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    Nielsen global consumer confidence report   q1 2011 Nielsen global consumer confidence report q1 2011 Document Transcript

    • 1st Quarter, 2011 Global OnlineConsumer Confidence, Concerns and Spending Intentions A Nielsen Report May 2011
    • Global recovery, despite its slow pace, is heading in the right direction • Asia Pacific and Middle East/Africa Regions Reach Highest Confidence Levels on Record • North America Rises Two Index Points • Southern and Eastern European Countries Dip to New Lows • Increasing Food Prices Trump the Economy as Biggest Global Concern • Rising Fuel/Utility Prices Impact Spending Intentions Global online consumer confidence rose two points in the in a recession for at least another year.” Regional differences first quarter of this year to an index of 92 driven by record prevail, with 37 percent of Asia Pacific consumers saying they confidence gains in the Middle East/Africa following social are in a recession today compared with 82 percent of North and political unrest in the region and strong-performing Asia Americans and 68 percent of Europeans. Pacific economies, according to an online study released by The Nielsen Company (NYSE:NLSN). Asia Pacific’s* Consumer Confidence Index jumped 10 points from last quarter to reach Consumer Confidence Indexy – Quarterly Trend – Q1 2011 – GLOBAL AVERAGE 107 – the highest score on record and Middle East/Africa surged 17 points to a new high of 106. Consumer confidence 5 Regions + Globaltilize spare cash after and below a baseline of 100 indicate degrees of levels above 110 3 107essential living expensespessimism. What are the top 10 concerns over the next 6 months? optimism and 105 102 106 100 Q1-2011 Nielsen Global Online Consumer Confidence SurveyBIGGEST Q3-2010 BIGGEST 2nd tracks 100 101 BIGGEST 982nd BIGGEST The CONCERN CONCERN 97 CONCERN96 CONCERN 97 consumer confidence, major concerns and spending intentions 95 93 92 90 90 among more than 28,000 Internet consumers in 51 countries. 1) Increasing 6) Job 90 Security 89 8% 7% 90 47% 49% 13% 13% 89 Food Prices In the latest round of the survey, conducted between March 85 88 83 83 85 23 and April 12, 2011, the number of global online consumers 7) Increasing Utility Bills 80 2) The Economy 11% 11% 7% 10% saying they are in a recession has receded across all regions. (electricity, gas, etc) 79 78 78 75 73 “Global recovery, despite its slow pace, is heading in the 35% 33% Bala, Chief 9% right direction,” said Dr. Venkatesh Balance 3) Work/Life 8% Economist at 8) Debt 70 2010-Q2 6% 2010-Q3 5% 2010-Q4 2011-Q1 The Cambridge Group, a part of The Nielsen Company. “Still, 4) Increasing 9) Childrens’ Education 5% 8% more than half (55%) of global online consumers say they are 9% Global Average 6% AP EU MEAP LA NA Fuel Prices and/or Welfare currently in a recession, and of those, 51 percent expect to be 34% 34% Source: The Nielsen Company, Global Online Consumer Survey Q1 2011 5) Health 8% 8% 10) Parents’ Welfare 3% 4% and Happiness Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?* 31% 32% Global Average 4 Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?* Q1-2011 Q4-2010 Q3-2010 Q1-2010 28% 29%ns No 51% 51% 48% 48% 26% 26% Don’t Know 29% 30% 30% 28% Yes 19% 19% 21% 24% 21% 21% * % saying in a recession now: Q1 ’11 (55%), Q4’10 (57%), Q3 ’10 (56%), Q1 ’10 (58%)cks/ 21% 21% 5 Source: The Nielsen Company, Global now a Consumerbad time to buy things you want and need? Is Online good or Survey Q1 2011 *Due to sampling restrictions caused by the March earthquake/tsunami, Japan was not included in the Q1 survey. Q1-2011 Q4-2010 Q3-2010 Q1-2010 Bad 18% 17% 17% 16% 15% 14% Not So Good 46% 48% 44% 46% Copyright © 2011 The Nielsen Company. 2d 11% 11% Good 30% 30% 32% 33%
    • Divergent Economies “It’s been an action-packed start to the year marked by Top 10 Most Optimistic Top 10 Most Pessimistic widespread social and political reforms in the Middle East, natural disasters and food inflation in Asia, skyrocketing fuel 1. India (131) 1. Portugal (39) prices in North America and the searing reality of painful 2. Saudi Arabia (118) 2. Hungary (41) austerity measures in southern Europe,” said Dr. Bala. “In the 3. Indonesia (116) 3. Greece (45) last 18 months, we have seen a clear divergence in how regions 4. Australia (110) 4. Romania (46) and countries are emerging from the global recession and this trend has become even more pronounced in first quarter for 5. Philippines (110) 5. Croatia (47) better or worse.” 