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Survey highlights mix of optimism, concern

By Hu Yuanyuan (China Daily)
Updated: 2008-11-21 11:02

However, competition for these consumers, who are increasingly marketing-savvy, is intense. "Understanding the China market and its consumers is vital for success," Morley explained.

Chinese consumers are price and promotion sensitive and are also less loyal than consumers in other markets, presenting challenges while also creating great opportunities for those wanting to succeed in this vast marketplace.

Globally, one third of consumers are most concerned about the economy, with one fifth are concerned about increasing food prices, followed by the work-life balance of (18 percent), job security (17 percent), health (17 percent) and increasing utility costs (17 percent).

Chinese consumers' top concerns echo those global fears, with one third of those surveyed also considering the economy as their major worry.

Unlike consumers from other countries, however, 29 percent of Chinese said that balancing work and life, as well as the issue of health, were both equally important concerns, well above the global figures. Those two categories were followed closely by a concern about increasing food prices (28 percent).

Job security is a worry for 27 percent of Chinese consumers. The Nielsen survey found that Chinese consumers' optimism in relation to local job prospects declined three points to 41 percent this time around.

The survey showed that consumer confidence worldwide has fallen to its lowest level this year, which is 84. Of the 52 markets surveyed, 43 recorded a decline in the Nielsen Consumer Confidence Index from the first half of 2008.

In the US, where the economy is facing challenging times with consumer confidence at record lows, the Nielsen Index reached 82, just below the global average. In Europe, the Nielsen Consumer Confidence Index suffered its deepest decline, falling to 77. South Korea sits at the bottom of the global rankings, recording a Nielsen Index of 36, with Japan second to last at 44.

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