Post on 22-May-2015
1st Quarter, 2011 Global Online
Consumer Confidence, Concerns and
Spending IntentionsA Nielsen Report
May 2011
2Copyright © 2011 The Nielsen Company.
70
75
80
85
90
95
100
105
110
2010-Q2 2010-Q3 2010-Q4 2011-Q1
Global Average AP EU MEAP LA NA
79 78
83
90
96
98100
107
106
92
90
85
73
97
90
8983
78
97
88
89
93
101
102
Global recovery, despite its slow pace, is heading in the right direction
Global online consumer confidence rose two points in the first quarter of this year to an index of 92 driven by record confidence gains in the Middle East/Africa following social and political unrest in the region and strong-performing Asia Pacific economies, according to an online study released by The Nielsen Company (NYSE:NLSN). Asia Pacific’s* Consumer Confidence Index jumped 10 points from last quarter to reach 107 – the highest score on record and Middle East/Africa surged 17 points to a new high of 106. Consumer confidence levels above and below a baseline of 100 indicate degrees of optimism and pessimism.
The Nielsen Global Online Consumer Confidence Survey tracks consumer confidence, major concerns and spending intentions among more than 28,000 Internet consumers in 51 countries. In the latest round of the survey, conducted between March 23 and April 12, 2011, the number of global online consumers saying they are in a recession has receded across all regions. “Global recovery, despite its slow pace, is heading in the right direction,” said Dr. Venkatesh Bala, Chief Economist at The Cambridge Group, a part of The Nielsen Company. “Still, more than half (55%) of global online consumers say they are currently in a recession, and of those, 51 percent expect to be
Asia Pacific and Middle East/Africa Regions Reach Highest Confidence Levels on Record•
North America Rises Two Index Points•
Southern and Eastern European Countries Dip to New Lows •
Increasing Food Prices Trump the Economy as Biggest Global Concern•
Rising Fuel/Utility Prices Impact Spending Intentions•
in a recession for at least another year.” Regional differences prevail, with 37 percent of Asia Pacific consumers saying they are in a recession today compared with 82 percent of North Americans and 68 percent of Europeans.
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – GLOBAL AVERAGE
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
1) Increasing Food Prices
2) The Economy
3) Work/Life Balance
4) Increasing Fuel Prices
5) Health
6) Job Security
7) Increasing Utility Bills (electricity, gas, etc)
8) Debt
9) Childrens’ Education and/or Welfare
10) Parents’ Welfare and Happiness
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
51% 48% 48%
30% 30% 28%
19% 21% 24%
32%
26%
55%
44%
15%
57%
47%
35%
51%
34%
23%
19%
20%
33%
40%
11%
19%
10%
22%
23%
11%
24%
24%
11%
8%
8%
8%
9%
6%
13%
7%
6%
3%
11%
7%
9%
8%
8%
5%
13%
10%
5%
4%
18%
46%
30%
3%
20%
38%
12%
8%
10%
13%
11%
15%
6%
32%
34%
26%
21%
33%
29%
49%
21%
11%
14%
3%
31%
34%
26%
21%
35%
28%
47%
21%
11%
15%
2%
51%
29%
19%
17% 17% 16%
48% 44% 46%
30% 32% 33%
3% 3% 3%
* % saying in a recession now: Q1 ’11 (55%), Q4’10 (57%), Q3 ’10 (56%), Q1 ’10 (58%)
Consumer Confidence Index
5 Regions + Global
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
Global Average
*Due to sampling restrictions caused by the March earthquake/tsunami, Japan was not included in the Q1 survey.
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
3 Copyright © 2011 The Nielsen Company.
Divergent Economies“It’s been an action-packed start to the year marked by widespread social and political reforms in the Middle East, natural disasters and food inflation in Asia, skyrocketing fuel prices in North America and the searing reality of painful austerity measures in southern Europe,” said Dr. Bala. “In the last 18 months, we have seen a clear divergence in how regions and countries are emerging from the global recession and this trend has become even more pronounced in first quarter for better or worse.”
Seven out of the top ten optimistic countries hailed from Asia Pacific, while European markets dominated nine out of the top ten most pessimistic nations. India remained the most optimistic country in first quarter with a Consumer Confidence Index (CCI) of 131 followed by Saudi Arabia and Indonesia.
