Although countries like China, South Korea, Germany, Italy, Spain, US and India have begun to ease their lockdowns, fear and caution linger.
As Singapore embarks on a gradual three-phase approach to exit the Circuit Breaker, the effects on consumer behaviour in various industries remain to be seen. Different scenarios could emerge depending on the industry, evolution of the virus and the social response.
The scale of the changes identified in our data suggests a clear shift in Singapore consumers behaviour impacted by COVID-19. There is a strong likelihood that the shift may persist into Phase One of the post-Circuit Breaker period and beyond, as movement restrictions and consumer cautiousness remain.
In the long run, this shift represents significant opportunities. Our analysis based on data collated in this report shows that the opportunity is worth at least half a billion US dollars per annum in Singapore’s digital economy. Companies that accelerate their capabilities to stay relevant to digital consumers will be able to seize opportunities and emerge victorious as we move into a post COVID-19 world.
The re-opening of our economy marks a new beginning for both consumers and businesses alike while we navigate and outmaneuver uncertainty. As organisations reinvent themselves for the Next Normal, here are three “No-Regret” actions they should consider.
Action 1: Accelerate digital transformation and adoption of AI, automation and cloud
The technological infrastructure of many companies has suffered under the weight of the online surge. Organisations must be prepared to redesign their technical infrastructure, processes and systems to withstand future pressures.
Faster adoption of cloud platforms will provide resilience, reliability and the scalability needed to cope with traffic surges and volatility from the increased demand in digital services. Automation must be combined with AI, especially in essential services such as food, supply chains and logistics, to free up time for more complex decision-making. Firms can deploy virtual agents to handle routine customer enquiries, particularly in the finance, travel and tourism sectors which have seen an influx of calls since the outbreak.
Action 2: Gain deeper customer insights and trends
As more consumers go online, they leave larger-than-ever digital footprints like purchase patterns, online interactions and digital content consumption that can be collected and analysed to gain a deeper understanding of their behaviour.
It is more important than ever that organisations harness AI, data and analytics to monitor market trends, needs and sentiments in real-time or near real-time in order to seize opportunities quickly.
For example, organisations can leverage internal data, external data and machine-learning to generate “Zero Moments of Truth” – that point where the customer is at the very beginning of the decision journey – and identify consumer needs more rapidly in order to roll out relevant products and services earlier.
Action 3: Be a responsible business
Since the COVID-19 outbreak, many companies in Singapore have stepped forward to help communities cope. Grocery retailers set up mobile stores to bring essential items closer to selected neighbourhoods, and supermarkets and banks launched priority hours for the elderly and disabled.
Banks provided liquidity relief support and loan moratoriums to small and medium-sized enterprises, while telco companies distributed laptops to lower-income students for home-based learning. More than 280 organisations onboarded onto the SGUnited Traineeships Programme to equip graduates with relevant work experience as the market recovers.
Organisations that take a leadership role in positively contributing to society will become trusted and respected brands in the longer-term. They will ultimately emerge as winners in the eyes of the consumer.
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Source: $100 Million Set Aside to Provide Graduates with Traineeship Opportunities Amid a Pandemic-Hit Job Market
