Modern and Traditional Market Grows 10% in 2010

Research Institute PT AGB Nielsen Media Research (Nielsen) predicts that sales growth rates in traditional markets and modern in Indonesia year 2010 will increase 10 percent. Sales contribution is still dominant in the modern market will increase to 20 percent and traditional markets itself up 7 percent.

Director, Retailer Services Nielsen, Yongky Susilo Said in Jakarta,

"We predicted that total market sales of modern and traditional can grow 90-10 percent," he said.

He said the year 2009 alone sales growth target to 3 percent or traditional markets significant decline experienced from last year's 20 percent.

"This is due to the low purchasing power that is also low because of global crisis and the inflation rate which was in position 2%, while for 27 percent of the modern market," he said.

The more rapid growth of mini, continued Yongky, will be the main attraction in 2010 with 20% market share.

"But the traditional market with 80% market share will still be the main objective Indonesian consumers who want products that have a low quality for affordable prices such as vegetables and fruits, plus the traditional markets such as the wagon began to resemble vegetables, almost there in every corner of the shelter, "he explained.

The same place the Executive Director of Retail services, Nielsen Media Research Teguh Yunanto explains, the traditional 80 percent market share could dwindle if some of the products sold in the market tradsional also sold in a modern market.

"For example, if smoking was issued then only 60 per cent market share, if the egg was also issued to shrink again," he said.

But he also said sales would still increase because the current consumer reaction is quite evident from improved consumer confidence index rose from 77 in April 2009, to 86 in October 2009.

"Indonesia has become the country's two positive customers," he added.

Modern trade, still become stronger in the year 2010 although at a lower pace, fostering its contribution 30% to 37% within five years. "And more than 800 outlets open a new modern trading in the year 2009. This shows that convenience and proximity play an important role in consumers' minds," he said.