When considering new and flexible retail formats for grocery shopping, specific preferences emerge when it comes to particular online delivery options, according to Nielsen’s 2011 Global Online Survey of more than 25,000 Internet respondents across 51 countries. While more than half (52%) of global online consumers say they are likely to place a grocery order online if it is delivered to their homes, less than one-third feel the same if they are required to pick up the online order curbside (27%) or via a drive-thru window (30%). Interestingly, more consumers—just over one-third (36%)—say they are willing to pick up an online order inside the store.

The online shopping/home delivery option is most embraced by consumers in Asia Pacific, where more than three-quarters (77%) say they are likely to take advantage of this option, which contrasts sharply with one-fifth of North Americans (20%) and one-third (35%) of Europeans. “The main resistance in developed countries in Europe and North America is primarily due to the high volume of grocery stores that are available,” said Jean-Jacques Vandenheede, Director Retailer Industry Insights, Nielsen. “In Asia Pacific, fewer physical stores and a very digital consumer base equal a fertile distribution channel for online.”  About half of respondents in Middle East/Africa (48%) and Latin America (51%) indicated they are likely to shop for groceries online for home delivery.

Using hand-held scanners to record purchases while shopping to avoid waiting on checkout lines was welcomed by half of global online consumers. While interest is again highest among Asia Pacific consumers (60% interested and only 14% unlikely to try it), in each region, more consumers indicated they are likely to try it than not.

For more detail and regional insights, download: Shopping & Saving Strategies Around the World.

Reported use of coupons is greatest in North America (65%) and Asia Pacific (55%). The United States (66%), China (67%) and Hong Kong (65%) are the three leading markets for reported coupon use as a way to save money.

“About 80 percent of U.S. households use manufacturer coupons across all retail outlets, which is up slightly from 2009 to 2010,” said Todd Hale, SVP Consumer & Shopper Insights, Nielsen. “But coupon usage is concentrated—70 percent of 2010 manufacturer coupon purchases came from just 13 percent of coupon-using households. These coupon enthusiasts are big spenders across the total store and are young, more affluent and have large households.”

“In China, 35 percent of hypermarket sales in key cities are sold on promotion—a stable contribution over the past two years,” said Peter Gale, Managing Director Retail Sales, Nielsen Asia Pacific and Greater China. “In most Asian countries, simple price cut promotions are the main promotional vehicle supported by direct mail leaflets and newspaper advertising.”

While 38 percent of European consumers indicate using coupons to save, there is wide variation within the continent. While at least half of consumers reported coupon use in several western and southern European countries, such as Belgium and Portugal (63%), Greece (55%), France (53%), and Spain (50%), in other markets, particularly in northern and Eastern Europe, coupon use is much less prevalent. “Belgians are the record holders in terms of coupon redemption, but in countries like Germany or the Netherlands, their usage is very marginal,” said Jean-Jacques Vandenheede, Director, Retail Industry Insights, Nielsen Europe. “Many retailers in Europe are rather reluctant towards that practice.”

In Latin America and in Middle East/Africa, reported coupon use is much less common as a saving strategy. Only 25 percent of consumers in Latin America and 18 percent of respondents from Middle Eastern/African markets report using coupons. “In the Middle East, price cuts is the most popular promotional vehicle used by retailers along with volume discounts,” said Bassel Adel, Director Retail Services, Nielsen Middle East, North Africa, Pakistan. “However, consumers are gaining a greater awareness of leaflets, which are driving store visits and prompting retailers to actively advertise promotions in newspapers.”

For more detail and regional insights, download: Shopping & Saving Strategies Around the World.

Nielsen went “under the hood” in China, the world’s leading automotive market, to survey and to better understand what Chinese consumers want when they shop for a new car. The survey reveals that today’s Chinese car buyer is more demanding in terms of what qualities and features they want. The most important factor attracting Chinese car buyers’ attention is the exterior design (25%) and vehicle performance (22%), significantly higher than the third and fourth priorities of interior (4%) and price (3%).

A new generation of car buyers
The next decade’s growth in the automotive sector is expected to be driven by consumers born in the 1980s and 1990s. These young buyers have different priorities when it comes to choosing a car. While car buyers born in the 1960s and 1970s set emphasis on the car’s brand image, its function and the purpose for which the car will be used, the new generation of buyers view cars as expressions of their identity and personality, making the car’s exterior styling a priority. The top purchase criteria in choosing a car for the generation born in the 1990s is safety (54%), followed by exterior design (47%), price (39%) and quality (38%).

