3. 1
Introduction
Welcome to Kantar’s Insight Ebook 2021, the
special edition.
I know all of us still face many challenges
caused by the on-going COVID-19 pandemic.
The escalation of the situation globally
has resulted in many uncertainties and
unpredictable effects on economic and
business activities that we might not yet fully
observe. As a consequence, this will continue
to make consumer daily lives, and their
behaviors evolve with more complexity.
Vietnam, relatively speaking was less
impacted thanks to the significant efforts
from the government, local authorities and
citizens since the very beginning. Vietnam
was one of the few countries sustaining a
positive GDP growth in 2020 whereas many
A message from
Managing Director
other economies experienced a negative
performance. However, it was still a very tough
year for Vietnam with not only COVID-19 but
also other disasters hitting the country during
the year such as droughts, storms and floods,
slowing down the economic development with
a 30-year low.
Therefore, we wanted to focus this 2021 special
edition Insight Ebook to share with you what
we have learnt throughout 2020, and then
giving perspective and outlook for 2021 and
beyond.
We hope that it will help you well prepare for
the future and draw up business strategies to
return and to surpass your targets this year.
We wish to continue contributing to your
success!
Fabrice Carrasco
Managing Director, Vietnam & Philippines
Asia Strategic Projects Director
Worldpanel Division, Kantar
4. 2
Introduction
2020 will be a year that nobody forgets.
Globally, the pandemic impacted our lives and
daily routines, which were thrown upside down
thanks to mass lockdowns and the resultant
public health crisis.
We see Vietnam’s GDP growth stutter with an
increased concern for job security, and lower
incomes, which will likely lead to less demand
for products and services. In such context, we
also witness that Vietnamese consumers have
showed a fast response to the development of
the COVID-19 situation, reflected from the way
people interact with friends and family, to the
way they shop and the media they consume,
leading to changes in their spending priorities
and purchasing behaviors as well.
That said FMCG market benefited from the
crisis with more time spent at home and
products such as packaged foods, and hygiene
items being bought and used more. Some
of the top things we have observed in FMCG
Dear Friends
and Partners,
market during 2020 are the acceleration of
online shopping and the evolution of retail
landscape toward modern formats, the higher
priority on health and wellbeing but from
reactive approach to proactive health care
and the shift to value and essentials among
Vietnamese consumers amid the COVID-19.
The ability to embrace these changes in order
to anticipate and meet consumers’ emerging
needs will be a competitive advantage
for businesses. In fact, we do see many
brands achieving healthy growth or at least
minimizing the loss by moving fast to capture
new growth opportunities, given a challenging
business environment.
With this 2021 special edition Insight Ebook,
we want to help you better understand the key
changes in people’s behaviors in order for your
businesses to not only react in time but also
realize the opportunities in front of you.
Happy reading!
Peter Christou
Commercial Director, Vietnam
Worldpanel Division, Kantar
5. 3
Table of
Contents
9 Things to
Remember in 2020 04
47
53
About Kantar
& Contributors
The Positive Growth of Vietnam Economy
Divergence & Polarization in Consumer Behavior
Higher Priority on Health & Immunity
The Extreme Focus on Hygiene and Sanitation
Online FMCG Shopping Habits Updates in 2020
Polarizing Health & Beauty Market
Growing Sustainability Concern
Modern Trade Prosperity in Rural
The Role of Gifting
The Shift to Value & Essentials
05
08
11
00
17
23
28
31
36
41
48
49
50
51
52
Outlook in
2021 and beyond
Vietnam Economy: Optimistic for 2021
Prospects for FMCG: A Regional Perspective
What’s Next for Health & Well-being?
Tet Gifting Evolution
Quality Assurance
8. 6
While most countries are still in different
levels of lockdown with a continued increase
of new cases, businesses and activities in
Vietnam have resumed operation since early
quarter 2 thanks to well coping with COVID-19
pandemic from the very beginning. As such,
Vietnam economy currently shows strong
growth patterns, particularly in the last two
quarters of 2020, making it become one
of the few economies sustaining a positive
performance in 2020.
Despite a prolong impact of COVID-19 on
Vietnam, resulting in the deceleration of GDP
growth as the lowest growth rate over the
past 10 years, it is still considered as a success
compared to other countries amid the health
crisis. The CPI remains stable coupled with the
fast rebound of retail sales of consumer goods
given a challenging business environment and
rising consumer concerns about job security
and income. This holds promising prospects for
Vietnam in 2021.
GDP growth - World Bank’s forecast
percent
5
2.5
0
-2.5
-5
-7.5
-10
V
i
e
t
n
a
m
M
y
a
n
m
a
r
C
h
i
n
a
L
a
o
s
I
n
d
o
n
e
s
i
a
C
a
m
b
o
d
i
a
M
a
l
a
y
s
i
a
T
h
a
i
l
a
n
d
P
h
i
l
i
p
p
i
n
e
s
W
o
r
l
d
2.8
2 1.9
-1.5
-2.8
-6
-7.1
-8.3
-4.4
0.2
9. 7
Bright economic
outlook in 2021
•
FDI was hit hard in 2020. However, given the successful
containment of COVID-19 in Vietnam together with the
vaccine rollout plan at global level, Vietnam remains a
potential destination to invest in.
•
In the first three months of the year, almost 35,000
businesses went bankrupt, urban unemployment rate
hits 10-year high in Vietnam (3.7%), yet ranked as top
10 countries having the lowest figures. (Vnexpress/
Vietnamtimes)
•
Export and Import sustain a healthy growth at 7% and
4% respectively, promising a fast recovery in 2021
once borders reopen.
•
Following the COVID-19 pandemic, environmental
issues (climate changes, air pollution, plastic pollution,…)
become one of top concerns to cope with.
•
The unforeseen and unpredictable development of
COVID19 still has a certain impact on consumer
demands and habits.
Vietnam’s Economic Outlook
EXPECTATION
for the next 5 years
Source: GSO Vietnam
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021F
24.5
9.2
6.8
5.9
5.3 5.4
6.0 6.7 6.2 6.8 7.1 7.0
2.9
6-6.9%
18.7
9.1
6.6
4.1
0.6
2.7 3.5 3.5 2.8 3.2 3.2
24.2
16.0
12.6
10.6
9.5
10.2
12.0 12.4 12.7
6.8
9-10%
GDP Growth % Retail Sales of
Consumer Goods
CPI
6%
~7%
3%
~4%
GDP CPI
from from
11. 9
Under the context of the health crisis, there
are emerging concerns among Vietnamese
consumers. They more worry not only about
health but also about the financial situation
and the rising cost of living as a result of the
economic impact of the pandemic. This will
considerably influence their priorities and
spending habits in 2021.
