2024.11.04-Five Insights About Consumers 2024
1.Consumers sentiment is lower than pre-pandemic
Consumers sentiment is quite low, which is lower than pre-pandemic, as well as lower than it was at the beginning of the pandemic.
2.Consumers are aware of the price increase comparing to pre-pandemic
As for middle or higher-income consumers, they have more in their bank accounts than they did pre-pandemic. Meanwhile, they're thinking of the prices they paid for things two years, three years ago and noticing how much higher they are.
3. Luxury spending remains
On one hand, consumers are actually spending more on categories in which are jewelry or vacations although they said don't want to do that. On the other hand, consumers are going to shop for sales when they can save money. They shop across the holiday seasons, not just wait for black holidays, Christmas or others.
4. Younger consumers are more likely to increase their spending
Around 70% of younger consumers (Gen Z and millennials) with higher income have a huge mentality toward splurge. While boomers are not going to shift their spending behavior and don’t have a splurge mentality as much as the youngers.
5. Right place, Right time, Right channel
When consumers really want something, they might splurge on it. In addition, consumers are very willing to switch retailers to get what they want.
Therefore, put something that consumers really want and will really make them happy, at the right time, in the right place, in the right channel where they can grab it conveniently, it would drive spending throughout the year, not just for the holiday season.