Now is the time for car companies to begin a dialogue with this generation, listen to their ideas and better understand their needs and motivations. The first mover has the opportunity to get ahead of would-be followers.

Electric vehicles
With environmental awareness rising along with higher oil prices in recent years, more Chinese consumers are considering buying electric vehicles (EV), with a purchase intention of more than 50 percent. Compared to two years ago, consumers are willing to spend more for electric cars, and more than half (52%) of consumers are willing to pay a higher price for pure EVs, with a mean premium of  24,763 CNY, much higher than the 2009 level of 10,000 CNY. Consumers in Tier 1 cities such as Shanghai are willing to pay even more for EVs, 32,000 CNY on average.

The key audience for electronic vehicle manufacturers should be trend-driven consumers, who are looking for a unique model and are willing to sacrifice some cost efficiency for a green cause. Meanwhile, EV manufacturers should apply a differentiated marketing strategy combined with a novel approach to help convert the trendsetters into early adopters, who will in turn lead the market and contribute to the development of the industry’s latest selling point.

Turbocharged engine
Compared with dual-clutch automatic transmissions and fuel injection technology, turbocharged engines have the greatest name recognition of technical features, and they are a first priority purchase option for 87 percent of consumers considering a car purchase.

Turbocharged engines attract the more sophisticated automotive consumer: consumer awareness and willingness to buy turbocharged engines are much higher among the medium- to high-price car consumers (priced 120,000 to 300,000RMB) than the economy car consumers. The number of car models equipped with turbocharged engines is very limited in the Chinese market so the high demand of the more sophisticated automotive consumer is far from satisfied.

Telematics
Of major interest and purchase consideration are telematics (GPS, on-board navigation), with 58 percent of consumers ranking telematics as their top consideration. Pre-collision safety (36%) and night vision system (37%) also registered strong interest among all generations of car buyers.

Leveraging social media to connect with consumers
To hear what Chinese consumers are saying about cars, Nielsen monitored e-forums and the social networking site Weibo. Social media in China has boomed, attracting millions of users and the interest of marketers who seek to use it to connect with current and potential customers. Based on Nielsen’s analysis price (39%) was the most discussed issue, followed by efficiency (36%).

Steven Li, CEO of China Nielsen Online Division, suggested that car manufacturers strengthen their online presence to better connect with potential buyers help them win word-of-mouth. Li outlines four classic types of online car consumers:

1. Potential buyers, who have no clear models in mind and are seeking information and viewpoints to help them in their decision
2. Potential buyers who have a clear model in mind
3. Those who have newly purchased vehicles
4. Grass-roots automobile experts

Consumers’ spontaneous comments about cars, whether they are positive or negative, can play an important role in purchase decisions, and car brands need to know how to engage consumers, particularly on social media.

The bi-annual report shows that while 69 percent of global online consumers say they are concerned about climate change/global warming (up from 66 percent in 2009, but down from 72 percent in 2007), concern for other environmental issues are increasingly taking a higher priority in the minds of consumers. Three out of four global consumers rated air pollution (77%) and water pollution (75%) as top concerns, both increasing six percentage points compared to 2009. The most rapidly growing area of concern among 73 percent of global online consumers surrounds the issues of pesticides, packaging waste and water shortages, with reported concern increasing 16, 14 and 13 percentage points, respectively over the last two years.

“There are many possible reasons for declines in concern about climate change/global warming,” said Dr. Maxwell T. Boykoff, Senior Visiting Research Associate, Environmental Change Institute, University of Oxford. “Focus on immediate worries such as job security, local school quality, crime and economic well-being have all diminished media attention for climate stories in the past two years. In the face of other pressing concerns, a public “caring capacity” for climate change has been tested. Without continued attention paid to global warming/climate change in the media, such concerns may have faded from the collective public conscience.”

Top environmental concerns among Asia Pacific consumers include water shortages and air pollution, while water pollution was the main concern for Latin Americans, Middle Eastern/Africans, Europeans and North Americans.