We witness that Vietnamese people show
a fast response to the development of the
pandemic over time. While more than half of
them still see optimistic future, more people
are not confident about their financial status
compared to the pre-COVID-19 level.
Moreover, the future perspective is not the
same among different consumer groups as
Source: Worldpanel Division | Households Panel | Urban Vietnam 4 key cities | Updated to Q4 2020 Source: Worldpanel Division | Households Panel | Urban Vietnam 4 key cities
there are different effects of COVID-19 on
each group (income, region, age, etc...).
This will be reflected on how they respond
and behave differently in the coming time,
leading to a polarization and divergence of
preferences and choices. Some of the trends
we could expect to see as the situation evolves
are down-trading and more belt-tightening for
future needs, especially among lower income
groups. On the opposite side, people with
higher incomes might seek for more treats and
indulgences to improve wellbeing and quality
of life.
Therefore, understanding what has been
changing in each consumer group is critical to
anticipate future demands and trends to win
over them.
Top concerns among Vietnamese
households under COVID-19
(Rank change vs Q4 2019)
The economic situation will be better or the
same as today in the next 12 months
Health
Wellness
Food Safety
Households
Income Job Security
Enviromental
Pollution Natural
Disasters
1 2 3 4 5 6
% Agree in
Urban 4 key cities
Very first
infected
cases
News of
second wave
in Danang
Movement
control order
was lifted in May
86
42
80
62
74
Avg 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020
12. 10
8
48
41
3
7
33
44
16
7
41
45
7
7 7
40 42
43 43
9 8
Source: Worldpanel Division | Households Panel | Urban Vietnam 4 key cities Source: Worldpanel Division | Households Panel | Urban Vietnam 4 key cities | Updated to Q3 2020
In the upcoming 12 months, do you
think that the financial situation in
your house…
The lower income, the more sensitive and
worried they are. The products/services
targeting to this group of consumers can focus
more on the messages about affordability/
value for money to win consumers’ hearts.
% Agree in Urban 4 key cities How do you evaluate the current financial
situation of your Household?
Avg 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020
We are not
doing well
at all
Will get
much worst
We need to
deprive ourselves
sometims
Will get worst It comes out
correctly
Will remain the
same
We have enough
money to allow
us some extras
once in a while
Will slightly
improve
No finacial
worries, we
don’t need to
pay attention
Will strongly
improve
Total HH HH Income
=10mln
HH Income
10 - =17mln
HH Income
17 - =26mln
HH Income
26mln
6
12
47
29
5
7
6
43
36
8
3
12
49
30
7
8
10
50
29
4
8
22
47
21
3
14. 12
1
2
3
As lifestyle diseases (e.g., obesity, stress)
become commonplace, health rises to be a
top priority among Vietnamese consumers.
With the accessibility of health information
online, consumers deepen their understanding
of health and more cautious about anything
they consume. Appearing at the end of 2019,
Covid-19 has a great influence on health
perception and budget of consumers, which
leads to the some major changes in Health-
related trends.
Of all the drinking motivations, Health
accounts for 13% with very diverse needs.
Besides improving health, new motivations are
emerging including detox, skin beauty, support
digestion. Three key trends in nutritional
market are believed to become norm one day:
plant-based nutrition drinks, sugar reduction,
and immunity boosters.
Vietnamese consumers are eating and drinking plant-
based alternatives that are perceived to be natural and
healthier. The category enjoys healthy growth, which is
driven by both buyer base expansion and consumption
uplifting among current buyers.
Consumers are now consciously and actively managing
their diet to prevent illness and stay healthy–incorporating
health boosters. In a year upended by COVID-19, it seems
as if our immune systems have received more attention
than ever before.
Being more aware of potential health problems, Less/
No-Sugar products are increasingly chosen and become
more attractive. Liquid Milk, RTD Tea, CSD and mostly
recently is Soya Milk witnessed an impressive performance
of total Less/No-Sugar segment.
15. 13
Towards
Healthier
Consumption
As lifestyle diseases (e.g. obesity, stress)
become commonplace, health rises to be
a top priority among urban Vietnamese
consumers. Of all the drinking motivations,
Health accounts for 13% with very diverse
needs.
of Vietnamese agree they are
ready to pay a higher price for
healthier foods (2019)
of Vietnam’s 95 million population
has mental illness due to stress,
especially amongst the youth for
stress in work or school (2019)
Source: Kantar Worldpanel | Drinking Usage Study 2019 | Vietnam 4 key urban
cities | Non alcohol beverages and Nutrition - VnExpress, Vietnam Insider
Female, age group of
19-34 and above 45+
YO have more health
drinking purpose
• Improve Health
• Detox
• Support Digestion
• Sleep Well
• For Skin Beauty
• Control Weight
Health motivations
Other motivations
What’s driving this trend?
3 Trends To Inspire Initiatives
Plant based
nutritional drink
Shifting away
from sugar Immunity Boosters
79%
15% Who?
Drinking motivation?
13%
87%
16. 14
1. Plant Based
Nutrition Drink
Vietnamese consumers are eating and
drinking plant-based alternatives that are
perceived to be natural and healthier. The
category enjoys a healthy growth, which is
driven by both buyer base expansion and
consumption uplifting among current buyers.
Val growth %
Source: Kantar Worldpanel | Household Panel Drinking Usage Study 2019 |
Vietnam 4 key urban cities | Plant-based drinks | MAT
value share % | value growth %
Soya base
Rice base
Other nuts base
Regular/everyday drink 26 64
24 218
21 139
11 114
4 131
4 76
2 76
Volume per buyer (L) Penetration %
% drinking occasion Index vs total NAB
Category performance
Top Drinking Occasion?
+5.1
+17%
+7%
+342%
MAT
Q3’20
+13.2
Top Growing Segment
12.9
MAT Q3’18 MAT Q3’19 MAT Q3’20
47.3 48.5
50.9
12.1 12.1
83%
11%
6%
While having meal
Doing activities
Break from work/study
Doing housework
While working/studying
Drink after work
17. 15
2. Shifting
Away from
Sugar
Being more aware of potential health
problems, Less sugar/No-Sugar products are
increasingly chosen and become attractive.
This trend is believed to be a norm one day.
