INDUSTRY OPINION 58
Sudhir Kale*
Pandemic pushes change in priorities While the economic, political, and cultural impacts of this pandemic will differ from country to country, there exist a handful of trends that will be experienced around the globe, albeit to varying degrees.
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he direction and pace of these developments are nothing short of breathtaking. According to the Barrett Values Centre, the tectonic shifts that have taken place in people’s priorities and values within the first few weeks of the onset of COVID-19 would normally have taken five to eight years. The outbreak of COVID-19 has pushed consumers out of their normal routines. People are adopting new habits and behaviors that many anticipate will continue in the long-term. This article is based on research on COVID-19’s effects carried out by various organizations and is written to highlight the overall impact of the once in a century pandemic. We shall discuss five key trends in consumer behavior that will continue well beyond the pandemic. A simpler life COVID-19 has forced a re-evaluation of what is important and how people spend their time and money. For many, such assessment has led to a sustainable embrace of the simpler pleasures of life. The desire for simplicity has translated into a pullback from conspicuous and unnecessary consumption. People are focusing more on their own personal health and the health of their friends and family. In the immediate aftermath of COVID-19, consumers plan to spend less on entertainment events and travel. In a multinational study of consumers conducted by Brandwatch, around 70 percent of those surveyed said that they will save more money in the bank than usual. The Guardian reports that in recent months, home cooking has enjoyed a renaissance, demonstrated by the surge in demand for baking ingredients, and 71 percent more time spent online with food and cooking content since the last weekend of February 2020. Dwindling loyalties COVID-19 has forced many consumers to reassess their brand choices, partly due to the unavailability of their preferred brand during the pandemic, and partly due to brand affordability. People experimented with brands that they had never considered using before, and many came to realize the inherent value in these hitherto unfamiliar brands. Today, less than one in five consumers are adamant
Asia Gaming Briefings | April 2021
about sticking to their pre-pandemic favorites. In the casino industry, a survey of 1,000 U.S. gamblers carried out by Synergy Blue revealed that just over half of the gamblers surveyed planned to return to casinos upon reopening. Of those, only 35 percent said they will return to their usual casinos. These figures imply that less than 18 percent of a casino’s pre-pandemic loyal clientele would return to that casino post reopening. The precipitous drop in brand loyalty combined with consumers’ desire to save money would create opportunities for masstige brands. Downward brand extension on the part of some companies has the potential to reap handsome rewards. Online surge The pandemic compelled many consumers to look online for purchases that they would usually make at a physical facility. Online sellers of groceries, toiletries and beauty products, clothes, and furniture found new customers by the millions, almost overnight. What’s more, these new converts liked the online shopping experience. For example, around 70 percent of consumers who had never shopped online for clothes before now say that
