Navigating the cost-of-living crisis, the consumer impact of high inflation and product development in food and drink. That and more on today’s episode.
Want to know what’s next? Listen to the show where our experts from around the globe unpack your biggest challenges. This week, WGSN’s Executive Editorial Director Bethan Ryder takes us to South Carolina, Frankfurt and London. Hear from the friendly faces of our Insight and Food & Drink teams.
Watch the full episode below or read on for highlights of this episode:
Q: What retail strategies can help us navigate the cost-of-living crisis?
“Lean into small-scale actions, such as revamping your store signage or packaging. Shy away from dull and overly simplistic, and leverage dopamine brights that elicit joy instead. Use colour psychology to your advantage, as colour can increase a shopper’s willingness to read packaging by 80%.”
– Candice Medeiros, Strategist, WGSN Insight
Q: How long will this current period of high inflation last? Is it going to shape consumer behaviours in the longer term?
“High inflation rates will extend at least into the first half of next year. But even when rates come down, they will likely remain above official central bank targets, so we might be looking at a period of three to four years of income pressure that’s above normal. Businesses must be close to consumer demand and anticipate trends better, because this and speed of innovation will be major considerations for the consumer, who will make increasingly tougher decisions on what to spend their money on.”
– Boris Planer, Head of Consumer and Market Insight, WGSN
Q: What new product development opportunities should the food and drink sector focus on in light of the cost-of-living crisis?
“Help consumers transform their at-home meals by offering a transformative condiment. This is something consumers can keep in their pantry and use over and over again on different meal types to create that restaurant-style quality meal at home on a budget. Wherever you are in the world, these transformative flavours and tastes would transport you to another region and this trend continues to rise.”
– Jennifer Creevy, Director of Food & Drink, WGSN