While sales of fast-moving consumer goods (FMCG) in some developed markets saw signs of softness, opportunities for growth are still readily available if you know where to look. Manufacturers with global reach should focus on emerging markets, which have consistently performed two to four times better from a sales perspective than their developed market counterparts in recent history.
Vietnam, a gem in Southeast Asia, is currently experiencing one of its fastest economic expansions in years. It continues to enjoy a high GDP growth rate, which rose to 6.8% in quarter 2 this year. It also boasts one of the largest consumer markets in Asia due to the fast-growing population and increasing household consumption expenditure. Indeed, since 2012, residents have also seen their household wages increase by almost 40%.
But how can companies maximize their investments in the market? With this growth comes increased competition. The rules to this market playing is changing as smaller players are gaining share and consumers become more discerning and have more options to shop and buy than ever. Tapping into this tremendous growth opportunity require a deep understanding of consumer needs, desires and attitudes. What’s next in Vietnam report looks at emerging trends in Southeast Asia and key trends in Vietnam to focus on: