News APP

NewsApp (Free)

Read news as it happens
Download NewsApp
Rediff.com  » Business » India leads Asia-Pacific in consumer confidence

India leads Asia-Pacific in consumer confidence

By BS Bureau in New Delhi
January 13, 2004 07:40 IST
Get Rediff News in your Inbox:

Indian consumers are more confident about the future of the economy than before. Most of them believe that the Indian economy performed well over the last six months and more think that it will improve over the next year.

Indians also appear to display the highest degree of confidence in their economy than consumers in other Asia-Pacific countries.

These are three among key findings of the latest ACNielsen Asia-Pacific Consumer Confidence and Opinions Survey, the results of which have been made available exclusively to Business Standard.

The optimism isn't restricted to India, where 539 people were surveyed. According to the survey, which was conducted online with 7,230 consumers in 13 Asian countries, consumer perception in the region is very encouraging.

Overall, Asian consumers have put the Severe Acute Respiratory Syndrome, terrorist attacks and the war with Iraq behind them to assert their faith in their economies for the next year.

In India, 89 per cent of consumers are optimistic that the economy will improve in the next year, and 85 per cent believe that economic performance has improved in the last six months.

Increased consumer confidence is also evident in the appetite for spending. An overwhelming majority (89 per cent) of all those polled said they would spend spare cash, in India that figure was even higher at 90 per cent.

Debt reduction and saving are the other uses for disposable income and here, too, the figures for India (86 per cent and 88 per cent, respectively) are higher than the regional averages (77 per cent and 81 per cent).

The survey also polled consumers on their major concerns. Compared with previous surveys, health overtook the economy, perhaps a fallout of the SARS scare.

Across Asia, 63 per cent of all respondents are concerned about their health; and 12 out of the 13 markets surveyed recorded either a static or decreasing number of people who are concerned about the economy. In India, though, job security and terrorism are bigger worries.

The environment is one area where India's views dovetailed with the region's. All Asia-Pacific consumers, with the exception of Singapore and, to some extent, New Zealand, believe their governments are not doing enough to protect the environment. And Indians are the most predisposed to switch to environment-friendly products.

Regarding globalisation, Indian consumers are surprisingly open-minded. Against a regional average of 72 per cent, only 49 per cent Indians took the view that globalisation threatens local traditions and cultures.

Instead, they are more inclined (90 per cent) to believe that it gives access to the same quality of products available to anyone else in the world.

Get Rediff News in your Inbox:
BS Bureau in New Delhi
 

Moneywiz Live!