User Female, age 18-24: 25-30 => 9:3 Deo Non-User Female, age 18-24: 25-30=> 9:32. Leading edge EC Users: New trend catchers=> 8:8 2. Leading edge EC Users: New trend catchers=> 8:8

Shanghai 16 161. Deo user, Male: Female => 4:12 1. Deo Non-user, Male: Female => 4:12

Deo User Male, age 18-24: 25-30 => 3:1 Deo Non-User Male, age 18-24: 25-30=> 3:1Deo User Female, age 18-24: 25-30 => 9:3 Deo Non-User Female, age 18-24: 25-30=> 9:3

2. Leading edge EC Users: New trend catchers=> 8:8 2. Leading edge EC Users: New trend catchers=> 8:8Guangzhou 16 16

1. Deo user, Male: Female => 4:12 1. Deo Non-user, Male: Female => 4:12Deo User Male, age 18-24: 25-30 => 3:1 Deo Non-User Male, age 18-24: 25-30=> 3:1

Deo User Female, age 18-24: 25-30 => 9:3 Deo Non-User Female, age 18-24: 25-30=> 9:32. Leading edge EC Users: New trend catchers=> 8:8 2. Leading edge EC Users: New trend catchers=> 8:8

Total

CityRespondent Quota

96

+ WeChat Interview

Execution Period: Jun 11-17 Jun 18-24 Jul 11-18

Target Shoppers’ Lifestyle

Target Shopper Grouping

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• Among deodorant target shoppers, 4 different groups are identified by their consumption pattern towards personal care product

Smart Shopper

• Both high-end & mass brands

• Quality first, then seek for smart deal channel

Quality Seeker

• High quality life

• High-end brands

• Quality guarantee

• Reliable product source

Economical ShopperPromotion Seeker

• Both high-end & mass brands

• Interested in and proactively search for discounts & promotions

• Mass brands

• Online shopping focus on price comparison and low price

Source: WeChat listening

Overview on Four Groups – Persona Difference

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Smart ShopperQuality Seeker EconomicalShopper

Promotion Seeker

Source: WeChat listening

Gender Constitute Male VS. Female 1:4Similar to quota setting

Male VS. Female 1:10Majority female

Male VS. Female 1:3Similar to quota setting

Male VS. Female 1:1More male compared to

other 3 groups

MHI High Middle-High Low-Middle Low-Middle

Pressure Level Low Certain Intensity Mixed with low pressure and certain intensity

Mixed with low pressure and high pressure groups

Brands Preference High-end brands Both high-end & mass brands

Both high-end & mass brands Mass brands

Consumption Pattern

• Pursue high quality life and high-end brands

• Care about reliable source and high quality of the products

• Quality first, then seek for smart deal channel

• Proactively search users’ experience sharing through apps e.g. RedBook

• Interested in and proactively search for discounts & promotions from both online and offline channel

• Online shopping focus on price comparison and low price

OccupationTranslator, Manager, Government worker;

Students

Office clerkManagerStudents

Secretary/ AssistantAccountantStudents

Office clerkAccountant/ technician

Students

Lifestyle Label High quality life; relax; rich leisure time Busy Mixed with relax and busy

groupsMixed with busy and easy

& simple life groups

Group Size

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• Relatively, smart shopper and economical shopper are bigger groups, and the distribution has city difference• More smart shoppers in SH, while more economical shoppers in BJ

• DEO users have more economical shoppers, while Non-Users have more promotion seekers who are easily attracted by promotion to impulsive shopping

City Quality Seeker Smart Shopper Promotion Seeker Economical Shopper Total Respondents

Total 15 34 17 30 96

BJ 6 8 5 13 32

SH 4 17 4 7 32

GZ 5 9 8 10 32

Deodorant User 8 15 6 19 48

Deodorant Non-User 7 19 11 11 48

Source: WeChat listening

Overview on Four Groups – Common Characteristic

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Sports

TravellingWatch Movies

Painting

Concert Dancing

Rich entertainment hobbies

Large-scale activities / sports events that are popular in

foreign countries and newly introduced to China:Live shows and stars

interactions in shopping mall:Kung Fu performance

DJ live show

Concerts /Band performances

Free SPA Interested activities

Source: WeChat listening

BasketballRunning

Art Exhibition

Overview on Four Groups – Common Characteristic

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International sports

tournaments

NBA

EuropeanCup

Appearance related:

• Body fitness• Losing weight

• Dress collocation• Beauty makeup

• Skin care

Popular TV dramas,

Movies, and Entertaining

showsWeb celebrities and stars

Latest hot topic or

news in the local

society

Interested topics

Pony

ShanghaiDisney

Huanlesong

Warcraft

Papi

Source: WeChat listening

Overview on Four Groups – Daily Usage of APPs

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Source: WeChat listeningNote: In the whole report, the “ ” icon indicates the mentioned times.The more “ ”, the more respondents mentioned