RTD tea no/
less sugar
Probi less sugar and Probi light (less fat) 2010 2019
Milo new less
sugar variant
Vinamilk and TH less
sugar Liquid Milk
“I prefer to buy low/free
sugar drinks” - % Agree
Source: Worldpanel Division | Households Panel Lifestyle Survey 2018 |
Urban 4 Cities Vietnam
Liquid Milk - %Volume
% penetration of Less Sugar Segment of Soya Milk
% No/less sugar buyer
among RTD Tea buyers
71
63
MAT Q3’18 MAT P4’18
MAT Q3’19 MAT P4’19
MAT Q3’20 MAT P4’20
Less Sweetened Plain
20.4
8.1
19.7
4.3
18.8
3.6
12.5
9.7
9.4
MAT Q3’19 MAT Q3’20
11.1
3.3
Soya milk less sugar variant
18. 16
3. Immunity
Boosters
Consumers are now consciously and actively
managing their diet to prevent illness and stay
healthy–incorporating health boosters
• Engaged with current situation: immunization and flu prevention message
•
Targeting all family members, including the senior who is more vulnerable
under COVID impact. At the same time, launching new flavor honey curcumin
and pushing for the whole portfolio.
• Embrace digital/online channel: social media, digital content.
• Result: Trips +34%, Penetration +3pts.
Vietnam 4 key urban cities | Drinking Yogurt | YTD P5’20 vs YA
Successful case how: Vinamilk Probi
“Consumers seek immunity-boosting and
nutrition products, especially for seniors
and kids who are at higher risk. Therefore,
specialty milk powder and drinking yogurt
are more favored to stay healthy”
– Consumer and retail changes with COVID-19, Worldpanel Division, Kantar
20. 18
More hygiene-
focused for now.
Natural on hold but
still in consideration.
With sudden changes in daily hygiene routine
in light of the Covid-19 pandemic the personal
care market has been reshaped in 2020 as we
have witnessed an increased focus on hand
and body hygiene categories. Thanks to the
support of large governmental communication
campaigns – everyone has ever heard or
seen the corona virus handwashing song at
least once last year – consumers have been
reminded that good handwashing practices
and sanitizing several times a day are still the
number one way to protect oneself from this
pandemic. As a result, basic hygiene habits
have been magnified and consumers have
been seeking more for anti infection products
as a contributing effort to prevent any risk of
disease. Hand sanitizer flew off the shelves
as what has become an ‘essential’ Covid-19
sanitary item and alongside this hand and
body soap also soared.
Natural ingredients and environmentally
friendly products might not have been the
buzz this year across FMCG categories.
However, consumers are gradually more
and more seeking for products that address
those concerns. As a matter of fact, products
that promote natural ingredients and
environmentally friendly impact remained one
of the fastest growing segments within Home
Care this year again. So without a doubt it’s
safe to say that this trend is not completely
out of mind and it is likely to be back this year
as consumers will ultimately pay even more
attention to the end benefits of ingredients
impacting to their body or the planet.
Brands should therefore continue to focus on
communicating end benefits and well-known
source to trigger attention.
21. 19
Growing demand
for personal
hygiene products
Hand Wash Sanitizer Shower Gel
1065% +23.6%
Market grew by
Source: Worldpanel Division | Households Panel | Urban 4 Cities Vietnam | FY 2020 vs YA
The Covid-19 outbreak in 2020 has given a strong boost for
the demand for hygiene products/categories. As a result,
the market is getting even more fragmented with several
new players eager to grasp some share of cake.
Hygiene was the only
segment that enjoyed
positive growth
+131 Active variants
to the market
2019 2020
96%
Market grew by
+41 Active variants
to the market
2019 2020
An incremental of 442k
Households
% of HH that purchased Hand wash
45.3%
2020 2020
2019 2019
32%
An incremental of 541k
Households
% of HH that purchased Sanitizer
*Shower gel market grew by 5%
19.2%
1.7%
22. 20
Hand wash:
be ready, be positive
COVID period* vs YA
•
Engaged with current situation: COVID-related ads
communications, “Tram rua tay da chien” campaign
which provides hand sink and hand wash across Vietnam
by invite consumers to participate in donating through
dance competition “Ghen Co Vy”, new launches:
antibacterial wet tissues and hand sanitizer to capture
rising consumer need for hygiene and health prevention.
•
Embrace digital/online channel: social media, digital
content.
•
Leverage partnership with retailers: both online platforms
and offline stores
Vietnam
Keep engaged by creating digital contents with
positive messages
Fast response to emerging consumer needs with new
launches: hand sanitizer, wet tissue
Stand with communities and embrace
corporate social responsibility
(+385,800 new households in
Urban 4 cities)
•
Category growth
in CPR: +340%
Lifebuoy
•
Lifebuoy growth
in CRP: +215%
23. 21
Hygiene and healthier
eating habit will be expected
to carry on post Covid
0
Increased
overall hygiene
59
Eat healthier
55
Spending time
with the people in
my household
52
Online shopping
49
Using online
media
40
Focus on
my personal
development
35
Working from
home
33
Connecting
virtually
31
Social media
apps usage
29
Reading
24
10
20
30
40
50
60
Wave 4
What are the behaviours that you think you’re most
likely to maintain once the lockdown is over?
24. 22
The Rise of Nature/
Sensitive Segment
in Homecare
Source: Kantar –Worldpanel Division – Households Panel – Urban 4 key cities – Excluding Gift
Nature/Sensitive segment has gained traction across
major homecare categories, driven by up-trading economy
users and converting fragrance lovers.
Up-trading low tier users
Detergent Dishwashing Liquid Fabric Softener
Converting fragrance lovers
Nature/ Sensitive across Home Care
CRP growth (%) in FY20 vs FY19
Top Performers within Nature/ Sensitive
In buyers change FY20 vs FY19
Top Segments converted by Nature/ Sensitive
5.9
-1.7
38.1
0.9
170.9
-5.0
Detergent Dishwashing Liquid Fabric Softener
Total Category
Nature/Sensitive
26. 24
Online remains one of the fastest growing
channels for FMCG in Vietnam. More and
more families adopting this channel as part
of their FMCG shopping habits is the main
driver behind this expansion and the Covid-19
outbreak this year clearly acted as a catalyst.
Even post the first waves of panic purchases,
when shopper channel choice is returning to
normal, online maintains.
Close to 5% of FMCG annual value spent is
now generated by online shopping habits and
this will continue to increase in coming future
given current context combined with the
rapid expansion of the competition and offer
to attract shoppers. Personal Care products
enjoy highest penetration and frequency today
within the channel. However, purchase for
Home Care products have started to take off
as well. In fact, Home Care categories lead for
the spend growth within online over the past 2
years.
Channel basket and spend shift account for
a significant portion of online growth but
not only! Incrementality within the channel
(i.e., the same shopper repeats its purchase
within the channel and spend more) is also
important for non-food categories. This
indicates that new shoppers’ attraction and
shoppers’ loyalty are both equally important
in driving online value growth today.