6. Switzerland (110) 6. South Korea (51) Seven out of the top ten optimistic countries hailed from Asia 7. Singapore (109) 7. Italy (57) Pacific, while European markets dominated nine out of the 8. United Arab Emirates (109) 8. Latvia (57) top ten most pessimistic nations. India remained the most 9. China (108) 9. Ukraine (60) optimistic country in first quarter with a Consumer Confidence Index (CCI) of 131 followed by Saudi Arabia and Indonesia. 10. Hong Kong (107) 10. France (61) Q1 2011 Nielsen Global Online Consumer Confidence Index 51 Countries — 3-Month TrendGlobal Online Consumer Confidence Survey51 Countries – 3-Month Trend -5 +3Q1 2011 Nielsen 98 VIETNAM 102 CANADA +29Consumer Confidence Index -22 102 EGYPT 97 NORWAY -2 -9 +4 105 87 88 MALAYSIA BELGIUM SOUTH AFRICA +2 +1 83 -5 97 UNITED STATES -4 88 AUSTRIA -4 ARGENTINA 61 +4 61 106 FRANCE IRELAND -9 THAILAND 61 +1 -6 -18 SPAIN 0 39 -7 83 -16 41 131 PORTUGAL 91 TURKEY 60 HUNGARY +6 INDIA +2 -3 COLOMBIA UKRAINE 96 45 63 ISRAEL + or - Change GREECE LITHUANIA from Q4 2010 +8 -1 +2 -8 -6 57 107 92 46 HONG KONG 80 LATVIA ROMANIA -10 -12 MEXICO GLOBAL AVERAGE 66 91 +2 POLAND -14 SWEDEN +11 -3 47 57 -7 118 95 ITALY CROATIA DENMARK 51 -10 SAUDI ARABIA +1 SOUTH KOREA 80 67 UNITED +8 FINLAND +5 -7 KINGDOM 108 -1 91 75 CHINA 69 TAIWAN -13 CZECH REPUBLIC ESTONIA 95 0 BRAZIL +9 116 -4 92 INDONESIA 0 GERMANY +12 95 NEW ZEALAND 94 109 NETHERLANDS UNITED ARAB EMIRATES -2 110 AUSTRALIA 0 109 -10 SINGAPORE 110 0 PHILIPPINES 110 SWITZERLAND Source: The Nielsen Company, Global Online Consumer Survey Q1 2011 3 Copyright © 2011 The Nielsen Company.
    • Asia Pacific is Most Optimistic RegionConfidence in Asia was boosted by continuing high employment, Thailand surged ahead four points to 106 and Taiwan increasedwhich is energizing consumers to spend again. Sixty-six percent five points to a record high index of 91. “In Thailand, the recoveryof Asia Pacific online consumers described their job prospects for in consumer confidence was boosted by the government’s recentthe next year as good/excellent, up 11 percentage points from last policy to maintain the diesel price below Baht 30 per liter, strongquarter. “The recession is over for 63 percent of Asia Pacific online export growth since the beginning of the year and the rise in theconsumers and they are gearing up for a spending spree. However, stock exchange index in Q1 2011”, said Aaron Cross, Managinglingering concerns over rising food prices may prompt many to seek Director, Nielsen Thailand. “According to the Nielsen Retail Index,value in their daily necessities,” said Cheong-Tai Leung, President significant price competition exists between leading fast-movingNielsen Asia Pacific, Middle East & Africa. Latest Nielsen data consumer goods retailers, which is delivering overall betterreports that nearly half (48%) of Asia Pacific consumers will spend value to consumers on everyday food, beverage and householddiscretionary funds on holidays in the next six months, as well as product categories.”clothing (44%), entertainment (41%) and new technology (38%). South Korea, with an index score of 51 is the only outlier in theIn China, the world’s second largest economy, confidence rose eight region, with the sixth lowest consumer confidence score of 51points to an index of 108. “The good news is that income is rising countries measured. “Since 2010, the consumer inflation ratefaster than inflation, particularly in rural areas, and living standards has been steadily rising due to unusually cold weather and ancontinue to improve,” said Karthik Rao, Managing Director, Nielsen outbreak of foot-and-mouth disease among dairy, beef and pigGreater China. “As a result, we continue to see strong growth in farms,” said Cindy Eun-Hee Shin, Managing Director, Nielsenmarketplace demand, even in discretionary categories.” South Korea. “Although the unemployment rate has been slightly decreased by job creation in the private sector, overall consumerHong Kong also witnessed an eight point consumer confidence sentiment has continued to weaken due to the sluggish housingboost to a score of 110. “Optimism is driven by good employment marketing, rising interest rates and high oil prices.”prospects and the close ties Hong Kong enjoys with China,” saidOliver Rust, Managing Director, Nielsen Hong Kong. “The The Japan earthquake/tsunami impacted the New Zealandeconomy also got a boost from tourism, with more than 27 economy, where confidence scores dipped four points to 99.million tourists a year coming to Hong Kong from Mainland China. Vietnam also declined by five points to 98 driven by electricityDeclining property values, stock market inflation and rising U.S. prices, which shot up to over 15 percent along with petrol pricesinterest rates, however, will have an impact on the future outlook.” increasing over 18 percent as well. Global Online Consumer Confidence Survey Asia Pacific Consumer Confidence Survey – Quarterly Trend – Q1 2011 – ASIA PACIFIC Global Online Q1-2011 1 Compared to last year, which actions have you taken in order to save on household expenses? 