- 36% of consumers surveyed feel better off financially compared to only 27% who feel financially worse. Rising food prices, economic downturn, and increasing utility bills remain top concerns.
- 50% of shoppers in Asia Pacific express willingness to use AI to expedite their shopping experience, while 49% say they would accept recommendations from AI.
- Social media is strongly influencing product discovery and driving direct purchases.
- Stress management, the rise and impact of GLP-1, gut health awareness, and the importance of protein are the next trends to watch as consumers seek a holistic approach to health and wellness.
SINGAPORE--BUSINESS WIRE--
NielsenIQ (NIQ), the world's leading global consumer intelligence company, in its Mid-Year Consumer Outlook (MYCO) report reveals that Asia Pacific consumers are shifting from cautious spending to intentional consumption. The semi-annual study offers a comprehensive analysis of economic impacts, consumer attitudes, and purchasing decisions, providing a strategic roadmap for CPG and T&D manufacturers and retailers looking to win over consumers over the next 12-18 months and beyond.
"Asia Pacific consumers are demonstrating remarkable resilience and shifting towards intentional spending. This intentional spending mindset is evident in their increased focus on health, wellness, and sustainable choices," said Craig Houliston, APAC Customer Success Above Market Consulting and Insights Leader, NIQ.
State of Mind of Consumers
The strength and determination of consumers in the region are evident, with 36% of consumers surveyed feeling better off financially compared to only 27% feeling financially worse.
Those who have negative sentiment about their finances attribute the cause of their worsening financial situation to rising cost of living expenses, followed by economic slowdown, job insecurity, and changes in health situation.
Despite varying financial sentiments, rising food prices, economic downturn, and increasing utility bills remain key concerns for consumers in the region over the next six months.
Evolving Economic Divide: More Secure, Fewer Struggling
NIQ's segmentation on The Economic Divide has seen a continued shift towards the more financially secure end of the spectrum, where 33% of surveyed consumers are either unimpacted or thriving financially, compared to 25% from this time in 2023. At the other end of the spectrum, 31% identify as strugglers and rebounders, a decrease from 41% in the same period last year. The consumers who identify as cautious have the highest percentage at 36%, a slight increase from 35% in June 2023. The Economic Divide provides a key visual of how secure or insecure consumers feel economically, given any recent impact on their income or ability to save money.