Considering the growth of online and that it
does help in getting incremental growth, it
is a channel which any manufacturer should
keep focusing on and adapt their strategy as
it evolves. Promotion is one of the key drivers
for shoppers to shop online hence offering
attractive and disruptive schemes together
with engaging product display and stories are
likely help build online penetration further.
27. 25
Vietnamese households shopping for FMCG Online keeps
expanding and Covid-19 outbreak this year acted as a
catalyst. As penetration shoot up this year, when comparing
Vietnam with other SEA countries, a 6% gap has opened up
versus Thailand.
Source: Worldpanel Division | Household panel | Urban 4 key cities | FMCG Excluding Gift
12w/e...
0
5
10
15
20
25
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
12w/e...
Online
–
FMCG
Penetration
%
-
12
w/e
Urban (4 cities):
34.5% MAT Q2’20
Urban:
28.2% MAT Q2’20
Urban:
23.1% MAT Q2’20
Urban:
13% MAT Q2’20
HCMC
Hanoi
Rural
28. 26
Which family
buy FMCG
online today?
Who is shopping?
% households
Channel behavior
Strengths
Value Loyalty (**)
34.5% (1.04 mil HHs)
63%
4.8
329k/trip
In HCMC
(56%, index 102 vs. All Retailers).
Housewife under 40 y.o
(46%, index 134 vs. All Retailers).
Families with 4+ members
(72%, index 110 vs. All Retailers)
Families with kids
(44%, index 124 vs. All Retailers)
High income families
(30%, index 124 vs. All Retailers)
Penetration %
The remaining
90% is spent in
other channels
• Convenience.
• Wide/better range of choice.
• Attractive and unique deals.
• Price comparison.
• Availability of information.
Repeat rate (*) %
Frequency (times/year)
Spend per trip
(*) Repeat rates - % of shoppers shopping
more than once in the channel.
(**) Value loyalty shows basket share of channel shoppers
for this channel when buying FMCG
10%
Online shoppers
spend Online
29. 27
Online
Top Key Categories
Based on index of value share vs MT
Top Recruiting Categories
Based on Penetration change
1 1
1
2 2
2
3 3
3
4 4
5 5
Beauty Cosmetics Mom Baby
Lip Make-up Facial wash
Baby Diaper
Facial Moisturizer Hand Hygiene
Infant Cereal
Face Make-up Toothpaste
IFT Milk Powder
Fragrance Shampoo
Mask Shower Gel
30. 28
An In-depth
Understanding
of China
E-commerce
One of the world’s most
advanced Ecommerce market
The main source of FMCG E-commerce growth
In the past, Ecommerce platforms sell more niche, high
end and imported products in China, but now the price
gap between online and offline has increasingly narrowed.
As more and more consumers are used to buying their
daily essentials through online channels, it presents more
cannibalization to brick and mortar stores. However, the
online channel still generates sizable incremental sales
especially on emerging products and categories.
Along the development of Ecommerce from expansion to
maturity stage in China, we will likely observe an increasing
convergence of offers. Some brands will reduce their
physical store presence and put their focus mainly on
Ecommerce platforms.
The increased diversity of online repertoire.
In addition to non-FMCG items such as fashion, electronics,
etc., FMCG products like baby care and cosmetic
categories (skincare, makeup) are still tier 1 categories with
highest penetration in China. However, the COVID-19 crisis
boosted their online penetration by an unprecedented
seven percentage points or more, according to Kantar
Worldpanel China’s data in 2020. Furthermore, we are also
seeing tier 2/3 categories such as personal wash, paper
products and hair care products rapidly growing through
online, indicating an enormous potential to further expand.
The future growth of FMCG Ecommerce
Penetration in FMCG Ecommerce still has room to improve
from the current 70% mark, especially among older
demographics and consumers living in lower tier cities and
rural China. Additionally, Ecommerce is not only considered
as a sales channel, but a key marketing channel for brands
as they start to build innovations out of this channel
i.e. live streaming or short videos to engage consumers
and also provide a holistic place for social media and
content marketing. Brands will be able to fully digitize
their consumer experience journey throughout the wider
Ecommerce ecosystem, helping them achieve successful
brand building and shopper acquisition at the same time.
On the other hand, as consumers buy more categories
online from tier 1 group to tier 2/3 group, it means an
expansion in their basket size and shopping frequency.
With a lot of online promotions pushed through
Ecommerce festivals like Double 11, their spending on
FMCG via online channel will further increase.
Jason Yu
Managing Director, Greater China
Kantar Worlpdanel
32. 30
COVID-19 has transformed
the beauty industry
all around the world
which Vietnam is not
an exception. When
some categories related
to health and hygiene
benefit from pandemic,
the others either sustain or
suffer severe impact.
1
2
3
Growth Categories
Stable Categories
Impact Categories
•
Sectors that are doing better than before the pandemic
due to increased awareness of hygiene, including
handwash care, mouth rinse
•
Sectors benefit from the movement from out of home
to in-home (Hair colorant) and stocking up for in-home
consumption (Diaper, Sanitary Napkin)
Sectors are unlikely to be impacted by pandemic since
they are considered as essential products and already
penetrated most of household (Shampoo, Shower Gel,
Toothpaste, Toothbrush)
•
V shape recovery: Before the pandemic, they are rising
sectors. The disruption caused by the pandemic has
impacted in these developing categories, yet they
rebound quickly right after movement control order
lifted (Skin care, Sun Protection)
•
L shape recovery: They are low penetrated categories
and are regarded as nice-to-have products. Then the
pandemic hits hardly on these categories which take
them longer time to come back to normal (Make up,
Perfume Deodorant, Hair styling)
33. 31
Vietnam witnesses a much brighter picture than fellow Asia
Health Beauty markets, even well-established ones such as
China Korea – with most of the sub-categories maintain
good growth. However, Make up is a category still suffering
across all Asia due to less going out occasions.
China Korea Taiwan Thailand Vietnam Indonesia
Personal Care
Hair Care
Body Care
Skin Care
Make Up
Personal care Recovery
(Sales CH% YTD on YTD)
Source: Worldpanel Division | Household panel | Asia Beauty
Report 2020
34. 32
On-going
Beauty Trend?
Beauty Trend
Premiumization is seen in Personal care and
become vital engine of growth of this sector.
Although there is financial concern during
pandemic, Personal care manages to upgrade
thanks to support from High income group.
