2. Market research top-line July 2011
HIGHLIGHTS:
HCM HANOI DANANG CANTHO
CONSUMER’S VIEWPOINT ON
FMCG PRODUCT QUALITY

3. About:
Viettrack is a monthly news from FTA Research & Consultant, base on a monthly
research survey. It aims at delivering comments, opinions and evaluation of
consumers about the current economic situation as well as promotion campaigns or
products to producers and marketers. It is supposed to help marketers understand
and offer better services in order to satisfy the demand of consumers.
Viettrack Research meet ISO 20252:2006 standard, the international quality
standard in market research.
Viettrack - July 2011:
Sampling size : N=600;
HCM = HN = DN = CT=150
Sex: Male/Female
Economic class: ABCDEF
Age: 15 – 55

4. CONSUMER’S VIEWPOINT ON
FMCG PRODUCT QUALITY

5. Personal/ family
care product
Milk/products
from milk
Confectionery
Beverage
Food
13%
10%
14%
11%
13%
4%
3%
4%
4%
3%
38%
38%
31%
37%
31%
32%
37%
38%
35%
38%
13%
11%
11%
13%
13%
Color Price Origin Brand Logo Packing
HCM HN DN CT
11%
11%
14%
13%
14%
34%
31%
27%
30%
24%
35%
38%
39%
32%
41%
17%
15%
16%
21%
19%
11%
11%
14%
7%
15%
34%
31%
27%
37%
28%
35%
38%
39%
45%
43%
17%
15%
16%
9%
9%
12%
10%
17%
13%
17%
4%
1%
1%
3%
4%
28%
33%
25%
28%
25%
43%
42%
41%
42%
43%
9%
11%
11%
11%
9%
13%
9%
10%
9%
5%
7%
6%
9%
9%
6%
48%
45%
42%
51%
49%
21%
27%
27%
21%
25%
10%
13%
11%
11%
15%
TOTAL
N=600 N=150 N=150 N=150 N=150
For each location, there is no difference in considering factors to evaluate FMCG products quality.
Product origin and brand name are the factors that consumers pay the most interested in to select product with high quality
In Cantho, consumers care more about brand name, while people in other locations care more about original of the products
IMPORTANT FACTORS WHEN CONSIDERING
PRODUCTS’ QUALITY

6. FACTORS TO IDENTIFY PRODUCTS HAVE HIGH QUALITY
Base on Total sample N=600
Factors Food Drink Cake Milk
Personal/
family care
product
Origin Clear 76% 74% 74% 73% 71%
Foreign 33% 36% 36% 44% 42%
Price
Average price in comparison with price of the
same products on the market
50% 48% 45% 44% 47%
Packaging
Sufficient information: components, use,
origin, manufacture’s date
51% 49% 49% 51% 51%
Firm packaging, material safe for health and
preserve products’ quality inside
45% 42% 44% 47% 43%
With certification marks of safety/health
dealer / association / organization
41% 40% 40% 43% 37%
Brand of a prestigious manufacturer 62% 61% 59% 64% 60%
Logo
Logo in large, clear lines, prominent on the
packaging
32% 31% 32% 31% 31%
Logo at the front of packaging 21% 23% 21% 21% 22%
Product’s
color
Natural color 38% 31% 34% 33% 30%

7. MEDIA

8. SOURCES TO IDENTIFY PRODUCTS (FMCG) HAVE HIGH QUALITY
TOTALTOTAL HCMHCM HNHN DNDN CTCT
Most consumers identify quality of products through friends/relatives, especially consumers in DN,
second is through advertising on TV/radio and find out by himself, no significant difference between
locations.
In Cantho, consumers specially trust in the comment of experts than other cities.
Advertising on TV/radio and consult from salesman are also effective to consumers in Cantho
Base on Total sample N=600
Newspaper/
Magazine
Advertising on
TV/radio
From
friends/relatives
Consultants from
the company /
salesman
Comments of
experts
Themselves
60%
74%
76%
17%
40%
63%
60%
74%
76%
17%
40%
63%
41%
75%
78%
57%
70%
63%
35%
69%
93%
28%
49%
71%
28%
51%
73%
36%
56%
64%
N=600 N=150 N=150 N=150 N=150

9. PLACE SELLING HIGH QUALITY PRODUCTS (FMCG)
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
HCM Ha Noi Da Nang Can Tho
Supermarket is the best place which selling products with high quality, second is Metro. In addition,
there are also groceries with medium or large scale and have signboard, showroom/dealer. There is
not much difference between locations.
Vendors and sidewalk are considered to sell products with low quality.

