Вы находитесь на странице: 1из 136

EUROPE

QUARTER BY NUMBERS

Q1 2018

Copyright © 2017 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

Copyright © 2017 The Nielsen Company

1

CONTENTS – EUROPE WEST SECTION 1 1 THE BIG PICTURE: EUROPE WEST   T Message

CONTENTS EUROPE WEST

SECTION 1

1

THE BIG PICTURE: EUROPE WEST

 

T

Message from Olivier Lamare

………………………………………………………………………

….

4

EUROPE AT A GLANCE

E

Key economic

drivers……………………………………………………………………………………

5

Looking through West Europe FMCG Lens………………………………………………………

 

7

COUNTRY SNAPSHOT

T

Austria……….………………………….…………………………………………………………………

8

Belgium………………………………………………………………………………………… 11

Denmark………………………………………………………………………………………

Finland………………………………………………………………………………………………… 17

France……………………………………………………………………………………………………… 20

Germany…………………………………………………………………………………………………… 23

Ireland…………………………………………………………………………….…………… 26

Italy…………………………………………………………………………………… 29

14

……

……………

Netherlands………………………………………………………………………………

……………

32

Norway………………………………………………………………………………………

………

35

Portugal…………………………………………………………………

………………….………

38

Spain…………………………………………………………………………………………… …………

41

Sweden………………………………………………………………………………………………

44

Switzerland……… ………………………………………………………………………………………

47

United

Kingdom…………………………………………………………………………….…………… 50

IN THE INDUSTRY

What’s Next Starts Now…………………………………………………………………………………

Y

102

2

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

CONTENTS – EUROPE CENTRAL & EAST SECTION 2 1 THE BIG PICTURE: EUROPE CENTRAL &

CONTENTS EUROPE CENTRAL & EAST

SECTION 2

1

THE BIG PICTURE: EUROPE CENTRAL & EAST

T

Message from Roberto Pedretti and Daniel Chorbadjian…………………………

53

EUROPE AT A GLANCE

E

Key economic drivers……………

…………………………………………………….…………

54

Looking through Central & East Europe FMCG Lens……………………………………………

56

COUNTRY SNAPSHOT

T

Belarus……….………………………….…………………………………………………………………. 57

Bulgaria……….………………………………………….……………………

60

Czech Republic……………………………………………………………………………………………

63

Estonia………………………………………………………………………………………… ………

66

Greece…………………………………………………………………………………………………

69

Hungary……………………………………………………………………………………………………. 72

Kazakhstan………………………………………………………………………………………… 75

Latvia…………………………………………………………………………………… 78

Lithuania…………………………………………………………………………………………………… 81

Poland……………………………………………………………………………………………………… 84

87

Russia……………………………………………………………………………………………………… 90

Slovakia……………………………………………………………………………………………………. 93

Romania………………………………………………………………… ………………………………

……

Turkey………………………………………………………………………………………………………

96

Ukraine……………………………………………………………………………………………………

99

IN THE INDUSTRY

Y

What’s Next Starts Now…………………………………………………………………………………

102

NOTE: Croatia, Israel, Serbia and Slovenia are not included in this quarter’s report and will return in Q2 2018

3

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

THE BIG PICTURE: EUROPE WEST Olivier Lamare Retail Services Developed Markets With this Q1 2018
THE BIG PICTURE: EUROPE WEST Olivier Lamare Retail Services Developed Markets With this Q1 2018

THE BIG PICTURE:

EUROPE WEST

THE BIG PICTURE: EUROPE WEST Olivier Lamare Retail Services Developed Markets With this Q1 2018 edition

Olivier Lamare

Retail Services

Developed Markets

With this Q1 2018 edition of Europe Quarter by Numbers, we are glad to bring you an even fuller picture, as this report now includes 7 new markets (Austria, Denmark, Finland, Ireland, Norway, Sweden and Switzerland). Our ambition does not change, we aim to provide context and insight into how broader macroeconomic factors are influencing consumer sentiment and spending patterns in the retail scene.

After tough times in the last few years, 2017 showed a dynamic economic environment across Europe, with positive consumer confidence in the region reaching some of the highest levels seen for some time. If Europe remains far below the global average for consumer confidence, early 2018 confirms the positive trend in markets like Germany, Switzerland and Portugal (+5).

Amongst the national issues of greatest concern, health is high on the list. Some countries like Portugal, Finland and Ireland show notable peaks, but the whole region have it listed as concern, with great opportunities in this field (organic items and stores, free from products, healthy innovations).

European Union (EU28) GDP growth slowed at the start of 2018 after a stronger than expected 2017, in a recovery phase after a decade of financial and economic crises. Most countries see their GDP growing at a slower pace this quarter. The more sluggish economic growth (+0.4%) in Q1 was related to some degree to cold weather but the consensus is that this is that start of a normalization of growth after a number of years of monetary stimulus by the ECB.

After a strong end to 2017, FMCG performance in Q1 weakened slightly with volume growth receding to +0.9% (down from +1.7% in Q4). However this is still close to the underlying trend of the last 12 months. Value sales across Europe increased by +3.7%, down from +4.4% in Q4. There was also a growth upside in Q1 from an early Easter in 2018 (calendar effect). A few markets lead growth in the region, like Germany (+4.4%) and Portugal (+4.1%) with solid growth in value. In every market inflation is feeding growth, but volumes are declining in several countries:

Belgium and Netherlands, France, Denmark, Finland and Switzerland. Putting money into savings is the first priority for the majority of markets and consumers continue to navigate the retail environment with a savings mindset, seeking the best deals when shopping, in terms of price and promotions, but also brands and channels.

Private Label and Discounters are on the rise in many markets (France and Portugal being exceptions), pushing hard and gaining share. Many retailers across the region have revamped their own brands, upgrading ranges and investing in communication. In a significant number of markets, FMCG leaders are also threatened by small brands and local champions who are capitalizing on revived “local pride”, leveraging an appeal from consumers toward local consumption and a push from retailers.

Inflationary pressures continue with unit value growth of +2.8%. At the moment there is no indication across most of the bigger European economies, that FMCG spend is being impacted by the continuation of moderate inflation. Looking ahead, Q2 will be better indication of both consumer sentiment and shopper behaviour for the rest of the year.

*European Growth Reporter Q1 2018

4

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

EUROPE WEST MARKETS AT A GLANCE ECONOMIC PULSE OF CONSUMERS AROUND EUROPE The Conference Board®
EUROPE WEST MARKETS AT A GLANCE ECONOMIC PULSE OF CONSUMERS AROUND EUROPE The Conference Board®

EUROPE WEST MARKETS AT A GLANCE

ECONOMIC PULSE OF CONSUMERS

AROUND EUROPE

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen measures perceptions of local job prospects, personal finances and immediate spending intentions. Consumer confidence levels above and below a baseline of 100 indicate degrees of optimism and pessimism, respectively

Q1 2018 Q1 2018 vs

Q4 2017

Spain

91

-2

Denmark

114

-2

Austria

100

-2

Italy

66

-2

GDP

(annual %

growth)

Inflation

2.9

0.9

-0.8

0.7

3.1

1.9

1.4

0.8

CONSUMER CONFIDENCE INDEX

0.7 3.1 1.9 1.4 0.8 CONSUMER CONFIDENCE INDEX CONSUMER CONFIDENCE INDEX GDP   (annual % growth)
0.7 3.1 1.9 1.4 0.8 CONSUMER CONFIDENCE INDEX CONSUMER CONFIDENCE INDEX GDP   (annual % growth)

CONSUMER CONFIDENCE INDEX

GDP

 

(annual %

growth)

Inflation

Q1 2018 Q1 2018 vs

Q4 2017

2.0

0.8

Portugal

90

5

2.3

1.3

Germany

108

5

-

0.7

Switzerland

104

5

1.6

1.5

Belgium

88

3

-

-

Sweden

99

2

2.1

2.0

Norway

89

2

2.7

0.8

Finland

82

2

3.1

1.2

Netherlands

101

1

1.2

2.4

UK

96

0

2.1

1.5

France

79

0

7.0

0.5

Ireland

103

0

Consumer sentiment improves across most of Western Europe’s key markets

GDP and Inflation reflect

Source: Economist Intelligence Unit (EIU)/OECD/local government sources The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

% change per annum to Q1 or (-) indicates not available at time of publication

5

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

EUROPE WEST MARKETS AT A GLANCE CONSUMER SENTIMENTS IN EUROPE WHAT ARE THE TOP 2
EUROPE WEST MARKETS AT A GLANCE CONSUMER SENTIMENTS IN EUROPE WHAT ARE THE TOP 2

EUROPE WEST MARKETS AT A GLANCE

CONSUMER SENTIMENTS IN EUROPE

WHAT ARE THE TOP 2 CONCERNS IN THE NEXT SIX MONTHS? Type of concern

35 30 30 28 28 29 30 26 22 25 21 21 20 20 20
35
30
30
28
28 29
30
26
22
25
21
21
20
20
20
19
18
18
18
17
17
17
20
16
16
15
15
13
13
12
15
11
11
9
8
8
10
6
5
0
EU
AT
BE
CH
DE
DK
ES
FI
FR
GB
IE
IT
NL
NO
PT
SE
Health
Job security
EU
AT
BE
CH
DE
DK
ES
FI
FR
GB
IE
IT
NL
NO
PT
SE
Health
0
3
3
5
3
-1
0
3
3
1
4
-3
1
-2
3
4
Job security
0
-3
2
0
1
0
2
1
0
1
1
0
-3
2
1
-4

WHO’S SPENDING, SAVING AND INVESTING?

