2209 Asia - Pulse - Q2 - 2022

ASIA’S FMCG MARKET AT A GLANCE
Issue 2・ September 2022

Data period: MAT Q2 2022
WORLDPANEL DIVISION
KEY HIGHLIGHTS ACROSS ASIA
CHINESE MAINLAND TAIWAN SOUTH KOREA INDIA URBAN
FMCG Maintained Stable Growth During Rise of Inflation and COVID Korean Economy Grew at Faster Pace in Macro Economy
Q2 Q2
India observes a 4% growth in value, which is
The rise of COVID cases in April 2022
In the second quarter of 2022, the FMCG Korea’s economy grew faster in the second led by the increase in average price. Inflation
restrained the growing momentum of
industry saw stable growth, with a new quarter of 2022. Its GDP grew 0.7% has hit 7.6% multiple times in the last 30
Taiwan’s macro economy, but Q2 2022 GDP
category landscape developing under COVID. compared to the previous quarter. On a months. Consumers have seen spending on
still showed 3.1% growth due to the lower
COVID heavily reassigned each growth year-on-year basis, the GDP in the second essentials; however, they reduce spending on
base from the previous year. Inflation has
driver's weight and reshaped the outlook's quarter expanded by 2.9%. Economic leisure while the covid 3rd wave does not
become more apparent in Taiwan, given
outlook landscape for FMCG. Food and growth accelerated as private spending hamper mobility to the extent the first two
that the YoY CPI growth rate in June reached
Homecare led the trend through Q2. increased due to the eased COVID-19 waves did.
the highest point in 14 years, and the pace is
restrictions.
expected to decrease starting from July.
Consumer Behavior in response to
Competition in Modern Trade Heats Up
FMCG Two Pillars – Food and Home Care Inflation
Growth Drivers – Personal Care &
Competition has been heated up for Modern The FMCG market had a growth rate of
Household Care Consumers are seen spending on Food &
Trade retailers since offline shopping has 5.8%, which was still driven by two pillars-
Beverages; however, they have started
faced more significant challenges resulting the Food and Home Care sectors. Personal Care and Household Care showed
rationalising spending on Personal Care &
from COVID. With this, shopping habits have an upsurge in value sales compared to the
Home Care. To tackle inflation, consumers
developed toward faster, closer, and lighter Shopper Behaviors Reach New Normal previous year. Sales of Skincare and Color
seek promotions, experiment with brands,
occasions. Shoppers keep lowering their shopping Cosmetics rebounded with the recovery of
shift to unbranded products, purchase
frequency and tend to spend more money consumer sentiment toward beauty
smaller packs and move to mass products.
per trip throughout the pandemic. Though products. In addition, the demand for
New Retail Gained Ground on the the pandemic has become less harmful in Household Care uplifted with trip spending
Lockdown Taiwan, shoppers are observing these increase. Ecommerce is Emerging
shopping behaviours, which seems to reach
O2O and other new retail formats are well Ecommerce as the Largest Channel FMCG in Ecommerce is growing
a new normal.
placed to meet the need for convenience, exponentially. Though it only contributes 1%
The online channel kept expanding its share
safety and quick delivery of fresh products, to Indian FMCG in-home value share, it is a
with double-digit growth and solidified its
the demand for which has been significantly developing habit among households.
position as a leading channel in the FMCG
heightened both during and post lockdown.
market. Within eCommerce, Personal care
and Beverage were the top two drivers for
growth.
2
SAUDI ARABIA UNITED ARAB EMIRATES INDONESIA MALAYSIA (PENINSULAR)
Oil windfall boosts the economy, but The economy is strong, and inflation is Improved Macro-economy Embracing Inflationary Pressures
inflation rates impacting shoppers
Indonesian GDP growth is accelerated The Consumer Sentiment Index in Q2’22
The largest Petro-state economy is enjoying Oil, real estate and tourism are all up in the compared to the previous quarter. Recovery declined by 23 points to a four-quarter low
significant windfalls from heightened PPB, UAE, indicating some rebound from COVID in household consumption is seen due to the of 85.9%, driven by a lacklustre employment
but the benefit trickling down to the private and Russia / Ukraine war double jeopardy. ease of COVID-19 restrictions and the Festive outlook and rising prices due to overall
sector has been limited so far in 2022. An However, shopping baskets are 10% more season in April-May. Relatively higher inflation of raw materials. The index’s decline
increase in average price paid of 13% this expensive this quarter vs SPLY giving sticker consumer confidence has been seen since is expected to result in a tightening of overall
quarter vs SPLY has been majorly unlucky for shock to UAE shoppers, who were enjoying the pandemic, showing a great willingness to consumer spending.
the value-seeking shoppers. some protection from government control on spend with some adjustments due to higher
high essentials prices. inflation.
