[Report] Brazil, Russia, India & China Targeting Profitable Consumer Matket Research, Trends, Analysis TOC

CHAPTER 1 EXECUTIVE SUMMARY
- The hot topic
- The future decoded
  - The middle class is emerging as a significant group in the BRIC region
  - The BRIC region will have an increasingly aging population in the future
  - Health will become an increasingly important issue
  - BRIC countries have distinct national traits
- Action points
CHAPTER 2 THE FUTURE DECODED
- Context - understanding the BRIC region
  - The emergence of the ' BRIC' moniker
  - PESTLE analysis of the BRIC region
  - Socio-demographic overview
    - Population overview
    - Family status overview
    - Ethnic group overview
- TREND: There is a burgeoning middle class emerging in the BRIC markets
  - The potential for middle class expansion varies by BRIC market
  - Brazil' s open and relatively stable democracy bodes well for the future development of the middle class
    - Brazil' s economy is improving strongly
    - A disparity of income has long been the reality of modern Brazil
    - Income inequality is reducing, creating greater potential for a sizeable middle class
    - Brazil' s income distribution is uneven but is fast improving
    - Rising home ownership is a key opportunity in Brazil
    - Increasing scarcity of resources should be beneficial to Brazil' s commodity-based wealth
    - Environmental concerns may slow Brazil' s economic and infrastructural development
  - The once precarious state of the middle class in Russia is now stabilizing
    - Income equality in Russia is improving quicker than in any other BRIC market
    - The growing wealth of Russia is driving the broadening of the middle class
    - Growth in the housing market signals opportunities in household-related products
    - Russia' s improving political and economic stability favors the continuance of a middle class
    - Russia' s economy and society are opening and transcending its borders
  - Of all BRIC markets, India' s knowledge economy has the most stable middle class potential
    - India' s investment in its service industries can underpin the growth of its middle class
    - India' s cultural diversity can be a positive factor in establishing foreign brands in the ' consumerscape'
    - India' s income inequality is now less severe than in many European countries
    - India' s low GDP suggests a broad but shallow middle class
    - The housing market in Indian cities parallels the patterns seen in the West
  - China' s middle class is strongest in urban areas
    - Rising income inequality in China is indicative of the rising urban middle class
    - China' s manufacturing success is fueling the urban spending boom
    - Consumer aspirations for foreign brands are growing
    - China' s entrepreneurial culture is a dual edged sword for brands
    - China' s central planning can help economic growth with a strong uniting vision
- TREND: There is an aging of BRIC populations
  - The rapid evolution of middle classes, combined with a demographic shift in favor of seniors, will enable BRIC countries to emulate Western markets
  - BRIC countries have broadly enjoyed young population bases in the past
    - In 1990 the BRIC region was characterized by a young population base
  - Overall there is an aging of the BRIC region but there is some important variance
    - BRIC countries do not match Western European aging of populations but this pattern is changing
    - The continued emergence of a significant senior group is evident to 2010
  - Brazil is experiencing a rapidly aging population
  - Russia - declining life expectancy and birth rates create a worrying population decline
    - A mortality crisis among Russian males emphasizes the growing market importance of women
  - India - the aging population is a concern for the longer term rather than the medium term
  - China - rapid aging of the population is having a fundamental impact
  - An aging population brings with it new needs
    - Older consumers are more likely to trade up
    - Older consumers will increasingly focus on appearance
    - Convenience is important to older consumers too
    - There will be a need for stronger food flavors
    - BRIC markets have not yet reached the post-materialist stage
- INSIGHT: Dietary patterns in the BRIC countries are highly diverse
  - Meat and fish consumption varies between BRIC countries
  - Fruit and vegetable consumption and preferences vary widely
    - Fruit consumption in the BRIC region is relatively low but high levels of vegetables are consumed
    - Fruit preferences vary widely but root vegetables are popular in all BRIC countries
  - Bottled water consumption is rising rapidly in India and China with slower growth in Russia and Brazil
    - The bottled water market in Brazil is driven by safety and choice, although consumers only drink a limited amount
