List of Contents
Context: How the businesses should adjust themselves to the changing reality posed by Covid19.
Changing Consumer Behaviour
Covid 2.0 has highlighted three important trends with respect to Consumer behavior and market strategies.
- Rising duality in consumption trends.
- On one hand, consumers are moving away from the brand consciousness and are increasingly preferring for indigenous brands with organic ingredients.
- While on the other hand, still some consumers are sticking to their brand loyalty owing to convenience or usage experience of a particular brand offering.
- For instance, as per an Accenture study (2021), 58% of consumers ordering fast-moving consumer goods (FMCGs) are increasing their purchase of premium brands.
- The rise in demand for nutraceuticals.
- There is an increased focus on natural products for immunity.
- This is because, Consumers today are overwhelmed by fears and anxieties caused by lifestyle diseases.
- Hence, the ancient wisdom of using herbs and spices has seen increasing acceptance.
- Businesses are trying to retain customers in a disorganized society through innovative ways.
- The celebratory economy model is dead and businesses are employing various innovative methods to retain customers.
- For instance, insurgent brands are trying to create playful mascots and are working around colours that offer warmth and achieve a playful brand positioning.
- Because, consumers who are fighting emotions of stress and anxiety can find comfort in these offerings
How is the Market adapting to the following changes?
- One, healthy snack offerings and fortified ingredients that cater to wellness of the community is increasing.
- A number of nutraceuticals and functional foods are being marketed as immunity boosters.
- Food and beverage brands are also reducing ‘unhealthy’ ingredients and incorporating healthy ingredients to address this need.
- Further, many clean-label food products are emerging.
- Two, marketers are trying, to forge an emotional bond with the consumer via the direct-to-consumer route and set up the necessary digital architecture.
- Brands need to devise marketing strategies that can engage their audiences in the safety of their homes.
- Established brands should provide online engagement for customers to measure feedback, create digital campaigns and develop new products.
- Finally, marketers need to be sensitive of the hard times. They need to put selling, branding and marketing on a pause for now. They should not go for hard selling.