Social media

Wechat Weibo QQ Facebook Instagram

Online shopping apps

Taobao Tianmao JD

Red book

Yihaodian

FengquHaitao

WangyiKaola

Yangmatou

Boluomi

Tools

Baiduditu Mojitianqi UC Alipay KEEP

Videos

Bilibili AC fun Youku Aiqiyi Tencent

BaiduNuomi

Food ordering and discount finding

DazhongDianping Meituan Eleme

Transportation

Uber Didi

Music

Xiami Kugo QQ Kuwo Baidu

News and Reading

Zhihu Douban Haoqixinribao

TencentNews

MONO

Photography

MeituXiuxiu Meiyanxiagnji IN Jane HuangyouXiangji

SMZDM

Shoppers’ Lifestyle

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Quality Seeker

Who

Source: WeChat listening

• Group Size: 15 (Female: 12; Male: 3)• MHI: High (20,000-50,000 CNY)• Occupation & Marriage Status:

• Translator, IT technician, Government worker (Single);• Manager (Married, have children);• Office clerk (Married, no child);• Students

• Personal Care Product: High-end brands

• Lifestyle: • High quality, relaxed and carefree life with little or no pressure• Enough leisure time for entertainment• Many of them have financial source from parents or spouse

Where

• Routine spots:• Weekdays

• Office• Coffee shop

• Weekends• Shopping mall and

restaurants with good environment

• Cinema• Exercise in park or go

to fitness center

K11, Shanghai Longemont, Shanghai TaiKoo Hui, Guangzhou

Quality Guarantee

Oversea shopping agency

Large e-tailers (e.g. Tmall, JD)

Personal care store

Oversea physical

store

Counter in shopping

mall

Online Offline

• Good reputation• Have promotion• Home delivery

• Reliable product source

• Comfortable environment

• Provide product not available in domestic

• Try product sample

• Provide BA Introduction

Source: WeChat listening

Channel choice and reason behind

Shoppers’ Lifestyle – Shopping Channel

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Quality Seeker

• Consumption Pattern:• Pursue high quality life and high-end brands of personal care products• Care about reliable source and high quality of the products

Shoppers’ Lifestyle

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Who

Source: WeChat listening

• Group Size: 34, majority female (Female: 31; Male: 3)• MHI: Middle-High (10,000-30,000 CNY)• Occupation & Marriage Status:

• Office clerk (Single);• Manager (Married, some have children);• Students

• Personal Care Product: Jointly use mass brands and high-end brands

• Lifestyle: • Busy, have certain intensity and pressure on work or study• Some of them are married and have children, have pressure on

supporting family.

Where

• Routine spots:• Weekdays

• Office or School• Park or gym• Coffee shop

• Weekends• Shopping mall • Cinema• Game room• KTV• Library / Bookstores• Art gallery

Smart Shopper

Shoppers’ Lifestyle – Shopping Channel

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Smart Shopper

• Consumption Pattern:• Quality first, then seek for smart deal• Have clear understanding of needs and shopping plans pre store• Proactively search users’ experience sharing through apps

Quality Guarantee

and Smart Deal

Oversea shopping agency

Large e-tailers (e.g. Tmall, JD)

Personal care store

Oversea physical

store

Counter in shopping

mall

Online Offline

• Good reputation• Have promotion• Home delivery

• Price advantage for luxury brands

• Comfortable environment

• Provide product not available in domestic

Source: WeChat listening

Channel choice and reason behind

• Many stores for convenient shopping

• Membership activity• Provide product

sample

• Buy expensive electronic beauty products for worry-free after-sales service

• Compare prices• User comments • Have promotion• Home delivery • Provide BA

introduction• Immediately

use

Red Book SMZDM

Shoppers’ Lifestyle

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Who

Source: WeChat listening

• Group Size: 17 (Female: 13; Male: 4)• MHI: Low-Middle (8,000-25,000 CNY)• Occupation & Marriage Status:

• Secretary/ Assistant (Single);• Accountant (Married, have children);• Students

• Personal Care Product: Jointly use mass brands and high-end brands

• Lifestyle: Mixed with relax and busy groups• Busy groups:

• Middle MHI, busy working or studying• Have certain financial intensity for supporting parents or

children• Relax groups:

• Low-middle MHI, but enjoy a relaxed life with lots of free time; • Have little or no life pressure

Where

• Routine spots:• Weekdays

• Office or School

• Both weekdays and weekends• Popular discounted

restaurant• Cinema• Shopping mall

Promotion Seeker

Shoppers’ Lifestyle – Shopping Channel

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• Consumption Pattern:• Proactively search for discounts & promotions from both online and offline

channel• Easily influenced by discounts and promotion activities for impulsive

purchase

Promotion Seeker

Source: WeChat listening

Attractive Promotion

Large e-tailers (e.g. Tmall, JD)

