Report: The Malaysian Consumer in the Age of Inflation
The Malaysian Consumer in the Age of Inflation
How can manufacturers leverage inflation for growth?
In Malaysia, there is no ‘one size fits all’ solution to retaining shoppers as FMCG prices soar.
The impact of inflation varies from one category to the next, for example. Consumers have also reacted to inflation in a number of different ways. Looking at multiple years’ worth of data and more than 20,000 SKUs, we have identified specific behavioural changes that shoppers have adopted to cope with price increases, including:
- Buying more or less volume
- Shifting to a cheaper store
- Buying cheaper alternative products
- Increasing their uptake of offers and savings.
The big question is what happens next: will shoppers stop reducing the volumes they buy, or continue to ration their spend?
A significant proportion of consumers across all socio-economic levels are currently feeling the financial heat, with low income shoppers leaning heavily on in-home FMCG. This is expected to continue through 2023.
In this environment, building loyalty and finding more shoppers are the keys to growth. Inflationary pressures on consumer expenditure are likely to have a long lasting impact on FMCG dynamics. Understanding the changes in shopper behaviour within your category and brand, and how to navigate them, will secure your success for the future.
In this e-book – The Malaysian Consumer in the Age of Infaltion – we share insights including:
- The implications of Malaysian consumers’ reactions to inflation
- The key questions all brands and manufacturers should be asking themselves
- How to tell whether you’re at a Volume Tipoff Point or a Value/Price Tipoff Point – and the optimal strategy for each
- How successful brands use inflation to their advantage
- What the situation looks like for take home groceries in 2023.
Inflation is not going anywhere; this e-book will help you use it to your advantage.