Away-From-Home Tissue and Hygiene in Vietnam

2020 IMPACT

Contractions for both AFH tissue and hygiene in 2020 due to the onset of COVID-19

Away-from-home hygiene sales experienced contraction in light of the COVID-19 pandemic in 2020. Demand for AFH adult incontinence also dropped overall despite higher demand for the products from the rising numbers of elderly consumers being treated in hospitals and staying in nursing homes during the year.

After committing to improve horeca standards in 2019 in “Asia’s Leading Tourist Destination” the government has to act fast in 2020 to promote domestic tourism since the pandemic

Tourism demand for AFH grew significantly in 2019, to the further benefit of Vietnam’s horeca channel. Higher incomes and busier lifestyles in large cities continued to stimulate greater frequency of dining out among Vietnamese consumers.

Rural customers focus on local companies with limited production capacity or on un-named low-priced products, while demand in urban areas is for well-known bands of higher quality

In rural areas, most AFH products are local brands or un-named products with limitations in terms of their production capacity. Most local brands are more focused on low prices and cost saving than on quality withs customers preferring to buy low-priced products from small manufacturers or to use toilet paper for multiple purposes.

RECOVERY AND OPPORTUNITIES

Strong rebound for AFH tissue and hygiene in the aftermath of the pandemic, though ongoing outbreaks of the virus in other countries restrain tourist arrivals for some time

Away-from-home tissue and hygiene is expected to perform very well throughout the rest of the forecast period. Away-from-home tissue is set to maintain steady growth rates and be slightly higher than those achieved over the review period.

Elderly population boosts AFH adult incontinence while a resumption of socialising outside the home benefits AFH tissue

Over the forecast period, sales of AFH adult incontinence among the elderly population will experience stronger growth as the number of these people being treated in hospitals and staying in nursing homes will grow rapidly. On the other hand, after dropping during the pandemic, sales of AFH napkins, boxed facial tissues and toilet paper normally consumed in hotels, restaurants and business centres will experience a rapid recovery as people will slowly return to normal activities and begin going out again, with dining out patterns gradually returning to normal.

Major global and regional brands continue to dominate sales to maternity wards, nursing homes and healthcare facilities

Within away-from-home hygiene, global brands Bobby, Huggies and Pampers will continue to be the most used brands in maternity hospitals. Moreover, during the forecast period, these brands are expected to expand their co-operations with hospitals in suburban and rural areas.