Personal care store

Online Offline

• Membership program

• Rich choices• High quality

products

The main shopping channel:• Various promotion

mechanism• Home delivery

Channel choice and reason behind

Shoppers’ Lifestyle

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Who

Source: WeChat listening

• Group Size: 30, more male compared to other 3 groups (Female: 16; Male: 14)

• MHI: Low to Middle (8,000-20,000 CNY)• Occupation & Marriage Status:

• Office clerk, Sales, Teacher (Single);• Accountant/ Technician (Married, some have children)• Students

• Personal Care Product: Prefer mass brands

• Lifestyle: Mixed with busy and easy & simple life groups• Busy groups:

• Middle MHI, high working pressure• Prefer saving money

• Easy & simple life groups:• Low-middle MHI, mainly students with low study pressure

Where

• Routine spots:• Weekdays

• Office or School• CVS• Restaurant

• Weekends• Stay at home• Shopping mall • Cinema• KTV• Park or suburb

Economical Shopper

Shoppers’ Lifestyle – Shopping Channel

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• Consumption Pattern:• Focus on low price• Prefer comparing prices on different channels• Shop in supermarket and personal care stores for convenient and time-

saving; also consider the mass brands price is competitive when on promotion

Low Price

Large e-tailers (e.g. Tmall, JD)

Personal care store

Online Offline

Source: WeChat listening

Channel choice and reason behind

Economical Shopper

• Various promotion mechanism

• Home delivery

• Immediately use• Many stores for

convenient shopping

• Higher quality compared to taobao personal seller

Super-market

Channel Role - Online

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• Purchase products not available domestic

Oversea shopping agency

• Red Book:• Find new products• Refer to user reviews

• Taobao/JD:• Information collection

(Search products showed on TV drama or entertaining show)

• Find promotion / discount

• Price comparison• Purchase personal care

products for stock up

Large e-tailers

• Online channel common role: information collection, explore new products,seek for promotion and price comparison

Source: WeChat listening

Channel Role - Offline

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• Purchase products with member discount/points rewards

Personal care store / supermarket

• Purchase products cheaper than domestic

• Purchase products not available domestic

Oversea physical store

• Purchase expensive / high value personal care products

Counter in shopping mall

• Offline channel common role: purchase products of immediate needs, try product samples, enjoy shopping experience

Source: WeChat listening

“去屈臣氏,或者专柜买,因为线下可以试用产品,而且比网购更快能拿到产品。”GZ, Miss Jia, Non-User, New Trend Catchers, Smart Shopper

Opportunities for Ecommerce

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• 4 target groups difference compared to common online shoppers:• For high-end products, to ensure product quality, they prefer to purchase in oversea

physical store, or through oversea shopping agency which with good reputation or introduced by friends, or even purchase in counter of shopping mall

• When shopping online, they like to collect information for smart deal from APPs such as Red Book(小红书), SMZDM(什么值得买)

• Various promotion events, rich product selection and home delivery attract more and more shoppers from offline to online. But lack of usage experience and no product sample available while purchasing new products online, somehow decrease shopping experience satisfaction• Launch new product and increase awareness through ecommerce maybe a good

choice by utilizing the promotion events, and shoppers habits to explore new products online

• Encourage shoppers to publish more positive usage experience reviews after purchase online, to offset the concern of no product sample for trial

Source: WeChat listening

Shoppers’ Attitude to Deodorant

• Awareness Channel of Deodorant

• Usage Occasion of Deodorant

• Barriers of Deodorant Usage

• Triggers to Try a New Personal Care Product

• WOM, advertisement and physical store shelf display are the key channel to impact deodorant awareness

Awareness Channel of Deodorant

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Source: WeChat interview

• Family member / friend / colleague /

classmate’s recommendation

• TV advertisement

• Online advertisement / Ecommerce advertisement

• Physical store shelf display, especially

Watsons / Poster in shopping mall / Store staff recommendation

• Free sample from gym

• Magazine advertisement

First Time Usage Occasion of Deodorant

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• To keep a good image when gathering or attending important events is the key trigger for shoppers first time to use deodorant

• To keep a good image• Gathering with friends / Attending party or wedding• Meeting clients / Attending conference• Having a date• Going outdoor / shopping / go to travel

• (Student) have classes• (Employees) at work

• Getting sweaty after exercise and fitness / having P.E lesson

• Hot weather in summer

• Go to interview

• As substitute of perfume (Consider perfume is more expensive)

“以前小,觉得买香水不划算,所以用香体剂”-SH, User,Miss Qi, New trend catcher,Smart Shopper

Source: WeChat interview

Usage Occasion of Deodorant

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• Shoppers mainly use deodorant in the morning or evening; to prevention before occasion or remedial action after occasion