2 How to utilize spare cash after covering essential living expenses 3 What are the top 10 concerns over the next 6 months? ACTIONS WILL YOU CONTINUE Q1-2011 Q3-2010 BIGGEST 2nd BIGGEST BIGGEST 2nd BIGGEST THIS YEAR NEXT YEAR? CONCERN CONCERN CONCERN CONCERN Use My Car Putting into 62% 63% 1) Increasing Food Prices 20% 16% 6) Increasing Fuel Prices 7% 8% Less Often 23% 14% Savings 2) Work/Life Balance 12% 11% 7) Job Security 7% 7% Cut Down on At-home 10% 28% Entertainment Holidays/ 8) Childrens’ Education 48% 41% 3) The Economy 10% 10% 6% 5% Vacations and/or Welfare Cut Down on Out-of-Home 22% 49% Entertainment 4) Health 8% 8% 9) Global Warming 4% 4% Cut Down on New Clothes 44% 40% Take-Away Meals 37% 18% 5) Increasing Utility Bills 7% 10) Parents’ Welfare 6% 10% 3% (electricity, gas, etc) and Happiness Cut Down on Smoking 16% 11% Spend Less on Out-of-Home Entertainment 41% 39% 4 Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?* 54% 23% Q1-2011 Q4-2010 Q3-2010 Q1-2010 New Clothes Pay off Debts/ Switch to Cheaper Cred. Cards/ Loans 28% 27% 37% 17% No 41% 47% 42% 46% Grocery Brands Cut Down on 17% 32% New Technology 27% Telephone Expenses 38% 34% Don’t Know 31% 30% 31% Products Try to Save on Gas 44% 30% and Electricity Home 28% 23% 27% 27% 21% 21% Yes Cut Down on Improvement/ 32% 11% Decorating Holidays/Short Breaks * % saying in a recession now: Q1 ’11 (37%), Q4’10 (41%), Q3 ’10 (39%), Q1 ’10 (35%) Cut Out Annual Vacation 15% 6% Investing in Stocks/ 39% 37% 5 Is now a good or bad time to buy things you want and need? Mutual Funds Q1-2011 Q4-2010 Q3-2010 Q1-2010 Cut Down/Buy Cheaper 20% 10% Brands of Alcohol Bad 11% 15% 14% 12% I Have No 5% Look for Better Deals 4% 13% Spare Cash on Loans, Credit Cards, etc Not So Good 46% 49% 44% 46% Delay Replacement of Major Household Items 33% 13% Retirement Fund 14% 14% Good 36% 30% 35% 34% Delay Upgrading Technology, 44% 18% e.g. Pc, Mobile, Etc Don’t Know/ 2% 2% I Have Taken Other Undecided Excellent 3% 4% 3% 3% Actions Not Listed Above 7% 4% Source: The Nielsen Company, Global Online Consumer Survey Q1 2011 Copyright © 2011 The Nielsen Company. 4
    • Middle East / Africa Reports Biggest Rise inConsumer ConfidenceIn the Middle East/North Africa, Egyptians’ overwhelming countries tracked and United Arab Emirates rose 12 points toelation of a new nation led to a 29 point surge to a score of a score of 109. Three out of four online respondents in Saudi102 for the country – the highest confidence increase among Arabia rated their job prospects and personal finances in theall markets tracked in first quarter. “The joy of gaining civil next 12 months as good/excellent. Job prospects and personaland political freedom and experiencing the first truly free finances in UAE are also strong among 63 percent of Internetvoting has raised consumers’ expectations and hopes for consumers. One of the biggest concerns among residents infaster economic growth,” said Khaled El Tohami, Managing both countries as well as in the region is political stability.Director, Nielsen Egypt. Egypt’s new-found confidence South Africa, while increasing four index points from threespread to neighboring Saudi Arabia and United Arab Emirates months ago, reports the lowest consumer confidence in thecountries, which both enjoyed double-digit increases region with a score of 88. Sixty-one percent of South Africanscompared to the previous quarter. report job prospects over the next 12 months as not good/Saudi Arabia increased 11 points from the previous quarter bad and 70 percent do not think it is a good time to buy theto an index of 118 – the second highest index recorded of 51 things they want and need at the moment. Global Online Consumer Confidence Survey Middle East, Africa, Pakistan Q1-2011 Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – MIDDLE EAST, AFRICA, PAKISTAN* 1 Compared to last year, which actions have you taken in order to save on household expenses? 2 How to utilize spare cash after covering essential living expenses 3 What are the top 10 concerns over the next 6 months? ACTIONS WILL YOU CONTINUE Q1-2011 Q3-2010 BIGGEST 2nd BIGGEST BIGGEST 2nd BIGGEST THIS YEAR NEXT YEAR? CONCERN CONCERN CONCERN CONCERN Use My Car Putting into 41% 40% 1) Political Stability 18% 13% 6) Increasing Utility Bills Less Often 15% 7% Savings 6% 6% (electricity, gas, etc) Cut Down on At-home 2) Increasing Food Prices 10% 11% 7) War 6% 4% 29% 8% Entertainment Holidays/ 18% 21% 3) Job Security 10% 9% 8) Crime 4% 7% Vacations Cut Down on Out-of-Home 51% 15% Entertainment 4) The Economy 6% 11% 9) Work/Life Balance 5% 5% Cut Down on New Clothes 28% 28% 56% 34% 6% 7% 5% 4% Take-Away Meals 5) Debt 10) Childrens’ Education and/or Welfare Cut Down on Smoking 15% 12% Spend Less on Out-of-Home Entertainment 25% 21% 4 Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?