Shoppers spend sky-rockets even after FMCG Continues to Grow
they resist with less volume
Nevertheless, FMCG managed to grow
Acutely cautious UAE shoppers kept Festive Season in Inflationary Time
A quarter of Ramadan still saw shoppers marginally, supported by higher average
spending in check by sacrificing volume
reducing their purchase volume, especially in Although consumers had to adjust to higher prices due to inflation. Packaged groceries,
the Food and Beverage sectors, but still UAE shoppers have ramped up their effort to inflation, the celebration remains as the dairy and home care segments grew from
spent 10.6% more. manage their wallets by reducing festive uplift for FMCG this year is back to higher consumer spending per trip.
their volume of purchases by 6% this quarter. the pre-pandemic level, suggesting the
Modern Trade Up from Value Seeking They are picking up less Food, beverages and excitement returns to the previous time. Changing Channel Landscape
especially Dairy (10% less vs SPLY)
Modern Trade quarterly spending grew 11% Online and minimarket channels continue to
vs SPLY, outgrowing traditional trade, driven grow. Online channels gained from increased
Suitable Pricing Strategy
by shoppers switching traditional trade trips trips and penetration, while minimarkets
The diverse profile of shoppers
to modern trade stores. And not surprising The price increase affects all consumer benefited from higher spending per trip and
necessitates the brand owners to dig
that the key influencer is MT’s most groups, as seen in higher spending, mainly increased penetration.
deeper
comprehensive presentation of offers and by higher prices, suggesting a pricing
promotions. UAE shoppers are quite diverse and evolving. strategy might be adjusted to maintain
Brand owners need to be sensitive to the shoppers’ recruitment.
specific nature of the market, constantly
monitor the trends and be proactive in
reaching most households with solutions for
highly differentiated need states. 3
THAILAND PHILIPPINES VIETNAM
Further Slow Down in In-Home FMCG Growth Economic Growth New Wave of Challenge
In-Home FMCG growth in Q2 2022 shows a Philippine economy grew by 7.4% for the second GDP thrives in Q2 2022; however, due to the
further slowdown from small government quarter of 2022, slower than last year’s growth of prolonged Ukraine-Russia conflict, Vietnam’s
subsidies to no government support in Q2/2022. 12.1%. Consumer confidence improves but economy is affected to some degree, resulting in
Although a higher level of inflation is driving the watches out as inflation is still rising in Q2 2022. a Consumers Price Index of 3% this quarter,
market value growth up, it is also resulting in This year, more Filipinos are employed, with a potentially posing a new wave of challenges in
shoppers becoming more cautious in spending 94% employment rate. This is higher than last the upcoming months.
less disposable income. More occasions from year’s employment rate of 92.3%
Out-Of-Home also contributed to the slowdown
in Q2 2022. Shopping Behaviour Consumer Perspective Toward Inflation
As the economy improves in Q2 2022, shoppers With the global political situation becoming
are spending more across all FMCG sectors, with tenser, Vietnam is indirectly affected by the
Inflation Trend Continuation
Personal Care leading recovery this quarter. scenario, resulting in rising concern about prices
Q2/2022 also recorded a higher inflation rate and costs, especially oil price, which has
Shoppers across regions and SECs have become
than Q1/2022. While the inflation rate is driving increased to the 2nd highest concern in Urban 4
more confident with their spending, but we also
market value growth, it also results in buyers cities in Q2 2022.
need to watch out as recent inflation may put
buying a smaller number of products at a lower
budget constraints forward.
price. This results from consumers having less
disposable income, so they became more Increasing in Average Price Paid for FMCG
selective and cautious about their spending,
Importance of Proximity Stores Spending on in-home FMCG rises in Q2 2022
shown in smaller basket sizes and categories.
thanks to the increase in average price paid;
Shoppers are returning to traditional trade and
however, volume consumption remains low.
proximity channels, particularly sari-sari stores.
Variety of channels for cheaper choices Spending in SSS has surpassed pre-pandemic
spending.
With less disposable income and higher inflation, Online & Mini Stores Strengthen Their
buyers are becoming more selective about the Position
products they choose to buy. The same trend
Emerging channels continue to strengthen their
also applies to where they shop as well. Buyers
position additionally with the increase in
are shopping at more channels in search of more
spending per trip and shopping occasions in both
cost-effective choices from different places. 4
Urban 4 cities and Rural.
Q2 2022 | Summary Asia OVERVIEW
% Value Change FMCG – MAT Q2 2022 vs. Year Ago Growth ≤ -0.5% -0.5% < Growth ≤ 5% Growth > 5%
Asia Northeast Asia West & South Asia Southeast Asia

