Did you know that the increase in the cost-of-living has given rise to the new “K-shaped” consumer. Of course, shoppers at all income levels are value-conscious, but this is now becoming polarised.
Shoppers where value means affordability are at one end of the spectrum. Shoppers who focus on brand values ie: brand personality, sustainability and quality - rather than price, are at the other end.
The latest data from Akeneo, the global leader in product experience management (PXM) and product information management (PIM), reveals that while pricing sensitivity is rising amongst shoppers (as the cost-of-living and inflationary pressures hit household budgets), shoppers would pay more for products, carrying better quality product data.
Original research of over 1,800 shoppers in its latest 2022 B2C Survey: “Product Experience Satisfaction Around the World” Report, showed that six in ten shoppers (61%) would pay up to 10% more for items with good quality and accurate product information. These are the “K-Shaped” Shoppers!
Quality, accuracy and consistency of product information have an increasing role in how changeable demand for a product is, at a particular pricepoint. During a time of economic turbulence and when consumers are even more considered about each purchase, good product information can shore up demand for products at higher pricepoints, helping retailers maintain margin by supporting full-price selling.
The most common product information 55% of customers look for when deciding to buy - after the rpice, is the product description. 52% of customers look for consumer reviews and a further 43% of shoppers would rely on information about technical features.
At 26%, details about the history of the retailer or brand, topped the key values shoppers wanted to learn about when making their purchasing decisions. 22% of shoppers wanted to know about certifications and quality assurance and 18% of shoppers wanted to know about the product’s sustainability ie: was it a fair trade product, was it eco-friendly, or what was it’s responsibiy sourced status.
Retailers and brands should ensure product information and data will engage both audiences - consistently and accurately across all touchpoints and channels.
Extract from 24.03.22 News Direct Review of Akeneo Report Global B2C Survey.
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