What factors reduce trust amongst Singapore shoppers online?

43% said they remain loyal even when prices are slightly higher, provided the seller consistently offers good service

Delivery remains the biggest pain point in Singapore’s e-commerce landscape, with 57% of shoppers citing delivery costs as the top area needing improvement, according to a new study by Milieu Insight.

The findings show that consumers place a premium on affordability (76%), reliability (63%), and flexible pickup options (58%) when it comes to delivery. Hidden fees and unclear return policies were also flagged as key issues that erode trust.

Beyond logistics, the study pointed to a broader shift in how shoppers define value. Instead of focusing solely on discounts, Singapore consumers are prioritising trust, service quality, and dependability.

41% percent cited trust in sellers or platforms as a key decision factor, and more than half said they would spend more with sellers who deliver reliably. In contrast, 47% said they would avoid repurchasing after an experience with late, missing or damaged orders.

Expectations for platform accountability are also rising. 86% of respondents believe platforms should ensure delivery partners meet high service standards, and 74% prefer sellers who offer fast, cost-effective shipping.

At the same time, 87% said they were satisfied with their most recent return or refund process.

The study also found that whilst 60% of consumers still value discounts and free shipping, 72% prefer sellers with strong buyer protection and transparent ratings.

Notably, 43% said they remain loyal even when prices are slightly higher, provided the seller consistently offers good service and clear policies.

Singapore’s digital shopping engagement remains high. Nearly half of consumers shop online at least weekly, and about one in 10 shop daily.

The research highlighted that easy returns (44%), one-click checkout (32%), and loyalty perks (30%) are strong drivers of repeat purchases. Features like chat support (16%) and AI-powered tools (11%) are also gaining traction.

Younger shoppers are leading in the adoption of new behaviours. Among consumers aged 18 to 34, 38% engage in livestream shopping and 24% use AI recommendations.

Across all age groups, 17% of shoppers said they are more likely to repurchase from sellers with interactive tools, a figure that rises to about one in five among younger buyers