Vietnam among most price sensitive ASEAN markets – VnExpress International


By Dat Nguyen  &nbspJuly 25, 2020 | 08:00 am GMT+7
Vietnam among most price sensitive ASEAN markets  Vietnam among most price sensitive ASEAN markets - VnExpress International WEBsaigontruoccachlyxahoi4 159 6253 1295 1595581816

People shop in a supermarket in Ho Chi Minh City on March 31, 2020. Photo by VnExpress/Quynh Tran.

Vietnam is among the most price sensitive markets in Southeast Asia with over 80 percent of shoppers noticing when a product’s price changes.

Up to 56 percent of sales in the country is associated with some type of price promotion, a study by market research company Nielsen finds.

The price elasticity of products in Vietnam is -2 percent, meaning that when a company raises a product’s price by 1 percent, their revenue will fall 2 percent as shoppers buy less.

This shows Vietnamese are more sensitive to price changes than other Asian markets such as Malaysia, where the elasticity is -1.9 percent, Singapore (-1.7 percent) and Thailand (-1.6 percent).

However, for every $1 spent on promotions, manufacturers are only gaining 29 cents extra in sales, lower than the global average of 50 cents, the study estimates.

“As many people have been negatively affected by the (Covid-19) pandemic, having the right price and promotion strategy is extremely important. There are many businesses that have wasted too much on promotion, and it’s time to leverage the opportunity of saving money,” said Richard Thomas, sales effectiveness director of Nielsen Vietnam.

e.VnExpress

What's Your Reaction?

Cry Cry
0
Cry
Cute Cute
0
Cute
Damn Damn
0
Damn
Dislike Dislike
0
Dislike
Like Like
0
Like
Lol Lol
0
Lol
Love Love
0
Love
Win Win
0
Win
WTF WTF
0
WTF

Comments 0

Your email address will not be published. Required fields are marked *

Vietnam among most price sensitive ASEAN markets – VnExpress International

log in

Become a part of our community!

reset password

Back to
log in
error: Content is protected !!
Choose A Format
Personality quiz
Series of questions that intends to reveal something about the personality
Trivia quiz
Series of questions with right and wrong answers that intends to check knowledge
Poll
Voting to make decisions or determine opinions
Story
Formatted Text with Embeds and Visuals
List
The Classic Internet Listicles
Open List
Open List
Ranked List
Ranked List
Meme
Upload your own images to make custom memes
Video
Youtube, Vimeo or Vine Embeds
Audio
Soundcloud or Mixcloud Embeds
Image
Photo or GIF