Shifting Concerns Among the Big 3

With their large populations and high CO2 emissions, many consider the United States, China and India instrumental to any potential international climate change agreements. Yet, concern is falling in the U.S., which recorded one of the steepest declines (14%) in concern about climate change/global warming from 2007 to 2011.

Today, less than half of Americans (48%) say they are concerned about climate change, which contrasts sharply with reported concern in Latin America (90%), Middle East/Africa (80%), Asia Pacific (72%), and Europe (68%). Among the 21 percent of Americans who are decidedly not concerned, 63 percent indicated they believe natural variation—and not people—causes climate change/global warming.

“During this period, Nielsen’s Global Online Consumer Confidence Survey found heightened American consumer concern around the economy, rising gas prices, and debt,” said Todd Hale, SVP Consumer & Shopper Insights, Nielsen U.S. “With financial concerns still on the minds of many Americans, they’re indicating less and less concern about climate change and other environmental issues.”

In China, concern about climate change/global warming is higher than in the U.S., but dropped 17 percent in the last two years from 77 percent in 2009 to 64 percent in 2011. Meanwhile, concern in India has gradually risen in the past four years, and with 86 percent of Indians currently worried, it remains one of the markets most concerned about climate change in the world.

For more detail and regional insights, download: 2011 Sustainable Efforts & Environmental Concerns.

As inflationary concerns continue to mount across Asia Pacific, more shoppers are turning to promotional offers for some respite from the rising prices of fast-moving consumer goods (FMCGs), according to a Nielsen study on shopper trends. Shoppers in Vietnam and Malaysia were particularly motivated by promotions, followed by shoppers in China.

In Vietnam, while FMCG retail sales grew the fastest in Asia Pacific during the first quarter of the year, a closer look at the numbers revealed that price increases accounted for the majority (75%) of that growth. Not surprisingly given that they have been hit harder by inflation than most other countries, almost 9 out of 10 Vietnamese shoppers claimed they were promotion-seekers, or those who say they will change brands on promotion, search for promotions or change stores due to promotions on offer. This represents an increase of 5 and 18 percentage points from 2009 and 2008 respectively.

Malaysian shoppers are hot on the heels of those in Vietnam, with 86 percent saying they seek promotions, up from 77 percent in 2008. For China, the increase has been more moderate: from 74 percent in 2008 to 80 percent last year. While the number of self-professed promotion-seekers increased in just about every market, one country bucked the trend: Korea. The country’s shoppers were actually less promotionally driven than the year before, with 61 percent of Koreans saying they were enticed by promotions compared to 70 percent the year before – well below the Asia Pacific average of 68 percent.

Apart from the impact of inflation, shoppers are being exposed to a greater number of creative promotional offers as retailers and brand owners step up the momentum to gain share and/or retain their customers. This level of activity is going to be the new ‘norm’ as long as inflation does not let up and as shoppers seek more value. The real opportunity however, lies in building shopper and brand loyalty.

Interestingly, while Vietnamese shoppers are most focused on promotions, they scored among the lowest in terms of price consciousness across the region. Just 56 percent of shoppers in the country say they know all the prices of items they buy regularly/know the prices of most items and notice prices changes, compared to the regional average of 60 percent.  Shoppers in India (88%) on the other hand, are the most price-conscious in the region, followed by Malaysian (68%) and Singaporean (62%) shoppers.

Male shoppers a bigger force to reckon with

As the number of male main shoppers grows steadily across the region, marketers will increasingly need to tailor their strategies to the needs and wants of this group. In particular, marketers should place more emphasis on markets like Malaysia, which currently still has the distinction of having the highest proportion of males who say they are the main shoppers for the household (37%), and the Philippines (33%).  China (32%), which saw the highest jump in the proportion of male “main shoppers” from previous levels, also warrants a good re-look.

Vietnamese males, however, are the most “traditional” compared to their regional counterparts, with only 4 percent saying they shoulder the responsibility of being the main shopper for the household, the lowest score in the region for the past seven years.

Who are the most “impulsive” shoppers?

Shoppers in India (33%), Hong Kong (30%) and the Philippines (29%) stand out as the most impulsive (i.e., they usually do not plan their shopping trips) shoppers in the region.  Across the region, an average of 20 percent of shoppers say they usually do not plan shopping trips. In these markets, retailers can re-evaluate their store layouts to encourage more ‘grab-and-go’ shopping, and devise strategies that suit the needs of the ‘impulsive’.