Online and Health Beauty stores are key for
premium offers
More and more consumers are buying into
the category of dermatological. Emerging
pharmaceutical products (Cetaphil, La
Roche Posay, Bioderma, Vichy, Eucerin,
Neutrogena…) with light ingredients suitable
for all skin types are now recommended by
experts adopted more by consumers. The
introduction of ingredients for specific skin
problems create great improvements (AHA/
BHA, retinol, vitamin C, Niacinamide…)
From Manufacturers: “Green” eco-friendly
offerings/solutions i.e. recycle materials,
“natural” design to protect nature
environment and promote sustainable living
From Consumers: Consumers approve the idea
of environment friendly packaging rather them
bringing their own packages to the store
All players are leveraging advanced
applications of technology (chatbot, virtual
try-on, etc.) to offer tailored made experience
The competition in personal care became
fiercer with the joining of new innovations
which places a pressure on big manufacturers
to extend their product lines beside protecting
the core
Premiumization
Continues to Prevail
Despite Pandemic
Special Ingredient
Products
Eco Friendly Solutions
Advanced Technology
Fiercer competition
35. 33
E-commerce
Booming
Online expands share rapidly in a
year for Personal Care and currently
account for 3 out 10 dong respectively
for real purchase of Cosmetics, and it’s
even higher for Make-up.
Majority of shoppers tend to shop at
1 platform. Focus on major platforms
(Facebook, Shopee, Tiki) with the
largest traffic!
2018 2018 2018
2020 2020 2020
5.2
12.2
19.3
10.5
32.4
25
% Value Share of E-commerce
Penetration % in Personal Care
Personal Care
%Value
Growth vs
YA
Make Up Female Skin Care
+63% +25% +55%
of Personal Care
buyers still shop at
only 1 platform
Online Social Commerce E-com Lazada Shopee Tiki Sendo Others
2018 2020
14.5
8.1 8.2
2.3 2.8
0.7 0
4
29.7
19
16.5
2.7
9.5
4.1
1.7 4.4
Source: Worldpanel Division | Household panel | Urban 4 key cities | Personal Care excluding Gift
37. 35
Did you know?
Vietnam is the world’s 4th largest
marine plastic polluter with 50
billion plastic bags used per year.
= 10 plastic bags/week/person.
Some already did a good job.
Food safety, plastic waste and water pollution
are the top 3 concerns among Vietnamese
people. However, they still find it hard to
change their habit of using plastic.
There is already a high awareness that
recycling will reduce pollution and safe
natural resources.
A quarter of Vietnamese consumers say
recycling is inconvenient.
And a half say
“It’s too confusing
to know what can
be recycled.”
•
Barriers in
knowledge.
•
Their belief that
environment is
not that bad.
•
Barriers in
distribution and
price in reaching
green products.
Unilever’s
refill station
Nestle
Vietnam
Vinamilk
Eco-friendly
packaging
Barriers
Consumers frequently go
on a grocery shopping
trip without their bag/
basket to carry their
purchase.
79%
Source: Kantar Worldpanel | Who cares who does report 2020
However What stops
Vietnamese
consumers from
living more green?
Manufacturers
are expected
the most to take
action in reducing
environmental
impact.
People agree
+80%
44
29
25
4
Manufactures
Government
Consumers
Retailers
38. 36
Did you know?
The number of consumers can
recall brands that they are doing
good deeds for the environment
are still limited.
Big gap in Vietnam –
desire - action onus on manufacturers
to make it easy for consumers.
Stronger, authentic communication
about the good deeds to drive
awareness.
Sustainability is NO LONGER JUST A
NICE THING TO DO and should be a
critical part of any business strategy
moving forward.
Only
Source: Kantar Worldpanel | Who cares who does report 2020
#1
#2
#3
What’s
next?
40. 38
Modern Trade is
expanding significantly
in Rural, especially
Minimarket with
spend/trip is almost as
much as Urban
Source: Worldpanel Division | Households Panel | Rural Vietnam | Total FMCG excluding Gift | Data updated to
September 2020
2018 2019 2020
76.3
15.8
2.3
75.7
14.9
2.9
75
13.5
3.5
% Value share
Modern Trade in Rural
% Value growth
Street Shops
2019 Vs. LY
All retailers
10
9
9
0
33
11
***
65
9
8
8
3
40
33
82
17
Traditional trade
Street Shops
Wet market
Specialty stores
Modern trade
Hyper Super
Minimarket
Direct Sales
2020 Vs. LY
Online
Wet Market
GT Others
Specialty Stores
Modern Trade
% Penetration Frequency Spend/trip (VND)
(2.2X Traditional
Trade) +10% vs. year
ago (Urban: 171k)
(Urban: 27 times/year)
+4.7 pts (vs. MAT P9’18)
Urban: 87.3%
37% 5.9 166k
41. 39
Additionally, minimarkets
are winning rural
consumers with the
aggressive expansion of
Bach Hoa Xanh, opening
up huge opportunity to
further surge
Minimarkets - % Penetration
Rural shoppers spend the same amount (103k VNĐ)
for each trip, compared to Urban citizens… and shop there
every quarter, likewise in Hyper Super.
Bach Hoa Xanh is now the main retailer, which
has already reached 12% of Rural households with the
stronghold South.
3%
2018
7%
2019 2020
Shopper base are x6 within 2 years, acquiring more than 2 million new rural
households.
North Central South
Source: Worldpanel Division | Households Panel | Rural Vietnam | Total FMCG excluding Gift | Data updated to
September 2020
0.6 15.2 33.5
42. 40
Interestingly, the channel
appeals to all demo
groups in Rural yet skews
more to affluent families,
thanks to its competitive
advantages
% shoppers in Minimarket
by demographic
Key Advantages
Source: Worldpanel Division | Households Panel | Rural Vietnam | Total FMCG excluding Gift | Data updated to
September 2020
Low Income
HH
0
5
10
15
20
25
30
Mid-low
Income HH
Mid-high
Income HH
High
Income HH
2019
2020
Product assortment
Similar to modernized street shops
yet offering a wider/more diverse
range of products/choices, high
quality/premium choices.
Product assortment
Hybrid format between street
shops wet markets to offer
branded fresh foods/or with
product origins.
43. 41
Summary
Though Traditional Trade is still
the essential channel of Rural
consumers, the improvement of
income as well as living standard
leads to the prosperity of Modern
Trade in Rural. This emerging
channel is expanding the buyer
base significantly and becoming
more and more familiar with Rural
shoppers, especially Minimarket
that enjoys 3-digit growth.
Convenience and Hygiene are
2 most important factors that
help Modern Trade win in Rural
since these are top criterion of
Rural consumers when choosing
shopping store. Besides, wide
range of product assortment and
high product quality are crucial to
attract more traffics while helpful
staff helps in building up retention
and repurchase rate.