Global Online Consumer Confidence Survey51 Countries – 3-Month TrendQ1 2011 Nielsen Consumer Confidence Index
+ or - Change from Q4 2010
+292
GLOBAL AVERAGE
-639
PORTUGAL
-1841
HUNGARY -345
GREECE
-846
ROMANIA
+247
CROATIA-751
SOUTH KOREA
-1457
ITALY
-157
LATVIA
-1660
UKRAINE
-461
FRANCE
-461
IRELAND -961
SPAIN
+663
LITHUANIA
-1066
POLAND
-1067
UNITEDKINGDOM
-169
ESTONIA
-775
CZECH REPUBLIC
+180
FINLAND
-680
MEXICO
+183
TURKEY
+283
UNITED STATES
-987
BELGIUM
+488
SOUTH AFRICA
-588
ARGENTINA
-791
COLOMBIA
-1291
SWEDEN
+591
TAIWAN
+992
GERMANY094
NETHERLANDS
-495
NEW ZEALAND
-1395
BRAZIL
-395
DENMARK
+296
ISRAEL
+197
AUSTRIA
-2297
NORWAY
-598
VIETNAM
+3102
CANADA +29102EGYPT
-2105
MALAYSIA
+4106
THAILAND
+8107
HONG KONG
+8108CHINA
+12109
UNITED ARAB EMIRATES
0109
SINGAPORE0110
SWITZERLAND
-10110
PHILIPPINES
-2110
AUSTRALIA
0116
INDONESIA
+11118
SAUDI ARABIA
0131
INDIA
Top 10 Most Optimistic Top 10 Most Pessimistic
1. India (131) 1. Portugal (39)
2. Saudi Arabia (118) 2. Hungary (41)
3. Indonesia (116) 3. Greece (45)
4. Australia (110) 4. Romania (46)
5. Philippines (110) 5. Croatia (47)
6. Switzerland (110) 6. South Korea (51)
7. Singapore (109) 7. Italy (57)
8. United Arab Emirates (109) 8. Latvia (57)
9. China (108) 9. Ukraine (60)
10. Hong Kong (107) 10. France (61)
Q1 2011 Nielsen Global Online Consumer Confidence Index
51 Countries — 3-Month Trend
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
4Copyright © 2011 The Nielsen Company.
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – ASIA PACIFIC
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
1) Increasing Food Prices
2) Work/Life Balance
3) The Economy
4) Health
5) Increasing Utility Bills (electricity, gas, etc)
6) Increasing Fuel Prices
7) Job Security
8) Childrens’ Education and/or Welfare
9) Global Warming
10) Parents’ Welfare and Happiness
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
* % saying in a recession now: Q1 ’11 (37%), Q4’10 (41%), Q3 ’10 (39%), Q1 ’10 (35%)
63%
41%
40%
39%
27%
34%
21%
37%
5%
14%
2%
Q3-2010
47%
30%
23%
42%
31%
27%
46%
27%
27%
15%
49%
30%
4%
14%
44%
35%
3% 3%
34%
46%
12%
23%
28%
49%
37%
16%
54%
37%
32%
44%
32%
15%
20%
33%
44%
7%
14%
10%
22%
18%
11%
23%
17%
17%
30%
11%
6%
10%
13%
13%
41%
44%
38%
21%
48%
28%
62%
39%
14%
4%
2%
10%
7%
7%
8%
12%
6%
20%
7% 3%
4%
10%
7%
8%
8%
11%
5%
16%
10% 6%
4%
41%
31%
28%
11%
46%
36%
3%4%
18%
Asia Pacific is Most Optimistic RegionConfidence in Asia was boosted by continuing high employment, which is energizing consumers to spend again. Sixty-six percent of Asia Pacific online consumers described their job prospects for the next year as good/excellent, up 11 percentage points from last quarter. “The recession is over for 63 percent of Asia Pacific online consumers and they are gearing up for a spending spree. However, lingering concerns over rising food prices may prompt many to seek value in their daily necessities,” said Cheong-Tai Leung, President Nielsen Asia Pacific, Middle East & Africa. Latest Nielsen data reports that nearly half (48%) of Asia Pacific consumers will spend discretionary funds on holidays in the next six months, as well as clothing (44%), entertainment (41%) and new technology (38%).