After living expenses, how is spare money spent

Bars reflect Q1 2018. Table shows comparison to Q4 2017

55 60 53 52 52 52 50 49 48 51 48 48 48 48 47
55
60
53
52
52
52
50
49
48
51 48
48
48
48
47
46
45
50
44
43
43
43
42
40
39
38
37 37
37
37
37
36
35
35
35
35
40
34
33
33
30
29
29
28
28
28
28
25
25
30
24
22
20
10
0
EU
AT
BE
CH
DE
DK
ES
FI
FR
GB
IE
IT
NL
NO
PT
SE
Putting into savings
Holidays / vacations
New clothes
EU
AT
BE
CH
DE
DK
ES
FI
FR
GB
IE
IT
NL
NO
PT
SE
Putting into savings
2
0
2
1
1
-2
4
6
0
7
4
8
3
5
1
5
Holidays / vacations
1
-1
3
3
6
5
-1
2
6
5
1
-4
0
-1
5
3
New clothes
0
-2
0
2
-3
3
0
4
8
2
2
-2
0
-3
0
1

Bars reflect Q1 2018. Table shows comparison to Q4 2017

Saving remains a key priority for majority, with an increasing focus for consumers in Italy and the UK.

6

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen. Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

LOOKING THROUGH EUROPE WEST FMCG LENS FAST MOVING CONSUMER GOODS MARKET DYNAMICS – Q1 2018
LOOKING THROUGH EUROPE WEST FMCG LENS FAST MOVING CONSUMER GOODS MARKET DYNAMICS – Q1 2018

LOOKING THROUGH EUROPE WEST FMCG LENS

FAST MOVING CONSUMER GOODS MARKET DYNAMICS Q1 2018 Weighted average WEST EUROPE 15 countries

AT BE CH DE DK ES FI FR GB IE IT NL NO PT SE
AT
BE
CH
DE
DK
ES
FI
FR
GB
IE
IT
NL
NO
PT
SE
AT
BE
C H
D E
D K
ES
FI
FR
GB
IE
IT
N L
N O
PT
SE
4.4%
4.1%
0.8%
0.2%
3.3%
1.1%
3.1%
2.6%
1.8%
3.6%
3.0%
3.4%
1.4%
1.5%
2.1%
0.7%
-0.8%
-0.7%
- 0.6%
-1.3%
Unit value change
Volume change
Nominal growth

WHERE ARE THE FMCG GROWTH OPPORTUNITIES?

Average volume growth Q4 2017 & Q1 2018

OPPORTUNITIES? Average volume growth Q4 2017 & Q1 2018 N O R W A Y (
OPPORTUNITIES? Average volume growth Q4 2017 & Q1 2018 N O R W A Y (
OPPORTUNITIES? Average volume growth Q4 2017 & Q1 2018 N O R W A Y (
OPPORTUNITIES? Average volume growth Q4 2017 & Q1 2018 N O R W A Y (

NORWAY (+0.7%) DENMARK UK (+0.9%) (-0.8%) IRELAND FRANCE GERMANY (+0.3%) (+2.1%) (+0.8%) (-0.1%) PORTUGAL (+1.9%)

SWITZERLAND

SWEDEN FINLAND (+0.6%) (-0.2%) AUSTRIA NETHERLANDS BELGIUM (+1.4%) (-0.5%) (-0.2%)

SPAIN ITALY (+2%) (+1.6%)

Avg. volume growth decreasing versus last period(+1.4%) (-0.5%) (-0.2%) SPAIN ITALY (+2%) (+1.6%) Avg. volume growth increasing versus last period Colour

Avg. volume growth increasing versus last period(+1.6%) Avg. volume growth decreasing versus last period Colour coding indicates growth or declining trend compared

Colour coding indicates growth or declining trend compared to same 6 month period year ago Average volume growth of Q3’17 & Q4’17 vs Q3’16 & Q4’16.

7

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

AUSTRIA SNAPSHOT Judith Kuiper Market Leader Alpine The Austrian economy is enjoying positive times, with

AUSTRIA SNAPSHOT

AUSTRIA SNAPSHOT Judith Kuiper Market Leader Alpine The Austrian economy is enjoying positive times, with all

Judith Kuiper

Market Leader

Alpine

The Austrian economy is enjoying positive times, with all macroeconomic indicators pointing in the right direction. In 2017 we saw a GDP growth rate of 2.9%the best in several years. According to the Central Bureau of Statistics, we can expect this

rate to improve even more in 2018. Whilst still considered a strong export country,

current economic growth is also supported by solid domestic consumption. The

ongoing low Eurozone interest rates, as well as an income tax changes, appear to have enticed consumers to spend more.

The FMCG industry in Austria recorded a strong first quarter due to an earlier Easter season. It saw a 5.1% rise in value delivered alongside record high consumer confidence levels in late 2017 and in the first quarter of 2018. Hypermarkets led the charge on this value growth with high single digit numbers at the cost of a slow down in growth numbers for Hard Discounters. However, there were other drivers in the trend, primarily in Dairy where a butter shortage drove significant price inflation within the category.

We expect continued positive growth through 2018 as retailers push aggressively on

further promotions, sometimes offering discount levels of up to 30% amidst a

broader scenario of price deflation, particularly for larger brands. This will bring opportunities to experiment with price tiers, to be innovative and to take advantage of improved purchasing power with expanded premium offerings.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.6 3.5 3.1 2.9 2.4 2.2 2.2 1.9 1.7 1.4
3.6
3.5
3.1
2.9
2.4
2.2
2.2
1.9
1.7
1.4

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.7 1.4 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU)

CONSUMER CONFIDENCE INDEX

102 100 87 86 85 81 Q3 2016 Q4 2016 Q2 2017 Q3 2017 Q4
102
100
87
86
85
81
Q3 2016
Q4 2016
Q2 2017
Q3 2017
Q4 2017
Q1 2018
EU
AT

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

8

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
6.3%
5.2%
3.9%
3.7%
3.6%
3.4%
3.3%
1.1%
2.4%
2.7%
3.1%
2.5%
3.2%
1.8%
0.6%
2.3%
2.6%
0.2%
1.2%
1.4%
1.5%
2.3%
0.6%
1.1%
0.4%
0.2%
0.5%
Unit Value Growth
Volume Growth
Nominal Value Growth

Austria

The positive economic climate drove solid volume growth for FMCG.

TOTAL AUSTRIA CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

8% 23% 24% 15% 4% 2% 8% 40%
8%
23%
24%
15%
4%
2%
8%
40%

-3.0%

4.3% 4.7% 3.9% 0.5% 2.1%
4.3%
4.7%
3.9%
0.5%
2.1%

5.0%

5.5%

4% 2% 8% 40% -3.0% 4.3% 4.7% 3.9% 0.5% 2.1% 5.0% 5.5% 6.1% Total FMCG Hypermarkets

6.1%

Total FMCG8% 40% -3.0% 4.3% 4.7% 3.9% 0.5% 2.1% 5.0% 5.5% 6.1% Hypermarkets > 1000 m² Hypermarkets

Hypermarkets > 1000 m²-3.0% 4.3% 4.7% 3.9% 0.5% 2.1% 5.0% 5.5% 6.1% Total FMCG Hypermarkets 1000 - 2499 m²

Hypermarkets 1000 - 2499 m²2.1% 5.0% 5.5% 6.1% Total FMCG Hypermarkets > 1000 m² Hypermarkets > 2500 m² Small Food

Hypermarkets > 2500 m²Hypermarkets > 1000 m² Hypermarkets 1000 - 2499 m² Small Food Up To 250 m² Supermarkets

Small Food Up To 250 m²m² Hypermarkets 1000 - 2499 m² Hypermarkets > 2500 m² Supermarkets 400 - 999 m² Discounters

Supermarkets 400 - 999 m²m² Hypermarkets > 2500 m² Small Food Up To 250 m² Discounters Large Food 250 -

2500 m² Small Food Up To 250 m² Supermarkets 400 - 999 m² Discounters Large Food

Discounters

Large Food 250 - 399 m²Food Up To 250 m² Supermarkets 400 - 999 m² Discounters Drug Stores Discounter growth was

400 - 999 m² Discounters Large Food 250 - 399 m² Drug Stores Discounter growth was

Drug Stores

Discounter growth was driven by new store openings.

9

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL AUSTRIA – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL AUSTRIA SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 4.3% Fresh Food Perishable 32.9%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
4.3%
Fresh Food Perishable
32.9%
3.0%
Culinary Shelf-Stable & Other
16.9%
4.9%
Dairy
11.5%
7.1%
Alcoholic Beverages
8.3%
5.8%
Confectionery
7.2%
8.6%
Non-Alcoholic Beverages
7.1%
4.1%
0.4%
Homecare/Pet Care
6.9%
1.6%
Personal Care
6.1%
5.3%
Hot Beverages
2.4%
2.4%
Baby Care
0.7%

Dairy growth was led by price inflation on Butter and premiumisation within Cheese. Coffee pods are driving Hot Beverage growth.