Chinese India Malaysia Vietnam Vietnam
Total Taiwan South Korea Saudi Arabia UAE Indonesia Thailand Philippines
Mainland (Urban) (Peninsular) (Urban) (Rural)
FMCG Total 3.0 2.0 5.8 5.5 3.9 5.7 -1.1 6.4 0.4 3.0 1.2 5.3 8.6
Food 4.8 3.7 11.8 3.3 4.7 5.7 -0.4 10.5 1.3 5.1 3.7 18.3 17.8
Beverages 2.5 2.8 -5.2 5.7 10.5 4.3 -0.8 1.0 -3.5 2.8 2.4 -3.3 -6.4
Dairy 1.1 -0.4 0.6 -2.1 -2.0 8.9 -2.7 6.7 1.0 0.0 -3.6 6.4 15.8
Home Care 5.0 6.9 16.6 8.6 1.9 1.8 -2.3 1.5 2.5 -3.3 1.6 -0.6 6.1
Personal
0.6 -1.1 6.6 12.9 0.2 2.3 -0.3 4.8 -1.0 -4.1 -1.3 -1.6 4.2
Care
5
FMCG Growth in Asia: YOY OVERVIEW
Asia/MAT Q2 2022 – Value Spend Growth vs YA Q2 2021 Q2 2022
5,7
4,8 5,0
4,2
3,4 3,6 3,4
3,0
2,5
2,0
1,1
0,6
FMCG Food Beverages Dairy Home Care Personal Care
6
FMCG Growth in Asia: YOY OVERVIEW
Asia/MAT Q2 2022 – Value Spend Growth vs YA Q2 2021 Q2 2022
7,3
6,4
3,9 4,4 4,2
2,8 3,5
2,5 2,7
North Asia 0,6
-0,2 -0,4
10,6
8,0 8,0 7,0 6,9 7,0 5,7 6,6
West & South 3,9 4,6
1,6
Asia 0,4
8.2
8,7
Southeast Asia 4,2

3,3
4,4
2,8
1,0 0,8 1,4 1,0
0,2 0,1
FMCG Food Beverages Dairy Home Care Personal Care
7
FMCG
Asia/MAT Q2 2022– % Value Growth vs YA Q2 2021 Q2 2022
FMCG 9,3 9,4

5,8 5,2 5,5 5,7
2,5 3,5 3,9
2,0
-4,6
-7.8
Chinese Mainland Taiwan South Korea India (Urban) Saudi United Arab
Emirates
6,1 6,4 6,5 5,3 5,0 8,6

3,4 3,0 3,0 3,5
2,7
0,4 1,2
-7.8
Asia Indonesia Malaysia (Peninsular) Thailand Philippines Vietnam (Urban 4) Vietnam (Rural)
8
Food
Food 11,8 11,5 12,4

