Kalvis Gavars

PwC Latvia head of marketing and communications

Retailers and consumers have been recently forced to change their product distribution and shopping habits. The online marketplace is evolving and gaining unprecedented momentum. PwC’s June 2021 Global Consumer Insights Pulse Survey shows that the Covid-19 pandemic has created new consumer groups. Their creation is driven by consumer attitudes and behaviours, which have a great potential to significantly impact how consumers choose their shopping channels, goods, and brands.

Consumer survey findings

Consumers pay more attention to sustainability issues and assess the impact their chosen sellers and goods have on the environment, society, and corporate governance. People increasingly want to know what their favourite brands do to protect the environment, and people evaluate how those companies impact the community. People are prepared to pay more, for instance, for goods offered by companies that think sustainably and for goods in eco-friendly packaging, as well as for local goods regardless of the type of shopping (online or in-store).

Consumers who say they shop every day or at least once a week still prefer in-store shopping, yet the number of people that shop exclusively online and want a fast and reliable delivery is growing fast. To reach their customers, retail businesses need to look for new product distribution channels and find ways to offer their goods online, otherwise they risk losing ground to the competition.

People mainly working from home prefer a more digital and eco-friendly lifestyle. They are prepared to spend more on various product categories than those who mainly work outside their homes. 64% of home working consumers prefer online to in-store shopping, compared to 55% of those working outside their homes. Consumers concerned about health and safety aspects do less in-store shopping, and 23% of respondents appreciate the extra health and safety protocols adopted by physical stores. If work from home continues in the long-term, this could significantly affect retailers, as in-store shopping is likely to continue decreasing.

A comparison of customer habits across age groups shows that younger consumers shop more online: 35% of Gen Zers and 43% of millennials do their daily or weekly shopping online. Younger consumers are also prepared to spend more on their online purchases.

The opportunity to shop online makes consumers’ daily life considerably easier. They seem likely to continue using technology benefits. Retail businesses need to respond to the changing markets and consumer habits. Successful growth takes an adaptive ability and an openness to change.

You are welcome to read the full survey.