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Nielsen: Vietnam holds promise in baby care products

Released at: 07:59, 27/08/2015

Nielsen: Vietnam holds promise in baby care products

Latest global survey points to demographics as being encouraging for manufacturers.

by Thu Hoang

There are considerable opportunities in Southeast Asia for baby care manufacturers thanks to the region’s young and growing population, according to the Nielsen Global Baby Care Report released on August 26.

Twelve per cent of consumers in Vietnam report having a baby less than one year old in their household; the highest level in the region and double the global average of 5 per cent. A further 19 per cent have children aged one to two years old in their household compared to just 9 per cent globally.

Age groups of children in households

Source: Nielsen Global Baby Care Report, 2015

According to the report, half of respondents in Vietnam (50 per cent) say good nutrition is important when deciding which baby food product to purchase. Good price/value and trusted brands were also important for more than one-third of consumers (38 per cent), along with safe ingredients/processing (36 per cent), and flavor or taste (32 per cent). Organic and all-natural foods are also an important purchase consideration, cited by 27 per cent of respondents in Vietnam.

Attributes and influences when purchasing baby food and diapers

Source: Nielsen Global Baby Care Report, 2015

When it comes to attributes in choosing the brand and type of diaper to buy for their babies, more than half of consumers in Vietnam identify skin protection/good for sensitive skin (53 per cent) as key factors influencing their purchase decisions. Around one-third identified price/value and overnight dryness (33 per cent) as the second most important attribute, along with good fit/comfortable to wear (27 per cent) and trusted brand (26 per cent).

The Nielsen report highlights the importance of recommendations from family and friends and TV advertising as sources of information for new parents in learning about which baby food to buy for their babies the first time. Recommendations from friends/family wield the most influence, on nearly three in five Vietnamese consumers (56 per cent), followed by seeing an advertisement on TV (50 per cent) and recommendations from baby health experts (47 per cent). Online influences from parenting websites (41 per cent), parenting magazines (39 per cent), and social media (33 per cent) also play a key role.

When it comes to influencing purchases of diapers, close to half of Vietnamese consumers (49 per cent) say recommendations from family and friends have the most significant influence on their purchasing decisions, followed by recommendations from baby health experts (32 per cent) and TV advertising (29 per cent).

Rapid urbanization, the growth of the middle class, and rising rates of female participation in the workforce, especially in many developing markets, are expected to stimulate growth in global baby food sales, which Nielsen estimates will reach nearly $30 billion in 2015, with the global diaper market projected to exceed $29 billion.

The Nielsen Global Baby Care Survey was conducted between February 23 and March 13, 2015, and polled consumers in 60 countries throughout Asia-Pacific, Europe, Latin America, the Middle East, Africa, and North America who have made a baby care purchase in the past five years.

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