Michael Walton, Executive Director Consumer and Business Intelligence, Nielsen Pacific presented on global consumer trends including insights and data demonstrating how consumers’ lives are changing and the impact this will have on wine as a category. Michael explored trends including premiumisation, the impact of social media and how consumers choose wines to purchase.

1. CONSUMERS’S
GLOBAL OUTLOOK
AND WHAT IT MIGHT MEAN FOR US.
Michael Walton, Executive Director Nielsen Pacific. September 2013

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94
124
110
98 98 96
79
53
33
0
20
40
60
80
100
120
140
Global
Indonesia
China
Canada
Australia
United
States
United
Kingdom
France
Portugal
Global
Indonesia
China
Canada
Australia
United
States
United
Kingdom
France
Portugal
GLOBAL CONFIDENCE LEVELS
Optimism felt more keenly in Asian markets
Quarter 2, 2013
Source : Nielsen 2013

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33%OF THE WORLD IS
ONLINE
TECHNOLOGY OFFERS FRESH OPPORTUNITIES
This landscape is wholly transformed in the last 5 years
And higher in key markets :
Norway 97%
Australia 89%
United Kingdom 84%
United States 78%
Hong Kong 75%
China 40%
Source : Nielsen 2013

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What impact does POS for
have on buyer behaviour?
How does this differ by
consumer segment / brand
/ retailer?
TECHNOLOGY OFFERS FRESH OPPORTUNITIES
Understand in real time, in location or sense check messaging for real resonance
Shopper research
conducted using neural
analysis
Clever, fast and very
revealing
Source : Nielsen 2013

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UNITED STATES STORY
Background
Table wine up 5.5 % in value over
last 12 months. Wine brackets over
$US 9 up between 7 and 12.8%
Hispanic Consumers
Traditionally under-index on wine
consumption versus population size
Building out new drinkers and what they are drinking #1.
31
16
% US Population 2010 - 2050
12.8
5.5
Table Wine Growth Under $9 and Over $9
Source : Nielsen 2013

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UNITED STATES STORY
Blends
Of 2100 imported brands with some
component of blended product –
blends did the hard work in brand
growth on last year
Hispanic Consumers
OVER-INDEX on red blends. As do
Asian-Americans and 21-44 year olds.
Building out new drinkers and what they are drinking #2.
Hispanic Index – Wine and Blended Reds
18
6
% Value Brand Growth V Blended Growth
120
79
Source : Nielsen 2013

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47%Humorous Messages
MESSAGES THAT RESONATE
Self reported
46%Real Life Situations
38%Family Oriented
Health-Themed
Value-Oriented
Source : Nielsen 2013

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8
2006 - 2007 2008 - 2009 2010 - 2011
MESSAGES THAT RESONATE
Time-Series Nielsen analysis
Source : Nielsen 2012

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84%Trust
recommendations from
friends and family
TRUST IN ONLINE IS MOVING UP
This landscape is wholly transformed in the last 5 years
69%Trust
branded websites
68%Trust
consumer opinions
posted online
Source : Nielsen 2013

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CONSUMER SIGNALS ARE VERY PROMISING
• Demographics play in wine’s favour.
• We are getting older
• Developing markets are urbanising, a pre-curser to new taste choices
• Substantial and growing global middle class
• Opportunities for engagement are growing
• Technology allows access for all
• Technology is well suited to wine’s inherent storytelling
Cause for some optimism in short term in some markets, medium term in others

11. Twitter : michael_walton_