Asians more optimistic: Grey Eye on Asia study

Grey Group’s proprietary research into the lifestyles of consumers across the Asia Pacific region titled Eye on Asia was unveiled recently with a view towards throwing some insights into key consumption trends in the region.

The study looks at three key aspects of life for Asians, namely Lifestyle; Present and future aspirations and Consumerism and communications. The data collection featured online and face to face interviews, and also featured 450 in-depth ethnographic interviews. Respondents from countries like Australia, Bangladesh, China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, New Zealand, the Philippines, Singapore, Sri Lanka, Taiwan, Thailand and Vietnam were interviewed for the study.

The study has identified a number of ‘eye-sights,’ which they say can help marketers who are looking at building successful branded businesses within Asia. The first of these eye sights include Optimism; Asians remain optimistic about the future inspite of growing uncertainties. The second of these is Future Finance; Asians are concerned about household finances and saving actively for their future. The third is the idea of Asian Brand Tribes, where five distinct segments have been identified across the region. The fourth is the CFO; which relates to mothers as chief family officers, who face new challenges and conflicts with their multiplicity of roles. The last is Retail; where new parsimonious shopping behaviours arise as a result of the recession. For the 2009 study, Grey Group also conducted an in-depth retail ethnographic probe which illustrates how current sentiments drive shopping behaviour in diverse cultures and channels.

76% of Asians believe that the future is likely to be better than the past, while 63% of Asians are satisfied with their life today. The study has found that the general optimism of the region for the future has been significantly dampened but not derailed completely. Inundated with financial weariness, people generally become negative attitudinally. The declining optimism is resulting in higher tendency to work towards a better future and people are geared to saving more.

On an average, while 76% of Asians believe their future will be better than the past, only 30% of Asians strongly believe that. This optimism is most pronounced in Bangladesh, Sri Lanka and Vietnam. In Japan, only 7% believe this is true. In addition, the study has found that only 14% of Asians are very satisfied with their lives. Research findings substantiate that Asians are uncertain about their future, with only 30% of Asians being more content than they were 12 months ago, compared to 39% who are less content.

The second key factor unearthed in the study was the identification of the five Asian Brand Tribes. Grey Group Asia has broadly divided Asians on the basis of how they think, feel and react to brand communications. These five Asian Brand Tribes include the New Brand Enjoyers, the Perceived Value Seekers; The Individualistic Believers; the Status Seekers and the Function Firsts. The New Brand Enjoyers are those who have fun with brands, enjoy novelty and the ability to indulge. They like the ‘new’ and seek entertainment and humour.
The Perceived Value Seekers are looking for something beyond function, but have not quite found it. They seek added value, an emotional connection and reliability and look for value beyond function.
The Individualistic Believers want fashionable and trendy brands but which are still acceptable and famous. They value what people think but want to own their own brands. They have high standards on top of which they stamp their individual tastes.
The status seekers go after the top brands as they need assurance that they are getting the best. The Function firsts are practical and are attracted to quality and durability. They tend to stretch their money and make value last.

As regards Future Finance, the third aspect of the study, it was found that 45% of Asains currently feel financially comfortable, while 98% say financial security is very important to them. 86% of Asians are concerned about their hosuehold finances. In India, expectations of household finances improving have dropped from 71%(2008) to 48% (2009) while the number of Indians expecting their personal finances to get worse has doubled in the last year.

The Chief Family Officer or CFO is a term from the study to describe mothers due to their multiplicity of roles. The new levels of stress and complexity of modern living necessitate dual-income hosueholds, forcing many non-working mothers into the workforce. This had led to a Catch-22 situation as working mothers juggle both career and family. Findings from Eye on Asia reveal that 62% of Asian mothers seem to be satisfied with their role as mothers. 58% say society provides a supportive environment to raise children. 81% of Asians feel mothers are so busy these days that they do not spend enough time with their children. Satisfaction is the highest amongst developing countries like Bangladesh and Vietnam, while the lowest satisfaction exists in affluent markets such as Japan, Korea and Taiwan. The availability of social support for mothers is strongly linked to satisfaction levels.

Commenting on the study, Nirvik Singh, chairman and CEO, Grey Group Asia Pacific said, “The accelerating age that we live in necessitates a focus on people and brands. People in Asia are looking for symbols, deeper emotions and psychological benefits in their lives. Marketers should respond to this by taking a closer look at what motivates people as well as what they want from their lives in the future to create innovative, distinct and impactful messages. More than ever before, marketers need to understand people’s evolving attitudes and behaviours to get ready for new opportunities when the market rebounds. Grey Group’s Eye on Asia study is built on the notion that listening to and building emotional bonds with consumers will enable business owners to differentiate their brands in this Asian century.”