10. SIGNS TO IDENTIFY CHANNEL DISTRIBUTE PRODUCTS WITH HIGH
QUALITY
Well-known
Many customers
Medium/big scale shop (
signboard)
Shop/showroom/genuine
agency
Shop has sponsored by the
manufacturer
Shop at the center
Professional Salesman
Small scale shop ( no
signboard)
75%
67%
62%
62%
49%
34%
26%
10%
There is no significant difference between locations in considering signs to identify the channel which
distribute product with high quality.
According to consumers, signs to identify channel distribute products with high quality include: the
place is well-known, has many customers, medium/big store (has signboard), and
shop/showroom/dealer of the manufacturers.
59%
56%
63%
63%
46%
27%
20%
5%
TOTALTOTAL HCMHCM HNHN DNDN CTCT
78%
67%
57%
58%
53%
29%
27%
16%
87%
74%
59%
58%
40%
26%
28%
10%
75%
70%
70%
69%
57%
53%
27%
7%
N=600 N=150 N=150 N=150 N=150

11. CONSUMERS’ REACTION TOWARDS THE INFORMATION ABOUT HIGH
QUALITY PRODUCTS
Friends / relatives
Newspapers / magazines / television
Experts
35%
46%
22%
20%
13%
23%
27%
19%
22%
13%
16%
25%
6%
7%
8%
Re-check information before buying Buy immediately
Buy immediately after used all the rest of product Buying when needed
Share information with friends / relatives
Consumers tend to re-check the information before deciding to buy the products when receiving the
information from newspapers/magazines/TV,
When receiving the information from Experts and Friends, they feel more reliable, and will decide to
buy immediately as soon as they can or when needed
Words of mouth creates more reliability to consumers than advertising does.
Base on Total sample N=600

12. CONSUMERS’ REACTION TOWARDS INFORMATION ABOUT LOW
QUALITY PRODUCTS
Friends / relatives
Newspapers / magazines / television
Experts
21%
21%
10%
49%
51%
59%
12%
10%
10%
12%
14%
14%
6%
4%
6%
Re-check the information Stop using immediately
Never buy again Share information with Friends/Relatives
Feedback to Manufacturer
When receiving information of low quality products, most consumers will stop using
immediately, this is most clearly when the information comes from experts.
Consumers tend to re-check the information if the information is came from
newspaper/magazines/television or friend/relatives.
Base on Total sample N=600

13. LOW QUALITY PRODUCTS – WHAT CUSTOMERS HAVE BOUGHT
Food
Personal/Family
care product
Beverage
Confectionery
Milk/products
from milk
45%
36%
31%
30%
20%
In general, consumers bought low quality products in all categories, at all locations
Consumers in two big cities: Hanoi and HCM bought food with low quality more than in DN and CT.
Consumers in DN bought personal/family care products with low quality the most, while consumers
in CT mostly bought confectionery and beverage with low quality
TOTALTOTAL HCMHCM HNHN
45%
39%
18%
16%
31%
53%
32%
36%
30%
11%
30%
50%
15%
25%
15%
38%
35%
50%
53%
29%
ĐNĐN CTCT
N=600 N=150 N=150 N=150 N=150

14. WHERE CONSUMERS BUY LOW QUALITY PRODUCT?
Supermarket
Metro
Wet market (outside)
Wet market (inside)
Small scale grocery (no…
Medium/big scale…
Convenient store
Shop/showroom/agenc…
Vendor
Sidewalk
6%
38%
14%
11%
57%
52%
25%
20%
57%
55%
6%
20%
9%
22%
6%
4%
30%
44%
14%
28%
6%
28%
11%
25%
44%
5%
29%
12%
15%
25%
43%
Most of consumers bought low quality products at vendors and sidewalk, second is at the area
around wet market
N=600 N=150 N=150 N=150 N=150
Milk/products
from milk
Personal/Family
care
ConfectioneryBeverageFood

15. WHY CONSUMERS BUY LOW QUALITY PRODUCT?
56%
41%
33% 39%
25%
43%
34%
30%
19%
48%
6%
9%
7%
6%
9%
6% 9%
5%
9%
13%
8%
6%
32%
39%
43%
44%
55%
Food Beverage Confectionery Milk/products from milk Personal/Family care
Convenient location/Near home Cheap price
Beautiful model Flavour
Buy as required by friend/relative Don’t have enough information about product.
Most of consumers buy products with low quality because they don’t receive information about
quality of that products.
For food, consumers prefer to buy at the convenient location, near home or company, although
they still distrust about the quality of products.
Cheap price is one of the reasons why consumers buy products with low quality, especially with
personal & family care products, but with Milk in particular they seem to be more carefully about
prices.
Base on Total sample N=600

16. Thank you