Alistair Leathwood, Head of Analytics, Insights, and Media, APAC, Circana, looks at how retailers can embrace technology and enhance convenience.
Connected devices are now ubiquitous in every aspect of modern life – from shopping and entertainment to fitness and relationships – and are influencing every generation as more people adopt their use. With innovations like voice-recognition, and augmented and virtual reality technology streamlining, stimulating, and transforming shopping experiences by bringing visual inspection to life from almost anywhere, it’s a brave, new, and connected world giving brands innovative ways to swiftly adjust their retail strategies.
But while digital engagement remains vital, in-person shopping experiences are still important for building connections with consumers. A well-rounded approach that integrates both online and offline shopping is critical for meeting the expectations of today’s connected and value-driven consumers.
Say hello to savvy shoppers
Economic pressures are creating a generation of savvy shoppers who maximise their budgets without sacrificing quality. For these consumers, value goes beyond just pricing; it extends to every part of the shopping experience. Keep an eye on Gen Z to understand and anticipate their needs, as they challenge brands and expect their evolving demands to be met. Discovery is very important in shaping their experiences and how they ultimately become loyal customers.
Some savvy shoppers invest in high-quality supermarket products while also splurging on ‘funflation’ experiences such as live entertainment and travel, viewing them as crucial forms of escapism. This behaviour contributes to ‘little treat culture’, allowing premium-priced FMCG products to fit within constrained household budgets.
What does this mean for convenience?
Brands must adopt a sophisticated approach to value, focusing on promotions and offers rather than continuously low prices. This is especially effective in retaining quality-oriented shoppers and preventing their shift towards lower-tier options.
As connectivity continues to significantly influence delivery methods, fast-evolving technology is changing the face of convenience and amplifying the ability to meet last-minute desires and urgent needs. Nearly all major retailers now offer some form of delivery service while platforms like Uber evolved into Eats and have further expanded to include convenience items.
Additionally, evolving payment methods for fuel and the convenience of electric vehicle chargers are changing the time customers spend in these stores as well as their expectations.
Remember, convenience is more than just fast – it’s about connecting with shoppers in the moment that matters to them by providing what they need and when.
Using data to demystify the FMCG landscape
We understand the changing FMCG landscape and use various data sources to derive actionable insights into business challenges. Artificial intelligence (AI) is revolutionising decision-making by automating many functions in marketing, sales, and supply chain operations. While dashboards will remain essential for performance monitoring, they will increasingly aid in facilitating automated decisions.
As data dependency intensifies, professionals in marketing, category management, and branding are being held to higher standards of accountability to achieve successful outcomes and deliver measurable results. The focus extends beyond clicks and engagement, requiring an understanding of how these interactions translate into sales.
Learn more about the needs and expectations of consumers by downloading a copy of Circana’s Connected Consumer report here: https://campaign.circana.com/connected-consumer
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