Prevention before occasion• When:

• Before go out / changing clothes in the morning

• Before exercise• After shower

• Occasion:• Wear sleeveless / short-sleeve

clothes• In public place/in a party

Functional Needs:• Cover the smell of sweat• Prevent body odour• Anti-perspiration• Prevent sweat stain on clothes• Nice Scent of body• Dry and cool feeling

Emotional Needs:• Make a good impression• Improve confidence and

comfortable feelingRemedial Action after occasion (more male shoppers in these occasions)• When:

• Need to go out at night before shower

• After exercise• Clothes smell bad

Source: WeChat interview

Barrier of Deodorant Usage: Non-User

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• Except for no consumption needs, lack of understanding or even negative feeling for deodorant are the key barriers for shoppers to use deodorant

No consumption needs

• Seldom get sweat• No or little body odour• Don't like to apply anything on body

Lack of understanding or even negative feeling for deodorant

• Don't know its function and effect• Consider it is not daily necessity• Only a few friends or even no friend is using• Feel it represents poor taste

“听说会堵塞毛孔,抑制汗腺,加上我本身没体味”-GZ, Non-User,Miss Yang, New trend catcher,Smart Shopper

“感觉香体剂的质地不好,用了会有种黏黏的感觉,而且觉得会对皮肤不好”-GZ, Non-User,Miss Li, Leading-edge EC user,Promotion seeker

Source: WeChat interview

• Consider it is not good for skin

• Have concern about clog pores or suppress suboriferous

• Feel like mainly for girls / ladies, not suitable for boys / men

Barrier of Deodorant Usage: Non-User

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• Perceived deodorant fragrance is not so good as perfume, especially for quality seekers, which prevent them to use deodorant

Uncomfortable feeling after usage

• The texture is sticky and not comfortable after usage

Unmet the needs for fragrance

“香水会更好,一般只在冬天用香水。夏天出汗比较多,基本什么都不用。”-BJ, Non-User,Miss Zhao, Leading-edge EC User,Quality Seeker

Source: WeChat interview

• Have the habit of using perfume, and deodorant is not as good as perfume, especially for Quality Seeker

• Short lasting time of deodorant scent

• No favorite scent from deodorant

• The scent of body is not natural after using deodorant

“并没有很吸引我,觉得留香时间不长而且香味比较普通”-GZ, Non-User,Miss Li, New trend catcher,Quality Seeker

Triggers to Try a New Personal Care Product: Non-User

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Creative and attractive product package

Creative and attractive ads

Product function meet the consumption needsGood word of mouth

• New function / formula / ingredients of the product

• High-tech applied in production

• Not satisfied with current using product and need to find a new replacement

• Positive user reviews• Famous brand• Large user group / hot

selling product in ecommerce

Source: WeChat interview

Triggers to Try a New Personal Care Product: Non-User

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Reliable recommendation or advertisementReasonable price or on discount/ promotion

• Friends recommend• Web celebrities / Stars / Make-up blogger

recommend; Follow the latest fashion trend• Relatively, Quality Seeker and Smart Shopper

are easily impacted by web celebrities and starts• Hot topic in WeChat moment / Weibo• Recommended by WeChat official account• Impacted by in-game advertising in TV Variety Show,

e.g. Running Man• Ads of reliable brand or physical store / e-store• Recommended by Red Book (小红书)

• Especially attracts the Promotion Seeker and Economical Shopper

Smart ShopperQuality Seeker

Economical Shopper

Promotion Seeker

Source: WeChat interview

Online Shopping Journey• Information Collection

• Shopping Mission

• Online Shopping Journey

Note: In this project, over 90% of shoppers mainly use mobile for online shopping, so the findings from this section of report mainly comes from Mobile Tracking.

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• For personal care products, shoppers search related information on social

media, or influenced by web celebrities/stars’ sharing

• Web celebrities/stars' posts on Weibo and other social media

• Makeup tutoring videos / Makeup bloggers

• Popular TV dramas, entertaining shows

• Articles in WeChat Moments written by official accounts

Source: WeChat interview and ClickstreamBase: All respondents N=96

• Used Apps during Tracking Period

Information Source Content Timing

• Product Recommendation, write product reviews

• Share shopping experience• Follow web celebrities/ stars, learn

popular products and fashion trend• Subscribe official accounts, read articles

about product recommendation

On transportation (morning and night) Noon breakNight time

Wechat

InstagramQQ

Weibo

Social Media 100%

Information Collection

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• Used Apps during Tracking Period

Information Source Content Timing

• Look for new oversea personal care product shown on TV drama/ entertaining show

• Search product detail information

• Products and pricescomparison

• Browse users reviews and comments

• For female shoppers, they prefer reading product reviews on Red Book and other shopping experience sharing apps

