NIELSENNEWS
Edition June 2010
50% of Consumers in Indonesia will Follow
Football World Cup 2010
With the World Cup finals already started in
Johannesburg on 11 June, a global survey
Dear Clients,
I welcome you to the first
issue of Nielsen News. In
this edition, we provide you
with information from the
perspective of what
consumers watch and what
consumers buy, so that you
will have a complete view of
the market which will help
you in making strategic
decision for your company.
conducted by The Nielsen Company reveals
that 50 percent of consumers in Indonesia
will follow the games. Globally, 51 percent
indicate they will watch the game, and 34
percent consider themselves football fans.
In the Asia Pacific region, Indonesians declares themselves the most avid followers
of football with more than half (54%) saying they are fans of the game, followed by
Vietnamese (52%) and Indians (47%). But the appeal of the World Cup finals
I hope you find this
newsletter useful, and thank
you for your continuous
support to Nielsen.
appears to reach far beyond football’s usual fan base – the Nielsen figures reveal
Best Regards,
Steve
finals were South Korea (76%), Vietnam (68%) and China (65%).
that in all Asia Pacific countries, intent to follow the World Cup is much higher than
the traditional football fan base. Countries with the highest level of intent to follow the
24% Indonesian favor Brazil to win 2010 World Cup, 40% Globally
Brazil is cited as the team most people think will win - globally, 39% think so. So is
Content:
• 50% of Consumers in
Indonesians, 24% people think Brazil will win, but 22% said England, and 11% think
Spain will win. Brazilians are also optimistic as 86% is confident to say their home
team will bring the trophy, but Brazil is not the only optimistic nations, since Spanish
Indonesia will follow
people (65%), Italians (45%) and Germans (40%) also believe that their home nation
Football World Cup
will see World Cup Glory.
2010
• FMCG Sales Grow 8% in
First Quarter of 2010
• Badminton National
Team Grabbed TV
TV is not the only medium, and new media will be alternatives
How will Indonesians follow the World Cup? Television is still the main medium with
77 percent said they will watch live coverage of the games, however, in Asia Pacific
region, only 59% will use TV as their main medium.
Viewers’ Attention
Copyright © 2010 The Nielsen Company. All rights reserved
www.nielsen.com
1
Nielsen News
Based on Nielsen Television Audience
TV - Who watched World Cup in 2006?
Measurement, the World Cup in 2006, broadcast
64 per cent
of the
audience
were men.
Source: Nielsen - TAM
32.6% of those
who watched at
least half hour of
the 3rd place
match were
watching the
final match
live from Germany, was watched by an average of
nearly 3 million people (aged above 5 years in 10
major cities).
However, TV is not the only medium, as 62
49 per cent of
those who
watched were
aged 20-39
years
percent will read newspapers to follow World Cup
2010. Even the new media: online and mobile
phones has become alternatives for Indonesians
to follow the matches as 31% plan to watch live
15
streaming of the matches, 45% will read online
articles, and 32% will read through blogs or online forum. With the growing penetration of mobile phone, 34% will follow
the soccer event through mobile internet, and 13% will download world-cup-related apps for their phones.
Key Product Categories during World Cup expect to see growth during the weeks.
World Cup does not only mean football and games, it also means money. Manufacturers also see this event as
opportunity to push more sales. Nielsen data shows sales for key world cup product categories increased 31% reaching
Rp. 67 Billion during the world cup weeks in 2006
(week commencing June 5, 2006 to end of July 9,
Indonesians opted for Snack, Soft Drink, Nuts,
Cigarettes, and Energy Drinks.
2010) compare to the same period in 2005.
Final Week
In Rp. ‘000
German vs
Argentina
6,000,000
While in other markets, we would expect to see
bigger growth in beers, in Indonesia, categories
Snack
5,000,000
Soft Drink
4,000,000
like snack, soft drink, peanuts, cigarettes, and
Nuts
3,000,000
energy drink will enjoy more sales. Peanuts
2,000,000
Cigarettes
experienced the highest growth with 72 percent,
24-Jul -06
17-Jul -06
10-Jul-06
3-Jul-06
26-Jun-06
19-Jun-06
12-Jun-06
5-Jun-06
29-May-06
Week
Com mencing…
Energy
Drink
22-May-06
0
15-May-06
Snack (28%) and Soft Drink (19%).
