The ramp-up to the peak holiday period for the global logistics sector is continuing, and a new APAC-wide report from FedEx has offered an insight into the expectations, behaviours and concerns that could shape the back end of 2024 for the industry.
FedEx gathered responses from 200 small and medium-sized businesses (SMEs) and 300 consumers across 12 key APAC markets of Australia, China, Hong Kong SAR, Indonesia, Japan, Malaysia, the Philippines, Singapore, Taiwan, South Korea, Thailand and Vietnam.
The strong year-on-year growth of Asia’s e-commerce market is expected to be reflected in a busy holiday period, with 70 per cent of the surveyed SMEs expecting year-on-year growth over the festive season, with 80 per cent of those predicting the bulk of that growth to come from within the Asian market.
Intra-Asia trade is currently projected to surge past $13.5 trillion by 2030, with increased cross-border trade and digital adoption providing a platform for extensive growth in 2024.
This projected growth will likely be driven by three key barometers measured by consumers, with online shopping, free delivery and sustainable practices standing out as important factors in consumers’ decision-making processes.
Over half the consumers surveyed prefer shopping on e-commerce platforms, with 70 per cent of them motivated by substantial discounts and promotions across the holiday period.
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Significant online shopping events across the period include Black Friday and Cyber Monday.
Consumers also expect their orders to arrive in two-to-three business days with a variety of delivery options, with sustainable packaging providing a potential positive differentiating factor for consumers when choosing where to buy goods.
President of FedEx Asia Pacific Kawal Preet says with online retailers preparing for a boost in sales, logistics companies must follow suit.
“In the Asia Pacific region, the gifting season continues in the months leading up to Christmas and through to Lunar New Year,” Preet says.
“As cross-border e-commerce continues to surge, e-tailers – particularly small and medium-sized businesses – are gearing up to maximise sales.”
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