On transportation (morning and night) Noon breakNight timeWeekend

YiHaoDian

YangMaTou

XianYu

Taobao

RedBook

TmallJD

JuMei

VIP.com

TaoCaiMao

TaoPiaoPiao

BoLuoMi

Source: WeChat interview and ClickstreamBase: All respondents N=96

Online Shopping Apps 86%

Information Collection

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Source: WeChat interview and ClickstreamBase: All respondents N=96

• Used Apps during Tracking PeriodInformation Source Content Timing

• Watch make-up tutoringvideos/ Celebrities live shows

• Learn new products through Ads before playing video

• Learn new products shown on TV drama/ entertaining show

On transportation (morning and night) Noon breakNight timeWeekend

• Group purchase• Find discounted stores and

products

Lunch timeDinner time

• Follow makeup bloggers onsocial forums, broaden fashion and personal care information scope

• News of celebrity to learn about fashion trend

On transportation (morning and night) Noon break

Videos 32%Bilibili

AC fun

YoukuAiqiyi

Tencent

Live Show AppsDouYu YingKe Hua

Jiao

YouTube

DazhongDianping

MeituanEleme BaiDuNuoMi

Food Ordering and Discount Finding 22%

News and Reading 16%

Zhihu DouBanMONOHaoQiXin TencentNews

Information Collection

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• Replenishment and promotion driven are key triggers for shoppers’ online shopping trip

• Try new product or find replacement for current product, find a solution, also lead to their online shopping trip

Products ran out/ running out

Product promotion/discounts(Key trigger for Promotion Seeker)

Not satisfied with current product/Attracted by new product

In summer, easy to get sweaty because of the hot weather

Replenishment

Promotion Driven

Try New Product/ Replacement

Solution Seeking For DEO

Source: WeChat interview

Shopping Mission

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• Shoppers with different shopping mission; Male VS. Female; have similar overall shopping journey, but reflect different behavior in detail steps (step 2, 3 & 4)

Source: WeChat interview and ClickstreamBase: All respondents N=96

Online Shopping Journey Overview (1)

1. Enter E-tailersTaobao / Tmall / JD

• Majority shoppers enter directly by mobile apps

2. Search Key words or click navigation bar

on home page

Top 1

Top 2

• Goal-oriented or feel not user friendly through navigation bar: search key words to find products

• For exploration: click navigation bar

For Replenishment, shoppers may enter Product/Merchant List Page through My Favorite in User Information Page

Promotion Seeker may enter Product List Page by clicking ads on homepage

Promotion Driven

Replenishment

Promotion DrivenCategory + Combo(套装)

Promotion Driven

Solution SeekingCategory + Function

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• Different shopping missions affect shoppers’ Sort & Filter choices on Product List Page

Source: WeChat interview and ClickstreamBase: All respondents N=96

Online Shopping Journey Overview (2)

70% SortMost of them ranking by sales or default order

48% FilterMainly filter by:• Brand• Price range• Dispatch place• Function

3. Click an item and land in product page

• Attract to click an item: Sharp and clear head photo of real product, attractive function in product description, sign of famous e-tailers self-operated / official flagship store, promotion information and free delivery

Promotion Driven

Replenishment

Try New Product/ Replacement

Solution Seeking

Shopping Mission• Replenishment:

• Sort: Price• Filter: Place of Dispatch

+ Price Range• Try New Product/

Replacement:• Sort: Sales Volume,

Credit• Filter: Brand + Price

Range• Promotion Driven:

• Sort: Sales Volume• Filter: Brand + Product

Specification• Solution Seeking:

• Sort: Default Ranking, Comments Volume

• Filter: Brand + Functions/ Product Attributes

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Source: WeChat interview and ClickstreamBase: All respondents N=96; DEO user* N=48

Online Shopping Journey Overview (3)

52% DEO users* would like to cross purchase DEO with other personal care

products

4. Check product page

• On average, shoppers compare 3 products & spend 25 seconds on each product detail page before final purchase

5. Put into shopping cart

• Top 3 factors impact final purchase decision of DEO• Anti-perspiration effect

and lasting time• Famous brand• Attractive price &

promotion

• Expected show product from different angle (front, side, back, details)

• Both text and pictures to show function / ingredients / scent

Top: Rolling Photos• 65% shoppers browse

Bottom: Product Recommendation

• 52% shoppers browse

Middle: Product Introduction

• Expected show function: Anti-perspiration, lasting time, scent

• Ingredients: non-alcoholic, natural

• Compare price & attributes of similar products

• Search for promotion pack

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• Majority shoppers enter e-tailers directly by apps• Taobao, Tmall & JD are top 3 e-tailers shoppers would like to purchase online• More male shoppers purchase from JD, while more female shoppers browse

