Brands need to take into account the significant shift in consumer spending that can occur during the first three months of a recession, or as the cost of goods and services continues to rise. 64% of consumers surveyed over the summer said they would reduce or continue to reduce their household budget. Interestingly, this percentage has dropped to 57%, with 27% saying their budget will stay the same and only 15% saying they will increase it.
Brands need to consider products that are key to people hong kong telegram data maintaining some semblance of their lifestyle. But a set of surveys shouldn’t be the sole basis for completely revamping the entire marketing strategy. Necessities should be the current focus rather than luxury or high-priced items.
The essential is a priority
There were many reasons for consumers to curb spending in recent years, including the pandemic, concerns about recessions and changes in quality of life. Consumers surveyed in the summer and winter indicate that essential items, such as basic food items for preparing meals, rank first, followed by rent, mortgages and housing bills. Personal care essentials come in third, and finally, healthcare and medications.
Although leisure, shopping and other non-essential items and services are not completely off the list, people are spending more on digital or online leisure rather than the role of artificial intelligence in automating lgpd compliance and data protection going out. However, 9% of respondents are still going out to bars and restaurants and 16% are spending on clothing and apparel.
It’s time for marketers to build meaningful connections with customers to improve their loyalty processes. This means paying attention to what consumers buy and how they buy it. Recessions create bargain hunters, so it’s crucial to capitalize on these consumers. Instead of c phone number pushing them to other brands, create opportunities where the brands they love are competitively priced. This reinforces brand loyalty and meets their needs.
When will things get back to normal? Who really knows? This is a great opportunity for marketers to reevaluate their strategies and focus on the tried-and-true products that consumers know and love. Ramp up content marketing, offer tiered options, and stay the course. Set realistic goals, invest in what’s working well, pay attention to the competition, help consumers save money, and focus on new sources of profitability.