04:00 (GMT +7) - Wednesday 26/10/2016


Consumers warming to modern shopping experience

Released at: 12:31, 05/05/2015

Consumers warming to modern shopping experience

Increasing numbers of Vietnamese shoppers plan to spend more time at modern format stores and many are also happy to shop online.

by Hoang Thu

Rapidly shifting consumer lifestyles and preferences have seen the continued rise in the popularity of modern trade stores in most Southeast Asian countries, according to the latest Nielsen Global Survey on The Future of Grocery. The new report from the global performance management company finds spending on groceries and personal care items at supermarkets, convenience stores, and hypermarkets is growing in key markets in ASEAN.

It highlights the growing importance of modern trade retail formats in developing markets, including Vietnam. More than two-thirds of Vietnamese consumers (34 per cent) shopped at hypermarkets more often than they did 12 months ago and 29 per cent bought their groceries in a supermarket more often.

The growing importance of convenience stores as a channel for food and groceries is another significant trend identified in the Nielsen research. Twenty-two per cent of Vietnamese shopped for food and groceries at a convenience store more often in the last 12 months, against 27 per cent of Filipinos, 21 per cent of Thais, 15 per cent of Indonesians, and 14 per cent globally.

Greater frequency of buying food and grocery items, Southeast Asia

Source: Nielsen

"Large supermarkets and hypermarkets, which are already dominant in developed markets around the world, will play a growing role in consumers' store repertoire here in Southeast Asia's developing markets," said Mr. Kaushal Upadhyay, Nielsen's Executive Director of Client Service in Southeast Asia, North Asia and Pacific. But, conversely, smaller formats claim considerable share and for manufacturers this means their distribution efforts must rely on a mix of both channels. "Understanding where consumers are shopping for which categories provides critical insights to guide market-by-market distribution strategies," he said.

Nielsen's Future of Grocery report also looks at the importance of online shopping and how retailers are integrating digital channels into the shopping experience. The experience of shopping for groceries in a physical environment is well-engrained in Southeast Asian cultures. Thirty-two per cent of Vietnamese consumers find grocery shopping to be an enjoyable and engaging experience, along with 43 per cent of consumers in the Philippines, 34 per cent of Indonesians, 24 per cent of Malaysians, and 22 per cent globally.

But consumers throughout Southeast Asia are also showing a growing propensity to shop online for certain categories of goods. Personal care items are especially popular, with Vietnamese consumers indicating an intention to buy items such as body wash and shampoo and conditioner online within the next six months.

Other digital-led elements popular among Southeast Asian consumers include shopping online for home delivery, which is especially popular with Vietnamese consumers, 28 per cent of whom do so compared to 25 per cent globally. And when shopping online, store websites are the most preferred placement method, with 61 per cent of Vietnamese consumers ordering goods in this manner.

More than 30,000 online respondents in 60 countries were polled in the Nielsen Future of Grocery report, to ascertain how modern channels and digital technology are changing the retail landscape.

  • TAGS
  • Nielsen Future of Grocery Report

User comment (0)

Send comment