RedBook and Jumei

Apps of Ecommerce

MajorityMobile

Source: Clickstream

Path to enter e-tailers (Mobile)

Step 1: Enter E-tailers

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• Reading Instruction of Online Shopping Path (Mobile):

PurchaseTriggers Review Engage

E-tailer Home page

Product Navigation Page

Product List Page

Product Detail Page

User Reviews Page Shopping Cart

Merchant Home Page Store List Page

User Information Page

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• Online Shopping Path in Ecommerce (Mobile):

PurchaseTriggers Review Engage

E-tailerHome Page

Product List Page

Product Detail Page

Path 1:4 key steps

Path 1:4 key steps

Shopping Cart

E-tailerHome Page

Product List Page

Product Detail Page

Path 2:5 key steps

Path 2:5 key steps

User Reviews Page

User Information Page

Product Navigation Page

Product List Page

Product Detail Page

Merchant Home Page

Merchant List Page

Merchant Home Page

E-tailerHome Page

Product List Page

Product Detail Page

Path 3:≥ 6 key steps

Path 3:≥ 6 key steps

User Reviews Page

Repeat browsing

Means“non-mainstream path”Source: Clickstream

Search Click

ClickSearch Click

Click Click Click

Click Ads

Search Click

Click

Click

Click ClickSearch

Click

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• In-store Product Search in home page: Most shoppers prefer inputting keywords to search product

PurchaseTriggers Review Engage

Banner ads

Navigation Bar

Keyword Searching

Store/Product Favorite

Source: WeChat interview and Clickstream

Top 1

Top 2

Base: Mobile Shopping trip 97

62%

3%

33%

2%

They click at banner ads at around: 12:00, 13:30, 18:00

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PurchaseTriggers Review Engage

Navigation Bar

Keyword Searching

• Narrow down the product list scope for convenient comparison

• Goal-oriented:• Have clear shopping plan (planned category / brand

/ specific sku), convenient and time saving• No clear brand plan but have some specific product

features preference, such as “function”• Convenient for price comparison for the same

product in search result pages• Navigation bar not user-friendly:

• Don’t know the needed product under which category in navigation bar / Can’t find the needed product through navigation bar

ReasonTop 1

Top 2

• Exploration:• Have no clear shopping plan, utilize navigation bar

for further exploration• Explore various product types / formats• Explore new product

• During online promotion event, e.g. 6/18, it's quick to search for discounted products

Source: WeChat interview

• Shoppers have clear shopping plan would like to input key words to find products• Some shoppers click navigation bar for further exploration

46

PurchaseTriggers Review Engage

Source: WeChat interview and clickstream; Base: Key words searched by DEO User

• Many shoppers just search key words for once. The high frequency key words are “category name / gender and brand name”

01. Category:“香体剂”02. Gender: “男士/女士”03. Brand

DEO:香体剂香体走珠香体喷雾香体露香体液止汗露止汗喷雾

Brand:

舒耐妮维雅多芬

曼秀雷敦阿迪达斯

Fa雅芳

Hot Words

• Logic behind key words searching:• DEO users have clear brand / specific product plan, prefer searching key

words combined with “brand name / product features / category name”

Category + Gender Brand + Category Brand + Category + Gender Category + Place of origin

Brand + Scent Attribute

• Some DEO users only have category plan but no clear brand preference, and they just search category name, then browse product list page for further exploration

“舒耐 无香”

“香体剂 日本”

47

PurchaseTriggers Review Engage

Classification分类

Beauty Makeup美妆 / 个护化妆

Body Care身体护理 / 美容护肤

Sub-Category:香体剂/沐浴露, etc.

Source: WeChat interview and clickstream

• Clicking steps through navigation bar:

48

• In-store Product Search in product list page: Sort or Filter?• Most shoppers prefer ranking products, and around half shoppers also utilize “filter”

function to find the product

PurchaseTriggers Review Engage

Source: WeChat interview and clickstream; Base: All respondents N=96

70% Sort

Sort 排序Credit

Price

Comprehensive Ranking /

Default rankingSales

Volume

Brand

48% Filter

Filter 筛选Functions/

Product Attributes

Price Range

Place of Dispatch

49

• How to sort in product list page:• Ranking by sales volume and default order are more popular by shoppers

PurchaseTriggers Review Engage

Sales Volume

TOP 1

Comprehensive Ranking / Default

Ranking

TOP 2

Price Ranking

TOP 3

Source: WeChat interview

50

PurchaseTriggers Review Engage

BrandTOP 1

Functions/Attributes

TOP 3

Price RangeTOP 2

Place of Dispatch

TOP 3

• How to filter in product list page:

Source: WeChat interview

51

• On average, shoppers compare 3 products & spend 25 seconds on each product detail page before final purchase• Female shoppers spend more time on each product detail page than male shoppers do (27S VS. 17S)

• Product comparison: What attract shoppers to click into specific product detail page?

