POST CORONAVIRUS SHOPPER BEHAVIOUR - THE NEW NORMAL

RESEARCH

CONSUMERS SET TO PERMANENTLY CHANGE THE WAY THEY SHOP

SEVERAL NEW PIECES OF RESEARCH INDICATE THAT THE WAY CONSUMERS SHOPIS SET TO PERMANENTLY CHANGE ONCE COVID-19 HAS PASSED – WITH HUGEOPPORTUNITIES FOR LOCAL RETAILERS.

A number of new studies indicates clearly that a large number of consumers look set to permanently change the way they shop after the coronavirus pandemic has finally passed.

PERMANENT CHANGE

New research from economics consultancy Retail Economics reveals that more than a quarter (28%) of consumers said categorically that the way they shop will change permanently because of Covid-19.

Lockdowns, social distancing and the closure of non-essential retailing had an immediate impact on consumers’ lives but the crisis looks set to cause a step-change in behaviour that will have long-lasting consequences for the industry and will create new challenges and opportunities for retailers.

The research was carried out among 2,000 households and found that 43% of consumers have switched to purchasing products online that they had previously only ever purchased in-store.

Even with lockdown being eased, many shoppers do not anticipate returning to their pre-coronavirus habits with just 10% saying they would do so and 40% saying they would remain “extremely cautious”.

Richard Lim, CEO of Retail Economics, said: “The road to recovery for the retail sector is likely to be slow and protracted as consumers feel uneasy about returning to normal life when restrictions ease.

“Shoppers will put their safety first and will initially avoid shopping in crowded locations unless absolutely necessary. A safe shopping environment will become a top priority for consumers, impacting their choice of whom to shop with and where. This is likely to lead to more local shopping which avoids public transport and crowded destinations in enclosed spaces.

“It’s unlikely consumers will return wholly to previous behaviours once the impact of the pandemic abates.”

HOME DELIVERY HERE TO STAY

Meanwhile, research from HIM & MCA Insight predicts that the surge in demand for grocery delivery will continue after the pandemic ends, as shoppers look to maintain the benefits it has offered during the lockdown period.

According to the report, 29% of shoppers are shopping online for food and drink more than before the lockdown began. More significantly, 20% of these shoppers plan to continue to use grocery delivery services more even when lockdown has ended. This rises to 36% of 25- 34-year olds, highlighting the importance of building loyalty during the lockdown period to maintain these new users as the market recovers and we enter ‘adjusted normality’.

Another group of shoppers who have increased their use of online grocery is the 75+ year-olds. This has been facilitated by the prioritisation of delivery slots for the elderly and vulnerable by grocery retailers.

Demand for online grocery slots has outstripped availability since the lockdown began, however the major multiples have expanded their capacity for deliveries through significant recruitment of pickers and drivers. In the convenience channel, the easing of some terms and conditions from delivery platforms has made it more attractive for retailers to serve their local communities by offering a delivery service.

HIGH STREET VISITS TO FALL

Finally, new research from digital commerce specialist JGOO revealed that some 40% of shoppers expect the number of times they visit high streets and shopping centres to fall in the six months after lockdown is lifted. Just 15% think they will visit more often while 12% expect high street and shopping centre visits will fall “dramatically”.

Around 30% of people who expect to do more online shopping over the next six months say they will do so because they want to avoid high streets and shopping centres to reduce their chances of catching the virus.

Of those people who think they will be making fewer visits, 9% say they won’t go at all, and one in five (20%) expect the number of trips they make on an average monthly basis to fall by five or more.