In China, the world’s second largest economy, confidence rose eight points to an index of 108. “The good news is that income is rising faster than inflation, particularly in rural areas, and living standards continue to improve,” said Karthik Rao, Managing Director, Nielsen Greater China. “As a result, we continue to see strong growth in marketplace demand, even in discretionary categories.”
Hong Kong also witnessed an eight point consumer confidence boost to a score of 110. “Optimism is driven by good employment prospects and the close ties Hong Kong enjoys with China,” said Oliver Rust, Managing Director, Nielsen Hong Kong. “The economy also got a boost from tourism, with more than 27 million tourists a year coming to Hong Kong from Mainland China. Declining property values, stock market inflation and rising U.S. interest rates, however, will have an impact on the future outlook.”
Thailand surged ahead four points to 106 and Taiwan increased five points to a record high index of 91. “In Thailand, the recovery in consumer confidence was boosted by the government’s recent policy to maintain the diesel price below Baht 30 per liter, strong export growth since the beginning of the year and the rise in the stock exchange index in Q1 2011”, said Aaron Cross, Managing Director, Nielsen Thailand. “According to the Nielsen Retail Index, significant price competition exists between leading fast-moving consumer goods retailers, which is delivering overall better value to consumers on everyday food, beverage and household product categories.”
South Korea, with an index score of 51 is the only outlier in the region, with the sixth lowest consumer confidence score of 51 countries measured. “Since 2010, the consumer inflation rate has been steadily rising due to unusually cold weather and an outbreak of foot-and-mouth disease among dairy, beef and pig farms,” said Cindy Eun-Hee Shin, Managing Director, Nielsen South Korea. “Although the unemployment rate has been slightly decreased by job creation in the private sector, overall consumer sentiment has continued to weaken due to the sluggish housing marketing, rising interest rates and high oil prices.”
The Japan earthquake/tsunami impacted the New Zealand economy, where confidence scores dipped four points to 99. Vietnam also declined by five points to 98 driven by electricity prices, which shot up to over 15 percent along with petrol prices increasing over 18 percent as well.
Global Online Consumer Confidence Survey
Asia Pacific Q1-2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
5 Copyright © 2011 The Nielsen Company.
Middle East / Africa Reports Biggest Rise in Consumer ConfidenceIn the Middle East/North Africa, Egyptians’ overwhelming elation of a new nation led to a 29 point surge to a score of 102 for the country – the highest confidence increase among all markets tracked in first quarter. “The joy of gaining civil and political freedom and experiencing the first truly free voting has raised consumers’ expectations and hopes for faster economic growth,” said Khaled El Tohami, Managing Director, Nielsen Egypt. Egypt’s new-found confidence spread to neighboring Saudi Arabia and United Arab Emirates countries, which both enjoyed double-digit increases compared to the previous quarter.
Saudi Arabia increased 11 points from the previous quarter to an index of 118 – the second highest index recorded of 51
countries tracked and United Arab Emirates rose 12 points to a score of 109. Three out of four online respondents in Saudi Arabia rated their job prospects and personal finances in the next 12 months as good/excellent. Job prospects and personal finances in UAE are also strong among 63 percent of Internet consumers. One of the biggest concerns among residents in both countries as well as in the region is political stability.
South Africa, while increasing four index points from three months ago, reports the lowest consumer confidence in the region with a score of 88. Sixty-one percent of South Africans report job prospects over the next 12 months as not good/bad and 70 percent do not think it is a good time to buy the things they want and need at the moment.