8,3
5,0 4,7 5,7
3,7 3,3
-1,8 -5,0
-8.6
Emirates
1.9 18,3 17,8

10,5 10,2
8,7
2 5,1 5,1 4,4
3,1 3,7
1,3
-2,1
9
Beverages
Beverages 12,0 10,5 10,4

8,3
5,9 5,7 4,3
2,8 2,8
-0,8
-5,2
-9,1
Emirates
3.1 7,3
6,2 5,2
2,5 2,6 2,8 2,4
1,0 0,8
-3,5 -3,4 -3,3

-6,4
10
Dairy
Dairy 19,9
8,7 8,9
4,7 4,4
0,4 0,6
-0,4 -2,1 -2,0 -3,4 -2,7
Emirates
15,8
3,6 6,7 6,4 6,1
4,7 4,1
1,0 0,0
1,1
-1,9 -0,3
-3,6
-8,8
11
Home Care
16,6
Home Care 8,6 8,8
6,9
4,0 2,7
2,2 1,9 1,8
-6,6 -3,6 -2,3
Emirates
5
3,4 4,5 4,9 6,1
3,3 2,5 3,7
1,5 1,5 1,6
-0,6
-3,3
-7,8
12
Personal Care
12,9 12,8
Personal Care 5,4 6,2 6,6 6,1
2,3
0,2
-1,1 -1,5 -0,3

-9,0
Emirates
12,8
4,2
4,8 4,8 4,0 5,5 4,2
1,6
0,6
-1,0 -1,3 -1,6
-4,1
-10,8
13
Chinese Mainland
Shopping
Channel Importance – % Value Occasions Spend/Trip
MAT Q2’22 vs Q2’21
Super 1% 1%
13
25
14 13 CVS 0% 3%
26 25
14
15 14
Q2 ’20 Q2 ’21 3 Q2 ’22 Hyper -6% 4%
3 3
17
20 19 25
3
3 16 Grocery -2% 1%
27
3
Ecommerce 20% -10%
Work Unit/Gift 1% -2%

Super CVS Hyper Grocery Ecommerce Work Others
Unit/Gift
14
Taiwan
Shopping
MAT Q2’22 vs Q2’21
Hyper -2% 19%
24 24 Super -8% 14%
28 24 27 23
CVS 8% 8%
Q2 ’20 5 Q2 ’21 4 Q2 ’22
4
6 4
11 6 14 6
16 4 Drug Stores 7% 6%
3 3
20 19 5
4 Direct Sales -3% 37%
18
PX Mart 7% 8%
Ecommerce 59% -5%

Hyper Super CVS Drug Stores Direct Sales PX Mart Ecommerce Other
s
15
South Korea
Shopping
MAT Q2’22 vs Q2’21
Hyper -6% 6%
3
24
5 4 Super -5% 3%
25 25
27 34
31
Q2 ’22 Other Modern
Q2 ’20 Q2 ’21 1% 5%
Trade
6 24 6 23
13 22 Traditional
12 -5% 7%
6
Trade
12
Internet 13% 4%
Non-store -16% 18%

Hyper Super Other Traditional Internet Non-Store
Modern Trade
Trade
16
India (Urban)
Shopping
MAT Q2’22 vs Q2’21
1
Supermarkets 30% -14%
1 4
9
1 1 1
1 1 Kirana/
4 4 11% -7%
08 0 9 Paan-Beedi
Q2’20 Q2’21 Q2’22 Chemist -13% -7%
Network
84 84 0% 1%
Marketing
84
Online
Online
88% 2%
Shopping
Shopping
Others 3% -3%
Supermarkets Kirana/ Chemists Network Online Others
Paan-Beedi Marketing Shopping
17
Saudi Arabia
Shopping
MAT Q2’22 vs Q2’21
Modern Trade 6% 7%
11
11 7
11
9 1 Lower Trade 1% 4%
9
1 1
46 48
Q2 20 Q1
Q2 ’20
21 Q2 22 51
Pharmacy -8% 1%
34 32
31
Wholesale -20% 27%
Others 3% -1%
Modern Lower Pharmacy Wholesale Others