Key shoppers of Minimarket are
Households with high income
but the recruitment among lower
one is also on good momentum,
showing huge opportunity to
diversify buyer profile.
Bach Hoa Xanh is a key highlight
for the flourishing of Minimarket in
Rural, that’s been reaching more
than 1/3 South Rural citizens.
45. 43
Giving gifts on Tet Festival (aka Lunar New Year) has been
a traditional custom in Vietnam’s ancient culture for years,
expressing not only the gratitude towards someone but
also the care to each other. As a result, consumer spend
on gifting accounts for a significant proportion of total
FMCG spend during Tet period. However, we witness the
reduction of gifting occasions last Tet 2020, which could be
explained by the changes in consumer lifestyles towards
modernization.
Looking to Tet 2021 preparation, gifting is still an important
culture among Vietnamese consumers. Beside money,
consumer packaged goods are their preferable options for
gifting such as biscuits, soft drinks and beer. In addition
to these most typical Tet products, the rise of gifting
occasions with nutritional and convenient products has
been observed during recent years, offering new choices
for consumers and new chances for brands to tap into.
46. 44
Although Gifting
declines in the last
Tet period, the role
of gifting remains
very important in Tet
% Value growth of Gifting across years
(Tet period vs YA)
% Value share in Tet basket – Tet 2020
(For Urban 4 Cities Rural)
Tet 2017 Tet 2018 Tet 2019 Tet 2020
0
-10
-20
10
20
30
40
50
Source: Worldpanel Division | Household Panel | Urban
Vietnam 4 key cities Rural | FMCG
Urban
4 Cities
Rural
Gifting Real Purchases
71%
29%
47. 45
Almost every
household has
plans to give gifts
to others in the
upcoming Tet 2021
% Plan to give gifts before Tet 2021
Urban 4 Cities
Top 5 Gifts at Tet 2021
1 - Money
2 - Biscuits/Candy Jam
3 - Alcoholic drink
4 - Mixed basket gifts
5 - Clothing/Shoes/Jewelry
Rural
Top 5 Gifts at Tet 2021
1 - Money
2 - Biscuits/Candy Jam
3 - Soft drink
4 - Alcoholic drink
5 - Fresh food
Source: Worldpanel Division | Households Panel | Urban 4 key cities Rural
Vietnam | Tet 2021 Survey
88%
82%
-2pts vs Tet 2020
+10pts vs Tet 2020
48. 46
Source: Worldpanel Division | Households Panel | Urban 4 key cities Rural
Vietnam | FMCG Gifts only | Tet 2020
Top 5 most chosen
categories for Tet gifting
Based on % Occasion
Top rising categories for
Tet gifting
Based on % Occasion change
Biscuits Cakes Snack Nuts
Beer Liquid Milk
Carbonated Soft
Drinks
Sweetened
Condensed Milk
Instant Coffee Sauces
Cooking Aids
50. 48
Vietnamese consumers experienced an abnormal year with
many limitations, in social and financial matters.
Schools were closed for months. Work was shifted to home.
Similar to other countries, consumers in Vietnam did shift
their spending to essentials, while cutting back on most
discretionary categories, especially travel. Engagement in
out-of-home activities is also lower even after restrictions
had been lifted.
On the contrary, FMCG and Food as essential products are
occupying bigger shares in household expenditure. This led
to positive performance of FMCG in-home market, which
posted an 10% growth in value. This growth stems from
higher volume consumption while average consumer price
remains relatively unchanged.
Additionally, although consumer choices toward products
vary across categories, the shifting to lower-priced offers is
universally observed in nearly 60% FMCG categories, from
food to non-food sectors. This could be a consequence of
the budget limitation due to cautious spending. Hence,
manufacturers and retailers who focused on affordable
offers and saving messages have bigger opportunities to
stay relevant and ahead in competition.
51. 49
Spending cut on
transportation,
entertainment, travelling
and saving at the expenses
of Food CPG is common
behavior of Vietnamese
households in 2020.
URBAN 2018 2019 2020
Food + CPG 36.9 37.4 40.8
Household
Transportation
5.5 4.9 4.7
Household
Entertainment
2.7 2.8 2.4
Household Savings 11.3 11.3 10.2
Household Travel
/Holiday
5.1 4.9 3
RURAL 2018 2019 2020
Food + CPG 31.1 32.6 33.7
Household
Transportation
4.5 4.5 3.9
Household
Entertainment
0.9 1.0 1.1
Household Savings 13.2 13.2 12.3
Household Travel
/Holiday
1.6 1.6 0.8
52. 50
FMCG as considered
as essentials in 2020
showed a strong growth
in both urban 4 key cities
and rural, mainly driven
by the higher volume
consumption. Meanwhile,
the price change is even
lower than CPI.
% YOY FMCG change
*: To calculate FMCG price paid change, we
calculate how much price contributes to the
value change for each category, sum up
these contributions and relate to value
Source: Worldpanel Division | Households Panel | Urban 4 Key Cities Rural
Vietnam | Total FMCG excluding Gift | 1 year ending 3/01/2021
Rural
Urban 4 Cities
2018
Value
2019 2020 2018 2019 2020
Volume
2018 2019 2020 2018 2019 2020
Paid Price
2018 2019 2020 2018 2019 2020
2%
6%
4%
2.5%
0%
2.4%
6%
9%
6%
3.0%
4%
2.6%
10%
10%
7%
2.7%
7%
2.9%
YA**: To calculate FMCG volume change, we calculate how
much volume contributes to the value change for each
category, sum up these contributions and relate to value YA
(this results in an average category change in volume)
53. 51
Switching to lower priced offers is a way to manage the
spending budget on FMCG in this difficult time. Nearly 60%
FMCG categories are suffering downtrading, including both
Food and Non Food categories
Source: Worldpanel Division | Households Panel | Urban 4 Key Cities Rural
Vietnam | Total FMCG excluding Gift | 1 year ending 3/01/2021
80%
60%
40%
20%
0%
2% 5% 10% 15% 20% 25%
-20%
-40%
-60%
-15% -10% -5% 0%
% Value growth
% Price change
54. 52
The shift to value
Saving offers/
messages are
emphasized a lot by
many brands to stay
relevant to consumers
Vinmart+ +43%value
Vinmart +33%value
Kokomi 90 –20%bigger
with same price
Reached 14%Urban households after 1
year of launching (vs. 4.2% market norm)
Surf liquid detergent
+95%in value in Urban (vs. last year)
56. 54
According to Vietnam Institute of Economics, the impact of COVID-19 hit Vietnam
economy much harder than that of the 1997 Asian financial crisis and the 2007-
2008 global financial crisis. These two crises caused the lowest growth rate of
4.77% in 1999 and 5.40% in 2009, which are still higher than the 2020’s economic
growth (2.91%). However, the effects of COVID-19 are likely temporary, and will not
last as long as the two mentioned financial crises. In fact, there are many industries
that being heavily affected by the health crisis but also many businesses benefited
from it. This is very different from what happened amid the financial crisis when
most industries were negatively affected.
