this is your presentation title · 2017-01-18 · **: to calculate fmcg volume change, we calculate...

1 © Kantar Worldpanel

12 weeks period ending 04 December 2016

(12 w/e P12’16) Urban 4 Key Cities & Rural Vietnam

FMCG MONITOR An integrated update

of Vietnam

FMCG market

DECEMBER

2016



EXECUTIVE SUMMARY

2016 GDP reaching

6.21% did not meet the

set target of 6.5%.

However, 2016 CPI is

better controlled at

2.67%, surpassing the

CPI target of 3-4%.

HYPER &

SUPERMARKETS keep rising and

expected to be more

dynamic in Tet month.

KETCHUP and

FACIAL WASH are

emerging in Urban 4

cities and Rural

respectively in this

period.

KEY

INDICATORS

HOT

CATEGORY

RETAIL

LANDSCAPE

SPOTLIGHT FMCG

GROWTH

URBAN 4 key cities

FMCG market

REBOUNDS,

Rural FMCG market

continues to

decelerate.

MILLENNIALS, big

portion of Vietnam’s

population and contribute

largely to FMCG market.



1 KEY INDICATORS

Retail Sales of

Consumer Goods

+10.2%

2016 vs. YA

CPI

+2.67%

2016 vs. YA

+0.63% +10.6%

2015 vs. YA 2015 vs. YA

+6.68% 2015 vs. YA

2016 GDP reaching 6.21% did not meet the set target of 6.5%. However, 2016 CPI is better

controlled at 2.67%, surpassing the CPI target of 3-4%. In addition, retail sales of consumer goods

also maintain its double digit growth of 10% on average.

GDP

+6.21% 2016 vs. YA

Source: GSO Vietnam



4.5 1.6 2.4 1.3

4.5 2.4

2014 vs YA 2015 vs YA 2016 vs YA

4 2 FMCG GROWTH

2.7

4.4

1.9

-5

0

5

10

Q4

'14

Q1

'15

Q2

'15

Q3

'15

Q4

'15

Q1

'16

Q2

'16

Q3

'16

12

w/e

P1

2'1

6

FMCG – 12 WEEKLY YEAR-ON-YEAR CHANGE (%)

Value Growth%

11.3 8.8 8.3 7.0

2.6 1.1

Volume Growth%

Urban 4 key cities FMCG market rebounds, compared to

the same period last year. Meanwhile, Rural FMCG market

continues to decelerate, driven by the shrink of purchasing

volume.

Avg. Price paid* Value Volume**% change

Urban

4 Cities

Rural

*: 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 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)

3.0

3.3

1.0

-5

0

5

10

Q4

'14

Q1

'15

Q2

'15

Q3

'15

Q4

'15

Q1

'16

Q2

'16

Q3

'16

12

w/e

P1

2'1

6

Source: Kantar Worldpanel | Households Panel | Urban 4 Key Cities &

Rural Vietnam | Total FMCG excluding Gift | One year ending P12



*: 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)

Source: Kantar Worldpanel | Households Panel | Urban 4 Key Cities & Rural Vietnam | Total FMCG excluding Gift

1

3

7

5

9

0

-1

3

3

10

Value change % Volume change %

2

8

0

1

8

4

6

-4

-1

5

4

FMCG GROWTH

BY SECTOR

HOME CARE

PERSONAL CARE

DAIRY

PACKAGED FOODS

BEVERAGES

Beverages was the fastest growing sector in 2015 but cannot replicate that

performance in 2016 as it suffers a drop of shopping frequency in both Urban

and Rural market. Packaged Foods and Home Care continue shining in Urban

while Dairy and Personal Care still leading the growth in Rural.

