45
Consumer Behavior Survey COFFEE MARKET

Vietnam's coffee consumer behavior

Embed Size (px)

Citation preview

Page 1: Vietnam's coffee consumer behavior

Consumer Behavior Survey

COFFEE MARKET

Page 2: Vietnam's coffee consumer behavior

Contents

Industry overview

Survey results

Executive summary

General information about the survey

2

Page 3: Vietnam's coffee consumer behavior

EXECUTIVE SUMMARY

[1] Brand awareness

Trung Nguyên is the brand with the highest level of brand recall (82.1%) High proportions of respondents replied that they have consumed Trung Nguyên

(98.1%), Nescafe (87.8%) and Vinacafe (76.3%)

[2] Customer satisfaction

Trung Nguyên has the highest proportion of satisfied customers, followed by

Nescafe

Page 4: Vietnam's coffee consumer behavior

[3] Consuming habits

Common average consumption frequency is one cup per day (45.7%) Coffee with added sugar, milk is more common used than black coffee

Respondents over 55 years old consume black coffee more often than younger respondents

Roasted coffee powder is more common (90.2%) than roasted coffee beans

[4] Factors influencing customers’ buying decisions

Brand, habits and hobbies and product quality mainly influence customers’ buying decisions

Women are mainly influenced by product quality (64.1%) and brand (53.1%) Men are mainly influenced by habits and hobbies (67.9%)

EXECUTIVE SUMMARY

4

Page 5: Vietnam's coffee consumer behavior

[5] Brand loyalty

When a shopping location runs out of the regularly consumed products, 30.9% of

Nescafe consumers will switch to other products. The figure for Vinacafe is 20%and the figure for Trung Nguyên is the lowest, 16.8%

[6] Channels to access product information

Grocery stores are the most common product channel, the second most common channel is supermarkets

Distance and location and reputation mainly affect customers’ shopping location

choices (78.8% and 72.4%) TV and Word of mouth are the most common channels to access product

information

EXECUTIVE SUMMARY

5

Page 6: Vietnam's coffee consumer behavior

Contents

Industry overview

Survey results

Executive summary

General informationabout the survey

6

Page 7: Vietnam's coffee consumer behavior

COFFEE INDUSTRY OVERVIEW

Season 2015/2016

- Growing area increases by 0.2% compared to the season 2014/2015

- Production output increases by 6.93% compared to the season 2014/2015

Source: U.S. Department of Agriculture (USDA) and International Coffee Organization (ICO)

Unit: thousand tons

1560 1590 1790 1644 1758

2011/2012 2012/2013 2013/2014 2014/2015 2015/2016

Coffee production output

increases by 3.03% on

average seasonally over the period 2011-2016

7

Page 8: Vietnam's coffee consumer behavior

Source: U.S. Department of Agriculture (USDA) and International Coffee Organization (ICO)

In 2015:

Domestic coffee consumption: 156.000 tonsIn which:

- Roasted coffee: accounts for 2/3- Instant coffee: accounts for relatively

1/3 of total domestic consumption

Domestic coffee consumption increases by 11.75% on average over the period

2011-2016

100 109,5120,5 133 156

2011/2012 2012/2013 2013/2014 2014/2015 2015/2016

Unit: thousand tons

COFFEE INDUSTRY OVERVIEW

8

Page 9: Vietnam's coffee consumer behavior

Contents

Industry overview

Survey results

Executive summary

General informationabout the survey

9

Page 10: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’

SHOPPING LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION• PROMOTION FORMS

10

Page 11: Vietnam's coffee consumer behavior

BRAND AWARENESS

Brandrecall (%) 82.1 34.0 20.5 1.9 2.6 0.0

Brand recognition (%) 100 94.2 91.9 42.5 46.7 43.6

BRAND AWARENESS AND CUSTOMER SATISFACTION

Trung Nguyên has

the highest level of

brand awareness

11

Page 12: Vietnam's coffee consumer behavior

BRAND AWARENESS – BY INCOME

Unit: %

BRAND AWARENESS AND CUSTOMER SATISFACTION

Higher income

respondents recognize

better

Birdy

Highlands

MacCoffee

BrandsUnder 10 mnVND

From 10 tounder 20 mn

VND20 mn VNDand higher

Trung Nguyên 100 100 100

Nescafe 97.4 96.1 94.6

Vinacafe 92.3 92.1 97.3

Highlands 28.2 43.4 54.1

Birdy 33.3 47.4 62.2

MacCoffee 23.1 47.4 56.7

12

Page 13: Vietnam's coffee consumer behavior

BRAND POPULARITY

98.1%87.8%

76.3%

24.4% 26.3% 21.2%

TrungNguyên

Nescafe Vinacafe Highlands Birdy MacCoffee

BRAND AWARENESS AND CUSTOMER SATISFACTION

Trung NguyênNescafeVinacafeare the most

popular brands

13

Page 14: Vietnam's coffee consumer behavior

CURRENT CONSUMPTION

Trung Nguyên has the highest proportion of consumers using products in the last month, 60.9%