Trade Trade
*Modern Trade - Supermarkets, hypermarkets and minimarkets that are part of an organised retail chain (e.g. Panda, Othaim, etc.).
*Lower Trade - Baqalas and minimarkets that are not part of organised retail chains and have 1 - 2 check-out counters.*
*Pharmacy - Store selling healthcare products and medicines, offering both OTC and prescription medication. 18
*Wholesale - Shopping channels mainly meant for bulk purchases, selling mostly to small retailers.
*Others - Stores dealing in some specific categories like Chocolate (e.g. Patchi), Juice Parlours, Roastery (Coffee), Honey, Poultry Shops, etc.
United Arab Emirates
Shopping
MAT Q2’22 vs Q2’21
Total Carrefour -6% 13%
21
Total Lulu -4% 5%
22 21 36
33 35
Q2 20 Q1
Q2 ’20
21 Q2 22 Key Hypermarkets 5% -4%
16 17
16
8 7
7 8
14 12 Key Supermarkets -10% 1%
6
9
11
Key Cooperatives -13% 10%
Others -2% 7%
Total Carrefour Total Lulu Key Named Key Named Key Named Others
Hypermarkets Supermarkets Cooperatives
*Key Hypermarkets - Nesto Hypermarket, Safeer/Al Safeer Hypermarket, K.M.Trading, Mega Mart, Big Mart Hypermarket
*Key Supermarkets - Al Madina Supermarket, Al Maya, West Zone, Choitrams, Talal Supermarket, Spinneys, Al Manara Supermarket
*Key Cooperatives - Union Coop. Society, Abu Dhabi Coop. Society, Sharjah Coop. Society, Emirates Coop. Society, Al Mushrif Coop. Society, Al Ain 19
Coop. Society, Bani Yas Coop. Society
*Others – Baqalas/Minimarkets, Newly added stores (e.g Viva, Shaklan, Big Bazar) and Remaining stores (Pharmacies, Specialty Stores and Others)
Indonesia
Shopping
MAT Q2’22 vs Q2’21
Hyper + Super -9% 5%

4 6
3 7 3 7 17
19 18
Mini Markets 0% 6%
Q2 20 Q1
Q2 ’20
21 3
Q1
Q2 ’21
22 4
3
67 68
Traditional
69 0% 7%
Trade
Online
(under ‘Others’) 46% 0%
Hyper + Super Mini Markets Traditional Specialty Others

Trade store
20
Malaysia (Peninsular)
Shopping
MAT Q2’22 vs Q2’21
Hyper -13% 5%
7
5 18
7 4 Super
42 23 4 7 20
-8% 8%
4
15 14 14
Q2 20 Q2 21 Q2 22
9
Mini 3% 6%
11
40 41
12
40
General Trade -8% 9%
Drug Beauty -7% 6%

& Pharmacy
Hyper Super Mini General Drug Beauty Ecommerce Others

Trade & Pharmacy Ecommerce 53% -12%
21
Thailand
Shopping
MAT Q2’22 vs Q2’21
Hyper -8% 6%
11 13
5 Super -4% -1%
11 17 11 13
3 4 4
4 4 14
15 CVS 3% 2%
Q2 20 14 Q2 21 Q2 22
34 36 17 H&B Stores 2% 2%
17
1 1 17
35
PVS -6% 6%
1
Direct Sales -11% 6%
Ecommerce 57% -15%

Hyper Super CVS H&B PVS Direct Ecommerce Others
Stores Sales
22
Philippines
Shopping
MAT Q2’22 vs Q2’21
Super -1.9 4,3

10,9
21,9 Hyper 3,5
-15.2
13,1 10,8
27 24,8
Groceries -14.5 2,6
Q2 20 Q2 21 Q2 22 5,3
5,6
5,4
42,1 5,9 46,3 7 7,4 Drug Stores -2.2 5,9
4,2 3,5
48,9 3,6
0,5 1,7 0,7
1,3 Direct Sales -4.2 4,6
1,2
0,7 CVS -3.7 -4,1
Traditional
-6.5 4,4
Super Hyper Groceries Drug Stores Direct Sales CVS Traditional Others Trade
Trade
*Traditional Trade- Sari-Sari Stores, Market Stalls

