Global FMCG online sales to reach $130

billion by 2025
http://www.kantarworldpanel.com/vn/news/Global-FMCG-online-sales-to-reach130-billion-by-2025

07/07/2015
A report published today by Kantar Worldpanel reveals the true potential for the worldwide
FMCG e-commerce market. Accelerating the growth of e-commerce. 2015 Edition
forecasts FMCG online sales will hit $130 billion by the end of 2025. Onlines share of
FMCG purchasing in advanced e-commerce markets will double in the next 10 years and
Kantar Worldpanel estimates online purchasing will reach 30% in South Korea, 15% in China
and at least 10% in the UK and France.
Global FMCG online sales grew 28% in 2014
With growth of 28% globally in 2014 alone, sales online are rising, particularly in the worlds
most advanced e-commerce markets.
FMCG ecommerce grew at a faster pace in Asia with China being the fastest growing market
(+34%) followed by South Korea (+22%). In Europe the FMCG ecommerce grew 20% in the
UK and 12% in France. South Korea continues to be the country where FMCG online sales
are higher - reaching 13.2% of the total FMCG market (compared to 10.2% one year ago).

Opportunities for retailers and brands

The report is based on in-depth analysis of the purchasing habits of 100,000 shoppers in ten of
the biggest online FMCG markets and identifies the need for retailers and brands to prioritize
their ecommerce strategies to take advantage of the real opportunities that e-commerce brings:
Huge promise: With only 1 in 4 shoppers buying online on a global level, there is enormous
headroom for growth. South Korea is a great example of e-commerce potential becoming
reality: 58.9% of South Korean households buy FMCG products online at least once a year. In
the UK, France and Spain, nearly one out of 4 households buy online but the UK
supermarkets are trailblazing in building repetition.

Penetration

Frequency

Country

% of households buying FMCG

products online at least once in
2014

Online FMCG purchase acts per

online shopping household in
2014

South Korea

58.9%

9.6

Taiwan

39.1%

3.9

China

35.9%

4.0

USA

29.1%

4.8

Spain

24.7%

2.5

UK

24.2%

13.6

France

23.0%

8.4

Portugal

4.9%

2.9

Vietnam*

3.1%

2.2

Valuable shopper profile: the typical profile is a family with young children, urbansuburban, middle/upper class. An average online shopper in Vietnam* spends 418,000 VND
per trip online compared to the 88,000 VND spent per trip in a brick and mortar store, five
times more.

Loyalty: the online share of wallet is already high. In Vietnam* online shoppers spend more
of their annual FMCG spend in the same retailer year by year.
Stphane Roger, Global Shopper and Retail Director at Kantar Worldpanel, explains:
Since last years Accelerating the Growth of E-commerce in FMCG report, we have seen
major changes in the structure of many retailers and brands. Mondelez, Walmart, Pepsico,
Coca-Cola, Procter & Gamble and Unilever have each implemented plans to future-proof
their business for e-commerce. It seems that for these global leaders, the talk is fast turning in
to action.
Roger stresses that joining the e-commerce race is a matter of urgency: Simply put: the
market is remarkably unkind to latecomers. Winning among the retailers are those which first
invested. Tesco in the UK and Frances E.Leclerc both enjoy an online market share double
that of their offline counterparts. For brands, the urgency lies in getting on shopping list. Our
data shows that 55% of online shoppers use the same shopping list from one purchase to the
next, giving first movers a big advantage.

About the Vietnam* market, Onlines share of the grocery market in Modern Trade rose from
0.4% in 2013 to 1.5% in 2014, with this growth look set to continue well in the years to come.
Besides, together with the prevalent speed and convenience trends among Vietnamese
consumers and high internet penetration, e-commerce is certainly going to be an inevitable
trend. Its necessary for FMCG brands and retailers should action to proactively engage with
consumers through more e-commerce investment. We have more evidence of online practices
from both local and international players including Unilever, P&G, Masan, etc. in recent
years; which reinforce the message of e-commerce helping their brands approach shoppers in
from another direction.
David Anjoubault, General Manager of Kantar Worldpanel Vietnam comments:
Development of online in Vietnam* will happen at a different pace by sector starting with
more individual / premium markets, which is witnessed by the dominance of Personal Care
(which accounts for nearly 50% in Online), followed by Milk Powder and after that we may
see progression to the other sectors. Thanks to the prevalent speed and convenience trends
among Vietnamese consumers and high internet penetration, Vietnam is a promise land yet to
be discovered to the fullest where retailers and brands need to focus to develop the online
market.
(*): Vietnam data is only in Urban 4 key cities (Ho Chi Minh City, Ha Noi, Da Nang and Can
Tho)

Nielsen: Ngi Vi t Nam bo nhiu thi gian cho internet

Nielsen Vit Nam cho rng mng x hi ang to iu kin cho ngi tiu dng kt ni vi cc cng
ty, nhn hng. V c n 79% ngi dng Vit Nam tham gia fanpage ca cc cng ty, nhn hng
trn Facebook. Do mng x hi thc y s trung thnh, s ng h v c doanh s cho cc
cng ty.
Ngoi ra, nghin cu trn cn cho thy mt s kt qu nh sau: c 57% ngi dng Vit Nam c
bnh lun trc tuyn ca ngi dng khc v sn phm in t trc khi mua; 40% c bnh lun v
sn phm may mc; 42% khng ch xem thng tin ca ngi khc m cn tch cc ng ti bi bnh
lun; 29% ng ti bi bnh lun, phim nh bnh lun v sn phm; 63% c xu hng tin vo kin
ca ngi tiu dng ng ti trc tuyn hn l thc t - trong khi Nielsen Vit Nam cho rng xu
hng ny ng bo ng v kin trc tuyn kh kim sot.

http://www.thesaigontimes.vn/97686/Nielsen-Nguo%CC%80i-Vie%CC%A3t-Nambo%CC%89-nhie%CC%80u-tho%CC%80i-gian-cho-internet.html