** 50% 16% Q1-2011 Q4-2010 Q3-2010 Q1-2010 New Clothes Pay off Debts/ Switch to Cheaper 26% 21% 35% 16% Cred. Cards/ Loans No 20% 39% 45% 38% Grocery Brands Cut Down on 48% 27% New Technology Telephone Expenses 20% 26% Don’t Know 30% 34% 32% 35% Products Try to Save on Gas 39% 30% and Electricity Home 50% 27% 23% 27% 21% 23% Yes Cut Down on Improvement/ 32% 9% Decorating Holidays/Short Breaks ** % saying in a recession now: Q1 ’11 (65%), Q4’10 (69%), Q3 ’10 (72%), Q1 ’10 (71%) Cut Out Annual Vacation 22% 6% Investing in Stocks/ 10% 13% 5 Is now a good or bad time to buy things you want and need? Mutual Funds Q1-2011 Q4-2010 Q3-2010 Q1-2010 Cut Down/Buy Cheaper 5% 2% Brands of Alcohol Bad 13% 21% 14% 16% I Have No Look for Better Deals 21% 17% 15% 9% Spare Cash on Loans, Credit Cards, etc Not So Good 44% 42% 42% 41% Delay Replacement of 28% 7% Retirement Fund 5% 7% Major Household Items Good 35% 27% 34% 32% Delay Upgrading Technology, 14% 38% e.g. Pc, Mobile, Etc Don’t Know/ 2% 3% I Have Taken Other Undecided Excellent 5% 7% 6% 8% Actions Not Listed Above 13% 8% * Pakistan was not included in Q1 2011 and Q4 2010 due to insufficient sample. Source: The Nielsen Company, Global Online Consumer Survey Q1 20115 Copyright © 2011 The Nielsen Company.
    • Southern & Eastern Europe Dip to New LowsConsumer confidence levels in Europe continued to decline percent – the highest rate since 2004. Furthermore, inflationin 18 out of 28 countries measured for a regional consumer reached a record high of 2.4 percent in March compared toconfidence drop of five points from last quarter to a score of year ago results for consumer packaged goods and a three73. Eleven posted record lows: Portugal (39), Hungary (41), percent rise for just food products alone.Greece (45), Romania (46), Italy (57), Ukraine (60), Ireland In contrast, Germany, Europe’s largest economy, surged(61), Spain (61), Poland (66), Russia (74) and Norway (97). ahead 18 points within one year to record its highest consumer“In Italy, the consumer confidence index declined 14 points confidence level on record at 92 index points, driven by decliningfrom last quarter due to a pessimistic view of job prospects unemployment rates and good job prospects. Neighboringand personal finances,” said Roberto Pedretti, Managing Austria also posted its highest consumer confidence readingDirector, Nielsen Italy. “According to the latest data on record at 97 index points (+1), while Switzerland remainedreleased by Istat (National Institute of Statistics, Italy), Europe’s most optimistic country at 110 index points (unchangedthe unemployment rate among young people is now 29.4 from previous quarter). Global Online Consumer Confidence Survey Europe Q1-2011 Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – EUROPE 1 Compared to last year, which actions have you taken in order to save on household expenses? 2 How to utilize spare cash after covering essential living expenses 3 What are the top 10 concerns over the next 6 months? ACTIONS WILL YOU CONTINUE Q1-2011 Q3-2010 BIGGEST 2nd BIGGEST BIGGEST 2nd BIGGEST THIS YEAR NEXT YEAR? CONCERN CONCERN CONCERN CONCERN Use My Car Putting into 34% 36% 1) Increasing Utility Bills 11% 13% 6) Increasing FoodPrices 7% 11% Less Often 36% 21% Savings (electricity, gas, etc) Cut Down on At-home 2) The Economy 10% 9% 7) Increasing Fuel Prices 6% 8% 26% 10% Entertainment Holidays/ 8) Childrens’ Education 30% 32% 3) Job Security 10% 6% 6% 6% Vacations and/or Welfare Cut Down on Out-of-Home 57% 21% Entertainment 4) Health 9% 8% 9) Work/Life Balance 6% 5% Cut Down on New Clothes 31% 35% Take-Away Meals 40% 21% 5) Debt 8% 5% 10) War 3% 4% Cut Down on Smoking 17% 13% Spend Less on Out-of-Home Entertainment 25% 29% 4 Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?* 62% 25% Q1-2011 Q4-2010 Q3-2010 Q1-2010 New Clothes Pay off Debts/ Switch to Cheaper 23% 27% 57% 29% Cred. Cards/ Loans No 58% 56% 54% 51% Grocery Brands Cut Down on 39% 23% Telephone Expenses New Technology 29% 30% 27% 18% 21% Don’t Know 29% Products Try to Save on Gas 56% 44% and Electricity Home 13% 14% 17% 23% 24% 27% Yes Cut Down on Improvement/ 39% 11% Decorating Holidays/Short Breaks * % saying in a recession now: Q1 ’11 (68%), Q4’10 (69%), Q3 ’10 (70%), Q1 ’10 (79%) Cut Out Annual Vacation 29% 9% Investing in Stocks/ 5% 7% 5 Is now a good or bad time to buy things you want and need? Mutual Funds Q1-2011 Q4-2010 Q3-2010 Q1-2010 Cut Down/Buy Cheaper 11% Brands of Alcohol Bad 25% 21% 21% 20% I Have No Look for Better Deals 21% 19% 17% 12% Spare Cash on Loans, Credit Cards, etc Not So Good 46% 48% 45% 47% Delay Replacement of 35% 11% Retirement Fund 9% 10% Major Household Items Good 24% 27% 29% 29% Delay Upgrading Technology, 37% 13% e.g. Pc, Mobile, Etc Don’t Know/ 3% 3% I Have Taken Other Undecided Excellent 2% 2% 2% 2% Actions Not Listed Above 11% 6% Source: The Nielsen Company, Global Online Consumer Survey Q1 2011 Copyright © 2011 The Nielsen Company. 6
