Health at the top of Portuguese concerns
- Confidence among the Portuguese remains above the European average
- Health top of mind
- Most Portuguese changed your spending to save money
- Consumption peaks, influenced by impact of storage on the COVID-19 pandemic
In the first quarter of 2020, the Portuguese were once again more confident than consumers at European level as a whole. According to the results of "The Conference Board® Global Consumer Confidence Survey", conducted in collaboration with Nielsen, the level of confidence among Portuguese consumers was still slightly above the European average.
Portugal scored 90 points in the first quarter of the year, showing a slight drop compared to previous quarters, but maintaining the "mark" of 90 points achieved over the last year.
It is important to mention, however, that the fieldwork for this survey ended at the end of February and therefore does not yet reflect the impacts of the COVID-19 pandemic.
Health jumps to the top of Portuguese concerns
Health emerged this quarter as the main concern for 30% of the Portuguese. The balance between work and personal life also stands out, but in second place. Employment, which was in 5th place in the previous quarter, is now the Portuguese's 3rd main concern.
A certain pessimism is reflected in the employment outlook for the next 12 months, as more than half (56%) of those surveyed say they expect difficult times in this regard and almost half (46%) do not foresee a positive outlook for their personal finances.
In this sense, 62% of the Portuguese said they had changed their spending to save on household expenses, with the main savings measures being entertainment away from home (51%), gas and electricity (50%), take-away meals (48%), clothes (45%) and looking for cheaper food brands (40%).
Consumption peaks in response to the pandemic
Growth in FMCG in the first quarter of the year was the highest in value in recent years (+14.5%), the third highest among the 21 countries analyzed in the study, only ahead of Turkey (+25.4%) and Hungary (+17.7%). The increase in volume (+14%) seen in this period is the main driver of this performance, second only to Greece.
As Ana Paula Barbosa, Retailer Vertical Director at Nielsen Portugal, explains, "FMCG sales in the first quarter of 2020 are impacted by the effect of the COVID-19 pandemic, particularly with regard to the volume factor. This period was marked by a clear concern to stock up on products considered essential to cope with the confinement measures put in place. Between weeks 9 and 11, there was a notable concern among consumers to fill the pantry, especially visible in the Personal Care, Home Care and Food categories, in order to prepare for the quarantine. Week 11 had a particular impact on the first quarter, with a growth of 65% in value compared to the same period last year."
Private Brands were the most dynamic (+18.6%), although Manufacturer's Brands also grew in this first quarter (+12.2%). An analysis by category shows that Frozen Foods (+24%), Home Care (+18%) and Groceries (+16%) grew the most in value.
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