8-May-06
followed by Cigarettes (37%), Energy Drink (35%),
1,000,000
The sales were high especially during the week
with most watched broadcast such as Germany
22
So urc e: N ie ls en Sc an Tr ack d ata
vs. Argentina in the quarter-final that had won the most TV viewers between 10.30 pm to 2 am with 6.25 million people
aged above 5 years. Another sales peak was during the final week that aired the final match between Italy and France
which broadcasted at 11.30 pm to 4.30 am and reached 4.2 million people.
Copyright © 2010 The Nielsen Company. All rights reserved
www.nielsen.com
2
Nielsen News
During the hype of world
cup in June 2002 & 2006,
adspend increased 12%
from the previous month
(May).
While in regular year it
only increase around 5%.
Advertising Spending rose!
Jan – Dec 2002, 2006, in all media type, based on gross rate card (doesn’t calculate discount,
promo, bonus, etc.), in Rp Million, all comm ercial product only.
3,500 ,0 00
Advertising spending will also see growth
during the month of June as world cup
sponsors in Indonesia are in geared to air their
commercials. Looking at World Cup in 2002
and 2006, advertising spending in June rose
3,000 ,0 00
to the average of 12%, compare to only 5% in
2006
2,500 ,0 00
non-World-Cup years. However, the world cup
2,000 ,0 00
did not push the total advertising spending to
1,500 ,0 00
grow higher than usual.
1,000 ,0 00
2002
500 ,0 00
During World Cup 2006, products that
0
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
So urc e: N ie ls en Ad ve rtisi ng S ervi ce s
Dec
33
advertised during live broadcast of World Cup
2006 was Djarum Super with more than 1000
spots, Extra Joss (476 spots) and KratingDaeng (110 spots).
Looking back at the World Cup viewing trend which had boosted television viewing successfully, the 2010 World Cup is a
lure for more television viewers. In just a few hours from now, we will see how World Cup 2010 will rock TV viewers. Will
the number of audience soar beyond the year 2006? We’ll have to wait and see, but Nielsen will certainly update you!
All the data above are extracted from Nielsen studies below:
About Global Online Survey: The survey reaches over 27,000 Internet users around the world every three months –
representing a global online population of close to one billion consumers. The survey was established in 2005 and is used
to gauge consumer sentiment in the economy, follow consumers spending intentions and monitor changing habits. The
survey currently spans 55 countries across 15 time zones. In Indonesia, we reach more than 500 internet users –
representing almost 30 million consumers.
About TV Audience Measurement: TV Audience Measurement is conducted in 10 major cities in Indonesia (Jakarta,
Surabaya, Medan, Semarang, Bandung, Makassar, Yogyakarta, Palembang, Denpasar, and Banjarmasin) with TV
population of 49,525,104 individuals aged above 5 years old. The result of this survey covers 10 major cities in Indonesia
only and does not represent Indonesian population.
About Nielsen Scan Track: ScanTrack data is gathered by scanning selling out data in Total Country Key account (with
in-store promotion data). Covering more than 100 product categories, Scan Track is conducted in 6 cities: Greater
Jakarta, Bandung, Yogyakarta, Surabaya, Denpasar and Makassar.
About Nielsen Advertising Services: Nielsen Advertising Information Services is advertising monitoring services to
advertising activities in Indonesia that includes 24 TV stations, 103 newspapers and 165 Magazines and Tabloids. Figures
are gross rate card, and excluding discount, promo, etc.
For more information on above services, please contact your Nielsen client services.
Copyright © 2007 The Nielsen Company. All rights reserved
Nielsen and Nielsen logo are trademarks or registered trademarks of CZT/ACN Trademarks, L.L.C.
