Retailers and big brands used the recent Chinese New Year celebrations to help boost sales and raise brand awareness, a new report from IGD has found.
This year's celebration, which took place at the end of February, marked the start of the Year of the Pig, representing good fortune, wealth and prosperity.
“Retailers across Asia traditionally use this key trading period to boost sales with festive promotions and discounts, while suppliers come up with innovative ways to help drive brand awareness and sales at this peak time," said Shirley Zhu, IGD Singapore Director. "IGD research has identified six key themes that emerged across Asian retailing during last month’s festivities.”
Impressive In-Store Displays
Chinese New Year offers an opportunity for suppliers to capture attention and boost sales, says Zhu, and this year, "many suppliers used large, eye-catching graphics and celebratory messages to create displays showcasing their entire product portfolio".
- Coca-Cola used the mythical Chinese dragon, believed to bring good luck and wealth, to call out its festive promotions in FairPrice Xtra in Singapore
- Bia Saigon in Vietnam welcomed Lunar New Year shoppers with an impressive stack of beer cartons at the entrance to stores
- In Malaysia, Ferrero focused on the gold foil packaging of its signature chocolates and created a gold-themed display, complemented with messages of prosperity and wealth
- In China, Freshippo designed its stores to look like an outdoor market, allowing shoppers to soak up the atmosphere and pick out their favourite food
- Big C Vietnam created an inviting display for its festive sweets
- Since 2014, Tesco has used the Malaysian 'Ong Mali' expression, a colloquial term for 'prosperity is coming', which has gained good recognition with shoppers over the years
“Retailers also add to the lively in-store atmosphere with cheery music, lanterns and flowers to enhance the shopping experience," adds Zhu. "Some retailers use a different theme each year, while others build on the same campaign over years to evoke a sense of familiarity.”
Festive Packaging
Manufacturers typically develop themed packaging each year for their flagship products, to tie in with the festivities. "These limited-edition packs are very effective in attracting shoppers' attention, often linked to positive phrases and encouraging collection of a series, giving shoppers another reason to buy more," says Zhu.
- The Tea Time packs in FamilyMart, Taiwan, called out the greeting 'great fortune in the pig year'
- The signature Carlsberg can was given a twist with the addition of seasonal greetings in Malaysia. Shoppers were motivated to buy all four designs and complete the collection
- In Singapore, Kinder Bueno created a limited-edition Chinese lion design for its chocolates
Attractive Giveaways
Retailers also seek to differentiate themselves from the competition during the New Year period with unique product offerings and giveaways. "Collectible redemption gifts and valuable prizes are great ways to increase shopper spend and drive footfall," says Zhu. "Items related to pigs were highly sought after this year.”
- Shoppers at ParknShop in Hong Kong could buy its limited edition Peppa Pig glasses. The movie launched on Chinese New Year day in China, driven by a popular trailer
- In Thailand, Gourmet market encouraged bigger basket sizes by offering shoppers a chance to win a lucky prize, like a gold necklace, with a minimum spend of THB800 (US$25)
- 7-Eleven Hong Kong provided carriers with the Chinese word “prosperity” for those who bought oranges at their stores – a must-have for visiting in this period
Health is Wealth
With consumers wary about their food intake at a busy time of year, manufacturers also laid on a range of healthy choices with reduced sugar and sugar free options to help shoppers manage their diet. "Health-focused products and supplements also play a role in promoting a balanced lifestyle, replacing indulgent snacks and alcohol in gift hampers," says Zhu.
- Marigold in Singapore highlighted its range of reduced sugar drinks for in-store promotions
- Beverage manufacturer F&N launched a festive multi-pack in Malaysia for its range of zero-sugar drinks
- Brands’ Essence of Chicken created a festive hamper containing some of its bestselling tonics and supplements for shoppers in Malaysia
Engaging Social Media Games
The Chinese New Year is typically a time for playing games, as people believe the good fortune will follow them throughout the year.
"Besides giving away prizes in-store, retailers and suppliers are increasingly using digital games and integrating social media elements in their promotions," says Zhu. "The prizes may also be tailored to target particular groups of shoppers.”
- Freshippo asked shoppers to write down their Chinese New Year wishes on social media site Weibo. Those with the most likes won some great prizes, like online tuition courses and Lenovo notebooks
- TrueMoney in Thailand gave those who downloaded its digital wallet app the chance to win lucky money
- Kellogg’s made its promotion more attractive in Singapore by offering a redemption as well as a lucky draw, via Facebook and WhatsApp
Remembering The Less Fortunate
Chinese New Year is also a time for community, and retailers have made it easier for consumers to help the less fortunate in society. “Shoppers like giving back to the community to spread the joy, engaging them in a meaningful way and building goodwill for retailers who organise the activity," says Zhu.
- For MYR50 (US$12), shoppers in Malaysia could buy a pre-packed box containing everyday items, which was to Tesco’s appointed charity
- Giant hypermarket in Singapore used shelf displays alongside staples to remind shoppers not to forget the less privileged. Shoppers could buy the items and drop them off at gift collection points in-store
- Kee Wah Bakery in Hong Kong created a series of cookies with panda, available online, to support youths at risk
More details on major trends shaping Asia's retail market can be found at asia.igd.com.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.
