Slump alters consumer behaviour

       The recession has transformed consumers' behaviour, says a study by the advertising agency BBDO Bangkok.
       But although economic problems have weakened people's purchasing power,some product categories still have growth potential, said CEO Songkran Sethesompobe.BBDO Bangkok's survey of 15,000 respondents in 15 countries worldwide - including 1,300 Thais - in the first half of 2009 found that most respondents have become more economical and spend more time choosing products.
       Most have cut their out-of-home entertainment and fashion spending, preferring to stay home and spend more time with family.
       "As a result, the market for indoor entertainment products like DVDs and DVD players, online games, internet packages and mobile phone packages is likely to grow," said Mr Songkran.
       About 51% of respondents also buy more house-brand products.
       The survey found consumers could be divided into four groups: strugglers,who lack financial stability and look for cheap goods; middle-class consumers,who are optimistic; secessionists, who are unaffected by the crisis; and spectators, who are young and free from worries but lack financial planning.
       Thai respondents were most upset by the global recession, followed by those in the US, Singapore, Taiwan and France.About 49% were more concerned by the current downturn than the 1997 crisis because they felt a direct impact on tourism and exports, but 51% disagreed.
       About 54% said they were unable to save because of high costs of living. They also used credit cards less.
       "Local economic and political uncertainties have also forced middle- to low-income groups to hold down more than one job or to work harder to ensure their survival amid the economic hardship," said Mr Songkran.
       But rising product prices had increased consumers' interest in environmental issues. Higher living costs had also had a positive impact on family relationships.
       Although consumers are uncertain about the economy, they take time to visit temples and give more to charity.