0.6%

4.5%

5.8%

16.0%

33.3%

60.9%

0 10 20 30 40 50 60 70

BRAND AWARENESS AND CUSTOMER SATISFACTION

14

Page 15: Vietnam's coffee consumer behavior

CONSUMER SATISFATION

The highest proportion of satisfied consumers 1. Trung Nguyên: 78.3%

2. Nescafe: 55.6%

BRAND AWARENESS AND CUSTOMER SATISFACTION

78,3

55,6

47,4

45,9

24,4

29,0

20,4

36,1

41,2

48,6

58,5

64,5

1,3

8,3

11,4

5,5

17,1

6,5

0% 20% 40% 60% 80% 100%

Trung Nguyên

Nescafe

Vinacafe

Highlands

Birdy

MacCoffee

Satisfied Neutral Dissatisfied

15

Page 16: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’

SHOPPING LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION• PROMOTION FORMS

16

Page 17: Vietnam's coffee consumer behavior

COFFEE TYPES COMMONLY CONSUMED IN HOUSEHOLDS

Instant coffee is consumed by most of the households, 98.1%

98.1%

39.1%

19.2%

Cà phê hòa tan Cà phê rang xay Cà phê uống liềnInstant coffee Roasted coffee Ready-to-drink coffee

CONSUMING HABITS

17

Page 18: Vietnam's coffee consumer behavior

CONSUMING HABITS

Common average consuming frequency is one cup per day (45.7%)

Most of the respondents consume coffee with added sugar, milk (83.1%)

29.3%

45.7%

25.0%

Mỗi ngày 2 cốc hoặc nhiều hơn

Mỗi ngày 1 cốc Mỗi tuần vài cốcTwo cups per day or more

One cup per day

Several cupsper week

CONSUMING HABITS

Milk coffee83.1%

Black coffee16.9%

18

Page 19: Vietnam's coffee consumer behavior

CONSUMING HABITS

93,584,8 87,5

64,5

6,515,2 12,5

35,5

0%

20%

40%

60%

80%

100%

<=30 yearsold

31-40years old

41-55years old

>55 yearsold

71,4

85,8

28,6

14,2

0% 20% 40% 60% 80% 100%

Milk coffee Black coffee

Respondents over 55 years old consume

black coffee more than younger respondents doAlmost women consume milk coffee

CONSUMING HABITS

19

Page 20: Vietnam's coffee consumer behavior

CONSUMING HABITS

Instant coffeeAlmost respondents consume instant coffee with

added sugar, milk (92.1%)

CONSUMING HABITS

Black

coffee

7.9%

With added

sugar, milk

92.1%

Powder,

90.2%

Coffee

bean, 9.8%

Roasted coffeeAlmost respondents consume

roasted coffee powder (90.2%)

20

Page 21: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’

SHOPPING LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION• PROMOTION FORMS

21

Page 22: Vietnam's coffee consumer behavior

FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS

22

Packaging, design5.8%

Popularity9.6%

Brand51.9%

Habits and hobbies55.8%

Product quality64.1%

Price21.2%

Pervasiveness of counterfeited products

8.3%

Easy to access3.2%

Promotions2.2%

Size, capacity 5.1%

FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS

22

Page 23: Vietnam's coffee consumer behavior

FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS – BY GENDER

67,964,1

53,9

0

10

20

30

40

50

60

70

80

%

Nam Nữ

Product quality

Brand Easy to access

Origin Price Popularity Pervasiveness of counterfeited products

Size, capacity

Packaging, design

Habits and hobbies

Promotions

Male Female

Women are influenced mainly by brandMen are mainly influenced by habits and hobbies

FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS

23

Page 24: Vietnam's coffee consumer behavior

FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS - BY INCOME

Factors Under 10 mn VND (%)

From 10 to under 20 mn VND (%)

20 mn VNDand higher (%)

Product quality 53.8 67.1 70.3Habits and hobbies 53.8 57.9 54.1

Brand 41.0 53.9 62.2Price 30.8 17.1 21.6

Origin 28.2 34.2 27.0Pervasiveness of counterfeited product 10.3 5.3 8.1

Popularity 10.3 9.2 10.8

Access to product 7.7 1.3 0.0

Packaging, design 5.1 6.6 5.4

Size, capacity 2.6 6.6 5.4

Promotions 2.6 0.0 8.1

FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS

24

Page 25: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’