PurchaseTriggers Review Engage

Head Photo• Attractive product packaging

(Fresh style/ Pop color/ Special bottle design)

• Sharp and Clear photos • Photos of real product• Star endorsement• Marked with price• Sign of Newest Arrival

Product Description• Brand name• Product attributes (e.g. Scent,

lasting time 留香时长/止汗时长); • Attractive function• Package size • Place of Dispatch• Place of Production

E-commence self-operated/ Official Flagship Stores sign

• Sign of Quality Guarantee

• Promotion and discount information

• Free delivery sign

“有活力、构图丰富、色彩鲜艳的产品图片和促销信息吸引我去查看,我希望标题给我提供给一些气味描述。”GZ, Miss Huang, DEO User, New Trend Catcher, Economical Shopper

Source: WeChat interview

52

• Product comparison: Product Detail Page (Top: Rolling photos)• Many shoppers view the rolling photos, with detail expected information and hope to

offset lack of touching real product experience

PurchaseTriggers Review Engage

Source: WeChat interview

• View rolling photos on top

NO

65%

35%

Base: All respondents N=96

Expected information

• Showing product from different angles (Front, Side, Back, Details)

• Packaging (color and bottle design)• Both text and pictures to show:

• Product ingredient / function• Product scent

• Use method• Screenshots of user review• Sign of New Arrivals / Hot selling items/

Promotion

Reason• Already know the

product well, don't need more information

“我希望顶部照片可以拍到这个产品的细节,因为网购没法像实体店一样拿在手里看,最好可以清晰的看到产品成分和保质期。”SH, Miss Chen, DEO User, New Trend Catcher, Smart Shopper

“希望图片有让人感觉闻起来很香的味道,或者类似有止汗效果的图片。”SH, Miss Zhang, DEO User, New Trend Catcher, Quality seeker

53

• Product comparison: Product Detail Page (Middle: Product Introduction)• Function and ingredient are key elements shoppers would like to notice and compare

PurchaseTriggers Review Engage

Source: WeChat interview

• Function and

effect (Scent, Anti-perspiration effect, Lasting time)

• Ingredients (Non-

alcoholic, Natural ingredients, etc.)

• Brand Introduction

• Use Methods

(Convenient to use, usage occasion)

• Packaging (Bottle

design, Size, Easy to carry)

54

• Product comparison: Product Detail Page (Bottom: Product Recommendation)• Shoppers refer to the recommendation when they want to compare product price and

features, or haven’t found ideal product

PurchaseTriggers Review Engage

• Whether will browse?

YES

NO

52%

48%

• Compare the prices and attributes of similar products

• Usually refer to these recommendations when not finding ideal product

• The recommendations meet the needs

• Search for promotion pack

• Have clear shopping plan, don't need other product

• The recommendation do not meet the needs

• Dislike bundle pack• Unattractive promotion

“卖香体剂的店铺卖的全都是香体剂,底下的自由搭配也都是香体剂,没有什么其他自己想要的。”BJ, Miss Jiang, DEO user, New Trend Catcher, Economical Seeker

Source: WeChat interview Base: All respondents N=96

• Anti-perspiration effect and lasting time, famous brand, attractive price & promotion are top 3 factors impact final purchase decision of DEO

Function and effect (Scent, Anti-perspiration effect, Lasting time)

Famous brand / Reliable brand

Price & Promotion (value for money)

Ingredients (Antiallergenic, mild texture)

Positive reviews/comments from users

Packaging (Bottle design, Size and capacity, Easy to carry)

Convenient to use

Hot selling items

Star endorsement

55

PurchaseTriggers Review Engage

Source: WeChat interview

ImportanceHigh

Low

For DEO non-shoppers, scents and ingredients are no longer the top factors impacting final purchase. Price & promotion, brands, and function are critical

56

• Shopping Cart Analysis: Cross Products/Categories Purchase• Male shoppers usually purchase DEO together with facial clean and skin care

products, while female shoppers have richer cross categories purchase (DEO + facial clean and skin care + body care)

PurchaseTriggers Review Engage

Whether cross purchase other products with

DEO

NO

52%

48%

• Add something into shopping cart for free shipping or discounts

• Convenient for one-stop shopping when need other personal care products

• Have clear shopping plan, don't need other products

• Different usage frequency: DEO is running out faster than other personal care products-like shampoo and body wash

Source: WeChat interview Base: DEO user N=48

• Facial clean and skin care: Facial cleanser, Toner, Moisturizer Cream/Spray, Eye cream, Facial mask, Make-up remover, Sun cream

• Body care:Floral water, Mosquito-repellent, Body cream, Depilatory cream

Cross purchase

“都买了香体剂就会一起购买身体乳,因为这几样东西用的速度差不多,自然而然买的速度也极大可能是同步的。”GZ, Miss Chen, DEO User, Leading-edge EC User, Smart Shopper

Study Highlights

Note: The findings from this section of report mainly comes from Mobile Tracking.

