Nielsen report reveals a willingness among local consumers to try something new.
Consumers in Vietnam show a strong affinity for brands that are investing in new product development and are among the most likely regionally to trial new product offerings, according to a new report released by global performance management company Nielsen.
“Consumers throughout Southeast Asia have a strong appetite for innovation and they’re increasingly demanding and expecting better choice,” Mr. Johan Vrancken, Head of Nielsen’s Innovation Practice in Southeast Asia, North Asia and Pacific, said. “But success can be hard to come by. Brand competition is intense and shelves are crowded, so knowing the channels that are most effective in delivering new product information is crucial.”
According to the report, Vietnam has the highest score for trying new products in Southeast Asia, with 88 per cent of consumers saying they purchased a new product during their last grocery-shopping trip; 19 percentage points higher than the regional average of 69 per cent. Thailand ranked second, with 77 per cent, followed by Indonesia with 72 per cent and the Philippines with 68 per cent.
Chart: During your last grocery-shopping trip, did you purchase any new products (any items you have not purchased in the past?)
Moreover, 34 per cent of Vietnamese consumers like it when manufacturers offer new product options for them to choose from and 32 per cent prefer to buy new products from brands they are already familiar with.
When it comes to obtaining information on new products, TV advertising plays a key role. Close to one in five consumers in Vietnam (18 per cent) rank television as their Number 1 source of new product information while 55 per cent rank television advertising as among their Top 5 sources.
Recommendations from family and friends along with searching on the internet are also key influencers of new product trials, with 60 per cent ranking family and friends in their Top 5 sources of new product information and 43 per cent ranking internet searching in their Top 5 sources.
The Nielsen Global New Product Innovation Survey polled 30,000 respondents online in 60 countries, to understand consumer attitudes and sentiments about the drivers behind new product purchasing intentions.