TOTAL AUSTRIA MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 4.3% Top 1-5 7.9% 5.3% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
4.3%
Top 1-5
7.9%
5.3%
Top 6-10
4.6%
1.6%
Top 11-30
9.9%
5.9%
Top 31-100
11.9%
3.5%
100+
44.9%
3.6%
Private Label
20.8%
5.6%
BELGIUM SNAPSHOT Pedro Lima Managing Director, Benelux and Alpine Regions. Similar to the trends we

BELGIUM SNAPSHOT

BELGIUM SNAPSHOT Pedro Lima Managing Director, Benelux and Alpine Regions. Similar to the trends we saw

Pedro Lima Managing Director, Benelux and Alpine Regions.

Similar to the trends we saw last quarter, the Belgian economy is doing well, but still has some room for improvement. All economic indicators, including employment, disposable household income, and confidence levels are growing in the right direction, yet the growth of the Belgian economy still remains slower than its neighbours.

As we know from the Consumer Confidence Index figures, Belgium is a country of savers, with consumers often conservatively putting savings aside, which can have an impact on domestic demand and GDP.

In the first quarter of 2018, we saw a nominal growth rate for the FMCG market

of 1.4%, which was again driven by price (2.1%) rather than an increase in

volumes of products sold (-0.7%). Growth was largely driven by Large Supermarkets (5.3%), but Small Supermarkets (-9.1%) saw a considerable contraction when Superettes, which focus on proximity and convenience, grew 8.5%, and Discounters, with a focus on Fresh Products, grew 2.9%.

The biggest nominal value growth was seen in the Confectionary and Bakery & Toast categories, with the former traditionally growing due to the Easter holiday. Dairy was also up, but this was in part due to price increases of milk and butter.

In our recently released Shopper Trends report, we see that loyalty is

decreasing amongst shoppers, with the amount of traditionally loyal consumers down by almost 15% within one year. Based on these figures, we suggest retailers and manufacturers should capitalise on these disloyalty trends by

enticing shoppers to switch to their product, or their store.

How? Play local. Play to local nuance, such as locally sourced ingredients. There is a lot of growth to be gained for players that use all the datasets they have at their fingertips to really personalise their products for consumers.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.0 2.0 2.0 2.0 1.9 1.9 1.8 1.6 1.6 1.5 1.5 1.4
3.0
2.0
2.0
2.0
1.9
1.9
1.8
1.6
1.6
1.5
1.5
1.4

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.5 1.4 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU)

CONSUMER CONFIDENCE INDEX

95 89 88 87 87 86 85 85 84 81 81 81 Q3 2016 Q4
95
89
88
87
87
86
85
85
84
81
81
81
Q3 2016
Q4 2016
Q2 2017
Q3 2017
Q4 2017
Q1 2018
EU
BE

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

11

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS - BELGIUM (weighted average) MAT YA MAT TY Q2 16 Q3 16

FMCG MARKET DYNAMICS - BELGIUM (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
2.8%
1.4%
2.9%
2.0%
1.8%
1.5%
1.5%
1.2%
1.4%
1.7%
0.9%
0.8%
2.1%
1.4%
2.1%
1.7%
0.6%
2.3%
0.4%
0.0%
0.0%
-0.8%
-0.8%
-0.3%
-0.2%
-1.2%
-1.1%
-0.7%
-0.9%
-2.9%
Unit Value Growth
Volume Growth
Nominal Value Growth

Belgium

Price continues to be main driver of growth.

TOTAL BELGIUM CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

3% 12% 17% 18% 50% Total FMCG
3%
12%
17%
18%
50%
Total FMCG

Small SupermarketsGROWTH – MAT Q1-2018 3% 12% 17% 18% 50% Total FMCG 1.5% 0.5% 5.3% -9.1% 2.9%

1.5% 0.5% 5.3% -9.1% 2.9% Hypermarkets Large Supermarkets Discounters Superettes
1.5%
0.5%
5.3%
-9.1%
2.9%
Hypermarkets
Large Supermarkets
Discounters
Superettes

8.5%

Convenience & Fresh drove growth for Superettes and Discounters.

12

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL BELGIUM – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL BELGIUM SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 1.5% Alcoholic Beverages 14.5% -0.5%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
1.5%
Alcoholic Beverages
14.5%
-0.5%
Dairy
13.4%
3.6%
Fresh Products
12.1%
4.1%
Grocery
11.9%
0.0%
3.2%
Non Alcoholic Beverages
11.4%
-1.4%
Health & Beauty
8.4%
-0.9%
Housekeeping
5.8%
0.6%
Frozen
5.0%
4.7%
Confectionery
4.8%
0.2%
Sweet Snacks
3.7%
2.1%
Hot Beverages
2.9%
3.1%
Salted Snacks
2.3%
0.4%
Pet Product
2.0%
6.0%
Bakery & Toast
1.8%

Bakery & Toast grew due to the convenience trend as consumers went one-stop shopping rather than going to the bakery.

TOTAL BELGIUM MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 1.5% Top 1-5 26.9% 2.7% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
1.5%
Top 1-5
26.9%
2.7%
Top 6-10
9.8%
-0.6%
Top 11-30
14.2%
-0.2%
31-100
10.7%
0.2%
100+
1.2%
-2.3%
Private Label
37.3%
2.5%
DENMARK SNAPSHOT Cecilie Westh Managing Director Nordics The Danes have left the financial crisis behind

DENMARK SNAPSHOT

DENMARK SNAPSHOT Cecilie Westh Managing Director Nordics The Danes have left the financial crisis behind them

Cecilie Westh

Managing Director

Nordics

The Danes have left the financial crisis behind them and their consumer confidence remains the highest in Europe, but they are not yet in the same spending mode as they were before. But the macroeconomic climate is ripelow unemployment, high spending power, increases in disposable income, increasing real estate prices and

low interest rates.

What the Danes are hungry for is change. Not as a revolution, but rather as an evolution resultant of generational change. Generation X and the Millennials have new and different expectations and needs than their parents had when they were in the same life stage. At the same time, the Boomers have left, or will leave, the job market within the next few years. This will open up free time for different kinds of shopping and perhaps eating out more frequently and for different meals. The demand and interest around health will also increase among the Boomers, which leads to further opportunities within product offerings.

As Danish retailers have upgraded their banners and concepts over the past five years, we have seen increased demand for convenience, premium, indulgence and healthy solutions. At the same time we see manufacturers seeking new shopper touchpoints. It seems that many Danes want it all, and at a value-for-money price point, requiring the perfect mix of shelf and promotional pricing across channels. This leaves both retailers and manufacturers with an increasing pricing and promotion challenge that they have to face. This challenge is gaining momentum as the market is becoming more and more transparent due to the access to things like price comparisons or outright purchase on digital platforms.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

2.9 2.4 1.5 1.3 1.3 1.1 0.4 0.9 0.7 -0.8
2.9
2.4
1.5
1.3
1.3
1.1
0.4
0.9
0.7
-0.8

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)0.7 -0.8 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD Q1 2018

CONSUMER CONFIDENCE INDEX

116 115 115 114 107 87 87 86 85 81 Q3 2016 Q4 2016 Q2
116
115
115
114
107
87
87
86
85
81
Q3 2016
Q4 2016
Q2 2017
Q3 2017
Q4 2017
Q1 2018
EU
DK

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

14

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT TY Q3 16 Q4 16 Q1 17 Q2 17

FMCG MARKET DYNAMICS (weighted average)

MAT TY

Q3 16

Q4 16

Q1 17

Q2 17

Q3 17

Q4 17

Q1 18

2.1% 2.3% 1.2% 1.1% 0.7% 0.9% 0.0% 1.2% -0.6% -0.3% -0.1% -0.4% -0.9% -0.5% -0.7%
2.1%
2.3%
1.2%
1.1%
0.7%
0.9%
0.0%
1.2%
-0.6%
-0.3%
-0.1%
-0.4%
-0.9%
-0.5%
-0.7%
-0.2%
-1.4%
-1.5%
Unit Value Growth
Volume Growth
Nominal Value Growth

Denmark

Premiumisation and slightly decreased promotion pressure resulted in increased prices and higher value sales.

TOTAL DENMARKCHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

7% 93% Total FMCG
7%
93%
Total FMCG
0.5%
0.5%
0.5%
0.5%
0.5%
0.5%
0.5%
0.5%
0.5%

0.5%

0.5%
0.5%

1.2%

1.3%

Grocery Trade

MAT Q1-2018 7% 93% Total FMCG 0.5% 1.2% 1.3% Grocery Trade Convenience The grocery aspect of

Convenience

The grocery aspect of the Convenience channel only grew 0.5% as shoppers switch to more food on-the-go.

15

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL DENMARK – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL DENMARK SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 1.2% Packed Food 28.0% 0.0%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
1.2%
Packed Food
28.0%
0.0%
Beverages
21.6%
1.3%
Dairy Products
15.5%
7.1%
Fresh Food
12.3%
0.8%
3.3%
Confectionery
6.7%
-1.6%
Frozen Food
6.0%
-3.4%
Household Products
5.9%
-3.1%
Health & Beauty
3.9%

Dairy categories drive growth thanks to premiumisation and increased assortment. Health and Beauty and Household categories declined in value despite very high promotion pressure, mostly due to channel switching.

