Asian Sales Growth Fueled by Convenience Market

Philippines and Vietnam led the region for fast-moving consumer goods sales, Nielsen data show.

June 26, 2019

SINGAPORE–Convenience and mini-market channels drove sales in Southeast Asia over the past year, according to Nielsen data, Retail News Asia reports. In its “What’s Next for Southeast Asia” report, Nielsen revealed that the Philippines led the region in fast-moving consumer goods (FMCG) sales growth with 8.7%, followed by Vietnam at 5.2%.

Global sales of FMCG reached 3.4% overall, but Asian markets had a stronger performance fueled by consumer confidence and a stronger economy. For example, Vietnamese consumers make more shopping visits for everyday essentials, stopping by convenience stores 4.5 times per month in 2018—a threefold increase in frequency over 2010.

“We’ve been seeing solid growth in the convenience and mini-market channels across Southeast Asia for some time now, but over the past year or so that growth has really hit fever pitch,” said Vaughan Ryan, managing director for Nielsen Southeast Asia. “Consumers throughout the region are living increasingly fast-paced lives, and this lifestyle shift is driving increasing demand for on-the-go offerings.”

To take advantage of the change in consumer lifestyles, Vingroup debuted a virtual store chain that lets users shop by scanning QR codes on displays in public places and in printed catalogues. Analysts predict that the Vietnam retail sector should have double-digit growth now until 2024.