Competition and inflation – influence on customer behavior
The “Guide to Next” study by Publicis Sapient explores how consumer behavior can change as a result of inflation.
Competition and consumer expectations:
️ Black Friday marks a period of increased competition among online stores and retailers. Consumers are increasingly on the lookout for cheap offers, especially in economically tense situations.
Inflation further exacerbates this behavior.
Customer loyalty and brand loyalty: a global perspective:
🌎 The study surveyed over 8,800 consumers worldwide and examined customer loyalty and brand loyalty during inflation.
📉 Studies in various countries show that customer loyalty is declining, but not completely disappearing.
👫 14% of respondents show a high level of brand loyalty, while 52% show little to no loyalty. Germany is in the middle of the pack.
Generational behavior and purchasing decisions:
❤️ Millennials and Generation Z are particularly brand loyal and more likely to recommend their favorite brands to others.
🛍️ The majority of consumers are open to new brands, and a large proportion would like to switch to cheaper brands due to inflation.
Factors influencing the purchase decision:
💻 Online research and product reviews are key factors in the purchasing decision for almost half of consumers.
🏢 Generation Z is increasingly using social media to discover brands and products. Product quality and reliability are crucial, with convenience in the purchasing process rated higher than brand image.
🚻 There are also differences in priorities between the genders, with women placing more value on loyalty rewards and discounts than men.