TOTAL DENMARK MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 1.2% Top 1-5 20.3% 3.0% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
1.2%
Top 1-5
20.3%
3.0%
Top 6-10
7.0%
0.8%
Top 11-30
13.8%
-0.9%
Top 31+
58.9%
1.1%
FINLAND SNAPSHOT Cecilie Westh Managing Director Nordics 2017 was the turnaround year for Finland after

FINLAND SNAPSHOT

FINLAND SNAPSHOT Cecilie Westh Managing Director Nordics 2017 was the turnaround year for Finland after several

Cecilie Westh

Managing Director

Nordics

2017 was the turnaround year for Finland after several years of economic decline. GDP growth of 2.6% was the best since 2011, mainly fuelled by growth in investments and increased exports. However GDP is not expected to overcome its 2008 level before next year.

Though consumer confidence is moving in the right direction, the index of 82 still

remains below the rest of the Nordics and the European average of 87but personal finances and consumer spending intentions are at their highest in seven years. With inflation and interest rates at low levels, economists are predicting that growth this year and next will be based primarily on private consumption as well as investment.

Following the general climate, the FMCG market has been sluggish for several years. Retailers have been luring cautious consumers with price reductions and various ad campaigns. As a result, growth prevails in channels offering the best value for money, like Hard Discounters and Hypermarkets. Finland remains predominantly a country of big stores, with value share of online grocery still below

1%.

Two interesting target groups in Finland are single households and ageing

consumers. In 2017, 43% of Finnish households had only a single occupant. On the other hand, the biggest share of FMCG spend, nearly a third (31%), was delivered by couples over 55 years old.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.1 2.8 2.7 2.5 1.1 0.9 0.8 0.8
3.1
2.8
2.7
2.5
1.1
0.9
0.8
0.8

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)0.8 0.8 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) GDP estimate or Q1 2018

CONSUMER CONFIDENCE INDEX

85

87

87

86

81

81

81

80

82

68

70

64

CONFIDENCE INDEX 85 87 87 86 81 81 81 80 82 68 70 64 Q3 2016

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU FI
Q2 2017
Q3 2017
EU
FI

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

17

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
2.1%
1.6%
1.6%
1.4%
3.2%
1.3%
0.5%
1.1%
0.6%
1.7%
1.5%
1.1%
1.0%
1.8%
-0.2%
-0.3%
-0.8%
-1.1%
Unit Value Growth
Volume Growth
Nominal Value Growth

Finland

Rising food prices drove nominal growth this quarter.

TOTAL FINLAND CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

1.6% 6% 8% 4.0% 0.0% 11% 38% -0.8% 10% 4.6% 1.2% 27% -4.4% Total FMCG
1.6%
6%
8%
4.0%
0.0%
11%
38%
-0.8%
10%
4.6%
1.2%
27%
-4.4%
Total FMCG
Hypermarket
Supermarket
Superettes
Hard Discounter
Low Price Stores
Other Shop Types

Continued strong growth in Hypermarkets and Hard Discounters due to a focus on price and promotion.

18

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL FINLAND – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL FINLAND SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 1.6% Fresh Foods 35.8% 3.3%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
1.6%
Fresh Foods
35.8%
3.3%
Dairy
15.6%
0.3%
Shelf Stable Foods
14.1%
0.0%
Beverage
10.3%
2.6%
Others
10.0%
2.0%
Household Products
5.4%
-0.8%
Hygiene
4.8%
-3.0%
Frozen Foods
3.9%
2.0%

Fresh Food drove value growth; especially popular were ready-to-eat

meals and fruits & fresh berries.

TOTAL FINLAND MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 1.6% Top 1-5 15.6% -0.2% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
1.6%
Top 1-5
15.6%
-0.2%
Top 6-10
7.3%
-1.6%
Top 11-30
14.9%
2.0%
Top 31-100
12.1%
4.2%
100+
26.2%
1.1%
Private Label
23.8%
2.9%
FRANCE SNAPSHOT Laurent Zeller Managing Director France At a time when France celebrates its 20th

FRANCE SNAPSHOT

FRANCE SNAPSHOT Laurent Zeller Managing Director France At a time when France celebrates its 20th anniversary

Laurent Zeller

Managing Director

France

At a time when France celebrates its 20th anniversary of its victory in the 1998 Football World Cup, the current climate should also be bright for consumption. Consumer confidence remains at an all-time high this quarter despite ongoing social tensions and strikes and broader challenges to the country’s economic health. In other words, consumers are signalling they have confidence in spending a little more or spending differently.

The FMCG market saw a 1% rise in value this quarter. However, high volume losses

at the beginning of the year have not been compensated for and the quarter stands

negative in terms of volumes. Where there has been growth, it has mostly been in premium products. Sweet Grocery accounted for more than a third of total FMCG growth this quarter, largely explained by a calendar impact, due to the timing of Easter this year. By contrast, Homecare and Personal care suffered from an even higher structural decline as promotional activity was shifted to the week following Easter.

Beyond these mechanical trends driven by timing on the quarter, the French FMCG market continues to see longer term trends towards premiumisation and a growing demand for Fresh Non-Dairy and Dairy, organic and sustainable products, small brands, “click-and-drive” services and urban convenience stores.

Proposed new food legislation includes regulations for capping promotion levels.

This would obviously have a significant impact on how manufacturers and retailers

can drive both volume and value, but it remains unclear what the detail of the changes might entail when fully implemented.

Meanwhile, we continue to see an ageing population, a concern for the FMCG industry as the 65+ age group is expected to grow 2.7 million people by 2025.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

2.6 2.3 1.5 1.2 1.2 1.2 1.0 0.7
2.6
2.3
1.5
1.2
1.2
1.2
1.0
0.7

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.0 0.7 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD Q1 2018

CONSUMER CONFIDENCE INDEX

85

87

87

86

81

81

79

79

75

69

71

66

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU FR
Q2 2017
Q3 2017
EU
FR

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

20

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA

MAT TY

Q2 16

Q3 16

Q4 16

Q1 17

Q2 17

Q3 17

Q4 17

Q1 18

2.9% 0.1% 2.0% 1.7% 2.0% 0.2% 0.2% 0.8% 1.1% 1.0% 1.9% 0.3% 0.3% 0.1% 0.6%
2.9%
0.1%
2.0%
1.7%
2.0%
0.2%
0.2%
0.8%
1.1%
1.0%
1.9%
0.3%
0.3%
0.1%
0.6%
1.2%
0.5%
0.5%
1.3%
0.0%
0.0%
-0.2%
-0.2%
-1.0%
-0.1%
-0.1%
-0.7%
-0.7%
Unit Value Growth
Volume Growth
Nominal Value Growth

France

Value growth slowed slightly due to volume decline.

TOTAL FRANCE CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

11% 5% 8% 41% 34% Total FMCG
11%
5%
8%
41%
34%
Total FMCG

ConvenienceGROWTH – MAT Q1-2018 11% 5% 8% 41% 34% Total FMCG 2.0% 0.6% 2.2% 3.1% 8.5%

2.0% 0.6% 2.2% 3.1% 8.5% 3.1% Hypermarkets Supermarkets
2.0%
0.6%
2.2%
3.1%
8.5%
3.1%
Hypermarkets
Supermarkets

Drive (E-Commerce)0.6% 2.2% 3.1% 8.5% 3.1% Hypermarkets Supermarkets Smpl / Discounters SMPL (discounters) strengthened their

Smpl / Discounters8.5% 3.1% Hypermarkets Supermarkets Drive (E-Commerce) SMPL (discounters) strengthened their growth, fed by

SMPL (discounters) strengthened their growth, fed by communication and

investment in stores.

21

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL FRANCE – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL FRANCE SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 2.0% Sweet Grocery 17.9% 3.5%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
2.0%
Sweet Grocery
17.9%
3.5%
4.0%
Fresh Non-Dairy
17.0%
2.5%
Dairy
16.1%
1.2%
Savoury Grocery
12.2%
2.6%
Alcoholic Drinks
9.7%
1.8%
Soft Drinks
7.1%
0.1%
Homecare
5.9%
-3.0%
Personal Care
5.9%
-0.7%
Paper Products
3.6%
-0.9%
Savoury Frozen Food
3.4%
3.8%
Sweet Frozen Food
1.2%

Sweet grocery over contributed to value gains thanks to a calendar effect,

while fresh products (both Non-Dairy and Dairy) remain the driving force behind FMCG industry.

TOTAL FRANCE MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 2.0% Top 1-5 11.9% 0.3% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
2.0%
Top 1-5
11.9%
0.3%
Top 6-10
7.4%
-0.5%
Top 11-30
16.4%
1.4%
31-100
16.6%
4.1%
100+
15.4%
6.9%
Private Label
32.4%
0.2%
GERMANY SNAPSHOT Ingo Schier Managing Director Germany With GDP growth at 2.3%, the upswing of

GERMANY SNAPSHOT

GERMANY SNAPSHOT Ingo Schier Managing Director Germany With GDP growth at 2.3%, the upswing of the

Ingo Schier

Managing Director

Germany

With GDP growth at 2.3%, the upswing of the German economy continued in Q1 2018. Growth was driven by a strong global demand, increasing investments and continuously solid domestic consumption. The high demand for labour in large parts of the economy ensures record employment levels. Current economic indicators suggest that the long-lasting positive trend will continue, although some risks remain. Consumer confidence remains high and far above the European average (108 versus 86 for Q1 2018).

