79 Pct M'sians View Themselves As Middle Class: Japanese Survey

KUALA LUMPUR, March 11 (Bernama) -- An overwhelming 79 per cent of Malaysians view themselves as middle class, compared to 46 per cent based on actual monthly household income, says the Hakuhodo Institute of Life and Living ASEAN (HILL ASEAN). The think tank, established in 2014 by Japan’s second largest advertising company Hakuhodo Inc, Friday announced findings of its latest research here. Its research found large segments of people in Malaysia and ASEAN identified themselves as middle class regardless of their actual income, indicating that a redefinition of "middle class" may be required. HILL ASEAN Strategic Planning Manager Ann Liew in her presentation said the report suggests the emergence of "the seamless middle", a group that cleverly finds ways to live their desired lifestyle by seamlessly juggling income and spending, unbound by their current income level. "They do so by increasing their sources of income with side jobs, whilst still maintaining a full-time job, for example, a beautician in Malaysia uses social media as a platform to boost income. "She buys clothes and beauty items on her trips abroad and subsequently sells them on social media," Liew said at the ASEAN "Sei-Katsu-Sha" forum here Friday which focused on new perspectives on the ASEAN middle class. The "seamless middle" also control their expenses, for instance by stocking up on canned coffee when it’s on sale and turning expenses into future income, for example by investing in the next generation by sending their children to international schools so that they can work abroad in the future. The report notes that this trend is a shift from living the life they can afford to finding ways to afford the life they want, she noted. The research by HILL ASEAN was based on "sei-katsu-sha", which is Hakuhodo’s fundamental philosophy for gaining deep insights into the lifestyles, aspirations and dreams of people in ASEAN countries. The advertising agency said the sei-katsu-sha spirit is more than simply being a consumer, as it expresses the holistic person -- an individual with a lifestyle, aspirations and dreams. Another presenter at the forum, HILL ASEAN Strategic Planning Manager Daniel Lim Kuo Minh, said unlike the traditional middle class who spend prudently, spending for the seamless middle is considered an upfront investment where the benefit or value from it is not as important as the return it will bring about in achieving the desired lifestyle. This means that next-generation marketing and communication strategies targeting the seamless middle will need to focus on designing and maximising return on investment (ROI), he said. "It can be achieved through three key points, namely defining target by income class and self-perceived class, repositioning spending as an investment, and lastly using sei-katsu-sha as corporate ambassadors for attaining desired lifestyles," he added. HILL ASEAN's findings are based on Hakuhodo’s ASEAN Home-Visit Survey, which seek to identify commonalities and differences among ASEAN sei-katsu-sha, to gain an overall insight into the region, as it further integrates into the ASEAN Economic Community. The studies monitored different attitude, income, expenditure and lifestyle approaches in five ASEAN cities -- Singapore, Kuala Lumpur, Bangkok, Jakarta and Ho Chi Minh City. -- BERNAMA