    • North America Rises Two Index PointsNorth America rose two index points to a consumer percent are comparing unit prices, 47 percent are using storeconfidence score of 85 driven by increases in both the circulars and 41 percent are using coupons,” continued ToddUnited States and Canada. “In the U.S., an improving labor Hale, SVP Consumer & Shopper Insights, Nielsen U.S.market drove a two point rise in consumer confidence, butthe resulting score of 83 is still precariously close to the In Canada, consumer confidence bounces back to a score ofrecession low of 80 recorded in 2009,” said James Russo, 102 in first quarter to levels reported in the first half of 2010Vice President, Global Consumer Insights at The Nielsen after a modest decline the second half of last year. “Fueling theCompany. “Concerns over rising fuel prices rose to 18 percent increase in confidence are two factors: Canadians are feelingthis quarter – up from only four percent three months ago. more optimistic about job prospects/personal finances and theThese results support Nielsen sales trends, which declined strength of the Canadian dollar, which has sheltered consumers0.5 percent in the first quarter. Spending, however, is from the impact of rising global food prices,” said Carmanmoderately increasing especially at the more affluent levels Allison, Director, Shopper & Industry Insights, Nielsen Canada.as households earning more than $100K continue to increase “Unemployment levels have remained solid at 7.7 percent andshopping trips.” most jobs lost during the peak of the recession in 2009 have been regained. Retail sales (across all sectors) increased five“Planning of shopping trips is very evident as 60 percent percent after a three percent decline in 2009.”of U.S. shoppers are using shopping lists on most trips, 52 Global Online Consumer Confidence Survey North America Q1-2011 Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – NORTH AMERICA 1 Compared to last year, which actions have you taken in order to save on household expenses? 2 How to utilize spare cash after covering essential living expenses 3 What are the top 10 concerns over the next 6 months? ACTIONS WILL YOU CONTINUE Q1-2011 Q3-2010 BIGGEST 2nd BIGGEST BIGGEST 2nd BIGGEST THIS YEAR NEXT YEAR? CONCERN CONCERN CONCERN CONCERN Use My Car Putting into 1) The Economy 19% 18% 6) Health 6% 4% 49% 27% 37% 36% Less Often Savings 2) Increasing Fuel Prices 7) Increasing Utility Bills Cut Down on At-home 18% 16% 5% 7% 26% 13% (electricity, gas, etc) Entertainment Holidays/ 20% 20% 3) Debt 10% 8% 8) Work/Life Balance 4% 5% Vacations Cut Down on Out-of-Home 63% 27% Entertainment 4) Increasing Food Prices 7% 11% 9) War 3% 4% Cut Down on New Clothes 16% 17% 57% 37% 5) Job Security 7% 6% 10) Childrens’ Education 3% 4% Take-Away Meals and/or Welfare Cut Down on Smoking 12% 10% Spend Less on Out-of-Home Entertainment 17% 16% 4 Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?* 60% 29% Q1-2011 Q4-2010 Q3-2010 Q1-2010 New Clothes Pay off Debts/ Switch to Cheaper 32% 34% 56% 33% Cred. Cards/ Loans No 59% 54% 51% 48% Grocery Brands Cut Down on 27% 17% New Technology Telephone Expenses 11% 12% Don’t Know 26% 27% 30% 29% Products Try to Save on Gas 64% 52% and Electricity Home 14% 19% 19% 23% 19% 14% Yes Cut Down on Improvement/ 31% 14% Decorating Holidays/Short Breaks * % saying in a recession now: Q1 ’11 (82%), Q4’10 (84%), Q3 ’10 (84%), Q1 ’10 (87%) Cut Out Annual Vacation 31% 11% Investing in Stocks/ 8% 6% 5 Is now a good or bad time to buy things you want and need? Mutual Funds Q1-2011 Q4-2010 Q3-2010 Q1-2010 Cut Down/Buy Cheaper 13% 7% Brands of Alcohol Bad 18% 18% 21% 19% I Have No Look for Better Deals 28% 27% 19% 14% Spare Cash on Loans, Credit Cards, etc Not So Good 47% 46% 41% 43% Delay Replacement of 30% 12% Retirement Fund 12% 9% Major Household Items Good 27% 30% 28% 30% Delay Upgrading Technology, 12% 32% e.g. Pc, Mobile, Etc Don’t Know/ 4% 6% I Have Taken Other Undecided Excellent 4% 3% 4% 5% Actions Not Listed Above 15% 7% Source: The Nielsen Company, Global Online Consumer Survey Q1 20117 Copyright © 2011 The Nielsen Company.