The FMCG market was able to take its strong 2017 momentum into Q1 2018

and achieved a significant increase in sales of 3.8% compared to the previous year, mainly driven by the early Easter business in March.

E-commerce still represents an approximate 1% share of Total FMCG. In categories where online is important, the market is still dominated by pure e- players. Online business remains more important for near-food than for food categories.

Taking a closer look at the German FMCG market, food increasingly becomes a lifestyle: 84% of consumers are considered conscious eaters. Individual attitudes and habits thereby determine which food is bought where and at what price. This complexity of today´s eating preferences impacts beyond the kitchen not only to supermarket shelves but also regarding product innovation and raw material

production.

As a significant change in the economic developments is not expected in the short term and similarly consumer confidence is likely to remain at a high level, the current outlook continues to be positive. With the World Cup coming up in June, the food and sporting goods sectors can especially expect a boost in business.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

2.9 2.7 2.1 1.9 1.9 1.7 1.6 1.0
2.9
2.7
2.1
1.9
1.9
1.7
1.6
1.0

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.6 1.0 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD GDP for Q1 2018

CONSUMER CONFIDENCE INDEX

81 100 86 108

81

100

86

108

81 101

81

101

85 103

85

103

87 102

87

102

87 103

87

103

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU DE
Q2 2017
Q3 2017
EU
DE

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

23

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
4.4%
0.1%
4.0%
0.8%
3.3%
0.9%
2.8%
1.7%
1.9%
1.0%
1.2%
3.2%
3.6%
1.4%
2.9%
3.1%
3.2%
0.9%
1.3%
0.4%
0.7%
-0.2%
-0.3%
-0.5%
0.0%
-1.1%
-0.1%
-0.8%
-0.6%

Unit Value Growth0.7% -0.2% -0.3% -0.5% 0.0% -1.1% -0.1% -0.8% -0.6% -2.1% Volume Growth Germany Nominal Value Growth

-2.1%

Volume Growth Germany
Volume Growth
Germany

Nominal Value Growth

Recent market growth has been mainly driven by price increases the earlier Easter season.

TOTAL GERMANY CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

10% 41% 42% 8% Total FMCG Hypermarkets
10%
41%
42%
8%
Total FMCG
Hypermarkets
3.3% 4.6% -3.5% 3.5% 3.6% Supermarkets Discounters Drug Stores
3.3%
4.6%
-3.5%
3.5%
3.6%
Supermarkets
Discounters
Drug Stores
TOTAL GERMANY – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL GERMANY SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.3% Food Ambient 17.3% 4.9%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.3%
Food Ambient
17.3%
4.9%
Dairy
11.9%
9.7%
Non Alcoholic Beverages
11.6%
1.5%
Confectionery
10.4%
6.8%
Alcoholic Beverages
10.3%
0.8%
2.5%
Fresh Food Selfservice
9.2%
-0.3%
Household Care
6.8%
1.7%
Personal Care
6.8%
-1.5%
Tobacco
6.0%
2.4%
Frozen Food
5.5%
2.7%
Baby
1.6%
0.3%
Pet Food
1.6%
3.3%
Health Care
1.0%

Dairy price increase is still a driver, while Easter generated seasonal peaks for chocolate confectionery and traditional coffee sales.

TOTAL GERMANY MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.3% Top 1-5 8.2% 0.7% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.3%
Top 1-5
8.2%
0.7%
Top 6-10
5.2%
3.3%
Top 11-30
9.7%
5.5%
Top 31-100
14.0%
1.8%
100+
22.5%
3.3%
Private Label
40.5%
3.9%

Private Label growth slowed while chocolate manufacturers profited from

Easter.

25

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

IRELAND SNAPSHOT Paul Walker Managing Director United Kingdom & Ireland Price deflation was the overriding

IRELAND SNAPSHOT

IRELAND SNAPSHOT Paul Walker Managing Director United Kingdom & Ireland Price deflation was the overriding trend

Paul Walker Managing Director United Kingdom & Ireland

Price deflation was the overriding trend in 2017, driven by the supermarkets’ focus on value messaging and own label to drive volume growth and defend against the discounters. In the first quarter of the this year, we saw this price deflation stabilise with volume growth accelerating to +2.6% and value growth to +2.9%. This is thanks, in part, to the lowest unemployment level in a decade and high consumer confidence.

This year has already brought a more buoyant economy and a more buoyant retail sector; and we expect both value and volume growths to continue. Brands are also recovering, performing equally as well as own label at the total market level with value growths of +2.1%. And, while the Discounters are still in growth, this has slowed somewhat as result of last year’s retailer defense strategy.

For Irish shoppers, health and wellness is the number one concern as 70% now actively seek healthier food and drink products and 56% seek healthier snacks . We see retailers and manufacturers responding by introducing healthier products, with a focus on NPD, including dedicated spaces in store such as free-from aisles. The sustainability trend is also growing and we expect this to be an important influence on shopper behavior. Retailers and manufacturers will need to work together to meet these new shopper demands as they have done with the health trend.

In terms of retail channels, we should see some interesting developments in both online and convenience. Although online makes up less than 1% of the total retail market, it is growing and we expect a continued focus on further developing this channel. Similarly, convenience retailers already have a well developed urban trade but there is a big opportunity to better meet the shopper needs for healthy and convenient food on-the-go. Getting this right will help when it comes to competition from the many healthy food franchises that cater to this specific shopper need.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

10.9

0.1

8.8

7.8

6.8

7.0

5.8

0.4

0.0

0.5

0.5

WATCH 10.9 0.1 8.8 7.8 6.8 7.0 5.8 0.4 0.0 0.5 0.5 -0.3 Q4 2016 Q1
WATCH 10.9 0.1 8.8 7.8 6.8 7.0 5.8 0.4 0.0 0.5 0.5 -0.3 Q4 2016 Q1
WATCH 10.9 0.1 8.8 7.8 6.8 7.0 5.8 0.4 0.0 0.5 0.5 -0.3 Q4 2016 Q1
WATCH 10.9 0.1 8.8 7.8 6.8 7.0 5.8 0.4 0.0 0.5 0.5 -0.3 Q4 2016 Q1
WATCH 10.9 0.1 8.8 7.8 6.8 7.0 5.8 0.4 0.0 0.5 0.5 -0.3 Q4 2016 Q1
WATCH 10.9 0.1 8.8 7.8 6.8 7.0 5.8 0.4 0.0 0.5 0.5 -0.3 Q4 2016 Q1

-0.3

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)0.5 0.5 -0.3 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation,

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) GDP estimate or Q1 2018

CONSUMER CONFIDENCE INDEX

81

100

81 100

81

100

85 102

85

102

87 103

87

103

87 103

87

103

86 103

86

103

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU IE
Q2 2017
Q3 2017
EU
IE

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

26

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
2.9%
2.9%
2.6%
1.2%
2.2%
2.1%
2.0%
0.8%
1.3%
2.6%
1.5%
2.6%
1.5%
2.2%
1.6%
2.4%
0.8%
0.3%
1.3%
0.6%
0.3%
0.3%
0.6%
0.1%
0.0%
-0.4%
-2.1%
Unit Value Growth
Volume Growth
Nominal Value Growth

Ireland

Volume growth shows no sign of slowing in 2018. Small positive price changes drove value growth just ahead of volume.

TOTAL IRELAND CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

20% 47% 33% Total FMCG
20%
47%
33%
Total FMCG

Multiples

2.9% 1.7% 3.2%

2.9%

1.7%
1.7%
1.7%

1.7%

3.2%

2.9% 1.7% 3.2%
2.9% 1.7% 3.2%
20% 47% 33% Total FMCG Multiples 2.9% 1.7% 3.2% Convenience Discounters 4.2% A sustained recovery in

Convenience

33% Total FMCG Multiples 2.9% 1.7% 3.2% Convenience Discounters 4.2% A sustained recovery in grocery multiples

Discounters

4.2%

TOTAL IRELAND – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL IRELAND SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 2.9% Confectionery 22.1% 5.5% Alcohol
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
2.9%
Confectionery
22.1%
5.5%
Alcohol
17.2%
4.7%
Chilled
16.9%
2.4%
Tobacco/Sundries
13.1%
2.8%
Ambient
10.4%
-0.2%
Household
5.5%
-0.1%
Bakery
5.2%
0.9%
-1.1%
Health & Beauty
4.7%
3.2%
Frozen Food
3.3%
4.0%
Pet Food
1.6%

Indulgent sectors performed best but growth is enjoyed by almost all categories due to high consumer confidence and the positive economic environment.

28

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

ITALY SNAPSHOT Giovanni Fantasia Managing Director Italy In the first quarter of 2018, Italy’s national

ITALY SNAPSHOT

ITALY SNAPSHOT Giovanni Fantasia Managing Director Italy In the first quarter of 2018, Italy’s national GDP

Giovanni Fantasia

Managing Director

Italy

In the first quarter of 2018, Italy’s national GDP increased by 0.3% in comparison with the previous three months and, according to the Bank of Italy, we should expect it to grow on a full year basis by 1.4%. However, uncertainty after the last national election that left Italy with an interim government until new elections later in the year will mean ongoing disquiet in the marketplace.