Vietnam economy currently shows a fast recovery, particularly in quarter 3 and 4
of 2020, promising a brighter outlook in 2021. Depending on the world’s economic
situation and the country’s attractiveness for foreign direct investment, Vietnam’s
2021 economic growth is projected with three economic scenarios:
•
The positive economic outlook will attract
more foreign investment, increasing both
capital and employment.
•
Opportunities for export as many global
companies are flocking to Vietnam together
with the effects of CPTPP, EVFTA and in-
progress RCEP.
•
Border closures still have a significant impact
on trade, supply chains, consumer demand
and travel.
•
Consumer might be more cautious in
spending due to uncertainties, inflation
financial concerns, given the increased
unemployment rate in key cities.
Source: GSO
Scenario 1
GDP growth at
3.48%
(the lowest)
Scenario 2
GDP growth at
5.49%
Scenario 3
GDP growth at
6.9%
(the highest)
•
IMF predicts the Vietnam economy will
expand 7.588% in 2021, which is even higher
compared to the level of pre-COVID19.
(Asia Nikkei)
Opportunity
Challenges
•
According to local predictions, GDP growth
is projected to recover at 6-6.9% in 2021
as the most optimistic scenario.
(Bao Chinh Phu)
•
MA activities to rebound and increase with
Vietnam holding second place in the top 20
countries having the highest MA index.
•
The rise of digital economy the
acceleration of digital transformation
pushing the exceptional growth of digital
media, eCommerce, cashless payment,…
play a key role in economic development.
•
Increasing environmental issues as businesses
and activities resume unsustainable
exploitation of natural resources, leading to
health well-being issues.
•
Business environment and skills of workforce
need to be improved in order to keep up with
the economic development pace.
Vietnam economy:
Optimistic for 2021 Whatever the scenario, there remains both challenges and opportunities.
57. 55
•
The forecasting model includes 6 metrics that have
different weights of the impact on FMCG sales.
1 - Inflation Rate
2 - Food Inflation
3 - Residential Mobility
4 - Consumer Spending
5 - GDP Growth Rate
6 - Consumer Confidence Index
•
Our belief that COVID outbreak contained, and with
vaccination being globally distributed that things will not
get worse, and that both consumer confidence and GDP
growth will improve
•
For other metrics, we believe they will be the same as
today or will make insignificant impacts on the results
given the local context and circumstances.
Source: Worldpanel Forecasting model Trading Economics | FMCG data excluding Gifting
Forecasting
FMCG Growth in
Vietnam for 2021
Growth of packaged foods is expected to
cool, but still at 10%, while personal care is
predicted to grow at double digits in Urban
FY Growth Rates
Sector Value
Contribution
Sector Value
Contribution
FY Growth Rates In Rural, personal care potentially continues to
drive growth, while Beverages recover
In-home FMCG
6.4%
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
2019 2020 2021
8.6%
10.3%
10.2%
6.4%
8.7%
2.2%
7.3%
1.5%
5.6%
7.9%
14.6%
8.5%
12.6%
5.3%
5.4%
4.9%
5.2%
21.3%
13.6%
9.8%
11.4%
11.4%
12.2%
12.1%
16.6%
10.1%
14.8%
6.9%
4.3%
4.6%
11.1%
4.4%
9.1%
2.7%
1.4%
Beverages
19%
100%
24.1%
100%
Dairy
28.9%
23.8%
Packaged Grocery
25.2%
30%
Personal Care
17.9%
13.1%
Home Care
9%
9%
In-home FMCG Beverages Dairy Packaged Grocery Personal Care Home Care
Urban 4 key cities
Rural
Inflation Rate (SQ = 1.4%)
Status Quo Status Quo Slightly Increased
Status Quo Status Quo Slightly Increased
Residental Mobility (SQ = -3.6) GDP Growth Rate (SQ = 6.4%)
Food Inflation (SQ = 3%) Consumer Spending (SQ = 4074091 VND Billion) Consumer Confident Index (SQ = 120.5)
58. 56
With a population of more than 90 million, Vietnam remains as a prime market
not only for continued local growth but also an avenue for regional FMCG
players to tap into. We have equally seen how the Vietnamese consumers and
shoppers are improving not only their quantity but quality of life over the past
10 years, a real testament of a very proud nation, thriving to become one of the
leading markets not only in the Asia region but also Globally.
Relatively a young consumer base, growing income per capita and increasing
sophistication of use in both mobile and tech puts Vietnam high on the
attractiveness index for investors, brands and manufacturers alike. In addition,
Vietnam also has a great geographic advantage bordering many Asia countries i.e.
China and also the emerging markets of Indo-China; giving it a massive advantage
as a country to not only build on local consumption but a hub to extend its
reach to other markets as well.
The country is now the 6th most populous country in Asia (behind China, India,
Indonesia, Japan and the Philippines); and could easily outpace to the 5th most
populous market in the region. Coupled with the improvements on standard of
living and a positive growth in both organized trade and E-commerce, it is set to
certainly be a market where every brand and manufacturer will not want to miss.
In 2020, Vietnam’s economic growth at 2.9% despite the very challenging year
of COVID-19 is a testament of the countries that are resilient and strong to cope
and weather the challenges in market. This has also given a strong competitive
advantage to Vietnam compared to other ASEAN countries – allowing it to leapfrog
itself and also giving a strong grounding and growth in the FMCG market.
The challenges manufacturers will face is how they can further drive growth
in a sustainable way amidst rising competition (both with local giants,
regional players and global MNCs) and with the new evolving multichannel,
omnichannel and trade landscape.
Prospects for
FMCG: a regional
perspective
Nelson Woo
Regional Commerical Director
Worldpanel Division Asia, Kantar
59. 57 Source: GSO
What’s Next for
Health Well-being?
COVID-19 pandemic has put mental health and wellbeing
of Vietnamese consumers under great pressure, which
highlights the importance of health priority. In the past
century or even before that, health is about taking medicine
to treat an illness or taking recommended vaccines to
prevent certain diseases. From a fundamental understanding
of health in the past, consumers are broadening their
knowledge with better accessibility of health information
online, and higher adoption of tech to track their health
and nutrition. Therefore, consumers are now shifting from
reactive to proactive when actively managing their diet to
prevent illness and stay healthy – incorporating with health
boosters.