    • Latin American Confidence Declines, but SalesTrends are UpLatin America declined 10 points to an index of 90, driven largely to outpace both North America and Europe. The decline isby Brazil’s 13 point index drop amid rising inflation and interest largely driven by a negative perception of local job prospectsrates and a new political scenario. “The current results put Brazil over the next 12 months as well as prices increased forback to levels recorded in early 2009 when the world felt the petroleum products, goods and services. Major concerns overeffects of the global crisis more strongly,” said Eduardo Ragasol, crime also increased four percentage points to 15 percent, whichGeneral Manager, Nielsen Latin America. “While sales have is now the number one concern for the region.slowed since the previous period, they are still growing at a rate Retail sales trends across the region, however, continue to grow,of 2.3 percent.” but at a slow pace. In Mexico, sales are up 6.8 percent in firstAcross the region, consumer confidence scores dropped in quarter. “Consumers are more careful about their purchases, butColombia, Mexico and Argentina. In Colombia, consumer they continue to buy essential products that are part of theirconfidence declined seven points from three months ago to day-to-day,” said Germán Gutiérrez, Country Manager, Nielsena score of 91, Argentina dipped five points to 88 and Mexico Mexico. “Nonetheless, consumers are very concerned aboutdecreased six points to a score of 80. In relative terms, Latin security, which creates uncertainty and a feeling of unrest toAmerica’s regional consumer confidence score of 90 continues their immediate present and near future.” Global Online Consumer Confidence Survey Latin America Q1-2011 Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – LATIN AMERICA 1 Compared to last year, which actions have you taken in order to save on household expenses? 2 How to utilize spare cash after covering essential living expenses 3 What are the top 10 concerns over the next 6 months? ACTIONS WILL YOU CONTINUE Q1-2011 Q3-2010 BIGGEST 2nd BIGGEST BIGGEST 2nd BIGGEST THIS YEAR NEXT YEAR? CONCERN CONCERN CONCERN CONCERN Use My Car Putting into 35% 39% 1) Crime 15% 10% 6) Childrens’ Education 8% 9% Less Often 27% 17% Savings and/or Welfare Cut Down on At-home 2) Job Security 13% 9% 7) The Economy 8% 8% 15% 4% Entertainment Holidays/ 22% 26% 3) Work/Life Balance 11% 7% 8) Health 7% 10% Vacations Cut Down on Out-of-Home 57% 15% 9% 9) Increasing Utility Bills Entertainment 4) Debt 9% 4% 7% (electricity, gas, etc) Cut Down on New Clothes 28% 36% Take-Away Meals 53% 27% 5) Increasing Food Prices 8% 10% 9) Increasing Fuel Prices 3% 4% Cut Down on Smoking 11% 9% Spend Less on Out-of-Home Entertainment 31% 36% 4 Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?* 48% 18% Q1-2011 Q4-2010 Q3-2010 Q1-2010 New Clothes Pay off Debts/ Switch to Cheaper 33% 36% 49% 29% Cred. Cards/ Loans No 41% 50% 43% 46% Grocery Brands Cut Down on 34% 49% New Technology Telephone Expenses 24% 28% Don’t Know 35% 35% 33% 31% Products Try to Save on Gas 47% 36% and Electricity Home 24% 15% 23% 23% 20% 19% Yes Cut Down on Improvement/ 36% 10% Decorating Holidays/Short Breaks * % saying in a recession now: Q1 ’11 (48%), Q4’10 (49%), Q3 ’10 (46%), Q1 ’10 (56%) Cut Out Annual Vacation 25% 6% Investing in Stocks/ 7% 9% 5 Is now a good or bad time to buy things you want and need? Mutual Funds Q1-2011 Q4-2010 Q3-2010 Q1-2010 Cut Down/Buy Cheaper 23% 13% Brands of Alcohol Bad 24% 16% 16% 14% I Have No Look for Better Deals 19% 16% 22% 17% Spare Cash on Loans, Credit Cards, etc Not So Good 48% 46% 49% 46% Delay Replacement of 32% 8% Retirement Fund 3% 5% Major Household Items Good 25% 34% 32% 36% Delay Upgrading Technology, 12% 42% e.g. Pc, Mobile, Etc Don’t Know/ 2% 1% I Have Taken Other Undecided Excellent 2% 4% 3% 3% Actions Not Listed Above 20% 13% Source: The Nielsen Company, Global Online Consumer Survey Q1 2011 Copyright © 2011 The Nielsen Company. 8
