Feeling optimistic about financial well-being
Lisbon, February 2019 - Consumers worldwide are showing a sense of optimism about their financial well-being, especially in developing markets, particularly in the Asia-Pacific, Africa, Middle East and Latin America regions, according to a global study carried out by Nielsen.
The Nielsen study "Changing Consumer Prosperity", which analyzes consumer behavior in relation to their financial situation and their willingness to consume, concluded that, globally, 58% of consumers believe that their financial situation is better than it was 5 years ago. Looking at the top 10 countries in this ranking, we can highlight that 7 of them are in the Asia-Pacific region. Colombia, Romania and Pakistan complete the rest of the list.
Graph 1: Consumer perception of financial situation vs. increase in income (top 10 markets)
With regard to Portuguese consumers, 451 PT3T consider that their financial situation has improved in recent years, an increase of 12 percentage points compared to 2016. When compared to their European partners, Portuguese consumers feel their situation has improved more, with the European average standing at 371 PT3T, an increase of 3 percentage points compared to 2016.
In fact, 32% of Portuguese consumers say they spend more on Food and 27% on Home Hygiene, which is reflected in the effective growth of the FMCG market in Portugal. Increased willingness to spend, coupled with a growing demand for moments of leisure and respite from their busy lives, also led to increases in spending on Technology, Travel, Restaurants and Entertainment.
"In 2013, the outlook was really negative in Portugal, with consumers registering record lows in the Confidence Index drawn up by Nielsen. At that time, the Portuguese were classified as one of the most pessimistic people in the world. Given this scenario, the fact that there have been steady improvements in the country's economic situation has clearly led to a greater sense of relief and feeling of improvement compared to other countries," explains Ana Paula Barbosa, Retailer Vertical Director at Nielsen. "With this feeling of improvement, the Portuguese are clearly more willing to consume and are concerned with enjoying moments of leisure and entertainment, while also investing in health and education for themselves and their families," she comments.