Who Are Our Target Shoppers and How to Touch & Impact Them

58

• Even though 4 different groups are identified by their consumption pattern towards personal care product, they have common view for the role of online channel:

• Information collection• Explore new products• Seek for promotion and price comparison

• Rich product selection and various promotion events attract more and more shoppers from offline to online

• Ecommerce should be a good choice for UL to increase DEO penetration

Group Quality Seeker Smart Shopper Promotion Seeker Economical Shopper

Group SizeTotal N=96 15 34 17 30

Personal care product brands usage High-end Both high-end and

massBoth high-end and

mass Mass

Consumption pattern Quality guaranteeLess sensitive to price

Smart deal is as important as quality Attractive promotion Low price

Quality Seeker Smart Shopper EconomicalShopper

Promotion Seeker

How to Eliminate Barriers and Trigger Them to Use DEO (1)

59

Why use DEOFunctional Needs

Anti-perspirationNice scent of body (Cover the smell of sweat / prevent body odour)

Emotional NeedsKeep a good image (gathering / dating / attending important events)Improve confidence and comfortable feeling

Usage Occasion

Prevention:When: Before outing / changing clothes in the morning / before exercise / after showerOccasion: Wear sleeveless / short-sleeve clothes, In public place / in a partyRemedial action:When: Need go out at night before shower / after exercise / clothes smell bad

Why not use DEO How to eliminate barriers

Not realize consumption needsSeldom get sweat Educate and develop the

consumption needs by emphasizing the emotional needs, especially for the occasion of prevention

No or little body odour

Lack of understanding or even negative feeling for DEO

Don't know the function Eliminate the concern by professional doctorsHave concern about clog pores or suppress

suboriferous, worry not good for skin

Unmet the needs for fragranceNo favorite scent from DEO, especially for Quality Seeker who are used to use perfume

Launch the fragrance-free sku, and emphasize the functional needs

Short lasting time of DEO scent Improve the fragrance and lasting time

How to Eliminate Barriers and Trigger Them to Use DEO (2)

60

Triggers to try a new personal care productGood word of mouthPositive user reviewsFamous brandLarge user group / hot selling item in ecommerce

Product function meet the consumption needsNew function / formula / ingredient

Creative and attractive product package / advertisementAttractive promotion especially for Promotion Seeker and Economical ShopperReliable recommendation or advertisementRecommend by friends / WeChat official account / RedBook(小红书)Recommend by web celebrities / stars / make-up blogger, especially impact the Quality Seeker and Smart ShopperHot topic in WeChat moment / WeiboImpacted by in-game advertising in TV Variety Show, e.g. Running ManAdvertisement of reliable brand / physical store / e-store

How to utilize digital tools and ecommerce to increase DEO penetration

Utilize the positive and widely impact of APPs: WeChat, Weibo, RedBookEncourage DEO users to publish and share positive reviews in e-tailers / WeChat moment after purchase, so that to build up good reputationCooperate with and endorsed by web celebrities / stars / make-up blogger, to communicate the emotional and functional needs of DEO with usage occasion, so that to educate and develop the consumption needsUtilize in-game advertisement in popular TV drama / entertaining shows

Creative and attractive banner ads in large e-tailers, e.g. JD / Taobao / Tmall, link with promotion events

What Should Improve on Ecommerce Based on Their Shopping Behavior

61

• 4 group shoppers have similar online shopping journey: Search in Home Page - Browse and Select in Product List Page - Compare in Product Detail Page - Purchase

• Improve their shopping experience in ecommerce will contribute to increase the conversion from shoppers to purchasers

• Creative and attractive promotion banners

• Facilitate quick search and prioritize UL brands for goal-oriented shoppers by:• Set UL brands as default key words in Search Box

• Auto fill in UL brands in dropdown list when typing relevant key words

Home Page

• To develop hero SKU, so that to appear at the top of searched list when sort by sales ranking / default order

• Attract to click by:• Sharp and clear head photo of real product

• Attractive function in product description

• Sign of famous e-tailers self-operated / official flagship store

• Provide promotion information and free delivery

Product List Page Product Detail Page Purchase

• Show product from different angle

• Both text and pictures to show function (anti-perspiration, lasting time, scent), ingredients

• Utilize the bottom recommendation product bundle by:• Deliver promotion information

• Bundle with the higher penetration related products to increase DEO penetration

• Encourage positive user reviews

• Utilize cross purchase to increase DEO penetration by:• Provide DEO trial samples when purchase hot selling body care items in summers, e.g. Floral water, Mosquito-repellent, Body cream, Depilatory cream