Snipp Blog

2023 Shopper Trends and Inflation Infographic

Written by Snipp | Jan 27, 2023 9:47:53 PM

Our recent consumer survey reveals that with inflation looming, consumers are on a mission to economize, switching retailers and brands at every turn. 

We highlight the following six trends from the full survey:

 

Download the pdf here

Access the full Shopper and Inflation Trends report here

6 Shopper Trends Triggered by Inflation

Consumers are seeking value with a vengeance. Is your marketing strategy keeping up?

Our recent shopping and consumer survey reveals that with inflation looming, consumers are on a mission to economize, switching retailers and brands at every turn to take the sting out of rising costs. The following six trends that are clear from the survey:

1) Returning to Retail

Consumers are ready to return to shopping in-store: 60% shop in physical stores more than they did compared to the same time last year (with 42% going to brick and mortar a lot more).

Are you shopping in physical stores (versus online) more than the same time last year?

  • 42% - Yes, I shop in physical stores a lot more
  • 18% - Yes, I shop in physical stores a little more
  • 31% - About the same
  • 9% - I shop in physical stores less than last year

2) Discovering In-Store

The hunt is on in-store. 86% are discovering items in physical retail (with 76% of people discovering items shopping online).

  See answers above to:

  • While shopping in physical stores, how often are you buying newly discovered items that are not on you list?
  • While shopping online, how often are you buying newly dicovered items that aren’t on your list?

3) Switching Stores & Brands

When it comes to loyalty, the results indicate that it’s a jump ball. Over half choose a competitor when faced with out-of-stock item and 57% switched to new retailers to save money.

When a favorite brand’s item is out of stock

do you...

  • 30% - Choose similar items from your favorite brand
  • 51% - Choose similar items from a different brand
  • 19% - Wait until the product you like is available

Have you recently switched from your usual retailers to save money?

  • 21% - Yes, definitely
  • 36% - Yes, somewhat
  • 14% - Yes, but rarely
  • 29% - Not at all

4) Shopping more at Walmart, less at Target

Shoppers are making lifestyle changes in response to economic pressures. Economizing on food items appears to be steering shoppers towards discounted Dollar store items and Walmart’s everyday low prices and away from Target’s more discretionary categories.

Compared to the same time last year:

  • 40% Shopped more at Dollar and Discount stores
  • 32% Shopped more at Walmart
  • 39% Shopped less at Target
  • 5) Budgeting Before they Buy

51% are sticking to a budget more than in the past. Shopper marketing technologies like Retail Media can help brands and retailers coordinate their value messaging inside and outside of the store, assisting pre-planners.

Before shopping, do you try to stick to a certain budgeted amount?

  • 51% - More often than in the past
  • 44% - The same as in the past
  • 5% - Less than in the past

6) Seeking Savings

73% are buying products based on deals more than a year ago. Retailers’ digital deals, brand-funded receipt-scanned rebates, bank credit card-linked offers and consumer apps can deliver savings to eager consumers.

Are you buying products based on deals?

  • 38% - A lot more than a year ago
  • 35% - Somewhat more than a year ago
  • 23% - The same as a year ago
  • 3% - Less than a year ago

5 Consumer Marketing Strategies to Engage Today’s Savings Minded Shoppers

As brands and retailers continually walk the tightrope between delivering value to consumers and profits to their bottom line, here are the top 5 ways we think innovative marketers can successfully meet both objectives in today’s value- driven economy.

1) Rethink Shopper Marketing: It’s no longer just about end caps and shelf tags. CPG brands are reaching shoppers before they hit the aisles at home via Connected TV, currently serving over half of all video ad impressions.

2) Mix in Retail Media: Walled garden, yes, but customized campaigns and unmatched attribution is driving brands to invest in retailer own media platforms at a rising pace. Some estimate that retail media networks currently makes up 11% of global ad spend.

3) Engage to Earn Shopper’s Loyalty: Kellogg’s uses its Kellogg’s Family Rewards® loyalty program to analyze first party data from 33 million households to better understand consumer demands and in turn mirror those preferences in the brand creative, messaging, rewards and the products they manufacture.

4) Use Consumer Promotions to Stand Out: Strategic consumer promotions like sweepstakes, gift-with-purchase, scan receipt for rewards, social media promotions, contest or layered promotions (combos of more than one type), can help your brand stand out, increase engagement or drive trials of new products.

5) Step Up Your Messaging: To make it easy for your customers to understand your brand’s unique value, personalize messaging and promotions based on the preferences of the communities you serve. Whether that be ethnicity, demographics or seasonality, tie messaging to consumer demands and interests to stay top of mind.

Want to Learn More? See the full results of the Inflation and Ever-Evolving Shopper Survey here.

www.snipp.com/lp-survey-inflation-and-the-ever-evolving-shopper