Iran - The new frontier - Final

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Iran - The new frontier

September 2015Created by: Alistair Hill, On Device Research

On Device Research, emerging markets research specialists, conducted a mobile survey in Iran to uncover consumer attitudes towards the sanctions coming down and the opportunity for foreign companies to sell goods and services into this market.

The nationally representative survey, which was conducted via the mobile internet, was from a sample of 1000 consumers in August 2015.

The survey was conducted in Farsi.

At the same time, a similar survey was also run in the US to provide a comparison for some of the metrics.

Summary:

Iranians are incredibly excited about the sanctions coming down with 83% believing it will have an impact on their life.

• Iranians are very aspirational people. 36% aspire to be wealthy, compared to 20% in the US. 68% want to start their own business versus 33% in the US.

• They believe the removal of sanctions will provide new opportunities for them and allow them to feel more connected to the world.

• Not only will it provide new opportunities for Iranians, but due to 73% being interested in buying imported products there are fantastic opportunities for foreign businesses wishing to (re)enter this huge market.

• Iranians are primarily interested in buying imported products due to their perceived superior quality, compared to local equivalents.

• Cars are the most desired product area but many other imported goods show strong interest.

• Iranians believe that Germany produces the best quality goods, closely followed by USA, Japan and other western European countries.

• Emerging Asian countries have the poorest reputation for quality goods and services.

Section 1: Iranian consumer opinion towards the removal of sanctions

Section 2: The opportunity for foreign businesses in Iran

83% of Iranians believe that

the removal of sanctions will have an impact on their life

Country: IranSample Size: n=1000Date: August 2015

Iranians believe that the removal of sanctions will provide more opportunities, impact their purchasing of goods and services and make them more connected to the world.


36%

33%

32%

28%

19%

13%

9%

More opportunities (e.g. career, study, travel)

Prices of goods may come down

Feel more connected to the world

More say in international affairs

Can buy imported goods

Wider internet access

Wider access to international media

What most excites you about the sanctions coming down?

38% 36%33%

21% 20% 19%13% 13% 13% 11% 10% 8%

2%

59%

20%

29% 31%

9%6% 5%

17%11% 9%

34%

5%

25%

Which of these do you most aspire to be?

Iran US

Iranians are aspirational; more so than people in the US. ‘Wealthy’ is the second highest aspiration, with other statements like ‘Best in my field’, ‘Good social status’ and ‘Famous’ scoring high as well.


Nearly 70% of Iranians are interested in starting their own business, compared to 33% of Americans.

68%

33%

Iran US

Are you interested in starting up your own business? - % Yes


The vast majority of Americans are neutral about the sanctions coming down in Iran while 23% are negative.

8%

13%

57%

10%13%

Very positive Somewhat positive Neutral Somewhat negative Very negative

How do you feel about the international trade sanctions being removed in Iran?


58% of Iranian consumers are interested in working for a foreign company and of those people 83% would be interested in working for a US company.


83%

40%

29% 27%22% 22% 22% 20%

14%

7% 6% 6% 5%2% 2%

Of which nationality company would you consider working for?

96% of Iranians are interested in travelling to foreign countries with the US being the most popular destination.


37%

33%31%

25%23%

14%12%

11% 11%10%

9% 9%

5% 5%4%

1%

4% 4%

Which countries are you interested in visiting?

Section 1: Iranian consumer opinion towards the removal of sanctions

Section 2: The opportunity for foreign businesses in Iran

73% of Iranians are

interested in purchasing imported products


The major reason Iranians are interested in purchasing imported goods is the improved quality.

66%

9% 9% 8%6%

Better quality Latest designs/features More choice of brands Cooler brands Better value for money

What is the main reason you are interested in imported goods from abroad?


49% of Iranian consumers are interested in purchasing an imported car.

49%

40%

38%

33%

31%

31%

30%

25%

21%

21%

17%

15%

15%

14%

Car / Motorbike

Personal Electronics (e.g. mobile phone, tablet, camera, mp3…

Computing (e.g. desktop, laptop, software)

Clothing / Footwear

Home Appliances (e.g. washing machine, refrigerator, cooker…

Sports goods (equipment, apparel etc.)

Home Electronics (e.g. TV, DVD/Blu-ray player, Hi-fi, Gaming…

Shampoo

Deodorant / Anti-perspirant

Entertainment (e.g. DVD, CD, books, video games)

Soaps / Shower gel

Small Appliances (e.g. microwaves, vacuum cleaners, electric…

Facial skincare products

Cosmetics / make-up

What kind of imported products would you be interested in?


Of all the possible imported food and drink, coffee and tea are the most interesting to Iranians.

38%

34%

28%

20%

17%

12%

10%

9%

Coffee / Tea

Sweets / Chocolates

Vitamins / Health supplements

Ice cream

Fizzy soft drinks

Potato chips / other salty snacks

Cakes / baked goods

Breakfast Cereals

Which imported food/drink products would you be especially interested in?


52% of consumers who are in the market for a car, are also interested in purchasing an imported car. Similar proportions are also interested in vitamins, cosmetics, tea / coffee and sweets.

52%

52%

52%

51%

50%

45%

45%

44%

43%

42%

41%

41%

37%

36%

Vitamins / Health supplements

Cosmetics / make-up

Car / Motorbike

Coffee / Tea

Sweets / Chocolates

Facial skincare products

Sports goods

Deodorant / Anti-perspirant

Personal Electronics

Computing

Shampoo

Home Appliances

Home Electronics

Clothing / Footwear

Interest in imported products by those in the market for the product


87% of Iranians perceive Germany to provide good quality products.

87% 85%80% 80%

75%72%

67%64%

59%

42%

30%27%

18% 16%13%

8%

How good do you consider the quality of products from these countries? - % Good

Good


48% of Iranians are interested in purchasing an iPhone, while Chinese brands such as Huawei and Lenovo, are much lower down the list.


48%

34%

15%

9% 8% 8% 7% 6%4% 3% 2% 2% 1% 1%

Which mobile phone brands are you interested in (e.g. if you had the opportunity to purchase them)?

For more information or the raw data, please get in touch:

mailto:[email protected]

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Iran - The new frontier - Final