    - Consumption of bottled water in Russia is low
    - Bottled water consumption in India is limited, but sales are increasing rapidly among affluent consumers
    - Growth in China' s bottled water market is not always driven by necessity
- INSIGHT: Health is a growing concern, particularly as ' Western' diseases proliferate in this region
  - Obesity and hypertension are increasingly prevalent in the BRIC countries
  - Sales of nutraceuticals and dietary supplements are growing across the BRIC region
- INSIGHT: Convenience is of growing importance to select consumers on select occasions
  - BRIC consumers are beginning to embrace convenience focused meal solutions
    - Ready meals are not popular with Brazilian consumers, although frozen meals have had a limited impact
    - Ready meals are playing an increasing role in Russia
    - Penetration of ready meals is very low in the Indian market
    - Western style ready meals are a limited trend in China
  - Consumer attitudes towards frozen foods are developing as such foods become more widely available
    - Brazilian consumers are prepared to eat frozen food, particularly meat
    - The Russian frozen food market is being driven by the appliance market
    - Indian consumers have not adopted frozen food, although frozen pizza and meat have begun to gain popularity
    - Frozen food has a small share of the food market in China
  - A large proportion of BRIC consumers function without washing machines and dryers
    - Machine usage is uncommon in BRIC countries
    - Hand-washing remains common in BRIC countries
  - Outsourcing laundry to domestic helpers remains prevalent in all BRIC countries
    - Many Brazilians outsource the clothes laundering process to domestic helpers
    - Affluent consumers in Russia have begun to use domestic help for clothes laundering chores
    - Use of domestic help is very common among Indian affluent consumers
    - There is a growing market for domestic help in China, although launderettes remain popular
  - Approaches to washing and use of detergents varies between countries
    - The use of powder or liquid clothing detergent is dependent on consumer taste in the BRIC countries
    - Clothing is often separated before washing, based on color or quality
  - Clothing odor and hygiene is a problematic issue for BRIC consumers
    - Stain removal is a key selling factor for clothing detergents in BRIC countries
    - Common causes of bad smelling clothes in BRIC countries include body odor and cooking smells
  - Dishwashers are seen as aspirational and are rarely used by BRIC consumers
    - Few Brazilians own a dishwasher, or are convinced of its usefulness
    - Many Russian consumers do not see a need for dishwasher appliances, although there is a potential market from high income women workers
    - Given the low cost of domestic labor, Indian consumers will need to be persuaded of the added value offered by dishwashers
    - The dishwasher market is only just emerging in China
- INSIGHT: Sensory and pleasure focused consumption is increasingly prominent
  - Consumption of pleasure orientated food and drink is growing as more consumers are able to trade up
  - Food and drink flavor preferences vary slightly by country
  - Consumer packaged goods marketing claims highlight shifting preferences among BRIC consumers
  - Takeaway food occasions are becoming popular in BRIC countries
    - Takeaway food is gradually becoming more popular with Brazilian consumers
    - Fast food takeaway restaurants offering a range of cuisines are increasingly popular in Russia
    - Take up of takeaway and delivery food in the Indian market is low, although outsourcing centers are leading the growth of takeaway and delivery services
    - Take away food is becoming more popular with Chinese consumers
  - Local foods are the most heavily consumed while other ethnic dishes are gaining in popularity
    - Street food, pizza and Chinese food are very popular with Brazilians, while Indian and UK food is not so popular
    - Russian tastes are broadening to include Chinese and Indian food
    - Pizza and Chinese foods are popular foreign dishes in India, which remains partial to street foods
    - Indian takeaway food is one of the more successful ethnic cuisines in China, while other foreign foods are less popular
- INSIGHT: Consumption of food, drinks and personal care reveal significant age and gender differences
  - Personal care consumption by age and gender
    - Personal care consumption is dominated by 15-44 year olds
  - Alcoholic drinks consumption by age and gender
    - The 55+ age group accounts for the least amount of alcoholic drinks consumption in the region
  - Soft drink consumption by age and gender
    - The 15-24 group dominates soft drink consumption in the BRIC region
  - Confectionery and savory snacks consumption by age and gender