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – MIDDLE EAST, AFRICA, PAKISTAN*
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?**
1) Political Stability
2) Increasing Food Prices
3) Job Security
4) The Economy
5) Debt
6) Increasing Utility Bills (electricity, gas, etc)
7) War
8) Crime
9) Work/Life Balance
10) Childrens’ Education and/or Welfare
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Good
Excellent
Bad
Not So Good
Q1-2011 Q4-2010 Q3-2010 Q1-2010
39%
34%
27% 23%
45%
32% 35%
38%
27%
21%
42%
27%
7% 6%
34%
42%
14%
15%
29%
51%
56%
15%
50%
35%
48%
39%
32%
22%
5%
15%
28%
38%
13%
7%
8%
15%
34%
12%
16%
16%
27%
30%
9%
6%
2%
9%
7%
14%
8%
6%
10%
5%
5%
10%
6%
6%
11%
9%
5%
18% 13%
11%
6%
4% 7%
6% 4%
4%7%
20%
30%
50%
Is now a good or bad time to buy things you want and need?5
13%
44%
35%
5%
21%
28%
26%
23%
21%
21%
40%
13%
7%
17%
3%
41%
18%
28%
25%
26%
20%
21%
10%
21%
5%
2%
16%
41%
32%
8%
** % saying in a recession now: Q1 ’11 (65%), Q4’10 (69%), Q3 ’10 (72%), Q1 ’10 (71%)
* Pakistan was not included in Q1 2011 and Q4 2010 due to insufficient sample.
Global Online Consumer Confidence Survey
Middle East, Africa, Pakistan Q1-2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
6Copyright © 2011 The Nielsen Company.
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – EUROPE
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
1) Increasing Utility Bills (electricity, gas, etc)
2) The Economy
3) Job Security
4) Health
5) Debt
6) Increasing FoodPrices
7) Increasing Fuel Prices
8) Childrens’ Education and/or Welfare
9) Work/Life Balance
10) War
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
7%
36%
29%
35%
21%
27%
32%
27%
10%
19%
56%
30%
14%
54%
29%
17%
27%
23%
21%
48%
27%
2% 2%
29%
45%
21% 20%
36%
26%
57%
40%
17%
62%
57%
39%
56%
39%
29%
17%
35%
37%
11%
10%
10%
9% 6%
6%
6%
7%11%
8%
9%
6%
8% 5%
6%
8%
3% 4%
11%13%
5%
58%
29%
13%
25%
46%
24%
2%
21%
10%
21%
21%
13%
25%
29%
23%
44%
11%
9%
11%
12%
11%
13%
6%3%
34%
30%
31%
25%
23%
18%
24%
5%
21%
9%
3%
51%
47%
29%
2%
* % saying in a recession now: Q1 ’11 (68%), Q4’10 (69%), Q3 ’10 (70%), Q1 ’10 (79%)
Southern & Eastern Europe Dip to New LowsConsumer confidence levels in Europe continued to decline in 18 out of 28 countries measured for a regional consumer confidence drop of five points from last quarter to a score of 73. Eleven posted record lows: Portugal (39), Hungary (41), Greece (45), Romania (46), Italy (57), Ukraine (60), Ireland (61), Spain (61), Poland (66), Russia (74) and Norway (97).
“In Italy, the consumer confidence index declined 14 points from last quarter due to a pessimistic view of job prospects and personal finances,” said Roberto Pedretti, Managing Director, Nielsen Italy. “According to the latest data released by Istat (National Institute of Statistics, Italy), the unemployment rate among young people is now 29.4
percent – the highest rate since 2004. Furthermore, inflation reached a record high of 2.4 percent in March compared to year ago results for consumer packaged goods and a three percent rise for just food products alone.
In contrast, Germany, Europe’s largest economy, surged ahead 18 points within one year to record its highest consumer confidence level on record at 92 index points, driven by declining unemployment rates and good job prospects. Neighboring Austria also posted its highest consumer confidence reading on record at 97 index points (+1), while Switzerland remained Europe’s most optimistic country at 110 index points (unchanged from previous quarter).
Global Online Consumer Confidence Survey
Europe Q1-2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
7 Copyright © 2011 The Nielsen Company.
North America Rises Two Index PointsNorth America rose two index points to a consumer confidence score of 85 driven by increases in both the United States and Canada. “In the U.S., an improving labor market drove a two point rise in consumer confidence, but the resulting score of 83 is still precariously close to the recession low of 80 recorded in 2009,” said James Russo, Vice President, Global Consumer Insights at The Nielsen Company. “Concerns over rising fuel prices rose to 18 percent this quarter – up from only four percent three months ago. These results support Nielsen sales trends, which declined 0.5 percent in the first quarter. Spending, however, is moderately increasing especially at the more affluent levels as households earning more than $100K continue to increase shopping trips.”
