Half of Ramadan shoppers in Malaysia spend more YOY: Nielsen

The Nielsen Household Omnibus Survey 2011 showed that some 43 per cent of shoppers maintained the status quo, while 13 per cent managed to reduce their spending. Muslims in their 30s appear to have increased their Ramadan spending the most compared to the previous year, with one out of two saying they increased their budget.

As expected, ad spend for main grocery items such as rice, cooking oil and spices also grew significantly in conjunction with festive purchasing. The budgets for advertising (based on rate cards) on these three categories are significantly higher in the month of July and August.

All three categories recorded the highest advertising spend in print media before Raya festive (July: spices and cooking oil; August: rice), while TV advertising spend for cooking oil products noticeably peaked in August.

These three categories are also the most stocked products, the study showed.

The study also stated that more than half of shoppers buy items on discount (61 per cent) and through other promotional offers (50 per cent). Three in five Muslim respondents said they bought items on discount, and manufacturers’ promotional efforts such as the offer of free gifts bundled with main items have also attracted half of Muslim household shoppers.

“One category which is clearly on top of this discount trend is the carbonated soft drinks category,” Sandipan Sinha, associate director of retail measurement services at Nielsen Malaysia, said.

“A key point to note is that recommendations by friends and family were cited as the main reason for influencing purchase decisions by one-fourth of respondents, garnishing higher votes than the influence of both print and TV advertising,” she added. “Manufacturers who are able to cater to good personal shopping experiences via social media have the edge in this area.”