3
Nielsen News
FMCG Sales Grow 8% in First Quarter 2010
Consumers are gaining more confidence to spend more
Another good news from the market, after a healthy growth in advertising spending,
FMCG sales also shows a good 8% growth in the first quarter 2010 compare to the
same period last year, and compare to only 5% growth in 2009 vs 2008, Nielsen
reports.
Consumers are gaining much more confidence to spend more, as we see positive grow in both volume and value of sales
in FMCG Categories, excluding Cigarettes. Categories like instant noodles, biscuits, toilet shops, and cooking oil that
suffered declines last year, are experiencing positive growth.
Consumers do spend more, however they
are spending more rationally for categories
Strong FMCG sales since 2nd half 2009!
with lower emotional attachment, by
choosing bigger packs that will allow them
Top FMCG Sales Tren d
Growth
Growth FY '09 vs '0 8
In Million
9,500,000
to save their money.
Growth Q1 '10 vs '09
Top FMCG
(100%)
Top FMCG
5
8
9,000,000
Let’s look at Powder Milk. The volume
Foods (64%)
growth for bigger packs increases 16% this
first quarter, compare to slower growth for
the medium (-7%) and small size (-3%).
3
8
8,500,000
Households
(12%)
8,000,000
6
8
Personal Care
(20%)
7,500,000
10
11
Consumers opt to purchase the bigger size
and save 20% rather than the medium
7,000,000
Jan'08
J ul '08
Jan'09
Jul'09
Jan'10
Pharmaceutical
(4%)
8
5
pack.
Nielsen reported at the end of last year, that (branded) cooking oil sales are dropping in both volume and value, however,
it is a different story this year. This first quarter, cooking oil grows the highest with 16% increase in volume compare to
other top categories, while for values, cooking oil increases 7%.
Sales volume of 2L refills are also increasing 37% compare to first quarter of last year, beside the price of curah that is
almost the same, by buying bigger packs, they could also save up to 14%.
“The increase of both volume and value for cooking oil is because the price for ‘curah’ is almost the same with the
branding ones that Nielsen measures,” said Teguh Yunanto, Executive Director, Retailer Measurement Services, Nielsen.
Copyright © 2007 The Nielsen Company. All rights reserved
Nielsen and Nielsen logo are trademarks or registered trademarks of CZT/ACN Trademarks, L.L.C.
4
Nielsen News
Consumers spend wiser? Well, not when it comes to Personal Care and other lifestyle products! They need to indulge
themselves by purchasing the best for them, even if it’s of premium brand. For Mosturizers and Cleanser, the premium
brands experience 18% and 15%, growths, respectively.
“For personal care products, consumers have different priorities,” Teguh explained
However, when it comes to Personal Care.. consumer does not seem to think of saving! Premium products are the product of choice in Skin Care categories for Q1 2010
Moisturizers
Even for Shampoo, consumers do not choose
to save and buy the bigger packs, instead they
opt for the sachets shampoo. The frequency of
Cleansers
Growth
purchasing sachets increases to 3 times a
‐10
‐4
Q1 2010 vs. 2009
6
month this quarter, buying 3 pieces of sachets
‐1
per week! Talking about smelling good!
15
18
“Well, consumers want to look look and feel
12
‐10
Q1 2009 vs. 2008
by better by purchasing shampoo more
12
‐1
18
31
frequently, instead of just buying one bottle
per month!” said Teguh.
‐2 0
‐10
0
High
10
Medium
20
30
Low
40
‐20
‐10
High
0
Medium
10
Low
20
After economic slow down last year, people
will not just buy the essentials, as Nielsen also shows 16% increase in mobile phone penetration. Credit card ownership
among the upper class also increases 12% from last year.
“Market will enjoy stronger and healthier growth this year compare to last year, with all the indicators showing upward
moves: FMCG sales are up 8%, advertising spending jumped 26%, even automotive sales are up 74% this quarter!”
Teguh said.
As the consumers say in their own words: We’re holding back a bit too much last year, as things get better, I want to
pamper myself more these days. Now, who wants to help?
