The recession has made it necessary for Americans to rethink and
adjust their shopping patterns, resulting in a more strategic, informed, and even calculating approach to shopping previously driven by impulse, advertising responsiveness and the fundamental
attractiveness of brands.
A joint study by Deloitte and Harrison Group titled, "The 2010 American Pantry Study: The New Rules of the Shopping Game," found that 92% of
people surveyed have changed their grocery shopping behavior in the last two years. 89% said they have become more resourceful while 84% say they are more precise when they shop.
Key
findings from 2010 American Pantry Study:
- 93% expect to continue spending cautiously even when economy grows
- 92% have made some kind of change in their pantry related
shopping habits
- 89% feel they have become more resourceful because of the economy
- 84% have become a lot more precise in what they buy
- 81% say fun to see how much they're
savings with coupons or loyalty cards
- 55% of those cutting back have suffered no decline in income, but feel they "should be... "
Source: Deloitte and
Harrison Group, July 2010
In addition, the survey showed that while this new shopping approach is generally based on spending less, 65% of people do not feel like they are sacrificing much.
79% reported feeling smarter about the way they shop versus two years ago. But consumers have embraced a persistent recessionary mindset, as 93% surveyed said they will remain cautious and keep
spending at their current level, even if the economy improves.
Pat Conroy, vice chairman and Deloitte's consumer products practice leader, notes that "... personal gratification
and a desire to feel smart about what consumers are putting in their shopping carts are trumping brand satisfaction... price-consciousness, value-orientation and bargain-hunting will remain prevalent
for years... "
The study revealed four distinct shopper decision strategies, embodied by four segments of consumers, each reflecting their own attitudes and resourcefulness:
- Super Savers manage their resourcefulness at the cash register, hunting for and taking pleasure in savvy price management through extensive coupon
collection
- Sacrificers manage resourcefulness at the shelf, selecting among competing products on the basis of unit price, shopping more store brands and eliminating
convenience shopping
- Planners address resourcefulness through pantry management where they plan out meals, accept bulk pack discounts and set fixed spending
limits
- Spectators are the most loyal to national brands and were the least impacted by the recession, but still strive to be resourceful. They learn how to save by
taking advantage of in-store discounts
The Super Savers, Planners and Spectators, accounting for about 80% of shoppers, see the changes they have made as having led to emotional,
as well as practical rewards, and they do not believe they have made unacceptable trade-offs in the marketplace.
Dr. Jim Taylor, Harrison Group's vice chairman and director of syndicated
research, says "... the recession has given people the motivation to learn and adapt new strategies.... family gratification has replaced product satisfaction as the ‘go-to' goal for
America's shoppers..."
The study also uncovered that loyalty cards are very important to shoppers with 84% reporting having at least one:
- 81% say fun to see money
saved using coupons or shopper loyalty card
- 65% say shopping loyalty cards "essential/very important" money saving method
According to consumers surveyed,
coupons are another popular tool with 67% of people increasing their coupon usage:
- 45% using more coupons received in mail
- 43% reading/clipping more coupons from
newspaper
- 43% using more coupons available in store
- 39% downloading and printing online coupons
- 67% using at least one of these practices
According
to the survey, consumers don't believe they are sacrificing when buying store brands, with 85% saying they have found several brands that are just as good as national brands. 80% of those surveyed
believe that most store brands are manufactured by the traditional national brands.
Perceptions of Store Brands |
Perception | % of
Respondents |
Believe that most store brands are manufactured by traditional national brands | 80% |
More open to trying private labels than 2 years ago | 74 |
Only 2 or 3 brands they can't live without | 51 |
Feel that traditional
national brands are superior (in quality) than private label | 48 |
Intend to purchase more national
brands as economy improves | 35 |
Feel as if sacrificing when purchasing store brand instead of
national brand | 32 |
Source: Deloitte and Harrison Group, July 2010 |
Conroy concludes that "... Consumers have become so skilled in executing their new approaches that most feel they have become smarter, more calculating shoppers...
"
For more about the American Pantry Study, and to download the executive summary, please visit here.