SHOPPING LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION

25

Page 26: Vietnam's coffee consumer behavior

BRAND LOYALTY

Given bad news about the regularly consumed product:

50.3% of respondents verify information

3.9% of respondents continue purchasing

Stop purchasing

45.8%Verify informatio

n 50.3%

Continue purchasing

3.9%

BRAND LOYALTY

26

Page 27: Vietnam's coffee consumer behavior

BRAND LOYALTY

In case a shopping location runs out of the regularly consumed product:

54.8% of respondents buy at other locations

21.9% of respondents will switch to other

products

Switch to other products 21.9%

Wait until the products are

available 23.2%

Buy at other locations

54.8%

BRAND LOYALTY

27

Page 28: Vietnam's coffee consumer behavior

BRAND LOYALTY

16,8

20

30,8

56,8

48

51,9

26,4

32

17,3

0% 20% 40% 60% 80% 100%

Lựa chọn sản phẩm thay thế khác

Mua nơi khác

Chờ đến khi có sản phẩm sẽ mua

In case a shopping location runs out of the regularly consumed brand: Trung Nguyên customers are the most loyal compared to other brands’ customersNescafe consumers switch to other brands the most often compared to other brands’ customers

Switch to another brand

Buy at other locations

Wait until the products are available

BRAND LOYALTY

28

Page 29: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’

SHOPPING LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION• PROMOTION FORMS

29

Page 30: Vietnam's coffee consumer behavior

SHOPPING LOCATIONS

Main shopping locations are grocery stores (52.5%) and supermarkets (48.1%)

SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’ SHOPPING LOCATION CHOICES

30

48,1

23,7

2,5

52,5

0,6

94,9

0%

20%

40%

60%

80%

100%

Super markets Conveniencestores

Markets Grocery stores Online purchasing

Ussally Sometimes Seldomly Never

Page 31: Vietnam's coffee consumer behavior

FACTORS INFLUENCING CUSTOMERS’ SHOPPING LOCATION CHOICES

78.8% Distance and location

Reputation

21.8% Price

12.8% Promotions

44.2% Products variety

9% Means of payment

6.4% Delivery service

72.4%

SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’ SHOPPING LOCATION CHOICES

31

Page 32: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’

SHOPPING LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION• PROMOTION FORMS

32

Page 33: Vietnam's coffee consumer behavior

CHANNELS TO ACCESS PRODUCT INFORMATION

Tivi, đài93%

Người thân, bạn bè62%

Internet52.6%

Salesmen36.3%

Newspapers, magazines35.8%

Leaflets, posters22.9%

Advertisement on Buses22.4%

Banners in public

18.4%

Forums11.4%

Cultural, musical event sponsorship

18.9%

TV and radio90.4%

Relatives, friends

66%

Advertisement in cinemas

12.9%

TV and radio are the most common channels to access product information, 90.4%

Accessing information through word of mouth is relatively common, 66%

CHANNELS TO ACCESS PRODUCT INFORMATION

33

Page 34: Vietnam's coffee consumer behavior

CHANNELS TO ACCESS PRODUCT INFORMATION – BY AGE

Channels<=30

years old31-40

years old41-55

years oldOver 55

years old

TV, radio 82.9 91.7 97.6 87.5

Internet 74.3 70.8 34.1 25.0

Relatives, friends 57.1 52.1 85.4 71.9Salesmen 40.0 20.8 45.0 50.0Banner in public 31.4 8.3 39.0 6.3Advertisement on buses 22.9 12.5 41.5 15.6Newspapers, magazines 20.0 45.8 51.2 25.0

Advertisement in Cinemas 20.0 4.2 12.2 3.2Leaflets, posters 17.1 18.8 46.3 18.8

Cultural, musical event sponsorship 14.3 6.3 22.0 15.6Forums 8.6 6.3 22.0 9.4

CHANNELS TO ACCESS PRODUCT INFORMATION

Unit: %

34

Page 35: Vietnam's coffee consumer behavior

SURVEY RESULTS

• BRAND AWARENESS AND CUSTOMER SATISFACTION• CONSUMING HABITS• FACTORS INFLUENCING CUSTOMERS’ BUYING DECISIONS• BRAND LOYALTY• SHOPPING LOCATIONS AND FACTORS INFLUENCING CUSTOMERS’ SHOPPING