“Planning of shopping trips is very evident as 60 percent of U.S. shoppers are using shopping lists on most trips, 52
percent are comparing unit prices, 47 percent are using store circulars and 41 percent are using coupons,” continued Todd Hale, SVP Consumer & Shopper Insights, Nielsen U.S.
In Canada, consumer confidence bounces back to a score of 102 in first quarter to levels reported in the first half of 2010 after a modest decline the second half of last year. “Fueling the increase in confidence are two factors: Canadians are feeling more optimistic about job prospects/personal finances and the strength of the Canadian dollar, which has sheltered consumers from the impact of rising global food prices,” said Carman Allison, Director, Shopper & Industry Insights, Nielsen Canada. “Unemployment levels have remained solid at 7.7 percent and most jobs lost during the peak of the recession in 2009 have been regained. Retail sales (across all sectors) increased five percent after a three percent decline in 2009.”
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – NORTH AMERICA
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
49%
26%
63%
57%
12%
60%
56%
27%
64%
31%
31%
13%
19%
30%
32%
15%
19%
7%
6%
4%
3%
3%
7%
5%
10%
18%
59%
26%
14%
18%
46%
30%
3% 4%
28%
41%
21% 19%
43%
30%
5%
18%
47%
27%
4%
54%
27%
19% 19%
30%
51% 48%
29%
23%
6) Health
7) Increasing Utility Bills (electricity, gas, etc)
8) Work/Life Balance
9) War
10) Childrens’ Education and/or Welfare
11%
7%
8%
6%
4%
5%
4%
4%
16%
17%
12%
14%
20%
34%
36%
6%
9%
27%
6%
37%
20%
16%
17%
32%
11%
19%
8%
28%
12%
4%
27%
13%
27%
37%
10%
29%
33%
17%
52%
14%
11%
7%
14%
12%
12%
7%
18% 16%
1) The Economy
2) Increasing Fuel Prices
3) Debt
4) Increasing Food Prices
5) Job Security
* % saying in a recession now: Q1 ’11 (82%), Q4’10 (84%), Q3 ’10 (84%), Q1 ’10 (87%)
Global Online Consumer Confidence Survey
North America Q1-2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
8Copyright © 2011 The Nielsen Company.
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – LATIN AMERICA
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
1) Crime
2) Job Security
3) Work/Life Balance
4) Debt
5) Increasing Food Prices
6) Childrens’ Education and/or Welfare
7) The Economy
8) Health
9) Increasing Utility Bills (electricity, gas, etc)
9) Increasing Fuel Prices
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
50%
35%
15% 23%
33%
43% 46%
31%
23%
27%
15%
57%
53%
11%
48%
49%
49%
47%
36%
25%
23%
22%
32%
42%
20%
8%13%
7%11%
8%
8%
4%9%
8%9%
10%7%
9%
10%
7%9%
41%
35%
24%
24%
48%
25%
2%
17%
4%
15%
27%
9%
18%
29%
34%
36%
10%
6%
13%
17%
8%
12%
13%
36%
36%
28%
19%
26%
36%
39%
9%
5%
16%
1%
35%
22%
28%
31%
33%
24%
20%
7%
3%
19%
2%
16%
46%
34%
4% 3%
32%
49%
16% 14%
46%
36%
3%
15% 10%
3% 4%
* % saying in a recession now: Q1 ’11 (48%), Q4’10 (49%), Q3 ’10 (46%), Q1 ’10 (56%)
Latin American Confidence Declines, but Sales Trends are UpLatin America declined 10 points to an index of 90, driven largely by Brazil’s 13 point index drop amid rising inflation and interest rates and a new political scenario. “The current results put Brazil back to levels recorded in early 2009 when the world felt the effects of the global crisis more strongly,” said Eduardo Ragasol, General Manager, Nielsen Latin America. “While sales have slowed since the previous period, they are still growing at a rate of 2.3 percent.”
