Part
Vietnam consumer trends 2016
1
High income households doubled whilst economy tripled
O5 15
Urban HH >US$500 1.84 m 122% 4.08 m
Ad spend 280 m 579% 1.9 billion
GDP/person US$532 261% US$1,923
Economy 44 billion 298% 175 billon
Pop 83 m 10% 91 m
2
Life stages are maturing, as do purchase priorities
O5 15
Young single 37.3 m -2% 36.8 m 33.5 m
Young married - no kids 9.1 m -3% 8.8 m 7.0 m
Young married - a child < 10 18.4 m -5% 17.4 m 25 12.9 m
Married youngest child >9 & <20 7.6 m 36% 10.3 m 12.9 m
Empty nester 4.6 m 63% 7.5 m 13.6 m
Old single 5.8 m 74% 10.1 m 16.2 m
3
Household structures change, with less kids setting priorities
O5 15
33% of households had 44% of households have
no children no children
19.4 m households 24.6 m households
4.3 people/household 3.7 people/household
5.5 m urban 8.7 m urban
4 people/household 3.4 people/household
4
New retail chasing share before profits
O5 15
E-commerce is scratch cards at internet Over 50,000 sites with Vietnam payment
cafes gateways plus Facebook stores
Impact on games, fast fashion, health
supplements and appliances
47 supermarkets
975 supermarkets
135 modern self service stores, mostly
independent. 1,800 modern self service stores, mostly
chains. Sales dominated by young adult
snacking hang outs.
5
Coffee, beer and fast service chains grow
O5 15
Trung Nguyen and 8 café brands with >160 outlets
Café Highlands Trung Nguyen has >1000
Rise in F&B chains
Beer garden dominance
6.6 litres per person Rise in multi brand beer clubs
36.75 litres per person
6
Health consciousness translates into action
O5 15
Health #3 concern Health #3 concern
Food safety Food safety
Superficial claims of de-tox Vin Group Vineco invests in
hygienic fresh vegetable
Claimed regular exercise
production
Rise in organic and natural claims
Spend traditional remedies
60%:40% modern medicine
7
Health consciousness translates into spend
O5 15
Consumers spend US$2 billion on
Health #3 concern overseas healthcare
Food safety
120+ stores from 6 pharmacy chains
Superficial claims of de-tox My Chau, Pharmacity , IC, Eco, V-Phano, Y Duc.
Claimed regular exercise http://sieuthiduocphamyte.com/
100+ branded chain gyms
80+ branded health & beauty care stores;
Medicare, Guardian, GNC
8
Conspicuous consumption has always been mobile
O5 15
What I drive What drives me
The Gioi Di Dong opened the 4th Over 1,450 stores from The
store. Gioi Di Dong, FPT, Vietel and Viet
Thong A.
9
Keeping up with the Nguyen’s with consumer finance
O5 15
6,000 new apartments sold 36,000 new apartments sold
25,000 new car sales 120,000 new car sales
US$1.6 billon in consumer loans USD16 billion in consumer loans
9% of GDP
3.6% of GDP
Home & improvements 40%
Home appliances / electronics 30%
Motorbikes / cars 15%
10
Self expression is far easier and immediate
O5 15
Yahoo blogs 35 million consumers posting
emoticons, stickers, selfies and
Singing status updates
Football fever
11
Mobile drives internet penetration and habits
O5 15
Internet national penetration 13% 48% Mobile app
downloads grew
Any mobile 15+ user 37% 69% 60% in 2015
Smartphone 15+ user NA 28%
Urban frequent online access 20% 72%
Urban time spent 120 min 180 min
Online mobile page views NA 25%
View video on mobile NA 23%
12
Fragmented opportunities as mobile, video and IP TV converge
O5 15
The convergence of video and mobile, which when married with local media content and
efficient streaming will reap huge rewards.
Watch out for Clip which has an abundance of local video on demand content and is
closest you can come to a local YouTube in Vietnam.
Others include established telecommunications
firms FPTplay (FPT), NetTV (Viettel) MyTV (VNPT) and new entrants Fim+ and Netflix
which may be limited by a focus on Hollywood content.
13
Experiences key to fulfilment
O5 48%
15
52%
Focus on what I have Focus on what I have done
New brands, new durables New experiences, places and adventure
Travel tour groups Personal fulfillment and social validation
Domestic focus
Independent travel further afield
14
Let Cimigo be the voice of your customers
7 offices Cimigo 40,000 Cimigo MROC
nationally OnMobile active panel community
native app members platform
40 CATI 400 m sq. 4 group 600 strong
stations CLT space rooms tablet armed
field force
15
O5 10 trends impacting purchase priorities 15
1. High income households doubled, whilst economy tripled.
2. Life stages are maturing. Household structures change, with less kids setting priorities.
3. New retail chasing share before profits.
4. Coffee, beer and fast service chains grow.
5. Health consciousness translates into action and spend.
6. Conspicuous consumption has always been mobile.
7. Keeping up with the Nguyen’s with consumer finance.
8. Self expression is far easier and immediate.
9. Mobile drives internet penetration and habits. Fragmented opportunities as mobile,
video and IP TV converge.
10. Experiences key to fulfilment.
16
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