LOCATION CHOICES• CHANNELS TO ACCESS PRODUCT INFORMATION

• PROMOTION FORMS

35

Page 36: Vietnam's coffee consumer behavior

PREFERED PROMOTION FORMS – BY GENDER

“Bonus offers” is the most preferred promotion form, the

second preferred promotion is “Price discounts”

32.0

20.0

28.0

8.012.0

41.1

21.4

27.7

2.7

7.1

Tặng sản phẩm Tặng quà là sản phẩm khác Giảm giá sản phẩm Rút thăm trúng thưởng Tặng phiếu mua hàng

Nam

Nữ

Bonus offers Promotional gifts Price discounts Lucky draw Vouchers

Male

Female

PROMOTION FORMS

36

Page 37: Vietnam's coffee consumer behavior

PREFERED PROMOTION FORMS – BY AGE

Promotion forms<=30

years old31-40

years old41-55

years oldOver 55

years old

Bonus offers 29.4 34.8 55.5 38.1

Promotional gifts 35.3 17.4 13.9 19.0

Price discounts 32.4 30.4 19.4 28.6

Lucky draw 0 6.5 0 9.5

Vouchers 2.9 10.9 11.1 4.8

Respondents over 40 years old prefer bonus offersYoung respondents prefer Promotional gifts and Price discounts

Unit: %

PROMOTION FORMS

37

Page 38: Vietnam's coffee consumer behavior

Contents

Industry overview

Survey results

Executive summary

General informationabout the survey

38

Page 39: Vietnam's coffee consumer behavior

GENERAL INFORMATION ABOUT THE SURVEY

Study sites: Hanoi

Survey period: July 2016

Sample size: 156 households

Sampling method: random sampling

Survey method: face to face interviews

39

Page 40: Vietnam's coffee consumer behavior

GENERAL INFORMATION ABOUT RESPONDENTS

30,8

20,5 19,9

13,510,3

3,2 1,9

Occupations

3,3

22,4

50

21,1

3,3

Housewives, retirees

Officers Business-men

Unskilled,Freelanceworkers

Servicestaffssalesmen

Manu-facturers

Managers

<5 mn VND Form 5 to 10 mn VND

From 10 to 20 mn VND

From 20 to 40 mn VND

>= 40 mnVND

Household monthly income

16-30 years old

22.4%

31-40 years old

30.8%

41-50 years old

16.7%

51-60 years old

18,.%

Over 60 years old

11.5%

Age

40

Page 41: Vietnam's coffee consumer behavior

41

CONTACT

HEAD OFFICE - Hanoi

Suite 305-307, 12 Trang ThiStreetHoan Kiem District, Hanoi

Tel: (+84)04-39351419Fax: (+84)04-39351418

BRANCH OFFICE – Ho Chi Minh City

15th Floor, Unit D1502, The Manor Officetel, 91 Nguyen Huu Canh Street,Binh Thanh District, Ho Chi Minh City

Tel : (84-8) 3507 0622

Website: www.marketintello.com Email: [email protected]

Page 42: Vietnam's coffee consumer behavior

MARKETINTELLO | INTRODUCTION

42

DEPOCEN was founded in 2005 as an

independent research organization, and

has gained its reputation among the

development and policy research and

consultancy community with its wide range

of research into socio-economic issues,

sector specifics, macro-economic policies,

business and investment environments,

trade liberalization, governance, and the

public sector.

DEPOCEN MARKETINTELLO

MarketIntello is headquartered in Hanoi and has a branch in Ho Chi Minh City. We

offer comprehensive market research packages on a national scale. MarketIntello

is striving to become one of the leading research and consulting firms in Vietnam

with the highest standard of market research services.

Market research service

MarketIntello was founded in 2015 as an initiative of DEPOCEN in response to the increasing requests for market studies and research from corporate clients. Strongly backed by DEPOCEN, the firm has a research team with full capacity of providing survey, comprehensive and intelligent information, analytic solutions, and industry research for both domestic and international clients

Page 43: Vietnam's coffee consumer behavior

MARKETINTELLO | VISION AND MISSION

Mission

VisionA leading research and consultancy firm that excels on rigorous

scientific disciplines, advanced analytical techniques, and real-time

data and information to serve clients

To provide market insights and credible solutions

through market research and consultancy

43

Page 44: Vietnam's coffee consumer behavior

MARKETINTELLO | SERVICES AND CLIENTS

Periodic reports

*Please access website www.marketintello.com for new released reports44

Page 45: Vietnam's coffee consumer behavior

MARKETINTELLO|SERVICES AND CLIENTS

Clients

45