On the other side of the coin, Korean (98%) and Taiwanese (94%) shoppers were the most likely to plan their shopping trips.

Across the countries studied, shoppers in Hong Kong are also the most prolific “top-up” shoppers, averaging 10 such trips in a month, almost twice the regional average and more than thrice the monthly frequency of their “main” shopping trips.  A similar trend can be found in Singapore, where shoppers make an average of about 8 “top-up” trips a month, also three times more than their “main” trips, and Indonesia, with an average of 6.6 and 1.8 “top-up” and “main” trips respectively.

The retail marketplace continues to evolve rapidly, presenting significant opportunities for store owners even in challenging environments. The key is as always in knowing how to best leverage these trends via marketing, promotions and even store layout and understanding the needs and desires of today’s consumers.

But not all potential car buyers are the same. For example, consumers born in the 1960s – a significant market force, as 74 percent of ’60s-born Chinese consumers say they will purchase a car within the next two years – place a premium on safety and price, whereas exterior design trumps both safety and price among younger consumers born in the 1990s.

As fuel costs rise, would-be car buyers in China are somewhat open to alternative energy vehicles, as 27 percent of consumers said they would consider hybrid or the more-expensive electric vehicles to save money in the long term; however, sticker price continues to be a concern, and has held down purchase intention for electric vehicles to 40.8 percent compared to 67.9 percent for oil/electric hybrids.

For more on China’s auto market, click here to download A Snapshot of Today’s Car Buyers in China.

On Chinese New Years Eve, watching CCTV’s (China Central Television) New Year’s Gala on television has historically been a traditional family event. But consumption has changed, according to a new study by Nielsen, as Chinese consumers are increasingly creating their own “converged” network.

According to the latest Chinese New Year (CNY) Gala Show cross-platform study, while TV still played a major role in this special occasion, consumers used other media platforms much more than during the last Chinese New Year’s Gala show. The study shows that video website usage increased significantly compared to last year. For example, unique browsers (UB) for Youku and Tudou increased 24 percent and 28 percent, respectively from last year’s CNY period.

Many Chinese consumers are not satisfied with a singular TV experience anymore. More and more, consumers want to enrich their TV experience with additional sources of information found on the Internet and mobile devices. According to Nielsen, there was a significant shift from TV to the Internet during prime time on the CNY Eve compared to last year for those consumers who live in Shanghai – one of the most sophisticated cities in China. And 11 percent of Shanghai homes simultaneously used the Internet while watching the Gala show.

According to the Nielsen survey conducted in Beijing, Shanghai, Guangzhou and Shenzhen during the CNY period, 42 percent of respondents relied on online and 9 percent used mobile screens to obtain further information about the CCTV Gala Show.

Opinions Count
Chinese consumers took full advantage of the interactivity offered by the online platform using forums and microblogs as a way to connect with others and express their opinions about content and performers in the CNY shows. From an online perspective, the CCTV Gala Show generated 39,322 messages from netizens, more than any other CNY shows broadcast by other major provincial satellite TV channels. The programs, “Missing Home,” “In the Spring” and “My Desk-mate” generated the most buzz among Chinese netizens.

Challenges for Programmers and Marketers
With more viewers no longer solely focused on one screen, programmers and marketers must think strategically about content and advertising that resonate across all three screens – TV, Internet and mobile. The good news is that when programmers and advertisers have great content, they get the benefit of the echo chamber found on the Internet and mobile where people will talk about the content over and over. This is true both for the program content and the ad content.

As consumer behavior is changing very fast, the role of media must change too. The key to success is identifying the appropriate screen that is most appealing and convenient for the desired audience and know how consumers interact with it in this era of convergence. Consumers are engaging more often in real-time conversations, particularly on social networks and other digital platforms. Social media is a great way to involve consumers as their richer interactions can help marketers improve targeting.

The changing role of traditional media and the emergence of newer platforms extend the programmer and marketer’s role well beyond the delivered audience. Programmers and marketers today need a deeper understanding of how consumers engage with different types of media at each stage.

About the “The converged Chinese Audience during the Spring Festival” Study
This study integrates insights from a range of Nielsen’s services available in China, including online buzz, the cross-platform research panel in Shanghai, as well as customized research fielded in Beijing, Shanghai, Guangzhou and Shenzhen during the CNY period.

