Looking forward: Seizing Tet 2025
As we look ahead to Tet 2025, the economic landscape has undergone more positive shifts. While Typhoon Yagi caused substantial damage to northern part of Vietnam in Q3 2024, its impact on consumer confidence and household financial situations appears to have been limited. Brands that demonstrated their commitment to supporting affected areas will likely be well-regarded, and their marketing messages should reflect this empathy.
Despite the challenges posed by the typhoon, Vietnam's GDP achieved record growth of 7.4% in the third quarter of 2024, signalling a positive outlook for the year-end. This economic improvement suggests a more prosperous Tet season ahead.
However, it's important to note that only less than half of households anticipate an improvement in their financial situation within the next twelve months. This cautious sentiment reflects the ongoing uncertainty surrounding external conditions. As a result, brands can expect consumers to remain price-conscious but not compromise on their values. They will continue to compare prices, explore different channels for the best deals, and prioritise value-driven offerings.
In a challenging FMCG environment, Kantar projects FMCG growth during Tet 2025 to reach 1-3%, with urban areas experiencing lower growth than rural regions. With Tet 2025 falling in January, brands must prepare early for the anticipated peak shopping activities, which are expected to begin as early as December.
To resonate with evolving consumer preferences, brands should focus on offerings that align with the growing desire for a stress-free, healthier, and more economical holiday. Products and services that save time, money, and effort while providing value and essential necessities will be particularly favoured.
By understanding these trends and adapting their marketing and distribution strategies accordingly, FMCG brands can effectively navigate the Tet 2025 season and capture the attention of the modern consumers.
3 Key Takeaways to win Tet 2025
Healthier and Practical Tet Celebrations
After a few years of grappling with constant change, Vietnamese consumers long for a hassle-free Tet season when they can spend more time on themselves and their families. Brands and manufacturers need to capture this emerging shift to cater to a generation of busy and stressed consumers who value convenience, efficiency, and products that simplify their lives.
Focus on Convenience, Health, and Value
During the holiday season, brands must promote offerings and priorities’ channels that save consumers time, money, and effort while providing health-focused benefits and the value for money. The quest for value remains paramount in the Vietnamese consumer mindset.
Prepare Early for Different Peak times
It’s crucial to understand how holiday shopping peaks happen differently in urban and rural regions as well as in physical stores vs online in order to maximise brands’ presence and capture the most of consumers’ shopping occasions.
