As the Lunar New Year approaches, brands and marketers in the Asia-Pacific region are balancing optimism and caution. While the holiday season is traditionally a time for increased spending and consumer activity, the ongoing economic uncertainty and health consequences of the Covid-19 pandemic have caused some to be more cautious in their decision-making and budgeting.

According to Russell Lai, chief commercial officer at Havas Media Group Singapore, most Singapore brands have maintained or increased their spending for the Lunar New Year, but there are some key nuances to be aware of. Because of the shorter sales window and the resumption of travel, brands must deliver sales growth against a smaller base, which necessitates more intense and front-loaded campaigns. Furthermore, inflationary pressure is driving a greater emphasis on delivering value through messaging, such as paying less for more or enjoying higher quality at the same price.

According to Rohit Dosi, vice president and general manager of Microsoft Advertising at InMobi, the 2023 Lunar New Year will be the first time that a sense of normalcy has returned since 2019. This has increased consumer and brand excitement, with a renewed fervor for special occasions reflected in consumer trends. According to Microsoft's internal data, Singapore saw a 24% YOY increase in Search, while Indonesia saw a significant 62% increase. As a result, brands are shifting away from a scattershot approach and focusing on targeted and focused platform investment.

According to Sean O'Donnell, global brand director at Tiger Beer, brands will build stronger brands with consumers over time by continuously supporting and investing in their brands. "Cheers to a Bolder Tomorrow," Tiger Beer's 2023 Festive Campaign, encourages people to come together and celebrate the holiday despite the ongoing challenges.

While ongoing economic and health-related uncertainties may have an impact on the Lunar New Year, brands and marketers in the Asia-Pacific region are approaching the holiday with optimism and a focus on delivering value and connecting with consumers.

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