Sales of fast-moving consumer goods (FMCG) are expected to grow 7-9 percent in Vietnam during the Lunar New Year 2023 compared to last year, Vietnam News Agency reported Tuesday.
After two years of low sales due to COVID-19, the FMCG industry is expected to look better this time around as the Vietnamese economy recovers and consumers have a positive outlook on the economic outlook, according to a Kantar Worldpanel Vietnam report – the market research agency.
The occurrence of two major holidays in one month (New Year and Chinese New Year) is expected to boost spending.
However, with inflationary pressures continuing, consumers are feeling the strain on their wallets and are adapting to the situation in different ways, according to a recent report.
Unlike last year, when demand for celebratory categories fell due to travel and gathering restrictions, this year’s massive momentum in beverage consumption will continue to benefit celebratory FMCG categories such as carbonated soft drinks and beer, the company said.
But rising consumer concerns about income and job security in recent months are expected to throw a spanner in the works, according to the report.