The Nielsen Company conducted a face-to-face survey in fourth quarter 2010 to understand mainland tourists’ purchase patterns and experience in Hong Kong. In addition, a telephone survey with 1,000 local Hong Kong consumers aged 15–54 was conducted to understand their adaptation to the increasing number of mainland tourists in Hong Kong.

Who Is Visiting Hong Kong?
Mainland tourists to Hong Kong came from all regions across China and represented a fairly homogenous segment, as most were married and skewed to the 25–44 age range. They are usually educated and are earning an above average income. Eighty percent of mainland tourists came to Hong Kong in small groups of four or less, usually with their spouses and children being their core companions.

“Well-known as the Asian shopping paradise, Hong Kong provides an array of luxurious shops and malls, making Hong Kong one of the leading travel destinations in Asia for mainland tourists. As many as 80 percent of mainland tourists came to Hong Kong to shop for themselves, with clothing and electronic products favorite purchases,” said Troy Yang, Vice President, Consumer Research, The Nielsen Company Hong Kong. “Mainland tourists come all the way from their hometowns to Hong Kong to purchase quality products – usually during the National Day Golden Week (65%) and Christmas (35%).”

How Do They Spend?
Nielsen’s survey revealed that over two-thirds (68%) of mainland tourists planned their purchases before coming to Hong Kong, with females (65%) and those aged 34 and under (37%) as the most well-planned in terms of purchases. Not surprisingly, cosmetics and skincare products (61%) are the key planned purchase categories, followed by electronics / photographic products (52%), clothing (45%) and jewelry / watches (38%), indicating high-ticket items are the chief purchase targets for mainland tourists.

Mainland tourists planned to spend HK$12,000 on average during their stay in Hong Kong with more than half of the money allocated on shopping (59%), one quarter on food (23%) and less than a quarter on accommodation (18%). Corresponding to their planned purchases, key actual purchased categories of the mainland tourists included cosmetics (33%), electronics / photographic products (22%), clothing (22%) and jewelry / watches (17%).

“It is interesting to note that almost half of mainland tourists consult online platforms (47%) and recommendations from friends / families (48%) when looking for information about Hong Kong. While word-of-mouth is still the most widely accepted mode, there is an increasing engagement with digital platforms, in particular the reliance on discussion boards, forums and blogs for more first-hand experience from the users,” Yang commented.

Impact of Mainland Tourists on Local Consumers
You can find the footprints of mainland tourists everywhere in Hong Kong, whether they shop in Causeway Bay, Tsimshatsui or Mongkok. Given this huge number of tourists, it is not surprising to find promotions tailor-made for mainland tourists.

More than 80 percent of local consumers in general are either positive or neutral towards the increasing number of mainland tourists shopping in Hong Kong. Hong Kong consumers believe the increased spending of mainland tourists is creating more job opportunities and boosting the tourism / catering industries and thus bringing prosperity to Hong Kong. On the other hand, 18 percent of Hong Kong consumers have negative feelings about the influx of mainland tourists into Hong Kong, stating that places are now too crowded for shopping and they cannot adapt to the cultural differences of the mainland tourists.

Opportunities for Growth
With the high percentage of mainland tourists planning their purchases prior to arrival into Hong Kong and given their high engagement with online platforms, there is an opportunity for marketers to create targeted brand awareness programs by advertising on blogs and forums to maximize the reach to their potential consumers.

In addition, mainland tourists in general are very satisfied with Hong Kong retailers. Retailers can be proud of their achievement and should continue to maintain high servicing standards and offering of quality products. “Given these competitive advantages of the retail market, Hong Kong serves as a very good platform for test market on new product launches, especially on luxury and high-end brands before the products are introduced into the China market,” said Yang, “Brands should also identify the key product categories that mainland tourists look for in Hong Kong as well as the places most frequently shopped. These insights will provide retailers and marketers with the information necessary to further expand their reach to capture opportunities among the mainland tourists.”

