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Impact of COVID-19 on Consumer Behaviour

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Impact of COVID-19 on Consumer Behaviour Impact of COVID-19 on Consumer Behaviour April 2020 Our Proprietary Panels Japan (JP) China (CN) South Korea (KR) 2,200,000 3,204,500 640,000 Taiwan (TW) Hong Kong (HK) Singapore (SG) 120,000 52,000 80,000 Thailand (TH) Malaysia (MY) Indonesia (ID) 550,000 196,000 550,000 India (IN) Vietnam (VN) Philippines (PH) 650,000 300,000 315,000 • Markets: China, Hong Kong, India, Indonesia, Japan, South Korea, Malaysia, Philippines, Singapore, Taiwan, Survey Thailand, United States, Vietnam Methodology & Sample size: 1,000 respondents per market, 13,000 in total Notes • • Profile of respondents: 20+ y.o. respondents from Rakuten Insight proprietary panels, with good distribution on age, gender, region & occupation • Survey timing April 2020 Sources of information News on traditional forms of media, TV, radio Marked contrast between Japan & China when it comes to continues to be a highly trusted source of trusting experts & influencers on social media with trust information even in the digital age much higher in China & lower in Japan Korea relatively low trust in many sources of While people spend more time watching TV news or information with the most highly trusted reading news websites, the time spent on following source being TV news (71%) influencers or celebrities on social media is less than usual Consumers from around the world rely on These times of uncertainty & gravity appear to have led to information from TV news & government consumers to spend their time on more serious & reliable websites. A slight decrease can be observed in sources of information trusting the information on social media How much do you trust the following sources of information? International consumers rely on information from Government websites and TV news. A slight decrease can be observed in terms of trusting the information on social media. TV programs/talk Government Post by experts TV News Newspapers Radio News websites shows Website on social media CN 96% CN 89% CN 88% CN 78% CN 92% CN 88% CN 74% HK 79% HK 56% HK 77% HK 72% HK 71% HK 77% HK 61% ID 84% ID 62% ID 83% ID 81% ID 81% ID 74% ID 57% IN 87% IN 72% IN 91% IN 83% IN 83% IN 80% IN 66% JP 77% JP 48% JP 74% JP 61% JP 72% JP 56% JP 35% KR 71% KR 65% KR 57% KR 60% KR 62% KR 41% KR 52% MY 88% MY 68% MY 81% MY 84% MY 82% MY 74% MY 46% PH 90% PH 73% PH 88% PH 89% PH 87% PH 83% PH 66% SG 90% SG 67% SG 87% SG 80% SG 85% SG 79% SG 44% TH 92% TH 66% TH 77% TH 70% TH 83% TH 76% TH 62% TW 73% TW 35% TW 67% TW 57% TW 82% TW 68% TW 61% US 70% US 47% US 72% US 69% US 71% US 66% US 46% VN 94% VN 87% VN 79% VN 81% VN 86% VN 71% VN 51% 13,000 Rakuten Insight Panelists Polled I trust them/I somewhat trust them Change in the amount of time spent watching/listening to different sources compared to last year While people spend more time watching TV news or reading news websites, the time spent on following influencers or celebrities on social media is less than usual. Time spent increased/increased CN HK ID IN JP KR MY PH SG TH TW US VN somewhat TV news 69% 50% 55% 66% 35% 50% 59% 62% 55% 60% 36% 39% 68% Government websites 55% 28% 47% 46% 20% 27% 51% 57% 50% 47% 33% 34% 52% News websites 66% 47% 53% 54% 29% 42% 56% 58% 53% 58% 37% 35% 53% Time spent decreased/decreased CN HK ID IN JP KR MY PH SG TH TW US VN somewhat Posts or reposts by influencers or celebrities on social media 24% 20% 31% 27% 18% 31% 30% 32% 30% 20% 27% 24% 26% 13,000 Rakuten Insight Panelists Polled Consumer Behaviour Increase in online shopping across all markets In India, consumers are tending towards supporting their but especially in China & India, indicating huge local communities by shopping more frequently at local potential for online retailers in those markets stores, mom and pop stores As might be expected, lower emphasis on spending on Decrease in visits to department stores / luxury items especially in China & Hong Kong as shopping malls indicating that consumers are consumers avoid excessive spending in uncertain seeking to avoid potentially crowded places economic conditions More emphasis placed on core product attributes such as