On the FMCG front, we are seeing growing sales volumes whilst unit value growth has slowed. In simple terms, we are seeing consumers continue to fill

their baskets but they are opting for somewhat cheaper products, perhaps to

counterbalance inflation (1.2% in March). As far as retail channels are concerned, all formats except so-called “traditional” stores (usually more expensive) have grown. Meanwhile, e-commerce is delivering a slowly growing 1.5% of total FMCG sales.

Italy is still at the bottom of the Digital Economy and Society Index, a composite index produced yearly by the European Commission to track the evolution of member states in digital competitiveness. At the same time, the country is seeing birth rates fall and people 65+ years old now make up 22% of the population.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

1.8 1.6 1.6 1.6 1.3 1.1 1.1 0.2
1.8
1.6
1.6
1.6
1.3
1.1
1.1
0.2

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.1 0.2 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD for Q1 2018

CONSUMER CONFIDENCE INDEX

85

87

87

86

81

81

65

68

66

57

58

58

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU IT
Q2 2017
Q3 2017
EU
IT

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

29

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT TY Q2 16 Q3 16 Q4 16 Q1 17

FMCG MARKET DYNAMICS (weighted average)

MAT TY
MAT TY

Q2 16

Q3 16

Q4 16

Q1 17

Q2 17

Q3 17

Q4 17

Q1 18

3.3% 3.1% 3.1% 3.1% 1.7% 2.4% 2.4% 2.6% 2.1% 1.6% 1.2% 1.4% 0.7% 1.3% 2.1%
3.3%
3.1%
3.1%
3.1%
1.7%
2.4%
2.4%
2.6%
2.1%
1.6%
1.2%
1.4%
0.7%
1.3%
2.1%
0.9%
0.6%
0.3%
0.7%
0.2%
-1.0%
-0.5%
-0.5%
-0.9%
Unit Value Growth
Volume Growth
Nominal Value Growth

Italy

The earlier Easter season boosted FMCG growth in Q1.

TOTAL ITALY CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

3.3% 5% 4% 3.4% 26% 5.1% 17% -1.4% 4.3% 10% 7.7% 37% -7.5% Total FMCG
3.3%
5% 4%
3.4%
26%
5.1%
17%
-1.4%
4.3%
10%
7.7%
37%
-7.5%
Total FMCG
Hypermarkets
Supermarkets
Convenience
Discounters
Drug Stores
Others
TOTAL ITALY – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL ITALY SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.3% Packaged Food 30.9% 3.8%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.3%
Packaged Food
30.9%
3.8%
All Fresh
28.2%
4.8%
Beverages
14.4%
4.5%
Personal Care
9.8%
0.7%
Home Care
7.7%
-0.7%
Frozen
5.3%
3.5%
Pets
2.0%
2.3%
-3.7%
Light Bazaar
1.3%
-0.5%
Heavy Bazaar
0.2%
-3.4%
Textile
0.1%

Food (especially fresh food) is driving growth. The latest change is the loss of traditional “basic” ingredients like pasta and rice vs. ready-to-eat (yet healthy) products.

TOTAL ITALY MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.3% Top 1-5 9.7% 2.8% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.3%
Top 1-5
9.7%
2.8%
Top 6-10
5.5%
-1.3%
Top 11-30
12.7%
0.6%
2.7%
Top 31-100
14.2%
4.7%
100+
31.9%
4.6%
Private Label
26.0%

More and more diverse consumption trends are leading to fragmentation:

Younger and smaller companies (more flexible) are growing three times faster than leaders.

31

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

NETHERLANDS SNAPSHOT Pedro Lima Managing Director, Benelux and Alpine Regions. The Dutch economy is still

NETHERLANDS SNAPSHOT

NETHERLANDS SNAPSHOT Pedro Lima Managing Director, Benelux and Alpine Regions. The Dutch economy is still going

Pedro Lima Managing Director, Benelux and Alpine Regions.

The Dutch economy is still going strong, but some analysts believe it can do even better. Analysts forecast a 2.8% expansion of GDP in 2018, which means that the Netherlands would grow for the fifth consecutive year above the Eurozone average. Though Q1 growth was a bit slower than expected, analysts believe this is most likely due to geopolitical tensions and cautiousness, rather than a real softening of the economy.

Wages were up in the first quarter, due to a very competitive labour market and

shrinking unemployment. As the job market is forecast to stay strong, we

anticipate this may impact consumer spendingalleviating some of the cautious spending apparent in recent years.

The Dutch FMCG market experienced nominal growth of 2.6% during the first quarter. Again, this growth is largely due to price increases (measured at 3.4% during the first quarter) rather than volumes sales, which declined by -0.8%.

With the accelerating growth of e-commerce in the Netherlands, it is not surprising that Dutch consumers spent 1.5 billion in online storefronts in other European countries last year, according to Statistics Netherlands. Though the Netherlands has its own strong players in e-commerce, borderless shopping is

on the rise, raising the competitive bar even further. This trend is still primarily in non-FMCG products, but demonstrates growing confidence levels in online

shopping that is likely to increase demand for online in the FMCG space.

Additionally, with the rise of disposable income, the decrease in unemployment, and the ever growing market for out-of-home dining and home delivery, retailers and manufacturers are looking toward meal kits as a great way to engage

consumers. These are helping create propositions that make daily life healthier, easier, faster and more convenient.

.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.8 2.7 2.8 1.3 1.0 0.4
3.8
2.7
2.8
1.3
1.0
0.4

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.0 0.4 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD Q1 2018

CONSUMER CONFIDENCE INDEX

81 96 102 101 85 87 101 101 87 86

81

96

102 101

85

87

101 101

87 86

81 96 102 101 85 87 101 101 87 86
81 96 102 101 85 87 101 101 87 86
81 96 102 101 85 87 101 101 87 86
81 100

81

100

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU NL
Q2 2017
Q3 2017
EU
NL

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

32

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT TY Q2 16 Q3 16 Q4 16 Q1 17

FMCG MARKET DYNAMICS (weighted average)

MAT TY
MAT TY

Q2 16

Q3 16

Q4 16

Q1 17

Q2 17

Q3 17

Q4 17

Q1 18

0.3% 1.3% 3.8% 3.6% 3.2% 2.8% 0.5% 1.6% 3.3% 3.3% 3.5% 1.0% 0.8% 2.3% 1.1%
0.3%
1.3%
3.8%
3.6%
3.2%
2.8%
0.5%
1.6%
3.3%
3.3%
3.5%
1.0%
0.8%
2.3%
1.1%
0.6%
1.0%
0.4%
-0.1%
-0.3%
-0.5%
-0.5%
-0.6%

Unit Value Growth

-1.5%

Volume Growth Netherlands
Volume Growth
Netherlands

Nominal Value Growth

Price continued to dictate the growth of the FMCG market, while volume sales were down.

TOTAL NETHERLANDS CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

4% 11% 85% Total FMCG
4%
11%
85%
Total FMCG
3.2% 3.5% 1.8% 0.0% Food Drug-Perfumery Petrol
3.2%
3.5%
1.8%
0.0%
Food
Drug-Perfumery
Petrol
TOTAL NETHERLANDS – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL NETHERLANDS SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.2% Beverages 23.9% 2.5% Other
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.2%
Beverages
23.9%
2.5%
Other Shelf Stable Food
18.2%
3.3%
Personal Care
13.6%
1.3%
Confectionery
11.5%
4.4%
Dairy
11.3%
8.9%
Tobacco
11.2%
-0.2%
Frozen
5.0%
2.8%
2.0%
Home Care
3.5%
7.5%
Margarine/Butter/Fat
2.0%

Confectionery sales were up due to the Easter holiday, but the real growth was seen in Dairy (especially butter) due to rising prices of milk.

TOTAL NETHERLANDS MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.2% Top 1-5 15.8% 1.4% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.2%
Top 1-5
15.8%
1.4%
Top 6-10
7.3%
3.0%
Top 11-30
14.0%
2.5%
Top 31-100
16.5%
2.7%
100+
26.8%
3.3%
Private Label
19.6%
5.4%

Think small to grow: smaller manufacturers with niche products

continue to lead the way in product innovation and growth.

34

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

NORWAY SNAPSHOT Cecilie Westh Managing Director Nordics After a year of historically low growth for

NORWAY SNAPSHOT

NORWAY SNAPSHOT Cecilie Westh Managing Director Nordics After a year of historically low growth for groceries

Cecilie Westh

Managing Director

Nordics

After a year of historically low growth for groceries in 2017, the Norwegian market experienced a return to higher growth rates in the first three months of the year. Growth came in at 2.4%, partially helped by the calendar effect of an earlier Easter this year that boosted some categories.

Official figures from Statistics Norway (2017 data) say the total border trade rose by

9.1%, reaching NOK 15.1 billion in sales. However, the growth in cross-border trade was lower than expected, with a decline in the fourth quarter of 2017 of about -6%. Nevertheless, we estimate that about NOK 9.8 billion worth of groceries were purchased abroad in 2017. Six out of 10 Norwegians purchased groceries in one of the neighbouring countries during the last 12 months; fresh meat, chocolate/confectionery and mineral water topped the list of products put into the shopping cart.

According to Nielsen’s Shopper Trends 2018 report, approximately 11% of Norwegian consumers have tried online grocery shopping but most of that was through wholesale or pure online players.

