How can you continue to appeal to consumers who are feeling the squeeze amid rising inflation? Find out in our latest podcast.
As the cost-of-living crisis bites, shoppers are tightening their purse strings and having to make tougher decisions on what to spend their money on. Hear from the experts in our latest podcast episode to build a recession-proof strategy for your business.
This week, WGSN’s Executive Editorial Director Bethan Ryder is joined by Director of Beauty Clare Varga, Head of Food & Drink Claire Lancaster and Director of Insight Joe McDonnell. Together, they address changing consumer behaviours in light of the cost-of-living crisis and discuss what brands can do to reassure and retain consumers in the months ahead.
Budget-friendly alternatives
“We know from the fast-moving consumer goods categories that during times of recession people swap down, especially for items such as cleaning products. They’ll go from name brand to supermarket-owned and it takes a very long time in those low-interest categories for consumers to swap back. All the forecasts are saying this recession will last for at least a year, probably a little bit longer. So it’s an especially difficult time for brands to maintain that loyalty.”
– Joe McDonnell, Director of WGSN Insight
Energy-saving formats
“We talk a lot about formats around sustainability but we’re also seeing many formats that save on utilities. These include products that require less water or don’t require heat, solid formats that don’t require water, hybrid formats and multitaskers that reduce the amount of products needed so you don’t have to spend as long a time in the shower. And they also have the advantage of having a longer shelf life.”
– Clare Varga, Director of WGSN Beauty
Energy-efficient gadgets
“Consumers are very conscious of their energy consumption and the costs around that, particularly in the UK and Europe, and they’re changing their cooking habits to reflect that. This is picking up on a trend that was already on the rise with energy-efficient kitchen appliances – kettles, microwaves, air fryers, pressure cookers, slow cookers. Consumers are turning to these energy-efficient appliances and brands are responding with product innovation specifically for these appliances.”
– Claire Lancaster, Head of WGSN Food & Drink
To hear the full discussion, tune into episode 65 of our Create Tomorrow podcast, Brand Survival Strategies for the Cost-of-Living Crisis, on Anchor, Apple and Spotify.