Asia Pacific set to become the world’s largest engine of consumer demand

Bain and NIQ say companies need to re-prioritise markets and redefine consumer value beyond price.

Asia-Pacific is set to become the world’s largest engine of consumer demand, according to a report from Bain & Company and NielsenIQ.

Global private consumption is projected to rise from US$65t in 2025 to US$110t–$120t by 2035, with APAC on track to overtake North America by that time. The report said consumer goods companies will need to win disproportionately in this region to capture future growth.

APAC’s fast-moving consumer goods sector posted a healthier growth mix than Western markets. In the 12 months to June 2025, FMCG value rose 4%, driven mainly by volume growth (+2.8%) and modest price increases (+1.2%), a more balanced profile than in North America or Western Europe.

Performance, however, varies widely across markets. India recorded a sharp acceleration with 13.7% value growth in the first half of 2025. China rebounded to 4.7% over the same period, led by online channels. The SEA-6 markets slowed to 1.8% in H1 2025, down from 3.5% in 2024.

The report outlined six trends reshaping the region’s consumer-products landscape. Market dynamics are shifting without a single growth engine, and consumer behaviour is diverging, with premiumisation in some categories and polarisation or selective trade-down in others. E-commerce continues to expand across markets, whilst social commerce and quick commerce are growing rapidly.

In 2025, China’s quick-commerce market is projected at US$120b–$150b, and India’s GMV has grown fourfold from 2022 to 2024. Local brands are gaining ground in many developing markets, putting pressure on global players.

Winning in APAC now requires scalable agility, pairing local execution with repeatable, regionwide capabilities. AI is also reshaping the sector, with 39% of APAC consumers already using AI in online shopping and another 40% open to doing so.

Bain and NIQ say companies need to re-prioritise markets, redefine consumer value beyond price, and build fit-for-purpose strategies for social commerce, quick commerce, and emerging AI-agent shopping behaviours.

They also called for competing “like a local” in priority markets, transferring winning playbooks across the region, and treating AI as a full-business transformation, not a series of pilots.