Asia Pacific

The Value-Conscious Consumer Rises in Asia
CNBC Asia Squawk Box interviewed Karthik Rao, Managing Director, Custom Research, The Nielsen Company to discuss spending intentions, concerns about inflation and the state of the economy in Asia. [Watch the Video]

Confident but Cautious: Asia Pacific Consumers Spend, But Seek Value
Consumer confidence in the Asia Pacific region gained six points year-on-year in the fourth quarter of 2010 to an index level of 97. With this jump, Asia Pacific became the second-most confident region in the world at the end of 2010, just behind Latin America. [read more about Asia Pacific Consumer Confidence]

Aussie Consumer Confidence Stumbles
In a reversal of fortune to the previous quarter, Aussie confidence ended 2010 with a slight drop as consumers looked to curb expenditure in the wake of rising utility and food costs. [download Australia's Consumer Confidence release]

Chinese Consumers’ Reluctance to Spend Weakens Confidence
China’s consumer confidence index fell four points to 100 at the end of 2010. Rural consumers’ confidence remained relativity stable while urban consumers’ confidence experienced a pull back. The primary driver behind this decline: inflation in consumer prices, particularly food. This, in turn, has led to a decrease in consumers’ willingness to spend money. The high price of homes and rising interest rates has also impacted spending.
[download China's Consumer Confidence release]

India Retains Top Spot on Global Consumer Confidence Index, but Inflation Affects Discretionary Spend for Some Categories
India has topped the consumer confidence survey in all four quarters of 2010 and has also seen a steady rise in index points. This is a good sign for India as this means that the economy is fast moving out of the slowdown. But global economic conditions have made Indians wary about the future and they are exercising some restraint in their spending habits. [download India's Consumer Confidence release]

92% of Japanese Say Job Prospects Are Not Good
Japan’s consumer confidence index of 54 ranked in the bottom four of 52 countries measured. A sense of stagnation is due to the economic recession and continued job insecurity, which remains regardless of the recent change in government. [download Japan's Consumer Confidence release - in Japanese]

Consumer Confidence in Malaysia Hits Four-Year High in Forth Quarter 2010
Malaysia ranked ninth globally in consumer confidence as consumers feel more positive about local job prospects and the state of their personal finances. Consumer confidence in Malaysia rose four points in December 2010 to 107, reaching its highest level since the third quarter of 2006. [download Malaysia's Consumer Confidence release]

Singapore Ranks Among Top 10 Most Confident Countries in the World
Singapore wrapped up 2010 on a positive note, posting a consumer confidence index of 109 in Q4 2010. The results reflected a 9-point jump year-on-year, as confidence in the country was boosted by strong economic growth, buoyant stock and property markets as well as a strong Singapore dollar. At 109 points, Singapore is the seventh most confident country our of 53 measured after India (131), Philippines (120), Norway (119), Indonesia (116), Australia (112), and Switzerland (110). [download Singapore's Consumer Confidence release]

Taiwanese Consumer Confidence Drops Slightly
While Taiwan’s consumer confidence dropped two points from 88 to 86 in fourth quarter 2010, the percentage of Taiwanese respondents believing that Taiwan is in an economic recession decreased from 59 percent to 51 percent. The drop is due to consumer’s pessimistic attitude about personal finance prospects and purchasing intentions.

Thai Consumer Confidence Rose 10 Points in Second Half of 2010
Thailand finished the year with a consumer confidence index of 102, which remained relatively high compared to the first half of the year. The second half of 2010 saw a strong rebound in consumer confidence in Thailand, underscoring the country’s resilience. Over the years Thai consumers have consistently demonstrated a great ability to bounce back from political challenges and serious threats from natural disasters. [download Singapore's Consumer Confidence release]

Europe

Consumer Confidence in Austria Continues to Rise
After rising nine points in the third quarter 2010, Austria’s consumer confidence index increases another two points to reach 96 – an historic high. Austrians showed improved job prospects, personal finances and readiness to spend. [download Austria's Consumer Confidence release - in German]

German Consumer Confidence Remains at a High Level
After hitting a high point in the third quarter 2010, German consumer confidence dipped four points in fourth quarter to an index of 83. However, it is at a high level in comparison to the European regional index of 79. [download Germany's Consumer Confidence release - in German]

More Than One in Four Great Britain Shoppers Have No Spare Cash – A New High
As pressures on personal budgets mount, the proportion of people saying they ‘have no spare cash’ was six percentage points higher at the end of 2010 than it had been a year earlier and the highest since the survey began in 2005. [download Great Britain's Consumer Confidence release]

