Presented by Ryan Vaughan - Nielsen Vietnam This slideshow is from a presentation at the M2 Marketing & Media events in Ho Chi Minh City, Vietnam organized by ITV-Asia.com and VietnamBusiness.TV To see videos from the events, interviews with speakers and to get information on upcoming M2 - Marketing & Media Network events please visit VietnamBusiness.TV

1. Driving differentiated outcomes for your business
June 4 2014
DEMYSTIFYING
THE RURAL CONSUMER
IN VIETNAM
video
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This slideshow is from a presentation at the M2 Marketing & Media events
in Ho Chi Minh City, Vietnam organized by ITV-Asia.com and VietnamBusiness.TV
To see videos from the events, interviews with speakers and
to get information on upcoming M2 - Marketing & Media Network events
Please visit VietnamBusiness.TV

3. Copyright©2013TheNielsenCompany.Confidentialandproprietary.
3
MORE PURCHASING POWER
Source:
Monthly income per capita: GSO 2012
Occupation structure & Urbanization rate: Rural Census 2011
Education level: Nielsen Rural Syndicated Study 2009 & Nielsen Rural 2014
At
WHAT’S YOUR STRATEGY FOR VIETNAM?
What works in the city, may not, in the country.
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MORE PURCHASING POWER
RURAL AND URBAN CONSUMERS
- WE KNOW WHAT MAKES THEM TICK
REACH
WHO WHAT HOW
REACTRESONATE
Driving differentiated outcomes for your business in Vietnam
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5. MEET THE RURAL CONSUMER
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AT THE CORE OF THE RURAL CONSUMER……
Understand what really matters
Authenticity
value sincerity, honesty
Assurance
need to know they made the right decision
Resilience
possess positive outlook despite challenges
Progress
driven to have a better life; will make it happen
Share and bond
big on family and community bonding
Conform with society
big on what others say and buy
VALUES NEEDS
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POWER OF CLOUT AND CROWD IN RURAL VIETNAM
Source: Nielsen Rural 2014; Nielsen Regional Difference 2010
Use WOM to inform and influence
• 74% CONCERNED WITH
WHAT OTHERS THINK
• 46% DARE TO BE DIFFERENT
• ‘POPULAR BRAND’ IS
MOST IMPORTANT DRIVER FOR
TRIAL (70%)
• 81% RURAL , 46%URBAN
VALUE OTHERS’ OPINIONS &
RECOMMENDATIONS
• 70% RURAL ARE AFFECTED BY
OTHERS’ RECOMMENDATIONS IN
PURCHASE DECISION
• 70% URBAN WOULD GET
OTHERS’ IDEAS FOR REFERENCE
ONLY
CROWD
PLAY
CLOUT
PLAY
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8. WINNING TOUCH POINTS
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RURAL VIETNAM: MEDIA 1.0
TELEVISION
Most effective
channel influencing
consumers’
decision
WOM
DIGITAL
Embracing as new
channel
Media usage in rural still relatively basic, given the lack of entertainment activities
Top 5 activities in a typical week
Source: Nielsen Rural Study 2014
URBANRURAL
1. Watching TV
2. Shopping for daily
consumption
3. Eating out
4. Shopping at the
mall
5. Visit
friends/family
1. Watching TV
2. Family activities
3. Hanging out
with friends
4. Surfing the
Internet
5. Joining social
activities
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INFLUENCING THE PATH TO PURCHASE
Different ways to reach the same consumer – eye on TV and WOM
affects brand purchase
decision
being a trustworthy
source
product information
(specification/function)
information source
only
88% share of
total time spent
on media usage
3.4 hours
spent on
watching TV
daily
A SOURCE OF
ENTERTAINMENT
• A RELIABLE
SOURCE OF
PRODUCT
INFORMATION
MOST
TRUSTWORTHY
SOURCE
A SOURCE OF
INOFRMATION
A SOURCE OF
PRODUCT
INFORMATION
Source: Nielsen Rural Study 2014
29%
40%
69%
69%
69%
57%
38%
47%
50%
42%
20%
20%
36%
48%
16%
18%
Ownership/
Usage of
smartphone:
12% vs 71%
for Feature
phone
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RURAL CONSUMERS LIKE IT AS REAL AS IT CAN GET
Authenticity hits home
Source: Nielsen Rural Study 2014
48% want
simple, easy
to
understand
47% like
close-to-life
scenes
46% like
family-related
scenes
40% like
funny plots
SIMPLE
What do you like about your favorite TVCs?
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HOW TO WIN IN THE RURAL MARKET?
UNDERSTAND YOUR
RURAL CONSUMERS
KNOW WHERE, HOW AND
WHAT THEY BUY
EMBRACE THEIR
TOUCHPOINTS
• EMBRACE THEIR VALUES
(Authenticity, Resilience,
Sharing and Bonding)
• DELIGHT THEIR NEEDS
(Assurance, Progression,
Social conformity)
• PAY ATTENTION TO
DIVERSITY
• DELIVER ‘REAL VALUE’
• GROW CATEGORIES BY
HELPING CONSUMERS
TO PROGRESS
• CAPTIVATE THE POWER
OF WOM
• DRIVE RETAILERS TO
BECOME BRAND
AMBASSADORS
• FOCUS ON TV BUT ALSO
CONSIDER DIGITAL IF
TARGETING YOUNG
CONSUMERSVisit VietnamBusiness.TV
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This slideshow is from a presentation at the M2 Marketing & Media events
in Ho Chi Minh City, Vietnam organized by ITV-Asia.com and VietnamBusiness.TV
To see videos from the events, interviews with speakers and
to get information on upcoming M2 - Marketing & Media Network events
Please visit VietnamBusiness.TV