Consumer sentiment on ‘Vocal for Local’ showing steady growth: Nielsen report
The fourth edition of 'COVID-19 Evolving Consumer Trends' says that FMGC industry in India exhibited signs of rebound in June to pre-COVID levels
Nielsen has released the fourth edition of 'COVID-19 Evolving Consumer Trends.' The report investigates two aspects of consumer trends, namely COVID-19 Impact on FMCG Industry and Emerging Consumer Trends.
The report also uncovers the impact of the COVID-19 pandemic on Asian markets -- India, China, Malaysia, Philippines, Vietnam, Thailand and Indonesia -- in different ways, with respect to Severity, Spread of the Pandemic and Markets’ dependence on Retail Channels bringing the difference.
Markets like China (where the pandemic was restricted to one province and controlled effectively) and Indonesia (where the virus hit late) have shown early growth recovery.
Vietnam, Philippines and Malaysia have shown flat growth. India and Thailand have however projected delayed growth recovery due to multiple lockdowns at a stretch.
It states that India is still in transitioning on six key consumer behaviour thresholds -- proactive health-minded buying, reactive health management, pantry preparation, quarantined living preparation, restricted shopping trips and living a new normal.
In India, the FMCG industry has exhibited signs of rebound in June to pre-COVID levels, with the beauty category seeing a sharp recovery. Daily use categories like toothpaste, shampoos, hair oils, washing powders and detergents have returned to normalcy.
According to the reports, the coming months may see consumers preparing for uncertainty with key concerns like recessions, MSME shutdowns, unemployment and health issues troubling them.
Priority for healthy food, hygiene, medical needs, fitness, education, home entertainment and investment has increased. They have also gone bearish on discretionary behaviour like dining out, travelling, luxury brands, new car/bikes, alcohol, tobacco and apparel. Despite the urge to break free, Safety and Immunity will remain embedded in consumer behaviour for a long time.
Contactless delivery has gained prominence with more focus on doorstep delivery. Consumers have also minimised physical touchpoints. Home cooking becomes a grounded mindset and Convenience and ‘Regional Recipes’ stay top of mind. The report also highlighted that consumer sentiment on ‘Vocal for Local’ showing steady growth.
