Consumers Do Their Homework Before Shopping
NEW YORK -- Knowledge is power and a new study has found that consumers come armed and ready to shop.
Specifically, 86 percent of shoppers are getting more precise in what they buy and 80 percent of shoppers are more efficient in getting in and out of stores, according to the newly released Deloitte/Harrison Group 2011 American Pantry Survey.
"With the proliferation of online shopping, smartphones and social networking, it's vital that consumer product companies consider the use of highly targeted pre-store shopper engagement programs, which could include constant communication through new technology mediums," explained Pat Conroy, vice chairman, Deloitte LLP and consumer products sector leader.
For nearly 30 percent of consumers, at least seven of 10 items in their shopping cart are discounted. Additionally, 80 percent of them say they do their own research and have a pre-determined price point and a potential savings amount in mind before they step into a store. Furthermore, 66 percent of consumers shop when they know products will be on sale, the survey found.
A key takeaway for retailers is that 75 percent of the respondents said they are smarter shoppers today than they were a year ago, and 86 percent believe they are getting more precise in what they buy.
"Smarter shoppers know what they want and how to get it for the best price," Conroy said. "As they become more efficient -- while the consumer products industry increasingly faces a 'crisis of similar' -- companies looking to thrive must find ways to differentiate themselves from their competition."
The survey also found the time to grab consumers is before they ever step foot into the store. Nine in 10 shoppers know what they're buying before they arrive at a store and 83 percent have a set of brands in mind that they will consider. Also, 80 percent of shoppers indicated that the recession has caused them to realize what brands they care about and which ones they don't.
What may not be good news to retailers' ears is that 49 percent of shoppers said they are no longer interested in trying private labels or store brands. In addition, 90 percent of the respondents said they have already figured out which store brands and private labels work for their families, and just as important, which ones do not. Nearly the same amount (88 percent) of consumers claimed they have established which store brands and private labels are good and which are not.