Traditional grocery stores also met competition from other players, and we see a

particular pressure from the so called "dollar stores" including Rusta on certain

categories within nonfood, packed food and non alcoholic beverages. New stores seems to be an important part of their strategy.

Food and online food solutions continue to give the grocery chains fierce competition, but we have also seen consolidation with some of the niche online providers.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.6 3.6 1.8 1.5
3.6
3.6
1.8
1.5
2.1 2.1 1.6 1.3 2.1 2.0

2.1

2.1

1.6

1.3

2.1

2.0

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)2.1 2.0 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD GDP Q1 2018

CONSUMER CONFIDENCE INDEX

90 89 87 86 86 85 82 81 Q3 2016 Q4 2016 Q2 2017 Q3
90
89
87
86
86
85
82
81
Q3 2016
Q4 2016
Q2 2017
Q3 2017
Q4 2017
Q1 2018
EU
NO

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

35

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA

MAT TY

Q2 16

Q3 16

Q4 16

Q1 17

Q2 17

Q3 17

Q4 17

Q1 18

2.9% 3.6% 0.4% 2.8% 2.7% 2.6% 2.4% 0.5% 0.8% 2.0% 2.0% 0.6% 2.9% 3.2% 1.4%
2.9%
3.6%
0.4%
2.8%
2.7%
2.6%
2.4%
0.5%
0.8%
2.0%
2.0%
0.6%
2.9%
3.2%
1.4%
3.1%
1.5%
2.0%
1.8%
1.6%
1.9%
0.9%
-0.5%
-0.4%
-0.2%
-0.6%
-1.6%
Unit Value Growth
Volume Growth
Nominal Value Growth

Norway

The overall inflation and premiumization is driving the nominal value growth.

TOTAL NORWAY CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

2.0% 6% 11% 0.9% 29% 1.5% 1.4% 55% Total FMCG Hypermarkets Large Supermarkets Small Supermarkets
2.0%
6%
11%
0.9%
29%
1.5%
1.4%
55%
Total FMCG
Hypermarkets
Large Supermarkets
Small Supermarkets
Superettes

Smaller stores drives growth, benefiting from extended hours on holiday periods, with Easter in Q1 this year , versus Q2 last year.

7.1%

36

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL NORWAY – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL NORWAY SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 2.0% Fresh Food 29.2% 2.4%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
2.0%
Fresh Food
29.2%
2.4%
Beverages
15.7%
3.1%
Packed Food
14.4%
2.3%
Chilled Wares And Oils
13.0%
1.6%
Tobacco
7.3%
0.9%
Frozen Food
5.8%
3.3%
Chocolate And Confectionery
5.0%
6.4%
Wash And Housekeeping
4.2%
-4.8%
Products
-2.3%
Health And Beauty
3.8%
3.1%
Other nonfood products
1.1%
1.2%
Pet Food / Pet Articles
0.6%

Chocolate, confectionery & beverages growing mostly due to higher taxes on sugar since January 1st.

TOTAL NORWAY MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 2.0% Top 1-5 24.1% 2.0% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
2.0%
Top 1-5
24.1%
2.0%
Top 6-10
10.0%
0.5%
Top 11-30
19.2%
1.8%
1.1%
Top 31-100
15.7%
-3.4%
100+
3.7%
4.1%
Private Label
27.2%
PORTUGAL SNAPSHOT Gustavo Nuñez Managing Director Iberia In Portugal, the FMCG market began 2018 with

PORTUGAL SNAPSHOT

PORTUGAL SNAPSHOT Gustavo Nuñez Managing Director Iberia In Portugal, the FMCG market began 2018 with a

Gustavo Nuñez

Managing Director

Iberia

In Portugal, the FMCG market began 2018 with a very positive performance, recording nominal growth of 4.1%. Portuguese consumption shows signs of post-crisis recovery and, in response, consumer behaviour is clearly changing.

Despite sometimes being culturally pessimistic, Portuguese people are more and more confident, with a significant improvement this quarter. They believe in improvements for their personal finances and job prospects, and increasingly consider that now is a good time to buy what they want or need.

In this context, there is greater consumption both in-home and out-of-home. The shopper looks for more leisure time, more quality, more innovation, and more convenience. We have seen sharp growth in the more "premium" segments of each category, proving that the consumer is willing to pay a higher price for products that bring more satisfaction. It is these higher priced segments that add value to categories.

On the other hand, being one of the few countries in which the balance between personal and professional life is one of the main concerns, Portugal has a very positive trend regarding convenience. Small formats occupy the largest share of the market and are the ones with the highest growth. Consumers look for quick and easy shopping, as well as more convenient products that make their lives easier, and are willing to pay more for it.

In fact, this quarter’s nominal growth was especially driven by the price effect with a growth rate of 3% compared to the same period last year. Consumers are trading up on their purchases by making more expensive choices and adding value to their shopping baskets.

By volume, consumption remains relatively stable, with an increase of 1.1%. In this positive context, Portuguese FMCG brands and retailers must invest in the quality and constant innovation of products and services. And do this by keeping in mind key trends, such as health, wellness and convenience.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.0 2.9 2.4 2.0 1.6 1.5 0.8 0.8
3.0
2.9
2.4
2.0
1.6
1.5
0.8
0.8

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)0.8 0.8 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation, consumer

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD Q1 2018

CONSUMER CONFIDENCE INDEX

90

85

87

81

85

87

86

81

82

84

70

74

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU PT
Q2 2017
Q3 2017
EU
PT

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

38

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
6.7%
2.9%
4.8%
4.1%
4.0%
1.6%
3.0%
3.1%
1.1%
0.3%
0.2%
3.4%
2.0%
2.7%
3.0%
2.8%
1.6%
3.8%
1.4%
3.2%
0.6%
0.6%
0.4%
1.2%
0.3%
1.2%
-0.9%
Unit Value Growth
Volume Growth
Nominal Value Growth

Portugal

FMCG grew in volume, boosted by the price effect as consumers traded up to higher price tiers.

TOTAL PORTUGAL CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

8% 26% 66% Total FMCG Hypermarkets
8%
26%
66%
Total FMCG
Hypermarkets
4.8% 3.0%

4.8%

3.0%
3.0%

3.0%

3.0%
4.8% 3.0%
4.8% 3.0%

5.4%

5.6%

Supermarkets

Superettes+Traditionals

Consumers are moving to smaller and convenient formats

39

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL PORTUGAL – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL PORTUGAL SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 4.8% Grocery Products 38.4% 5.1%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
4.8%
Grocery Products
38.4%
5.1%
Dairy Products
18.0%
2.9%
Personal Care
11.1%
2.7%
Alcohol Drinks
10.7%
7.7%
Household Care
8.0%
2.8%
Non Alcohol Drinks
6.9%
9.9%
Frozen Products
6.8%
5.0%

The recent sugar tax continues to drive Non Alcoholic drinks growth, along with mineral water’s dynamism.

TOTAL PORTUGAL MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 4.8% 3.0% Top 1-5 16.2% 1.4%
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
4.8%
3.0%
Top 1-5
16.2%
1.4%
Top 6-10
7.9%
5.5%
Top 11-30
14.2%
5.2%
Top 31-100
12.4%
6.3%
100+
20.1%
4.1%
Private Label
29.1%

Private Label continued to grow in Q1 following retailer investment and

innovation.

40

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

SPAIN SNAPSHOT Gustavo Nuñez Managing Director Iberia Spain’s economic recovery is still a work in

SPAIN SNAPSHOT

SPAIN SNAPSHOT Gustavo Nuñez Managing Director Iberia Spain’s economic recovery is still a work in progress.

Gustavo Nuñez

Managing Director

Iberia

Spain’s economic recovery is still a work in progress. The Government recently

raising the expected GDP growth rate in 2018 to 2.7% and forecasting a drop in the unemployment rate, from 16.5% at the end of 2017 to 15% expected by the end of

2018.

Once again, tourism has played an important role in supporting the economic

recovery. At the end of the first quarter, Spain registered an increase of 6% in international tourists who spent 7.7% more than in the same period of last year. These visitors remain an ongoing opportunity for retailers operating in heavily visited

areas. That said, it will be important to keep on eye on increasing petrol prices as it will be a challenge for the economic recovery and could have a negative impact on family budgets.

Price tends to be the key factor in FMCG. Whereas in 2017, demand was the main driver, now inflation is supporting growth this quarter (whereas inflation last year was very low) with obvious negative consequences for volume growth.

Population dynamics are not going to help FMCG market growth moving forward, tourism has become a partial substitute and the FMCG industry has to innovate.

This requires understanding evolving consumer needs (aging, health, convenience,

etc.) and focusing on all the market niches that are growing in this context such as organic food and on-the-go solutions.

