Retail Briefing: Why shopping will never be the same again
It is undeniable that we are seeing major shifts in consumer behaviour. Not only does this crisis have economic repercussions which will impact on consumption, consumers also had time to reflect and this had led to a re-evaluation of their priorities in life. Of course not all changes will continue post lockdown – however some attitudes have shifted significantly and will shape future habits.
Are shoppers coming back?
Oasis, Warehouse, Laura Ashley and Cath Kidston have already closed. Debenhams has been in administration twice, Marks & Spencer and John Lewis are struggling. Now add to this consumers who are happier to shop online, less interested in shopping generally and wanting to save money in the face of recession – is this the end of the physical store? Week 26 analysis from footfall experts Springboard shows that footfall at retail destinations is improving but still around 50% lower than last year. Retail parks are doing better – having recovered to around two thirds of 2019 footfall levels. Now we are awaiting the impact of the opening of hospitality on the 4th of July.
Retail formats of the future
Shoppers will still come to physical stores but their behaviours will change. Shoppers are likely to visit less often and spend more when they do come. Shoppers will come to destinations for entertainment and social interaction rather than to simply buy. Retail stores will need to provide the three key pillars of success: an immersive brand experience, exciting impulse purchases and sustainability in order to future proof their offer.
5 Key Behavioural Trends and their impact on retail
Emotional Logic is tracking on and offline shopping patterns as well as motivational drivers throughout the current crisis with an on-going survey of 2,000 consumers. This shows that many are intending to spend more time at home, even after lockdown ends and a big increase in interest in health & wellbeing as well as sustainability. Please see our video below for an intro to the trends and how they will affect retail provision going forward.
Please see our full Post Lockdown Trends Report for detailed analysis of the behavioural changes and how they will impact on retailers, brands and leisure providers.
Emotional Logic is a research agency specialising in behavioural insights and works with brands, charities and public sector organisations to understand motivations and shape future behaviour. We offer a range of fast and cost effective research solutions to help you find out how the new trends will affect your brand and how you can maximise the opportunities arising from this shift in consumer priorities. Please get in touch for a free consultation.