Consumers everywhere increase frequency of quality, durability & price when choosing products to supermarket shopping to ensure their homes purchase. More developed markets like Japan, Korea & US are well stocked expecting less impact in terms of these hygiene factors Change in shopping frequency at Online Shopping Sites Net 33% 52% 34% 50% 40% 18% 32% 39% 41% 33% increase 44% 58% 40% 17% 23% 24% 21% 24% 29% 26% 28% 28% 27% 34% 45% 44% 47% 32% 44% 45% 44% 37% 40% 47% 30% 43% 45% 34% 41% 23% 18% 24% 19% 19% 22% 18% 17% 19% 16% 17% 15% 14% 14% 8% 7% 9% 8% 8% 6% 10% 10% 8% 6% 6% 6% 4% 6% 7% 8% 6% 3% 1% 4% 5% 3% 3% 2% 5% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Change in shopping frequency at Department Stores/Shopping Malls Net -47% -54% -21% -51% -53% -7% -22% -39% -17% -43% increase -16% 28% -34% 2% 2% 4% 4% 7% 10% 10% 15% 15% 16% 13% 15% 16% 16% 23% 19% 29% 23% 17% 18% 23% 22% 28% 31% 39% 38% 39% 34% 43% 39% 34% 36% 28% 45% 32% 33% 41% 25% 27% 34% 32% 25% 26% 27% 33% 32% 31% 24% 20% 17% 18% 14% 10% 10% 9% 11% 3% 2% 1% 2% 2% 1% 3% 2% 2% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Change in shopping frequency at Supermarkets Net 25% -10% -4% -1% 43% 46% 0% 31% 22% -12% increase 34% 26% 16% 7% 8% 10% 12% 17% 17% 17% 13% 16% 14% 26% 24% 31% 37% 41% 31% 32% 51% 36% 43% 52% 45% 55% 38% 41% 42% 27% 36% 39% 34% 31% 29% 30% 28% 26% 26% 21% 21% 21% 22% 16% 19% 15% 15% 12% 6% 11% 12% 10% 8% 6% 8% 3% 2% 1% 2% 0% 0% 1% 1% 1% 1% 1% 3% 2% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Change in shopping frequency at Local stores, mom and pop stores Net -49% -54% -40% -23% -48% -5% -16% -35% -14% 6% increase -2% 16% -16% 1% 3% 3% 4% 8% 8% 9% 8% 7% 12% 13% 13% 13% 17% 21% 21% 23% 19% 23% 28% 33% 31% 32% 27% 39% 35% 35% 44% 38% 29% 48% 44% 24% 40% 32% 38% 34% 37% 34% 29% 18% 30% 29% 18% 35% 24% 19% 24% 15% 16% 11% 22% 12% 13% 11% 7% 8% 6% 5% 6% 4% 5% 2% 2% 6% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Change in shopping frequency at Drugstores Net 20% 3% 7% -34% 9% -7% 39% -28% -14% 5% increase -3% 9% -19% 4% 5% 7% 8% 11% 11% 9% 12% 12% 15% 14% 17% 22% 24% 26% 27% 32% 39% 33% 36% 44% 38% 47% 36% 36% 47% 40% 44% 36% 31% 38% 33% 30% 32% 33% 38% 30% 31% 22% 23% 18% 15% 21% 15% 14% 14% 11% 7% 12% 14% 13% 11% 10% 7% 9% 8% 6% 5% 3% 5% 4% 1% 3% 2% 2% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Change in shopping frequency at Convenience Stores Net -20% -10% -3% 0% -11% 15% 25% -22% -2% -8% increase 29% 18% -26% 7% 8% 6% 6% 6% 14% 11% 11% 10% 20% 19% 17% 26% 22% 30% 30% 37% 35% 35% 33% 39% 37% 37% 40% 45% 36% 34% 39% 43% 36% 33% 38% 37% 36% 38% 30% 29% 20% 24% 25% 18% 17% 15% 17% 16% 16% 14% 12% 13% 12% 10% 10% 18% 6% 6% 4% 3% 1% 4% 1% 1% 2% 2% 2% 4% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Change in shopping frequency at Food Delivery Services Net -21% 12% 24% 27% 44% 17% 34% 24% 27% 20% increase 30% 41% 11% 2% 11% 15% 16% 15% 14% 21% 20% 18% 22% 23% 27% 24% 36% 21% 22% 32% 38% 32% 38% 36% 34% 34% 13% 31% 36% 47% 15% 31% 14% 10% 22% 13% 21% 18% 28% 7% 21% 23% 19% 54% 16% 17% 11% 8% 9% 13% 40% 12% 31% 13% 11% 13% 7% 10% 19% 18% 19% 13% 7% 10% 8% 8% 11% 8% JP KR CN TW HK PH TH SG MY ID VN IN US Increased Increased somewhat Decreased somewhat Decreased I haven’t shopped at this type of location either this year or last year 13,000 Rakuten Insight Panelists Polled Compared to last year, has the emphasis you place on the following items when choosing products to purchase changed? Quality Durability Functionality Discounts Sense of luxury CN 81% CN 77% CN 75% CN 75% CN 25% HK 61% HK 61% HK 60% HK 60% HK 32% ID 80% ID 77% ID 77% ID 77% ID 15% IN 78% IN 77% IN 74% IN 74% IN 11% JP 35% JP 33% JP 34% JP 34% JP 12% KR 55% KR 53% KR 54% KR 54% KR 15% MY 73% MY 72% MY 70% MY 70% MY 18% PH 73% PH 74% PH 73% PH 73% PH 15% SG 56% SG 55% SG 52% SG 52% SG 16% TH 82% TH 80% TH 81% TH 81% TH 14% TW 58% TW 56% TW 55% TW 55% TW 10% US 43% US 43% US 41% US 41% US 13% VN 73% VN 69% VN 66% VN 66% VN 9% more/somewhat more emphasis somewhat less/less emphasis Perceptions on Coronavirus impact Uncertainty on the future and limitations on activities is leading to Consistently high concern about contracting the more stress, especially in Japan, Korea & the Philippines.
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