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Covid-19 and the ensuing economic hardships have made American consumers extremely cautious—54% say they are sticking to the brands they usually buy from during this time. Similarly, 41% say they are cautious about trying new products right now compared to only 19% who disagree. With all the uncertainty consumers are facing in their lives, they appear to be clinging to their go-to brands for stability and ease. No more surprises!
The ‘consideration’ phase of the purchase funnel has also been lengthened due to Covid-19—54% say they are taking more time to consider what they buy and 46% say they’re shopping around to find the best deals more than before. With that in mind, it may be wise for brands to reallocate marketing efforts towards this phase of the consumer journey.
Half of Americans are trying to buy more from local and small businesses during Covid-19
Covid-19 seems to be ushering in a new era of pride and support for local communities. About half of Americans say they have been trying to buy more from local (48%) and small businesses (46%), those at greatest risk of not bouncing back from the shutdowns.
This ‘shop local’ trend is likely to stick around—49% of Americans say they will buy more from local and small businesses after things return to ‘normal’ than before Covid-19.
In promising news for brands, consumers express an eagerness to indulge post-Covid-19 as a reaction to the many constraints placed on them throughout the pandemic thus far. This suggests we may see a celebratory uptick in spending post-corona, whenever that may be. Over 3 in 5 Americans (62%) say they will want to treat themselves when life is back to ‘normal’ and almost half (46%) expect to want ‘a little luxury’ in their lives after lockdown. 2 in 5 Americans (41%) feel that social distancing will actually leave them with a fuller piggy bank and expect they’ll have more money saved after social distancing than when it began.
When thinking about the future, Americans report feeling anxious (57%) and apprehensive (53%), though more than half also say they’re optimistic (52% vs. 40% who are pessimistic), suggesting they know things will eventually start looking up…and when they do, they’ll be ready to enjoy life again.
To get a feel for what consumers will be most eager to return to post-corona, we asked them what they have missed most during social distancing. Eating out and traveling topped the list, suggesting these are key areas that will see a celebratory boost in spending when this is all over.