    - Russia has a different age pattern to the other BRIC countries in terms of confectionery and savory snacks consumption
  - Prepared meals consumption by age and gender
    - Consumption of prepared meals varies greatly by BRIC country
- Conclusions
CHAPTER 3 ACTION POINTS
- Introduction
- ACTION: Prepare for the future with higher premium products as the middle classes broaden and deepen
  - Link aspirational brands with aspects of popular culture and fashion
- ACTION: Take existing mature brands into new BRIC markets to develop as "cash cows" in select cases
- ACTION: Take steps to protect intellectual property
  - Work with regulating authorities and joint venture partners to ensure the integrity of their brands
- ACTION: Target aging populations via product development and marketing communications
  - Target the older consumer group - their strategic importance will only grow
  - Make older consumers more inclusive with "ageless marketing"
    - BRIC seniors may have more limited comprehension of the point of persuasion
  - Respond to the veneration of seniors in certain societies
    - Stress the positive aspects of maturity
  - Companies that adapt the quickest will thrive
- ACTION: Target the health and wellness trend
  - Look to re-formulate existing products and market them as better-for-you alternatives
    - Clearly communicate ' better for you' product development techniques in order to gain consumer trust
    - Make health a key focal point with future prepared meal innovations
    - Address parents' concerns over health and nutrition
  - Introduce consumer education programs about healthy eating and to build long-term brand trust
- ACTION: Target the need for time-saving devices and services
  - Incorporate convenience orientated product attributes into your offerings
    - Alter product formats to make them suitable for on-the-go consumption
    - Target the convenience attributes that consumers value and promote them overtly in marketing literature
  - Promote convenient products as a way of allowing consumers to enjoy more family time
    - Communicate ' happiness' and ' parental interaction' in ads
- APPENDIX
- Definitions
- Research methodology
- How to contact experts in your industry
- List of Tables
  - Table 1: Population growth in the BRIC region (millions), 2000-2010
  - Table 2: Population by family status in the BRIC region (% of total population), 2000-2010
  - Table 3: Population by ethnic background in the BRIC region (% of total population), 2000-2010
  - Table 4: GDP per capita (US$), 2000-2010, Brazil and the US
  - Table 5: Gini co-efficient, 2000-2010, Brazil
  - Table 6: Income quintile distribution (US$), 2005, Brazil
  - Table 7: Home occupancy ownership (%) and average home price (US$), 2000-2010, Brazil and the US
  - Table 8: Gini co-efficient, 2000-2010, Russia
  - Table 9: Income quintile distribution (US$), 2005, Russia
  - Table 10: GDP per capita (US$ 1995), 2000-2010, Russia and the US
  - Table 11: Home occupancy ownership (%) and average home price (US$), 2000-2010, Russia and the US
  - Table 12: Gini co-efficient, 2000-2010, India
  - Table 13: Income quintile distribution (US$), 2005, India
  - Table 14: GDP per capita (US$), 2000-2010, India and the US
  - Table 15: Home occupancy ownership (%) and average home price (US$), 2000-2010, India and the US
  - Table 16: Gini co-efficient, 2000-2010, China
  - Table 17: Income quintile distribution (US$), 2005, China
  - Table 18: GDP per capita (US$), 2000-2010, China and the US
  - Table 19: Home occupancy ownership (%) and average home price (US$), 2000-2010, China and the US
  - Table 20: Brazil population forecast (millions) by age band, 2006-2010
  - Table 21: Brazil population by age and gender (%), 2006 and 2010
  - Table 22: Brazil life expectancy by gender, 2001-2010
  - Table 23: Russia population forecast (millions) by age band, 2006-2010
  - Table 24: Russia population by age and gender (%), 2006 and 2010
  - Table 25: Russia life expectancy by gender, 2001-2010
  - Table 26: India population forecast (millions) by age band, 2006-2010
  - Table 27: India population by age and gender (%), 2006 and 2010
  - Table 28: India life expectancy by gender, 2001-2010
  - Table 29: China population forecast (millions) by age band, 2006-2010
  - Table 30: China population by age and gender (%), 2006 and 2010
  - Table 31: China life expectancy by gender, 2001-2010
  - Table 32: Meat and fish consumption per capita in the BRIC region (kilograms), 2000-2010
  - Table 33: Fruit and vegetable consumption per capita in the BRIC region (kilograms), 2000-2010
  - Table 34: Most popular five vegetables and fruits by consumption, Brazil 2005
  - Table 35: Most popular five vegetables and fruits by consumption, Russia 2004
  - Table 36: Most popular five vegetables and fruits by consumption, India, 2005
  - Table 37: Sales of bottled water in Brazil by type (Liters, millions), 2000-2010