About Retail Audit
Retail Audit is the most common service used in Retail Measurement Services. It measures sales from retail
outlet/channels, using a technique that has been internationally practiced and accepted for many years. Including Modern
and Traditional trade, the retail audit’s coverage is national. Data provided would be market size, market share,
distribution, stock and pricing.
Copyright © 2007 The Nielsen Company. All rights reserved
Nielsen and Nielsen logo are trademarks or registered trademarks of CZT/ACN Trademarks, L.L.C.
5
Nielsen News
Badminton National Team Grabbed TV Viewers’ Attention
Besides soccer, badminton is also one of Indonesian favorite sport. The
final of Thomas & Uber Cup program even could beat other favorite
programs and sit at top of the most watched program during weekend
afternoon. The badminton tournament that held on May 9-16, 2010 got
its peak viewing on the semifinal of Uber Cup between Indonesia and
China.
Thomas & Uber Cup’s viewing trend tended to increase from the first
match until Uber Cup semifinal, where the semifinal’s gained the highest
viewer with 3.7 rating point or watched by approximately 1.8 million viewers (above 5 years old in 10 survey cities).
Viewers’ enthusiasm dropped when Thomas Cup semifinal between Indonesia and Japan was on-air on the next day after
Uber’s semifinal. Viewers only 2.3 point rating (about 1.1 million viewers).
During Uber Cup final between China and South Korea, the number of TV viewers increased into approximately 1.4
million viewers or similar to 2.8 rating points. However the amount was lower than Thomas Cup final between Indonesia
and China (3.4 rating points or around 1.7
million viewers).
Of the total broadcast hour of Thomas &
Per iod
Day part
Target aud ience
Market
Banjarm asi n
It seems that badm inton
: May 15-16, 2010
: 12.30 to 5 pm
: All people ab ove 5 year s old (TV pop ulation : 49,525,104 i ndividu als)
: Jakarta, Surabaya, Med an , Semarang, Bandung , Makassar, Yog yakar ta, Palem bang, Denpasar,
nation al team still gain ed su ppor t from TV viewers th ough it ended u p with losin g the gam e.*
Uber Cup, viewers spent 1 hour 42
minutes to watch the matches. They spent
Program Type
Average
number of
viewer s (in
thousand)
Rating
(in %)
Share
(in % )
Program
Channel
(about an hour), followed by Thomas Cup
PROTON-BWF THOMAS & UBER CUP(L
TRA NS7
Sport:Match
1,633
3.3
20.2
TP I
semifinal (48 minutes). Time spent for
TV CHAMPION 2
OB ITU NAMANYA KOMAR
SC TV
Ent ertainment:Game Show
Movie:Drama
1,541
1,472
3.1
3.0
14.0
17.9
PROTON-BWF THOMAS & UBER CUP(L
TRAN S
Sport:Match
1,359
2.7
15.4
TOLAK ANGIN HIP HIP HURA
SC TV
Entert ainment: Music
1,331
2.7
14.1
ALVIN AND THE CHIPMUNKS
FINDING NEMO
STATUS SELEBRITIS
FIN ISL U21:PERSIB VS PELITA(L
R CTI
Movie:Drama
Movie: Animation/Puppet
Information:Infotainment
Sport:Match
Information:Travel/Lifestyle/
Leisure
1,323
1,307
1,278
1,183
2.7
2.6
2.6
2.4
19.5
13.6
14.6
12.3
1,180
2.4
18.3
the longest time on Thomas Cup final
other round of matches was less than 42
minutes.
Broadcast on the weekend, between
PEPPY THE XPLORER
R CTI
SC TV
AN TV
TRAN S
12.30 and 5 pm, the Thomas & Uber Cup
final had to compete with entertainment program, children movies, lifestyle program, sport, etc. Although, among various
programs those days, the Thomas & Uber Cup final lead in the most watched program with 3.3 rating points on average
(about 1.6 million viewers).
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Copyright © 2007 The Nielsen Company. All rights reserved
Nielsen and Nielsen logo are trademarks or registered trademarks of CZT/ACN Trademarks, L.L.C.
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