News Release
Media enquiries: Ellen Cuijpers
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Email: ellen.cuijpers@nielsen.com
NIELSEN: CONSUMER CONFIDENCE IN SINGAPORE REBOUNDS
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Singaporeans are more upbeat about their job prospects and personal finances
 Southeast Asian consumer confidence levels strengthen in third quarter
Saving for the future remains priority for consumers in Singapore and in other SEA markets
SINGAPORE, 10 NOVEMBER 2014 – For the first time since three years, consumer confidence levels in
Singapore (+5pp) exceeded 100 points to stand at 103 points in Q3 2014, according to the latest Consumer
Confidence Index released today by Nielsen, a global information and measurement company. Singapore’s
Consumer Confidence has remained below 100 points for three years since Q3 2011. (See Chart 1).
The Nielsen Global Survey of Consumer Confidence and Spending Intentions reveals that the steady climb in
consumer confidence is mainly driven by a 8-point increase from the previous quarter in the number of
consumers who feel that future job prospects would be positive (61%). (See Chart 2).
The Nielsen report also revealed a four percentage point increase in consumers’ outlook on their personal
finances, with 59 percent of Singaporeans viewing the state of their personal finances in the coming 12 months
as good or excellent.
In the other markets in Southeast Asia, consumer confidence has gained further momentum in Q3 2014, with
three Southeast Asia markets ranking in the top five most optimistic countries globally. Indonesian consumers
are the second most confident globally, with the country’s consumer confidence score increasing by two
points to 125 in Q3 2014 compared to previous quarter. The Philippines remains third most confident globally,
scoring 115 points. Thailand’s Consumer Confidence Index score showed the highest jump in the region with
an increase of eight points to 113 compared to last quarter. Vietnam’s Consumer Confidence Index jumped
three points to 102, the highest level since late 2010. Malaysians are equally positive with a six point increase
compared to last quarter (99 points). Globally consumer confidence remains steady at 98 points. (See Chart 3).
“The consistent, steady climb of consumer confidence in the region highlights strong underlying factors that
are buoying consumer outlook on the future,” said Vishal Bali, Nielsen’s Managing Director of Consumer
Insights in Southeast Asia, North Asia and Pacific. “The recently emerged clarity on the political front in some
markets and a variety of underlying economic factors have helped drive the surge in consumer confidence.”
The Nielsen Global Survey of Consumer Confidence and Spending Intentions, established in 2005, measures
consumer confidence, major concerns, and spending intentions amongst more than 30,000 respondents with
1
Internet access in 60 countries. Consumer confidence levels above and below a baseline of 100 indicate
degrees of optimism and pessimism.
SAVING FOR THE FUTURE REMAINS PRIORITY
Consumers in Singapore remain focused on putting aside savings for the future with two in three (66%)
stashing their spare cash into savings after covering essential living expenses. Consumers in other Southeast
Asia markets are also diligently building nest eggs, including those in the Vietnam (77%) and Indonesia (74%),
Philippines (67%), Thailand (67%) and Malaysia (63%). Along with channelling spare cash into savings and
investing in stocks, consumers in the region are also eager to spend on big ticket items. Singaporeans are the
most-inclined globally to spend their spare cash on vacations (51%), followed closely by Malaysia (47%) and
Indonesia (41%). Meanwhile, around a third of consumers in the Philippines (37%), Vietnam (35%), Thailand
(31%) and Singapore (31%) choose to spend their spare cash on new clothes. (See Chart 4).
“Southeast Asians are known for prioritising saving over spending, and it is this mentality which influences
their careful spending patterns,” observes Bali. “Conversely, rising disposable income is driving the desire to
seek out lifestyle upgrades such as vacations and buying new clothes.”
Although the majority of Singaporeans said they put their spare cash into savings, Q3 2014 saw an upswing in
the number of Singaporeans intending to purchase a holiday (up 8 points to 51%), buying new clothes (up 3
points to 31%) and paying off debts (up 8 points to 30%). (See Chart 5).
In the face of rising inflation across the region, a growing number of consumers are looking for ways to reduce
their everyday household bills, and five Southeast Asia markets (Thailand, Vietnam, Philippines, Malaysia and
Indonesia) rank in the top 10 globally when it comes to changing their spending to save on household
expenses. Close to nine in 10 Thais (88%) have changed their spending in the past year to save on household
expenses, the highest level globally, followed by 86% in Vietnam, 83% in the Philippines, 79% in Malaysia, 76%
in Indonesia and 63% in Singapore. Spending less on new clothes, cutting down on out-of-home entertainment
and trying to save on utility bills are some of the most common areas where consumers are looking to save.
(See Chart 6).
“Consumers in Southeast Asia have a cautious approach when it comes to spending,” states Bali. “As their
wealth increases, they remain frugal with their outgoings. And as prices increases they are on the look-out for
ways to save on everyday expenses.”
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While an online survey methodology allows for tremendous scale and global reach, it provides a perspective on the habits of existing
Internet users, not total populations. In developing markets where online penetration has not reached majority potential, audiences may
be younger and more affluent than the general population of that country. Additionally, survey responses are based on claimed behavior,
rather than actual metered data
Chart 1: Nielsen Consumer Confidence Index, Singapore, Q3 2005 - Q3 2014
120
103
111
114
100
113
92
96
2008-Q3
2009-Q3
94
98
98
103
2011-Q3
2012-Q3
2013-Q3
2014-Q3
80
60
40
20
0
2005-Q3
2006-Q3
2007-Q3
2010-Q3
Chart 2: Future job prospects over the next 12 months, Singapore, Q3 2014
Chart 3: Nielsen Consumer Confidence Index, Southeast Asia, Q3 2013
Chart 4: Top areas consumers are spending their spare cash, Southeast Asia, Q3 2014
Chart 5: Top areas consumers are spending their spare cash, Singapore, Q4 2013 - Q3 2014
Chart 6: Top three actions Southeast Asian consumers have taken to improve saving
urce: Nielsen Global Survey of Consumer Confidence and Spending Intentions, Q3 2014
About the Nielsen Global Survey
The Nielsen Global Survey of Consumer Confidence and Spending Intentions was conducted Aug. 13–Sept. 5,
2014 and polled more than 30,000 online consumers in 60 countries throughout Asia-Pacific, Europe, Latin
America, the Middle East/Africa and North America. In Singapore, the sample size is 515 respondents. The
sample has quotas based on age and sex for each country based on its Internet users and is weighted to be
representative of Internet consumers. It has a margin of error of ±0.6%. This Nielsen survey is based only on
the behavior of respondents with online access. Internet penetration rates vary by country. Nielsen uses a
minimum reporting standard of 60% Internet penetration or an online population of 10 million for survey
inclusion. The Nielsen Global Survey, which includes the Global Consumer Confidence Index, was established in
2005.
About Nielsen
Nielsen Holdings N.V. (NYSE: NLSN) is a global information and measurement company with leading market
positions in marketing and consumer information, television and other media measurement, online
intelligence and mobile measurement. Nielsen has a presence in approximately 100 countries, with
headquarters in New York, USA, and Diemen, the Netherlands. For more information, visit www.nielsen.com.
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