Covid-19 impacts consumer’s spending habits this winter
By Andrea Byrne
Sep. 10, 2020
Bazaarvoice, a provider of product reviews and user-generated content (UGC) solutions, surveyed 5,000 global consumers for research concerning consumer sentiment and purchasing habits this winter.
Due to the effects of Covid-19, 44 percent of consumers have admitted that their planned holiday spend has been impacted.
Online shopping has increased post-pandemic, with 49 percent of global shoppers choosing online instead of entering physical stores, with an even bigger increase in the UK where 58 percent of shoppers are choosing online.
With all of these choices available, 35 percent of UK consumers will decide between two products based on their price points and 31 percent of consumers will base their decisions off product reviews.
Seven percent of British consumers are more likely to trust a product recommendation rather than a product rating, this is compared to 17 percent in the US and France, where consumers place more importance on product ratings.
This winter, Amazon will be a crucial resource for consumers with 57 percent of respondents using it for gift inspiration and 74 percent planning to make purchases from the Amazon marketplace.
However, 46 percent of Gen Z consider Instagram as the most influential source for gift giving. Overall, Facebook is still the most popular source with 21 percent of respondents saying it is the platform they use for inspiration, followed by 19 percent of people who will use Instagram and 11 percent of those who will use Pinterest.
Suzin Wold, SVP of marketing at Bazaarvoice, said in a statement: “Amazon has become even more prominent during the pandemic as more have people turned to online shopping. Its scale gives it an almost unbeatable advantage, but where brands and retailers can win is by delivering a fantastic consumer experience and different value.
“Younger generations identify with brands more personally and emotionally than older generations, and use social media at every stage of their purchase life cycle. Listening and engaging with consumers across social platforms in the early stages of product discovery through storytelling, visuals and authentic influencers will create engagement. Social media should be used to create a more unique shopping experience for brands and retailers to set themselves apart from Amazon.”
Photo credit: FashionUnited