Across the region, consumer confidence scores dropped in Colombia, Mexico and Argentina. In Colombia, consumer confidence declined seven points from three months ago to a score of 91, Argentina dipped five points to 88 and Mexico decreased six points to a score of 80. In relative terms, Latin America’s regional consumer confidence score of 90 continues
to outpace both North America and Europe. The decline is largely driven by a negative perception of local job prospects over the next 12 months as well as prices increased for petroleum products, goods and services. Major concerns over crime also increased four percentage points to 15 percent, which is now the number one concern for the region.
Retail sales trends across the region, however, continue to grow, but at a slow pace. In Mexico, sales are up 6.8 percent in first quarter. “Consumers are more careful about their purchases, but they continue to buy essential products that are part of their day-to-day,” said Germán Gutiérrez, Country Manager, Nielsen Mexico. “Nonetheless, consumers are very concerned about security, which creates uncertainty and a feeling of unrest to their immediate present and near future.”
Global Online Consumer Confidence Survey
Latin America Q1-2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
9 Copyright © 2011 The Nielsen Company.
Increasing Food / Fuel Prices Take a TollReplacing the economy as the number one concern among global online consumers, the rise in food prices is now what worries consumers most, increasing four percentage points from last quarter to 13 percent. The economy, the second biggest concern, dropped seven points to 11 percent in first quarter. Fuel prices also increased significantly as a major concern for consumers, escalating six percentage points to eight percent compared to three months ago. Rising utility bills remained a top concern among seven percent of online respondents.
“Rising fuel and food prices are taking a toll on consumers around the world as more and more households are spending a higher proportion of their limited income on these necessities,” said Dr. Bala. “As spare cash continues to dwindle, consumers are taking actions to save on household expenses by spending less on non-essential items and activities.” More than half of respondents indicate that they will spend less on new clothes, out-of-home entertainment and gas/electricity. Forty-seven percent of consumers plan to switch to cheaper grocery brands and 44 percent will cut down on take-away meals.
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – GLOBAL AVERAGE
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
1) Increasing Food Prices
2) The Economy
3) Work/Life Balance
4) Increasing Fuel Prices
5) Health
6) Job Security
7) Increasing Utility Bills (electricity, gas, etc)
8) Debt
9) Childrens’ Education and/or Welfare
10) Parents’ Welfare and Happiness
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
51% 48% 48%
30% 30% 28%
19% 21% 24%
32%
26%
55%
44%
15%
57%
47%
35%
51%
34%
23%
19%
20%
33%
40%
11%
19%
10%
22%
23%
11%
24%
24%
11%
8%
8%
8%
9%
6%
13%
7%
6%
3%
11%
7%
9%
8%
8%
5%
13%
10%
5%
4%
18%
46%
30%
3%
20%
38%
12%
8%
10%
13%
11%
15%
6%
32%
34%
26%
21%
33%
29%
49%
21%
11%
14%
3%
31%
34%
26%
21%
35%
28%
47%
21%
11%
15%
2%
51%
29%
19%
17% 17% 16%
48% 44% 46%
30% 32% 33%
3% 3% 3%
* % saying in a recession now: Q1 ’11 (55%), Q4’10 (57%), Q3 ’10 (56%), Q1 ’10 (58%)
Global Online Consumer Confidence Survey – Quarterly Trend – Q1 2011 – GLOBAL AVERAGE
ACTIONS THIS YEAR
Use My Car Less Often
Cut Down on At-home Entertainment
Cut Down on Out-of-Home Entertainment
Cut Down on Take-Away Meals
Cut Down on Smoking
Spend Less on New Clothes
Switch to Cheaper Grocery Brands
Cut Down on Telephone Expenses
Cut Down/Buy Cheaper Brands of Alcohol
Look for Better Deals on Loans, Credit Cards, etc
Delay Replacement of Major Household Items
Delay Upgrading Technology, e.g. Pc, Mobile, Etc
I Have Taken Other Actions Not Listed Above
Try to Save on Gas and Electricity
Cut Down on Holidays/Short Breaks
Cut Out Annual Vacation
WILL YOU CONTINUE NEXT YEAR?
BIGGEST CONCERN
2nd BIGGEST CONCERN
BIGGEST CONCERN
2nd BIGGEST CONCERN
Q1-2011 Q3-2010
Compared to last year, which actions have you taken in order to save on household expenses?
