Shifting Shopper Dynamics Explored in New RRD Research Report
10/14/2024 April Masters
Consumers remain under financial pressure and are looking to brands and retailers for value, convenience, and personalized deals and experiences. According to RRD’s latest CPG + Grocery Consumer Report, a remarkable 88% of consumers are frustrated with rising prices. The report explores how the effects of inflation and rising costs of everyday essentials are causing shifts in shopper behaviors. Based on a survey of more than 1,800 consumers and 254 grocery, drug, and mass professionals (and including insight from RRD's industry experts), the report presents key trends and offers strategies for marketers looking to remain competitive and relevant in this challenging environment.
Here’s a preview of the report’s highlights
Consumer priorities and pressures
With rising costs across essential categories, 86% of consumer survey respondents report feeling the impact on their grocery budgets, particularly for food and beverages. And the frustration extends beyond groceries — 78% are concerned about rising prices for health-related products and 75% for household goods.
Shopper strategies to maximize budgets
Budgets are limited, so shoppers are changing their habits accordingly. Stocking up to take advantage of sales (the number one change), brand switching between name brands and private label brands, and seeking coupons and discounts are among the consistent actions people are taking to make their dollars go further.
Drivers of consumers’ buying decisions
While prices are a big deal, shoppers also favor brands based on factors such as quality, privacy, and safety. When selecting where to make weekly grocery trips, 68% of respondents say convenience and proximity to home are the highest priorities.
What shoppers want and expect from brands
Personalization and relevancy remain themes for the experiences people want when shopping for grocery items. In an environment where loyalty is not a given, consumers are more likely to be loyal to those stores and brands that are personalized to their needs. The good news is that among the industry professionals we surveyed, 42% of them note offering more personalized promotions and deals to alleviate some of the strain on their shoppers.
Stay ahead of consumer trends
Understanding these consumer and industry trends can help you develop strategies to improve shopper engagement. For additional insights and expert recommendations specific to the CPG and grocery sectors, access the full report.
April Masters is the Senior Content Marketing Manager at RRD. She specializes in generating ideas and delivering compelling, data-driven insights to help brands connect with their audiences and stay competitive in today’s challenging markets.