Greece’s Consumer Confidence Falls to Historic Lows
Greece’s consumer confidence marked one of the bigger declines, leading to the country’s lowest historical drop. The index plunged nine points to a score of 48. Only Portugal and Croatia were lower, with an index of 45. One of the most concerning findings from the survey is that the overwhelming majority of Greeks (83%) do not think the country will emerge from the recession in 2011. [download Greece's Consumer Confidence release - in Greek]

Ireland’s Consumer Confidence Slips Once Again in Fourth Quarter 2010
Consumer confidence in Ireland fell in Q4 2010 following four consecutive quarters of growth and stabilization. While consumer confidence levels remained unchanged in Q3, the latest results do not bode well, showing that Irish consumers still maintain a level of gloominess. [download Ireland's Consumer Confidence release]

Scandinavian Consumers Are the Most Confident in Europe
The Scandinavian countries continue to top the European rankings for the most positive nations regarding their personal finances and their willingness to spend. The situation is different in Scandinavia, with Norway as the most optimistic country in Europe in regards to job prospects, personal finances and their ability to buy the things they want and need. Sweden and Denmark are close behind, even though consumer confidence declined in Denmark, driven by increased concern about job prospects. Consumers in Finland are far less optimistic. [download the Scandinavian Consumer Confidence release]

Spainish Unemployment and Job Security Are Main Concerns
Unemployment and job security continue to be main concerns for Spanish consumers and these factors greatly influence consumption. The crisis continues to force Spanish consumers to change consumption habits, something they have already been doing for months. Saving measures, such as reducing use of utilities and consolidating shopping trips will continue even when the economy improves. [download Spain's Consumer Confidence release - in Spanish]

Russian Consumer Confidence Recoils to Second Quarter Levels
Russian consumer confidence dropped two points in fourth quarter to an index of 88. Since the beginning of recession the index never rose higher than 90 points and fluctuated in the range of 86-90 points. Consumers in Russia have retained confidence in the job market and many believe in the stability of their personal financial situation. But with growing grocery and utilities prices, they now find themselves with less disposable income. [download Russia's Consumer Confidence release]

Switzerland’s Consumer Confidence Hits Historic High
Switzerland’s consumer confidence index of 110 rises 10 points from the previous quarter reaching an historic high. Switzerland’s results show a constant upward trend throughout 2010. Within one year, the index rose 25 points, which is not only the highest value in the past five years, but also the second highest in Europe. Only Norway’s confidence is higher in Europe. Worldwide, Switzerland ranks sixth. [download Switzerland's Consumer Confidence release - in German]

Latin America

Latin America is the Most Optimistic Region in the World
Latin America continued to show a consistent and strong performance at the end of 2010. Brazil finished the year with a consumer confidence index of 108 points, leading the growth in the region and occupying eighth place consumer confidence world-wide growth. The growing confidence of the Brazilian consumer is a reflection of several factors, among them is the positive performance of the Brazilian economy. Colombia and Argentina also finished the year strong with high index scores. In Mexico, a consumer confidence level of 86 points was the lowest in the region. [download Latin America's Consumer Confidence release - in Spanish]

Middle East / Africa

Consumer Confidence in South Africa Dipped 3 Points in Fourth Quarter 2010
While positive sentiment in South Africa drove confidence levels up in second and third quarter 2010, consumer confidence declined three index points to 84 in fourth quarter.  There simply hasn’t been enough consistent and positive news to sustain the euphoria consumers felt during the World Cup. The reversal of global consumer confidence in the fourth quarter highlighted the fragility and uncertainty of the global economy at the time, and above all, the divergence in pace of recovery among international markets and regions. [download South Africa's Consumer Confidence release]

United Arab Emirates Ranks in the Top 15 of Most Confident Countries
Consumer confidence in the UAE dropped four points from the third quarter of 2010 to 97 points in the fourth quarter of 2010, placing it in the top 15 of 52 countries measured.  UAE’s ranking fell out of the top ten most optimistic nations after being in top 10 consecutively for the last three quarters of 2010. The drop can be attributed to 14 countries ending the year with a consumer confidence index of 100 points or greater as compared to 11 countries who hit the 100+ index mark one year ago. UAE consumer sentiments have remained the same throughout 2010. [download UAE's Consumer Confidence release]