As households are getting smaller and smaller, the industry has to satisfy specific needs arising in this new demographic reality, and in terms of retail, small stores have become a must but the physical experience is changing. Square meters dedicated to newer categories such as ready-to-eat provide pathways to grow. We also expect FMCG e-commerce to grow, albeit not at a rapid rate.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.0

3.0

3.1

3.1

3.1

2.8

2.9

1.9

1.9

1.5

0.9

0.8

Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

GDP growth (% change pa)1.5 0.9 0.8 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Inflation,

Inflation, consumer prices (% change pa)Q2 2017 Q3 2017 Q4 2017 Q1 2018 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) OECD GDP Q1 2018

CONSUMER CONFIDENCE INDEX

91

87

91

93

91

86

85

87

86

81

77

81

Q3 2016

Q4 2016

Q2 2017 Q3 2017 EU ES
Q2 2017
Q3 2017
EU
ES

Q4 2017

Q1 2018

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

41

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
5.3%
4.1%
3.9%
3.7%
3.7%
3.2%
3.1%
3.1%
0.2%
2.3%
2.4%
1.4%
2.3%
2.8%
2.4%
0.9%
2.4%
1.5%
2.9%
1.7%
2.1%
1.6%
1.3%
1.0%
-0.1%
Unit Value Growth
Volume Growth
Nominal Value Growth

Spain

Inflation boosted Spanish FMCG value growth while volume growth was flat.

TOTAL SPAIN CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

4.1% 5% 15% 0.3% 5.0% 2.9% 79% Total FMCG Hypermarkets Supermarkets Drug Stores
4.1%
5%
15%
0.3%
5.0%
2.9%
79%
Total FMCG
Hypermarkets
Supermarkets
Drug Stores

Supermarkets still drive growth, especially formats over 1,000 square meters.

42

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL SPAIN – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL SPAIN SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 4.1% Packaged food 25.4% 4.1%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
4.1%
Packaged food
25.4%
4.1%
Drinks
15.3%
5.4%
Health & Beauty
12.1%
2.6%
Household
8.4%
2.4%
Cooked meats
8.2%
5.3%
Canned food
6.4%
5.0%
Frozen food
5.5%
6.0%
Dairy
5.3%
0.5%
Milk and shakes
4.9%
1.1%
Cheese
4.5%
4.4%
Ready meal
4.0%
10.5%

Categories related to convenience such as Ready Meals, Frozen or Canned Food and Prepared Meals, are the most dynamic as consumers seek time saving and ease.

TOTAL SPAIN MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 4.1% Top 1-5 10.8% -0.6% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
4.1%
Top 1-5
10.8%
-0.6%
Top 6-10
5.4%
2.0%
Top 11-30
11.9%
2.4%
3.0%
Top 31-100
9.9%
8.8%
100+
21.4%
4.2%
Private Label
40.5%

Smaller manufacturer brands grew fast as they are more agile while Private Label also

enjoyed strong grow.

43

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

SWEDEN SNAPSHOT Cecilie Westh Managing Director Nordics The Swedish FMCG market has provided strong, positive

SWEDEN SNAPSHOT

SWEDEN SNAPSHOT Cecilie Westh Managing Director Nordics The Swedish FMCG market has provided strong, positive trends

Cecilie Westh

Managing Director

Nordics

The Swedish FMCG market has provided strong, positive trends in recent years, with both value and volume growth. But in 2017 the landscape changed and consumption didn’t follow the normthe growth only came from higher prices and/or premiumisation of categories.

Swedish consumers have demonstrated mostly stable confidence levels over time.

There was a small drop in the Consumer Confidence Index after the terror attack in Stockholm in April last year. But the country has recovered well and in Q1 2018 our index ended at 99, above the European average of 87.

2018 has started well for the retail market with total FMCG nominal value growth of 3.2% (unit value growth 2.6%) with consumption on the rise. We should note that the early timing of Easter offered a sales boost.

We are seeing most of the growth coming from price-driven opportunities in the Hypermarkets and Discounter formats. All categories except Household Products grew, with the strongest growth coming in Dairy, Beverages, Frozen Food and Confectionary.

Private Label continues to power up the Swedish grocery market (up 5.2% this quarter), along with organic food, albeit at a slower pace. Meanwhile, we expect further interest to come from shoppers on organic products and a desire for more environmentally-friendly “green” products.

COUNTRY HIGHLIGHTS

ECONOMY WATCH

3.3 2.9 2.6 2.6 2.2 1.9 1.8 1.8 1.8 1.5 1.4 1.0
3.3
2.9
2.6
2.6
2.2
1.9
1.8
1.8
1.8
1.5
1.4
1.0

Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017

GDP growth (% change pa)1.4 1.0 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Inflation, consumer

Inflation, consumer prices (% change pa)Q1 2017 Q2 2017 Q3 2017 Q4 2017 GDP growth (% change pa) Source Economist Intelligence

Source Economist Intelligence Unit (EIU) Q1 2018 not available

CONSUMER CONFIDENCE INDEX

81

91

81

95

 

87

98

87

97

 

86

99

Q3 2016

Q4 2016

Q2 2017

Q3 2017

Q4 2017

Q1 2018

2016 Q4 2016 Q2 2017 Q3 2017 Q4 2017 Q1 2018 EU SE The Conference Board®

EU

Q4 2016 Q2 2017 Q3 2017 Q4 2017 Q1 2018 EU SE The Conference Board® Global

SE

The Conference Board® Global Consumer Confidence Survey is conducted in collaboration with Nielsen.

44

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

FMCG MARKET DYNAMICS (weighted average) MAT YA MAT TY Q2 16 Q3 16 Q4 16

FMCG MARKET DYNAMICS (weighted average)

MAT YA MAT TY Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3
MAT YA
MAT TY
Q2 16
Q3 16
Q4 16
Q1 17
Q2 17
Q3 17
Q4 17
Q1 18
0.4%
3.4%
3.3%
3.2%
0.6%
2.6%
1.6%
1.1%
2.9%
3.0%
1.0%
2.6%
1.2%
1.2%
1.1%
1.8%
0.9%
0.7%
0.2%
0.1%
-0.4%
-0.4%
-0.4%
-0.6%
-1.2%
Unit Value Growth
Volume Growth
Nominal Value Growth

Sweden

The earlier Easter season boosted FMCG growth in Q1.

TOTAL SWEDEN CHANNEL PERFORMANCE

VALUE CONTRIBUTION AND GROWTH MAT Q1-2018

PERFORMANCE VALUE CONTRIBUTION AND GROWTH – MAT Q1-2018 6% 6% 37% 20% 31% 3.3% 2.0% 1.3%
6% 6% 37% 20% 31%
6%
6%
37%
20%
31%
3.3% 2.0% 1.3% 0.1%
3.3%
2.0%
1.3%
0.1%

5.6%

5.4%

Total FMCG

Hypermarkets37% 20% 31% 3.3% 2.0% 1.3% 0.1% 5.6% 5.4% Total FMCG Large Supermarkets Small Supermarkets Superettes

31% 3.3% 2.0% 1.3% 0.1% 5.6% 5.4% Total FMCG Hypermarkets Large Supermarkets Small Supermarkets Superettes Discounters

Large Supermarkets

0.1% 5.6% 5.4% Total FMCG Hypermarkets Large Supermarkets Small Supermarkets Superettes Discounters Growth was mainly

Small Supermarkets

FMCG Hypermarkets Large Supermarkets Small Supermarkets Superettes Discounters Growth was mainly driven mainly by

Superettes

Large Supermarkets Small Supermarkets Superettes Discounters Growth was mainly driven mainly by Hypermarkets

Discounters

Growth was mainly driven mainly by Hypermarkets and Discounters due to new store expansion.

45

Copyright © 2018 The Nielsen Company (US), LLC. Confidential and proprietary. Do not distribute.

TOTAL SWEDEN – SUPER CATEGORIES PERFORMANCE MAT Q1-2018 MAT Q1-2018 SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL

TOTAL SWEDEN SUPER CATEGORIES PERFORMANCE

MAT Q1-2018

MAT Q1-2018

SUPER CATEGORIES VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.3% Packaged Food 24.5% 2.2%
SUPER CATEGORIES
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.3%
Packaged Food
24.5%
2.2%
Fresh Food
20.6%
2.8%
Dairy Products
20.0%
6.2%
Beverages
10.1%
5.1%
Frozen Food
8.9%
4.8%
Household Products
7.0%
-2.2%
Health And Beauty
5.0%
0.0%
Confectionery
3.8%
4.6%

Dairy and Beverages growth was mostly due to price increases and premiumisation.

TOTAL SWEDEN MANUFACTURER PERFORMANCE - FMCG

MAT Q1-2018

MAT Q1-2018

MANUFACTURERS VALUE CONTRIBUTION NOMINAL VALUE GROWTH Total FMCG 100.0% 3.3% Top 1-5 15.0% 2.4% Top
MANUFACTURERS
VALUE CONTRIBUTION
NOMINAL VALUE GROWTH
Total FMCG
100.0%
3.3%
Top 1-5
15.0%
2.4%
Top 6-10
6.9%
2.3%
Top 11-30
15.5%
1.5%
3.9%
Top 31-100
20.5%
2.5%
100+
16.9%
5.2%
Private Label
25.2%
SWITZERLAND SNAPSHOT Judith Kuiper Market Leader Alpine The Swiss economy continues to perform well in

SWITZERLAND SNAPSHOT

SWITZERLAND SNAPSHOT Judith Kuiper Market Leader Alpine The Swiss economy continues to perform well in early

Judith Kuiper

Market Leader

Alpine

The Swiss economy continues to perform well in early 2018. GDP is growing, the inflation rate is low (0.6% in February) and the labour market is in good health (unemployment rate of 2.9% in March). The industrial and service sectors contributed equally to the overall positive report card for the country. On the expenditure side, consumption and construction investment supported growth. Additionally, the Swiss Consumer Confidence Index reached 104 this quarter, significantly above the European average.