While global markets are adapting to digital transformation, Apac consumers are already rewriting the rules for what seamless, connected and meaningful commerce looks like.
The Adyen Index: Retail Report 2025, which reveals shopper attitudes and business trends across the region, shows how from the rise of mobile-first commerce to the seamless fusion of online and offline channels, the region continues to redefine what great customer experiences look like.
Let’s take a look at some of the key findings of the report, with a special focus on Singapore, Malaysia, Hong Kong, Japan and Australia.
1. AI is already driving growth for Apac retailers, while shoppers have complex attitudes towards it
A key theme from the report is the accelerating use of AI in the region with 38 per cent of Apac consumers using AI to shop. But unlike other markets where AI still feels experimental, retailers in Apac are approaching it with clear-eyed pragmatism. In Australia, over half of retailers plan to invest in AI this year, not just to innovate, but to address practical challenges like fraud prevention, smarter marketing, and streamlined checkouts.
In Hong Kong, retailers are turning to AI to help manage chargebacks and risk during busy periods. This is not hype. It’s a business-critical strategy.
Consumers, however, are more mixed in their views. For example, Australians lead globally in their concern about AI-driven scams, with 35 per cent expressing this view. Additionally, 43 per cent find it invasive when retailers track their purchases and browsing history to deliver AI-powered personalised offers and ads.
So, while AI offers powerful tools, transparency will be key to building long-term trust. Retailers need to be clear about how they’re using data and what customers gain in return, whether that’s faster service, more relevant offers, or safer transactions.
2. Shopper loyalty lives between online and in-store
In spite of the relentless rise of e-commerce, social shopping, and other online trends, in-store shopping remains an important part of life for many Apac consumers.
In Malaysia, 57 per cent of consumers like to shop both online and in-store, the highest globally. Further, in Singapore and Malaysia, shoppers are more loyal to retailers offering flexible services like online-to-store returns (59 per cent and 66 per cent respectively). Meanwhile, in Japan and Australia nearly half of shoppers still prefer brick-and-mortar stores, even as online continues to grow. Of course, the convergence of digital convenience and in-store experience is a global phenomenon, but Apac markets show how powerfully this shift can reshape shopping behaviors.
At Adyen, we’re seeing leading retailers use payment flexibility as the glue that holds these journeys together. Take Love, Bonito, a retailer operating across multiple Southeast Asian markets. They partnered with Adyen to offer seamless cross-channel services such as click-and-collect, omnichannel redemption of gift cards, returns for instant credits, endless aisles, and more.
3. Purpose is becoming increasingly important
Perhaps the most profound shift we’re seeing is the shift from transactional to purpose-driven commerce. Many shoppers expect brands to take a stand on ethical or social issues, and it has an impact on their loyalty. In fact, 54 per cent of Singaporean and 66 per cent of Malaysian consumers say they would be more loyal to retailers that demonstrate a strong social purpose, and/or contribute to charitable causes.
However, this comes with a couple of important caveats:
- Only 37 per cent of Apac shoppers are willing to pay more for ethically sourced or locally produced products.
- While Apac consumers are generous, with 70 per cent+ of consumers in Hong Kong, Singapore, Malaysia, and Australia giving to charity, compared to a global average of 65 per cent, they prefer to give in their own way. For example, in Hong Kong, 52 per cent of shoppers say they won’t donate at all if they can’t do it in the way they want.
This speaks to a wider shift. Purpose is important to Apac shoppers, but retailers need to walk the walk as well as talk the talk. Demonstrating values that mirror their own and offering the convenience to support initiatives they see as worthy are both important.
4. Key global retail trends are being driven from Apac
Research shows that the region is leading the way in a range of global trends.
In Apac, we’re seeing a decisive and lasting shift towards mobile and digital-first commerce. Thirty-one per cent of consumers don’t carry a wallet out and pay only with contactless payment methods. Digital wallet adoption is high, with 56 per cent in Hong Kong and 52 per cent in Malaysia having used them in the past year, compared to 30 per cent globally.
The broader Apac region is increasingly mobile-first, with consumers expecting unified, frictionless experiences that seamlessly blend physical and digital together. Innovations in social commerce and the widespread use of super apps such as WeChat, Shopee, Gojek, and Grab show that Apac is redefining what seamless, tech-enabled retail looks like.
Want further insights? Read our retail reports now
These are just a few of the many findings uncovered in our Index reports.
For deeper insights and market-specific advice, download the Adyen Index: Retail Report 2025 for your market, and discover how to meet the region’s rising expectations.