Urban 4 cities Rural

12 w/e P12’16 vs year ago



3

14.5%

VOLUME

GROWTH

AVERAGE

PRICE

10.8% (+2.7pts vs year ago)

+16%

59k/100g

HOT

CATEGORY


+13% +21%

9.8k/250g

vs year ago vs year ago

NO. OF

BUYERS

KETCHUP

(VND) (VND)

Of Urban

households

Of Rural

households

12 w/e P12’16 vs year ago

FACIAL

WASH Urban 4

Cities Rural

(+1.3pts vs year ago)

Ketchup and Facial Wash are emerging in Urban and Rural respectively. These

categories are attracting more buyers and see much potential to expand further as above

80% people have not purchased them yet. Are we seeing a change in the eating habits

and cleaning regimes of Households and Individuals?



8

70

16

2 5

33

27

10

7

13

4 6

MEDIUM-SIZED

STREET SHOPS

SMALL

STREET SHOPS

WET

MARKET MEDIUM-SIZED

STREET SHOPS

SMALL

STREET SHOPS

WET

MARKET

SPECIALTY

STORES

HYPERMARKET &

SUPERMARKET

MINIMARKET/

CVS

31

29

10

8

13

3 6 9

67

18

1 5

VALUE SHARE %


VALUE CHANGE % 12 w/e P12’16 vs year ago

10%

1%

3%

=

31%

2%

8%

11%

Street Shops (medium-sized format in Urban 4 cities, small size format in

Rural) and Mini-Stores (including minimarket and convenience store format)

are still growing well. Hyper & Supermarkets continue rising to 5% in Urban

areas and are expected to retain their momentum in Tet period.

4

MEDIUM-SIZED

STREET SHOPS

SMALL

STREET SHOPS

WET

MARKET

SPECIALTY

STORES

HYPERMARKET &

SUPERMARKET

MINIMARKET/

CVS

OTHERS

12 w/e P12’15

12 w/e P12’16

RETAIL

LANDSCAPE

Urban

4 cities Rural

1%

5%



BORN FROM 1980 TO 2000 (source: Google)

8 5 SPOTLIGHT

OF THE MONTH

Millennials, Stay focused?!

The group accounts for big portion of Vietnam’s population. Their lifestyle

is different to the group >40YO. In FMCG, their value contribution to

Vietnam* market is also higher than in other SEA countries, which is

expected to increase further in the connected era.

*Based on main shoppers <35YO, except <40YO in Vietnam Urban 4 key cities due to standard panel structure

Source: Kantar Worldpanel | Lifestyle Survey 2015 & Households Panel l One year ending March 2016

WHO ARE THEY?

36% Of Vietnam’s

population (2016)

34% 27% 27%

36%

Indonesia Thailand Philippines Vietnam*

Value contribution of

Millennials to FMCG market

across countries

(for in-home consumption)

49% Agree that “I surf

Internet to get updates

about the world rather

than traditional media.” (vs 37% among

group>40YO)

44% Agree that “I work to

a strict budget when

I’m buying

groceries.”

(vs 55% among

group>40YO)

MORE SOCIAL AND CONNECTED MORE GENEROUS


About Kantar Worldpanel

Kantar Worldpanel is the global expert in shoppers’ behavior.

Through continuous monitoring, advanced analytics and tailored solutions, Kantar Worldpanel inspires successful decisions

by brand owners, retailers, market analysts and government organizations globally.

With over 60 years’ experience, a team of 3,500, and services covering 60 countries directly or through partners, Kantar

Worldpanel turns purchase behavior into competitive advantage in markets as diverse as FMCG, impulse products, fashion,

baby, telecommunications and entertainment, among many others.

For further information, please visit us at www.kantarworldpanel.com.vn

Contact us

Nguyen Thi Nhu Ngoc

Senior Marketing Executive

Email: [email protected]

Tel: +84 8 39306631 | Fax: +84 8 39306632 | Mob: +84 (0)988 445 401

Kantar Worldpanel Vietnam | 58 Vo Van Tan St., Dist. 3, Ho Chi Minh City, Vietnam

this is your presentation title · 2017-01-18 · **: to calculate fmcg volume change, we calculate...

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