Meeting consumer needs
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Consumer trends are always changing and what will transpire in 2023 will be no different.
There’s no question that businesses of all sizes need to keep tabs on ever-shifting consumer preferences from changes in shopping habits to new technology emerging to make life simpler.
In fact, Euromonitor’s annual report aims to help organisations stay ahead of disruption, predict consumer shopping motivations and fulfil unmet consumer needs.
Euromonitor notes that consumers spending responsibly but emotionally, the role of digitisation in purchasing processes, female equality demands, and a disruptive Gen Z, are some of the factors that will define global consumer trends in 2023.
The 10 key trends that Euromonitor outlines in its Global Consumer Trends 2023 report follow. Some more than others could affect the food and beverage industry.
Authentic automation: many food and beverage businesses know the benefits of using robots to improve productivity. As technology advances and AI becomes more accessible, it is no wonder that robots for the food and beverage industry are commonplace.
But as Euromonitor points out, humans can’t be left out – both humans and machines need to be in sync to deliver meaningful solutions. “Emotional connections are not to be underestimated,” says Euromonitor and tech benefits should “outweigh” the need for personal interactions to create a seamless experience.
Budgeteers: 2023 cannot be mentioned without the cost of living crisis, which is having an impact on consumers’ purchasing power. Saving money is top of mind. In 2022, 75% of consumers did not plan to increase overall spending. Trust, reliability, quality etc – all matter in the face of a challenging economic environment. Trust, in particular, holds the key to maintaining customer spending throughout the cost of living crisis. According to research by The Institute of Customer Service, 64% of customers are willing to spend a little more with a company that they trust.
Control the scroll: People are still wed to their devices, but screen time is more selective. Consumers want an efficient and curated digital experience.
Eco economic: Consumption behaviours are less about acquisition and more about reduction, which positively impacts the planet. 43% of consumers reduced their energy consumption last year. Energy costs are likely to remain unpredictable well into the year’s first half. Product intelligence platform Vypr’s Food and Drink Intelligence Report for 2023 finds 35% of consumers use the kitchen to save money by cooking from scratch. Traditional meals such as Shepherd’s Pie are on the menu, with consumers using slow cookers and air fryers in a bid to reduce energy consumption.
Game on: Gaming has become an entertainment leader and has transcended the generational divide. This once-niche segment is now a mass-market opportunity.
Here and now: Flexible solutions are expanding purchasing power and relieving cost pressures to help consumers spend on happiness. In the short-term, ‘joy’ is a purchase motivator. In 2022, buy now pay later reached US$156 bn lending value.
Revived routines: ‘Post-pandemic’ is here. Consumers are eager to rediscover the world despite uncertainties ahead. 39% of consumers said more of their everyday activities will be in person over the next five years.
She rises: Consumers refuse to remain silent on gender inequality. Fair representation, equity and inclusivity are at the forefront of women’s purchase decisions.
The thrivers: Fatigue is setting in as consumers navigate a chaotic world with exhaustion at an all-time high; they are putting personal needs above all else. 53% of consumers had a strict boundary between work or school and personal life in 2022.
Young and disrupted: Gen Z stand up for their beliefs and put themselves out there. These consumers are immune to traditional advertising. Authenticity and social impact make a difference.
“The past few years have been anything but ordinary, and 2023 will be no exception,” says Alison Angus, head of innovation practice at Euromonitor International. “Companies should expect quite divergent behaviour as consumers cope with ongoing challenges while getting back in their stride.”
That wraps up Euromonitor’s list of trends impacting consumers. As trends evolve, we’ll add them to this list.
So please check back regularly to see what we’ve discovered and the significance they may have.
- Rodney Jack, editor, Food & Drink Technology.
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