In Q2, the Consumer Confidence Index of Vietnam decreased from 129 to 123 percentage points compared to the previous quarter, with the main reasons being a downtrend in positivity about job prospects, financial security and perception of being the right time to buy.
Globally and regionally, many countries also experienced similar CCI downward trend caused by rising costs and political challenges, Nielsen said in a report.
Health overcomes job security to become top Vietnamese concern
In Q2 2019, Vietnamese consumers continued to rank health and job security as their top two key concerns while 22% pointed to work-life-balance as the third most important aspect.
Remarkably, health overcame job security to become the top concern among Vietnamese consumers, which is largely predictable, according to Louise Hawley, managing director of Nielsen Vietnam.
“Vietnamese consumers care about their health more than ever. Pollution in the air and in the environment are hot topics which are being increasingly top of mind for people. With the current situation relating to pollution and increased consumer awareness, health is expected to continue to be a top concern of Vietnamese consumers in the third quarter of 2019”, Hawley commented.
In Q2, there was also a jump in those concerned about increasing utility bills, from 6% to 13%. “At the end of Q1 2019, electricity prices in Vietnam went up over 8%, which brought this cost into sharp focus and attracted more attention to utility bill costs”, Hawley added.
Vietnam becomes the first place in global in cash spare for medical insurance premium
Globally, Southeast Asian consumers are leading the way when it comes to saving intentions. In Q2, despite a slight fall (75% to 69%), Vietnam continued to place in the top 2 in Asia Pacific for having the region’s most avid savers, just behind Hong Kong (70%).
Following the last quarter’s trend, Vietnamese consumers were still likely to spend on medical insurance premiums. In Q2, Vietnam became the country with the highest proportion of people saying that their spare money goes on medical insurance premiums, followed by Switzerland, Indonesia and China.
With the polluted environmental situation, Vietnamese consumers are not just worried about their health but they are taking action to protect it. This is the reason that Vietnam ended this quarter with the highest tendency towards spending for healthcare insurance, explained Louise Hawley.
In addition, Vietnamese people are indicating that they spend less spare cash on New clothes, OOH entertainment, New tech products and Home development/ decorating compared with the previous quarter.
