Retail Trade Switzerland Grows Only Slightly in 2016 - Advertising Spending Likewise

Consumers in Switzerland are shopping less frequently, but spending per purchase has remained stable for several years - totaling around CHF 33 billion in 2016. On average, everyday products worth around CHF 42 ended up in the shopping cart with every purchase. The average household goes shopping a total of 136 times a year. These are the findings of the latest publication "Nielsen Consumers 2017 Switzerland" by Nielsen, a global performance management company that provides information and insights into the media and purchasing behavior of consumers. The basic information on consumers, retail and advertising expenditure is published as an app for iOS and Android (links below).

Swiss consumers are shopping planners, bargain hunters and advocates of quality

Three quarters of consumers plan their purchases in advance. Although purchases are so often planned in advance, 64 percent tend to make impulse purchases in store. Almost 70 percent like to visit well-organized stores with a pleasant atmosphere.

The search for bargains is still widespread. 67% prefer special offers for their daily food shopping. 55% compare the prices of private labels and brands. Coupons for food products are regularly searched for by just under half of consumers.

For more than one in two consumers (57%), quality is important and a reason to spend more money on quality products. Health and the environment are not neglected in Switzerland either. A good half attach great importance to healthy (56%) and environmentally friendly (50%) products. "This trend in Switzerland is being driven largely by millennials. For us, this is definitely the target group of tomorrow," reports Judith Kuiper, Managing Director of Nielsen Switzerland.

Winners and losers in retail

The retail trade in Switzerland generated sales of CHF 32.6 billion in 2016. This is a slight increase of 1 percent. The number of stores, which has been declining for years, fell further to just over 6731.

The small supermarkets (+3.6%), superettes (1.6%) and hard discounters (+4.4%) were able to increase their sales. Traditional grocers (-0.5%), large supermarkets (-0.4%) and hypermarkets (-0.9%), on the other hand, saw a slight drop in sales. "Smaller formats with central locations in particular are on the rise here, serving the growing need of the Swiss for on-the-go consumption. Such formats have experienced a strong upswing in the current year in particular," says Judith Kuiper.

Minimal increase in advertising expenditure

Gross advertising expenditure amounted to CHF 5.4 billion in 2016 and thus remained unchanged compared to the previous year. Print media is the medium with the highest spending, followed by TV. "The industry analysis shows that the media industry is ahead. With an increase in advertising expenditure of +14%, it leads the growth ranking. Bringing up the rear is the tobacco industry, which significantly reduced its advertising expenditure (-10%)," says Judith Kuiper.

About the Nielsen Consumers 2017 Switzerland study

For the first time, Nielsen is publishing an overview of the retail landscape in Switzerland. This data is supplemented by consumer attitudes and advertising spending. The data is based on Nielsen household panel and retail panel data as well as a series of Nielsen studies. Further information is available in the app in the app stores of iOS and Android. Search for "Nielsen Consumers CH". You can find more information here.