    • Increasing Food / Fuel Prices Take a Toll Global Online Consumer Confidence Survey Replacing the economy as the number one concern among global online consumers, the rise in food – Quarterly Trend Global Average Q1-2011lobal Online Consumer Confidence Surveyprices is now what – Q1 2011 – GLOBAL AVERAGE worries consumers most, increasing four percentage points Compared from year, which actions have you taken in order to save on household expenses? biggest concern, dropped seven 2pointstotoessential living expenses to last last quarter to 13 percent. The economy, the second How utilize spare cash after covering 11 percent in Q3-2010 first 3 What are the top 10 concerns over the next 6 months? ACTIONS WILL YOU CONTINUE Q1-2011 BIGGEST 2nd BIGGEST BIGGEST 2nd BIGGEST quarter. Fuel YEAR NEXT YEAR? THIS prices also increased significantly as a major CONCERN CONCERN CONCERN CONCERN My Car concern for consumers, escalating six percentage points to Putting into 1) Increasing 6) Job Security 8% 7% 32% 19% 47% 49% 13% 13%s Often eight percent compared to three months ago. Rising utility Savings Food Prices 7) Increasing Utility Bills Down on At-home remained a top concern among seven percent of online bills 10% 2) The Economy 11% 11% (electricity, gas, etc) 7% 10% 26%ertainment respondents. Holidays/ 35% 33% 3) Work/Life Balance 9% 8% 8) Debt 6% 5% VacationsDown on Out-of-Home fuel 55% food prices are taking a toll on consumers “Rising and 22%ertainment 4) Increasing 9) Childrens’ Education around the world as more and more households are spending a 8% 9% 6% 5% Fuel Prices and/or WelfareDown on New Clothes 34%e-Away Meals 44% 23% 34% higher proportion of their limited income on these necessities,” 5) Health 8% 8% 10) Parents’ Welfare 3% 4% said Dr. Bala. “As spare cash continues to dwindle, consumers and Happiness Down on Smoking taking actions to save on household expenses by spending are 15% 11% nd Less on Out-of-Home Entertainment 31% 32% less on non-essential items and activities.” More than half of 4 Source: The those who say they’re in recession now, how many think they’ll be Among Nielsen Company, Global Online Consumer Survey Q1 2011 out of the recession in 12 months?* 57% 24% they will spend less on new clothes, respondents indicate that Q1-2011 Q4-2010 Q3-2010 Q1-2010w Clothes out-of-home entertainment andPay off Debts/ gas/electricity. Forty-seven 28% 29% tch to Cheaper Cred. Cards/ Loanscery Brands percent of consumers24% to switch to cheaper grocery brands 47% plan No 51% 51% 48% 48% Down on and 44 percent will cut down on take-away meals. 35% 20% New Technologyephone Expenses 26% 26% Don’t Know 29% 30% 30% 28% Productsto Save on Gas Global Online Consumer Confidence Survey 51% 38% Electricity Home 19% 19% 21% 24% Yes Down on Global Average Q1-2011 Improvement/ 21% 21% Global Onlineidays/Short Breaks 34% Consumer Confidence Survey – Quarterly Trend – Q1 2011 – GLOBAL AVERAGE 12% Decorating * % saying in a recession now: Q1 ’11 (55%), Q4’10 (57%), Q3 ’10 (56%), Q1 ’10 (58%) Out Annual Vacation 1 Compared to last year, which actions have you 23% 2 How to utilize spare cash after taken in order to save on household expenses? Investing incovering essential living expenses 8% Stocks/ 21% 21% 3 5What are the top 10 concerns over theto buymonths? you want and need? Is now a good or bad time next 6 things Mutual Funds ACTIONS WILL YOU CONTINUE Q1-2011 Q3-2010 BIGGEST Q1-2011 2nd BIGGEST Q4-2010 BIGGEST Q3-2010 2nd BIGGEST Q1-2010 THIS YEAR NEXT YEAR? CONCERN CONCERN CONCERN CONCERNDown/Buy Cheaper 19% 10% Putting intonds of Alcohol Use My Car 32% 19% 47% 49% 1) Increasing Bad 13% 18% 13% 6) Job Security 17% 8% 7% 17% 16% Less Often Savings Food Prices I Have No k for Better Deals Cut Down on At-home 15% 14% 7) Increasing Utility Bills 20% 13% Spare Cash 2) The Economy 11% 11% (electricity, gas, etc) 