  - Table 38: Bottled water consumption in Russia (Liters), 2000-2010
  - Table 39: Sales of bottled water in Russia by type (Liters, millions), 2000-2010
  - Table 40: Sales of bottled water in India by type (Liters, millions), 2000-2010
  - Table 41: Sales of bottled water in China by type (US$m), 2000-2010
  - Table 42: BRIC countries, incidence of obesity (millions), 2000-2010
  - Table 43: BRIC countries, incidence of hypertension (millions), 2000-2010
  - Table 44: Nutraceutical and OTC vitamin & mineral sales in the BRIC region (US$ millions), 2000-2010
  - Table 45: Nutraceutical and OTC vitamin & mineral expenditure per capita in the BRIC region (US$/head), 2000-2010
  - Table 46: Ready meal sales per annum, Brazil, 2000-2010
  - Table 47: Ready meal sales per annum, Russia, 2000-2010
  - Table 48: Ready meal sales per annum, India, 2000-2010
  - Table 49: Ready market value by type (US$ m), China, 2000-2010
  - Table 50: Frozen food sales per annum, Brazil, 2000-2010
  - Table 51: Frozen food sales per annum, Russia, 2000-2010
  - Table 52: Frozen food sales per annum, India, 2000-2010
  - Table 53: Frozen food sales per annum, China, 2000-2010
  - Table 54: Clothing detergent sales by type in Brazil (US$m), 2000-2010
  - Table 55: Clothing detergent sales by type in Russia (US$m), 2000-2010
  - Table 56: Product features of clothing detergents launched in India, Jan 2001- Aug 2006
  - Table 57: Consumption of pleasure orientated food and drinks by volume in the BRIC region, liters million, 2000-2009
  - Table 58: Brazil: Top 15 flavors in new food and drinks launches (% of total launches), Dec 05-06
  - Table 59: Russia: Top 15 flavors in new food and drinks launches (% of total launches), Dec 05-06
  - Table 60: India: Top 15 flavors in new food and drinks launches (% of total launches), Dec 05-06
  - Table 61: China: Top 15 flavors in new food and drinks launches (% of total launches), Dec 05-06
  - Table 62: Brazil: Top ten on-pack marketing claims in new food and drinks launches (% of total launches), Dec 05-06
  - Table 63: Russia: Top ten on-pack marketing claims in new food and drinks launches (% of total launches), Dec 05-06
  - Table 64: India: Top ten on-pack marketing claims in new food and drinks launches (% of total launches), Dec 05-06
  - Table 65: China: Top ten on-pack marketing claims in new food and drinks launches (% of total launches), Dec 05-06
  - Table 66: Takeaways in Brazil, 2004-2009
  - Table 67: Takeaways in China, 2005-2010
  - Table 68: Definitions of terms used in the report
- List of Figures
  - Figure 1: PESTLE analysis of Brazil
  - Figure 2: PESTLE analysis of Russia
  - Figure 3: PESTLE analysis of India
  - Figure 4: PESTLE analysis of China
  - Figure 5: Brazil' s economy is based on services and commodity resources
  - Figure 6: Over 50s as a proportion of total population (%), BRIC countries and Western Europe, 1990
  - Figure 7: Over 50s as a proportion of total population (%), BRIC countries and Western Europe, 2006
  - Figure 8: Over 50s as a proportion of total population (%), BRIC countries and Western Europe, forecast 2010
  - Figure 9: Still water dominates China' s emerging bottled water market, 2000-2010
  - Figure 10: Clothing detergents in Brazil highlight the fact that they are designed for use in washing machines
  - Figure 11: China' s laundry detergent market is fragmenting into specialist products
  - Figure 12: BRIC countries: value of personal care consumption by age group (% value), 2004
  - Figure 13: BRIC countries: value of personal care consumption by gender (% value), 2004
  - Figure 14: BRIC countries: value of alcoholic drinks consumption by age group (% value), 2005
  - Figure 15: BRIC countries: value of alcoholic drinks consumption by gender (% value), 2005
  - Figure 16: BRIC countries: value of soft drinks consumption by age group (% value), 2004
  - Figure 17: BRIC countries: value of soft drinks consumption by gender (% value), 2004
  - Figure 18: BRIC countries: value of Impulse consumption by age group (% value), 2004
  - Figure 19: BRIC countries: value of Impulse consumption by gender (% value), 2004
  - Figure 20: BRIC countries: value of prepared meal consumption by age group (% value), 2004
  - Figure 21: BRIC countries: value of prepared meal consumption by gender (% value), 2004
  - Figure 22: The affluence and needs of the middle class inevitably evolves
  - Figure 23: Unilever' s healthy ice cream, Kibon Ades, has been launched in Brazil
  - Figure 24: Nestle' s Maggi Na Zdorovye! Salad Seasoning was recently introduced in Russia
  - Figure 25: Nestle Rice with Lotus Seed is a new type of nutritious baby food in China
  - Figure 26: Instill these product attributes in offerings to capitalize on consumers' convenience related needs and behaviors

Targeting Profitable Consumer Trends In Brazil, Russia, India and China

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