Others- Gifting, Online, Meat Shop, Water Refilling Station, Peddlers, Personal Care Store, Department Store
23
Vietnam (Urban 4 cities)
Shopping
Channel Importance – % Value | MAT Occasions Spend/Trip
MAT Q2’22 vs Q2’21
Street Shops -9% 18%

6
7
Wet Market -42% 21%
3 5 5 5
8 9 12
Speciality
8 -23% 10%
Q2 20
7 Q2 22 Stores
54 Q2 21 52 54
7 6 7
7 7 Hyper -32% 12%
9 9 5
5 Super
6 -13% 10%
Mini Stores 7% 29%
Online 44% 5%
Street ShopsWet Speciality Hyper Super Mini Stores Online Others
Market Stores
24
Vietnam (Rural)
Shopping
Channel Importance – % Value | MAT Occasions Spend/Trip
MAT Q2’22 vs Q2’21
Street Shops -3% 14%

3
2 21,9
4
14 22 Wet Market -20% 19%
331 322 11
14 13
Q2 20 Q2 22 Speciality
Q2 21 6% 14%
Stores
75 76
Hyper &
-18% 16%
77 Super
Mini Stores 13% 7%
Online 19% 12%

Street Wet Speciality Hyper & Mini Online Others
Shops Market Stores Super Stores
25
Kantar is the world’s leading data, 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, and our
innovative analytics and technology, we help our clients
understand people and inspire growth.
FIND OUT MORE AT

www.kantar.com
www.linkedin.com/company/worldpanelbykantar
FOR FURTHER INFORMATION, PLEASE CONTACT
Steven Lien – Regional ASIA Marketing Director

✉ steven.lien@kantar.com
26

2209 Asia - Pulse - Q2 - 2022

Uploaded by

Copyright:

Available Formats

You might also like

2209 Asia - Pulse - Q2 - 2022

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

2209 Asia - Pulse - Q2 - 2022

Uploaded by

Copyright:

Available Formats

ASIA’S FMCG MARKET AT A GLANCE

Issue 2・ September 2022

CHINESE MAINLAND TAIWAN SOUTH KOREA INDIA URBAN

SAUDI ARABIA UNITED ARAB EMIRATES INDONESIA MALAYSIA (PENINSULAR)

THAILAND PHILIPPINES VIETNAM

Asia Northeast Asia West & South Asia Southeast Asia

Asia/MAT Q2 2022 – Value Spend Growth vs YA Q2 2021 Q2 2022

FMCG Food Beverages Dairy Home Care Personal Care

Asia/MAT Q2 2022 – Value Spend Growth vs YA Q2 2021 Q2 2022

Southeast Asia 4,2

FMCG Food Beverages Dairy Home Care Personal Care

FMCG 9,3 9,4

6,1 6,4 6,5 5,3 5,0 8,6

Food 11,8 11,5 12,4

1.9 18,3 17,8

Beverages 12,0 10,5 10,4

-3,5 -3,4 -3,3

-0,4 -2,1 -2,0 -3,4 -2,7

-6,6 -3,6 -2,3

-1,1 -1,5 -0,3

Work Unit/Gift 1% -2%

Hyper -2% 19%

24 24 Super -8% 14%

Ecommerce 59% -5%

Non-store -16% 18%

Q2’20 Q2’21 Q2’22 Chemist -13% -7%

Wholesale -20% 27%

Modern Lower Pharmacy Wholesale Others

Total Carrefour -6% 13%

Hyper + Super -9% 5%

Hyper + Super Mini Markets Traditional Specialty Others

Drug Beauty -7% 6%

Hyper Super Mini General Drug Beauty Ecommerce Others

Direct Sales -11% 6%

Ecommerce 57% -15%

Super -1.9 4,3

*Traditional Trade- Sari-Sari Stores, Market Stalls

Street Shops -9% 18%

Mini Stores 7% 29%

Street Shops -3% 14%

Mini Stores 13% 7%

Online 19% 12%

We have a complete, unique and rounded understanding

FIND OUT MORE AT

FOR FURTHER INFORMATION, PLEASE CONTACT

Steven Lien – Regional ASIA Marketing Director

You might also like