How to utilize spare cash after covering essential living expenses
Putting intoSavings
Holidays/Vacations
New Clothes
Out-of-Home Entertainment
Pay off Debts/ Cred. Cards/ Loans
New Technology Products
Home Improvement/ Decorating
Investing in Stocks/Mutual Funds
I Have No Spare Cash
Retirement Fund
Don’t Know/ Undecided
What are the top 10 concerns over the next 6 months?
Among those who say they’re in recession now, how many think they’ll be out of the recession in 12 months?*
1) Increasing Food Prices
2) The Economy
3) Work/Life Balance
4) Increasing Fuel Prices
5) Health
6) Job Security
7) Increasing Utility Bills (electricity, gas, etc)
8) Debt
9) Childrens’ Education and/or Welfare
10) Parents’ Welfare and Happiness
Yes
No
Don’t Know
1 2 3
4Q1-2011 Q4-2010 Q3-2010 Q1-2010
Is now a good or bad time to buy things you want and need?
Good
Excellent
Bad
Not So Good
5Q1-2011 Q4-2010 Q3-2010 Q1-2010
51% 48% 48%
30% 30% 28%
19% 21% 24%
32%
26%
55%
44%
15%
57%
47%
35%
51%
34%
23%
19%
20%
33%
40%
11%
19%
10%
22%
23%
11%
24%
24%
11%
8%
8%
8%
9%
6%
13%
7%
6%
3%
11%
7%
9%
8%
8%
5%
13%
10%
5%
4%
18%
46%
30%
3%
20%
38%
12%
8%
10%
13%
11%
15%
6%
32%
34%
26%
21%
33%
29%
49%
21%
11%
14%
3%
31%
34%
26%
21%
35%
28%
47%
21%
11%
15%
2%
51%
29%
19%
17% 17% 16%
48% 44% 46%
30% 32% 33%
3% 3% 3%
* % saying in a recession now: Q1 ’11 (55%), Q4’10 (57%), Q3 ’10 (56%), Q1 ’10 (58%)
Global Online Consumer Confidence Survey
Global Average Q1-2011
Global Online Consumer Confidence Survey
Global Average Q1-2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
Source: The Nielsen Company, Global Online Consumer Survey Q1 2011
About the Nielsen Global Online Survey
The Nielsen Global Online Survey was conducted between March 23 and April 12, 2011 and polled more than 28,000 consumers in 51 countries throughout Asia Pacific, Europe, Latin America, the Middle East, Africa and North America. The sample has quotas based on age and sex for each country based on their Internet users, and is weighted to be representative of Internet consumers and has a maximum margin of error of ±0.6%. This Nielsen survey is based on the behavior of respondents with online access only. Internet penetration rates vary by country. Nielsen uses a minimum reporting standard of 60 percent Internet penetration or 10M online population for survey inclusion.
About the Nielsen Company
The Nielsen Company (NYSE: NLSN) is a global information and measurement company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and related assets. The company has a presence in approximately 100 countries, with headquarters in New York, USA. For more information on The Nielsen Company, visit www.nielsen.com.
For more information visit www.nielsen.com
10Copyright © 2011 The Nielsen Company.
Country Abbreviations:
Argentina AR Australia AU Austria AT Belgium BE Brazil BR Canada CA China CN Colombia CO Croatia HR Czech Republic CZ Denmark DK Egypt EG Estonia EE Finland FI France FR Germany DE Great Britain GB Greece GR Hong Kong HK Hungary HU
India IN Indonesia ID Ireland IE Israel IL Italy IT Latvia LV Lithuania LT Malaysia MY Mexico MX Netherlands NL New Zealand NZ Norway NO Philippines PH Poland PL Portugal PT Romania RO Russia RU Saudi Arabia SA Singapore SG South Africa ZA
South Korea KO Spain ES Sweden SE Switzerland CH Taiwan TW Thailand TH Turkey TR United Arab Emirates AE Ukraine UA United States US Vietnam VN
Region Abbreviations:
AP Asia Pacific EU Europe LA Latin America MEA Middle East, Africa NA North America