While consumer confidence declined in 10 of 14 Asia-Pacific markets, the region still leads all global regions with an index score of 107. Among the four markets that improved from the previous quarter, the Philippines showed the biggest quarterly country-level confidence increase of seven index points, rising to a score of 122—the country’s highest level on record.
Consumer confidence in Asia-Pacific increased in nine of 14 markets measured by Nielsen in Q1, compared to only three that rose in Q4 2014. Nine markets in the region remained at or above the 100-baseline level of optimism. At 130, India reached its highest level since 2011—up one-point from Q4. Confidence in India has been on the rise for six consecutive quarters.
Around the globe, more consumers say they’re feeling confident. In the first quarter of 2014, global consumer confidence returned to a pre-recession level with an index score of 96—the highest score since first-quarter 2007.
While the Indian economy boasted a 9 percent boost in GDP during its 2007-2011 fiscal years, the last two years have been a different story. In fact, India has been staring down the barrel of a severe economic crunch. The impact of the macroeconomic stress on the Indian consumer has been significant. But the horizon appears brighter, which should provide relief for India’s FMCG market.
Consumer confidence in India indexed at 118 in Q2 2013, a two-point decrease from Q1 2013, and a one-point decrease from Q2 2012. India slipped to the third most optimistic country, after Indonesia and the Philippines indexed at 124 and 121 respectively.