Declining confidence stemming from growing insecurity

Consumers are feeling less secure about economy, income and ability to meet daily expenses

How secure do you feel in the next 6 months compared to today?

6% 4% 4%
14%
19% 18%

26% 28%

Economic Household Able to meet day

43% Stability 28% Income level to day expenses

41% 41%

■ More secure ■ Same ■ Less secure ■ Don’t know

Source: NielsenIQ 2022 Consumer Outlook Survey, June 2022

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While economic impacts of COVID soften,
cautiousness in spend prevails
Dec 2021

23% 21% 38% 12% 6%

June 2022

19% 19% 38% 14% 9%

Strugglers: Rebounders: Cautious: Not Unchanged: Thrivers: Saved

Have suffered Experienced impacted Not impacted money and feel
financial income or job financially but and continued more financially
insecurity and loss but now are cautious to spend the secure.
continue to do feel they are with spending. same.
so today. back on track.

Source: NielsenIQ 2022 Consumer Outlook Survey, Dec 2021 vs June 2022
Q. Which of the following best describes how COVID-19 impacted your overall household financial situation over the last 2 years?
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Consumers are scaling back to
save in all aspects of life
Lifestyle changes

44% 40% 37%

cooking at trying to spending less
home more minimise on clothing/
waste grooming

Grocery savings tactics

31% 26% 20%

will buy have stopped will opt for
whatever is on buying certain private label
promotion categories

Source: NielsenIQ 2022 Consumer Outlook Survey, June 2022 (Grocery saving tactics represent any tactic)
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Given the choice, consumers would prefer a larger size option to deal
with rising prices

Q: If raw material cost rose substantially for manufacturer of food, household and/or personal care
products, what you prefer they do

27% 17% 12% 11%

Offer economy size for Use cheaper packing Maintain same product Use cheaper /
lower cost of use material and quality an increase substitutable ingredients
price

10% 8% 8% 7%
Offer smaller sizes at lower Offer less frequent price Offer smaller sizes at Offer shallower
price points promotions same price (downsizing) promotional price points

Source: NielsenIQ Consumer Outlook Survey June 2022 – Global

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How are consumers navigating the remainder of 2022?

Outlook Behaviours Preferences

▪ Cautious ▪ Healthier living ▪ Affordable
▪ Consciously watching spend ▪ Waste avoidance ▪ Sustainable
▪ Cutting back ▪ More time @ home ▪ Hygiene & healthier & nutritious
options

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