26-7-2023 (BANGKOK) The majority of Thai citizens are pessimistic about their country’s economic conditions, with concerns over inflation and interest rates, according to a study by market research company Ipsos. Of the 6,000 people surveyed, 56% believed that inflation would increase over the next year, while 54% expected a surge in interest rates. Additionally, 57% rated the current economic situation in Thailand as “bad,” and 72% believed that the country is currently in a recession, 23% higher than the global average.
The study also revealed that Thais expect price hikes in utilities, fuel, and food, reflecting economic uncertainty. The top predicted price increases include utilities, motoring fuel, and food shopping costs, while other household expenses may not be affected as much.
Thai citizens blamed rising living costs on the global economy, national policies, and interest rates, according to the study. However, there was a growing sense of optimism among Thais, with 61% expecting the economy in their local area to be “stronger.” Ipsos’s study also found that environmental, social, and governance factors have become integral to companies’ strategic plans and roadmaps, as more consumers are willing to spend on brands that demonstrate responsible behaviour.
Ipsos’s study, titled “What Worries the World – What Worries Thailand,” compared the top five global concerns with those specific to Thailand, along with predicted price increases from January to June of this year. The study found that inflation has consistently ranked as the top global concern in Ipsos’s “What Worries the World” survey for the past 15 months. Other prominent worries include poverty and social inequality, crime and violence, unemployment, and financial and political corruption.
The study’s findings suggest that Thai consumers are cautious about excessive spending and prefer to limit their shopping to essential items, especially from brands they are familiar with. Ipsos’s managing director, Usana Chantarklum, emphasised the importance of marketers and manufacturers adjusting their product pricing to align with customers’ purchasing power and retaining loyal patrons. Additionally, she highlighted the government’s role in maintaining product prices to support consumers.