North America

Canadian Consumer Confidence Declines and Returns to Early 2010 Levels
More than half of Canadians still feel the country is in a recession and nearly one-third report they have no spare cash. While Canadian consumer confidence continues to decline, falling two index points to 99, Canada still ranks higher than many nations around the globe, including the United States. Canada’s highest Index score of 114 was recorded in 2006. [download Canada's Consumer Confidence release]

U.S. Consumer Confidence is Just One Index Point Away From its Lowest Level on Record
Forty-five percent of North Americans still expect the recession to last for another year, compared with 39 percent of Europeans and 19 percent of Asia Pacific consumers. The U.S. jobless rate remains at the heart of the issue for Americans. While the jobless rate dipped a meager 0.3 points in December to 9.4 percent – its lowest level in 19 months – it has topped nine percent for 20 months straight, which is the longest streak on record.

• Download the Nielsen Global Consumer Confidence Index

Consumers in Asia Pacific were generally more optimistic about their job prospects and outlook on the economy compared with their counterparts elsewhere in the world. Despite this confidence, they are becoming more cautious and value-conscious when it comes to spending.

“The good news is that consumers in Asia Pacific are still spending even though they are more cautious in the face of inflationary pressures. Accordingly, we see more value-seeking behavior as consumers look to stretch their money, particularly when it comes to paying for household essentials,” said Karthik Rao, Managing Director, Consumer Research and Innovation for Nielsen in Asia Pacific, Middle East and Africa.

More value-conscious consumers
“With inflation already on the rise in most parts of Asia Pacific, consumers will naturally look to alternatives for both essentials and discretionary spending, and this trend presents opportunities for retailers and manufacturers alike,” added Rao.

In Q4 2010, 79 percent of consumers surveyed in Asia Pacific said they saved on household expenses by changing spending habits (up from 61% quarter-on-quarter). The top three areas targeted were out-of-home entertainment, new clothes and utility bills.

Consumers also appeared to be slightly more cautious when it comes to spending, with 34 percent indicating that the next twelve months would be an excellent or good time to buy the things they want and need (down from 38% quarter-on-quarter).

Saving remains a top priority for those with spare cash in Asia Pacific
After paying for essential living expenses, Asia Pacific consumers are the least cash-strapped in the world. While the number of consumers with no spare cash grew in most parts of the world during the fourth quarter (currently 31% in North America, 20% in Europe and 15% in Latin America), there was no change in Asia Pacific, where just 5 percent or respondents said they had no spare cash.

Putting aside spare cash for savings remains the top priority for Asia Pacific consumers (59% indicated they would do so). After savings, Asia Pacific consumers are most likely to spend spare cash on holidays/vacations (40% from 41% in Q3 2010), new clothes (38% vs. 40% in Q3 2010), investing in stocks and mutual funds (38% vs. 37% in Q3 2010) and out-of-home entertainment (37% vs. 39% in Q3 2010).

“Although the proportion of consumers who put spare cash into savings has declined slightly, the high levels of savers in Asia is an indication that consumers in the region are still generally cautious when it comes to spending their cash,” Rao said.

Consumers in Asia Pacific more upbeat about economic recovery and job prospects
Reflecting uncertainties about inflation in the region as well as the continuing global concerns about unemployment and the economic recovery, consumers in Asia Pacific turned slightly less optimistic about the economy and their job prospects. Compared to consumers in North America and Europe, however, they were much more upbeat.

• Fewer than half (41%) of consumers in Asia Pacific believe their countries are still in recession compared to 84 percent  in North America and 69 percent in Europe. When it comes to the next twelve months, Asia Pacific consumers’ outlook is not much different than their peers in North America and Europe: 47 percent of Asia Pacific consumers believe the recession will last for another year (up from 42% in Q3 2010), while 54 percent North America and 56 percent Europe believe the same.
• More than half (55%) of Asia Pacific consumers believe that their job prospects in the next twelve months would be excellent or good. Consumers in North America and Europe are far less optimistic – only 29 percent and 28 percent respectively were as positive.

To compile its quarterly consumer confidence index, Nielsen polled approximately 29,000 consumers (more than 10,000 in Asia Pacific) in 52 countries about their outlook on jobs, the economy and readiness to spend.