Specifically, COVID-19 – the health crisis of the decade, forces consumers to have
behavioural changes in product choice. This could be brought forward post the
pandemic as new habits, new lifestyles. “Pandemic” basket is fueled with three
key groups of categories including necessary convenient foods, hygiene items
and nutritional products; reflecting consumer priority towards their essential and
healthy needs during quarantine time.
With healthier lifestyle, for instance, the increased spending on health hygiene
products will likely to continue as people seek for prevention from the possibility
of another Covid-19 outbreak or the threat of any other viruses that might hit the
world in the future. In that context, consumer demand on health and hygiene will
continue to thrive.
Consumers increasingly desire snack and beverages that can benefit their physical,
mentality or emotional wellness. They look for products with clear functional
benefits and brands with thorough communication on how they promote health
and nutrition:
- Safe, natural proactive ingredients, nutrients
- Immune-boosting products i.e. probiotics, vitamins, supplements
- High quality products with health benefits
- Plant-based diet
- Premium options for eating drinking beauty i.e. organic, vegan
- More indulgence enjoyment that good for mental health i.e. treats
- Pre-emptive solution for senior population
Outlook for healthcare will be shaped by favourable trends and structural
developments. Health will be about taking snacks and beverages that are
personalised to suit one’s unique health needs, goals as well as knowledge level.
Areas that are related to digital health, genomics and extended longevity should
observe further upside potential over the longer term
60. 58
From distant past to present day, the custom of giving gifts during Tet festival has
become a typical culture, adopted by the majority of Vietnamese people. Giving
gift is not only a way to express love and appreciation among family members,
friends or colleagues, but this also represents meaningful wishes for blessings and
luck. The latest survey reveals that almost every household (over 80%) intends to
buy gifts for others in Tet 2021, in which family members are the key recipients.
Gifting has played an important role in every Tet season, contributing a big
proportion to total Tet spending, especially within FMCG industry, though it differs
by sector and market.
Within FMCG basket, biscuits, beer and soft drinks are the top choices of
Vietnamese consumers for Tet gifting. These categories sales during Tet month
usually double and even triple that of a normal month, largely contributed by
gifting occasions. Yet, people have a lower intent to spend on these categories
compared to Tet 2020, according to the survey, while organic or health-related
categories such as nutrition drinks, snack nuts are quickly capturing consumer
preference. This trend is predicted to be more and more prevalent as health
will be more prioritized after the health crisis. In addition, premiumization and
customization are also the trends that will continue thriving in the next seasons,
reflecting from product innovation to communication in order to meet
the growing taste of Vietnamese consumers.
Noticeably, we see that Tet-gifting custom is getting more simplified recently. Last
Tet 2020, gifting experienced a significant decline in both value and occasions. It
could be the result of consumers’ fast-changing lifestyles towards modernization,
especially in urban areas. Interestingly, there is also a correlation between the
family structure (the number of members) and the number of targets they want to
present gifts: “The smaller household size, the less targets for gifting”. As such,
this could lead to a continued deceleration of gifting in the coming years, given
that Vietnam’s household size is shrinking over time with more younger families
having one or two generations. Nevertheless, Tet-gifting culture will probably stay
here for many more years, providing a great opportunity to leverage brand growth.
Tet Gifting
Evolution
61. 59 Source: GSO
Quality
Assurance
Quality assurance has been an increasingly prominent concern amongst
Vietnamese consumers, especially in food industry. There are several drivers of this
trend. In the context of growing middle class in Vietnam, the willingness to pay
for higher quality products is accelerating. In the last decades, Vietnamese
government has been issuing more regulations on food safety that also increases
consumer awareness about product quality. Moreover, with the development of
social media and Internet, negative news and the followed media coverage can
spread like wildfire. This is only one of the many reasons why manufacturers need
to ensure that their production lines utilize the latest technologies and methods to
proactively avoid any incidents.
In the past, quality was assured mostly by brand names. Consumers were relying
on their own experiences or on what were recommended by people around them.
They bought the products from well-known brands without the intention or the
accessibility to check more information about the products from various sources.
Communication from manufacturers played the vital role in building
consumer trust.
Quality currently is defined in a more complex way other than just brand names.
Consumers have the higher expectations when it comes to the production methods
and quality of the food, but also for packaging and other features of the product.
They are not afraid to walk away if these expectations are not met. Reliable origin
and production process are increasingly important to consumers. Prior to making
decisions, consumers are spending more time to search for in-depth information
about products from different sources, either from people they know or social
groups.
In the next few years, consumers might be looking out for clearer visibility of when,
where and how the products were sourced, produced and delivered to them. The
technology development allows manufacturers to give the consumers the full
transparency in producing process at all steps.
62. 60
About Kantar
Kantar is the world’s leading evidence-based insights and
consulting company. We have a complete, unique and
rounded understanding of how people think, feel and act;
globally and locally in over 90 markets.
By combining the deep expertise of our people, our data
resources and benchmarks, our innovative analytics and
technology, we help our clients understand people and
inspire growth.
Find Out More
If you’d like additional information on consumer insights
and shopper behaviors, please get in touch with your usual
Kantar contacts or email:
Key Contacts
Fabrice Carrasco
Managing Director of Kantar Worldpanel
Vietnam Philippines
Asia Strategic Projects Director
fabrice.carrasco@kantar.com
Nguyen Phuong Nga
Senior NBD Director
phuongnga.nguyen@kantar.com
Huynh Le
Account Director
le.huynh@kantar.com
Peter Christou
Commercial Director
peter.christou@kantar.com
Antoine Louat de Bort
Account Director
antoine.louat@kantar.com
Nguyen Thi Nhu Ngoc
Marketing Manager
nhungoc.nguyenthi@kantar.com
63. 61
Contributors
Fabrice Carrasco
Managing Director of Kantar Worldpanel
Vietnam Philippines
Asia Strategic Projects Director
Nguyen Phuong Nga
Senior NBD Director
Peter Christou
Commercial Director
Antoine Louat de Bort
Account Director
Nguyen Thi Nhu Ngoc
Marketing Manager Project Leader
Le Thi Ha Nhi
Associate Account Manager
Nguyen Van Vu
Marketing Executive
Nguyen Phan To Nhu
Account Executive
Pham Thi Hong Nguyen
Senior Commercial Admin Executive
Vo Thi Kim Nhu
Senior Account Manager
Nguyen Anh Tuan
Account Executive
Tran Dang Phuong Vy
NBD Manager
Hoang Nhu Mai
Account Executive
Nguyen Ngoc Thuy
Associate Account Manager
Nguyen Hoang Lan
Account Executive