7% 10%Loans, Credit Cards, etc 26% 10% Entertainment Holidays/ Not So Good 46% 48% 44% 46% 35% 33% 3) Work/Life Balance 9% 8% 8) Debt 6% 5% Vacationsay Replacement of Down on Out-of-Home Cut 55% 22% Entertainment 33%or Household Items 11% Retirement Fund 11% 11% 4) Increasing 9) Childrens’ Education 8% 9% 6% 5% Good Fuel Prices 30% and/or30% Welfare 32% 33% Cut Down on New Clothes 34% 34% 44% 23%ay Upgrading Technology, Meals Take-Away 40% 15% 8% 8% 10) Parents’ Welfare 3% 4% 5) Health Pc, Mobile, Etc Don’t Know/ and Happiness Cut Down on Smoking 15% 11% 2% 3%ave Taken Other ions Not Listed Above Less on Spend 11% 6% Out-of-Home Undecided Entertainment 31% 32% 4 Among those who say they’re in recession now, how many think they’ll be Excellent 3% out of the recession in 12 months?* 3% 3% 3% 57% 24% Q1-2011 Q4-2010 Q3-2010 Q1-2010 New Clothes Pay off Debts/ Switch to Cheaper 28% 29% 47% 24% Cred. Cards/ Loans No 51% 51% 48% 48% Grocery Brands Cut Down on 35% 20% New Technology Telephone Expenses 26% 26% Don’t Know 29% 30% 30% 28% Products Try to Save on Gas 51% 38% and Electricity Home 19% 19% 21% 24% 21% 21% Yes Cut Down on Improvement/ 34% 12% Decorating Holidays/Short Breaks * % saying in a recession now: Q1 ’11 (55%), Q4’10 (57%), Q3 ’10 (56%), Q1 ’10 (58%) Cut Out Annual Vacation 23% 8% Investing in Stocks/ 21% 21% 5 Is now a good or bad time to buy things you want and need? Mutual Funds Q1-2011 Q4-2010 Q3-2010 Q1-2010 Cut Down/Buy Cheaper 19% 10% Brands of Alcohol Bad 18% 17% 17% 16% I Have No Look for Better Deals 15% 14% 20% 13% Spare Cash on Loans, Credit Cards, etc Not So Good 46% 48% 44% 46% Delay Replacement of Major Household Items 33% 11% Retirement Fund 11% 11% Good 30% 30% 32% 33% Delay Upgrading Technology, 40% 15% e.g. Pc, Mobile, Etc Don’t Know/ 2% 3% I Have Taken Other Undecided Excellent 3% 3% 3% 3% Actions Not Listed Above 11% 6% Source: The Nielsen Company, Global Online Consumer Survey Q1 2011 9 Copyright © 2011 The Nielsen Company.
    • Country Abbreviations:Argentina AR India IN South Korea KOAustralia AU Indonesia ID Spain ESAustria AT Ireland IE Sweden SEBelgium BE Israel IL Switzerland CHBrazil BR Italy IT Taiwan TWCanada CA Latvia LV Thailand THChina CN Lithuania LT Turkey TRColombia CO Malaysia MY United Arab Emirates AECroatia HR Mexico MX Ukraine UACzech Republic CZ Netherlands NL United States USDenmark DK New Zealand NZ Vietnam VNEgypt EG Norway NOEstonia EE Philippines PHFinland FI Poland PL Region Abbreviations:France FR Portugal PT Romania RO AP Asia PacificGermany DE Russia RU EU EuropeGreat Britain GB Saudi Arabia SA LA Latin AmericaGreece GR Singapore SG MEA Middle East, AfricaHong Kong HK South Africa ZA NA North AmericaHungary HUAbout the Nielsen Global Online About the Nielsen CompanySurvey The Nielsen Company (NYSE: NLSN) isThe Nielsen Global Online Survey was a global information and measurementconducted between March 23 and April company with leading market12, 2011 and polled more than 28,000 positions in marketing and consumerconsumers in 51 countries throughout information, television and other mediaAsia Pacific, Europe, Latin America, the measurement, online intelligence,Middle East, Africa and North America. mobile measurement, trade showsThe sample has quotas based on age and related assets. The company has aand sex for each country based on their presence in approximately 100 countries,Internet users, and is weighted to be with headquarters in New York, USA.representative of Internet consumers For more information on The Nielsenand has a maximum margin of error of Company, visit www.nielsen.com.±0.6%. This Nielsen survey is based onthe behavior of respondents with onlineaccess only. Internet penetration ratesvary by country. Nielsen uses a minimumreporting standard of 60 percentInternet penetration or 10M onlinepopulation for survey inclusion.For more information visit www.nielsen.com Copyright © 2011 The Nielsen Company. 10