COVID-19 AND CHANGING CONSUMER
Governments and organization continue to work to word containing covid-19 and stemming the growing humanitarian toll it is exacting. Meanwhile consumer globally are feeling its economic effects and are still pulling back dramatically on discretionary spending.
consumers have shifted towards digital channels, product, and service across categories, but that shift has not come also to offsetting the overall reduction in spending.
Consumers are dramatically pulling back on discretionary spending in most countries excepting China. Some of the categories showing the most precipitous declines include restaurants, footwear, jewellery, accessories, travel, and entertainment out of home. This behaviour is consistent with large scale shelter in place orders around the globe as well as consumer stated expectations of reduced spending.
Consumer expect to spend more on basis such as groceries, household supplies, and in some countries personal care items. Consumer are also trying new brands when the ones they are used to are unavailable. Bigger brands with more robust supply chain are growing faster as a result, giving unique opportunity to earn consumer trial and loyalty.
Covid-19 will permanently change consumer
° consumers attitude, behaviour and purchasing habits are changing - many of these new ways will remain post pandemic.
° while purchase are currently centred on the most basic needs, people are shopping more consciously, buying local and are embracing digital commerce.
° To manage isolation, consumers are using digital to connect, learn and play - and they will continue to.
° Moving forward, we will see an increases in the virtual workforce as more people work from home and enjoy doing so.
CONSUMER IN CRISIS
Consumers are deeply concerned about the impact of covid-19, both from health and perspective. People are responding in a variety of ways and have different attitudes, behaviour send purchasing habits. People across the globe are are afraid as they strive to adapt to a new normal.
Evidently, covid-19 has caused the shift in consumer behaviour and it is likely to handful to these new habits will remain in the long term, why others will fade over time below is look at consumer habits that are predicted to stay
• online purchasing will continue to be prominent channel for consumer buying going forward. Brands and organisation that haven't historical Been easily available online must rapidly adapt to the the new normal or they won't survive.
• out of home campaigns and in-person events will likely see a declined for months to come.
• luxury purchase will likely decline significantly as consumers continue to reduce their discretionary spending. However, people will continue to spend above average months on products related to to disease prevention, pandemic prevention, health, food and medicine.Consumers are deeply concerned about the impact of covid-19, boot from health and economic perspective.
People are responding in a variety of ways and have differing attitudes behaviour and purchasing habits. People across the globe are afraid as they strive to adapt to a new normal. Fear is running high as individuals contemplate what this crisis means for them, but more significantly, what it means for their families and friends, and society at large.
At the other extreme, some consumers remain indifferent to the pandemic and continuing their business as usual despite recommendation from Government and health professionals. CPG companies will need to understand how their own consumers are reacting, and develop customized and personalized marketing strategy for each. Details of one-size-fits-all marketing are over
Covid-19 has changed nearly every aspect of our daily lives, and consumer spending is no exception.
Generally, spending this down across all industries, as lockdown measures have restricted what we can spend money on, due to restaurants and shops being shut and air travel suspended.
Equally, the economic consequences of Corona virus pandemic have meant consumer are less inclined to spent more with many expecting their household income to continue to fall in the coming months. Time spent Indoors however, has caused us to spend more on home entertainment and groceries.