I know. It is the season for trends! In January our inboxes and social feeds are filled with ‘5 Massive retail trends’ or ‘Six things to watch in 2023’. You know the stuff. And don’t get me wrong, while the quality is variable, they do have some value, if you know how to use them (which discussed in a recent LinkedIn post!) But THIS article ISN’T that. Why? Because most things in 2023 will be strikingly similar to what we saw in 2022. If 90% of the world is largely the same, surely it makes sense that at least some of our attention lies there, rather than in the exciting, over-hyped world of change. So rather than fill your inboxes with trends and hyperbolic predictions, I’m here to talk about what won’t change.
Beware the allure of the new
Maybe I’m getting old (please, no comments on that!) Maybe I’m getting cynical (nor that!) But it appears to me that while a lot changes from year to year, a lot of stuff stays the same. Why, then, do we get all of these messages, lists, predictions and hyperbole about the year ahead? Why is it that agencies and consultants write about what might change? It’s because it’s exciting! We like change. It’s a buzz. New retail tech? How cool! Booming e-commerce – now that’s more exciting than a supermarket. Sustainability! Healthy!
Now I’m not advocating we carry on and assume that nothing has changed. Far from it. All I’m suggesting is that we don’t get caught up in the hype. That we take a step back to really understand consumers and shoppers, recognize what is different, and what has stayed the same.
Shopper Trends 2023 – Despite all the buzz, a lot of shopper behavior hasn’t changed
That is far more exciting than a shopper making their way down a supermarket aisle, picking up the usual brands, a few private label products. Buying some things on impulse, others planned. Sometimes buying exactly the same thing as they always buy, sometimes browsing and trying something new. Sometimes being swayed by a promotion. Sometimes not.
Yet that is what most shoppers, in most markets will do.
And so, if that is what shopping is, then perhaps we need to ensure that we’ve baked that reality into our shopper marketing plans, as well as all of the things that have changed?
So here, just to be a little different, is my list of ‘Things that won’t change’ in 2023. Enjoy, and let me know what you think, or what I’ve missed, in the comments!
Shopper Trends 2023 – Shoppers won’t notice most of the communication & stimulus we use
Shoppers ignore most stimulus they see in a store (be it online or instore). That won’t change. And don’t be fooled by the huge number of articles and ‘research’ papers and claims you see that suggest that technology makes this somehow different. Regardless of the technology, the key to shopper communication and engagement is still the same: understand the shopper, understand their mission, communicate with a message that is relevant to them at a place in store that makes sense to them (in their shopper mindset). Yes, the choice of media is important, but sexy tech won’t overcome poor messaging.
If you believed everything you read about retail tech and the influence of technology on shopping, no shopper would be able to pick up any product without consulting their phone/tablet/scanning a QR code/phoning a friend. Sure. Lots of people do use technology on occasion to help them shop. But it is still a relatively small percentage of shopping decisions. Online or offline most shoppers, most of the time, are barely aware of the communication we put in front of them.
Shopper Trends 2023 – Price will be important (more important than brand managers would like to believe and less important than retailers think) – but not always
OK – so this is a little bit of a stretch. In many parts of the world the economy is tough and inflation is high. That does mean that price will tend to become more important. But that, in and of itself is not new, and not news. Price will continue to be part of a value equation, and for some shoppers on some missions in some channels, price will become more important. But that doesn’t mean its all about price. I might worry about the price of bacon when I’m stocking up in a supermarket, but when I’m buying some steaks for a special meal, not so much. Price is important, but let’s not obsess about it. And let’s remember and focus on the value equation of our brand, and make sure we get that right. The solution to shoppers feeling that your brand is expensive is to add more value (or find a different shopper who will appreciate the value of your brand.)
Shopper Trends 2023 – What shoppers say and what they do will be quite different.
The gap between intentions and behavior will continue to be strong among shoppers. Many shoppers might claim in a survey to make purchase decisions based on how sustainable a brand is. But many of them won’t, or will be swayed from their good intentions by a nice little discount on a competitor brand. Yes, many of us are more aware of, and concerned about, the environment. But that doesn’t necessarily mean it will change my shopping behavior (even if I claim it, and even believe that it is so!) Observation rules when it comes to shoppers.
Shopper Trends 2023 – Convenience will be key
Choosing a store. Choosing a brand. Yes I might have preferences about where I’d like to shop, or what I’d like to buy, but time and again convenience drives everything. Price might be important to me, but will I check every store to see which has the best price? Unlikely! Will I sometimes buy a product in a convenience store, knowing that I’m paying more? Sure.
I might like shopping in Tesco, but if there isn’t a store nearby, and the Sainsbury is close – might I switch? Totally. Get to the shelf and my preferred brand isn’t there? Switch? Could be.
People like easy. It’s a simple as that. And shoppers are people too! For more on shopper decisions, check out this post on Shopper Economics, our bespoke model to understand shopper decisions.
Shopper Trends 2023 – Most (grocery) shopping will take place in physical stores (in most parts of the world)
Lest we get lost in the hype of the huge growth numbers of e-commerce, let’s just remember, most shoppers still visit stores for their grocery items. That isn’t going to change.
Of course ,many things are changing, over time. We’re seeing shopping behaviors shifting globally, and its important that we recognize those shifts. Some things will change. Much will stay the same. Some shoppers will change, and many will continue shopping in the same way they have for years. What is important is that we understand WHO our target shopper is, WHAT they do, WHERE and WHEN they do it, WHY they do it, WHY THEY DON’T do what we want them to do. The six W’s.
If you want help understanding your shoppers, or building strategies and plans to win with shoppers are retail (whether your market is changing or not!) check out our training programs now, or get in touch. We’re always happy to help!