As a Facebook Premier Partner, we are provided with regular updates and consumer trend insights which we will summarise and circulate with our current customer base.
We are reaching out to you with a summary of the key developments from the final COVID-19 Facebook webinar of the series.
1. Create, don’t wait for demand.
Demand starts to return to normal with more and more shops opening back again. When adults who delayed the purchase during COVID-19 were asked about their plans, 70% of those in the UK said that they will be prioritising at least one of them (compared to 61% in Germany). Of those who delayed the purchase of specific items, about 60% in the UK will be prioritising vacations, about 45% will prioritise electronics, cars and clothes, 35% will prioritise booking flights and about 15% will prioritise purchasing luxury items.
Some people increased savings over lockdown and are now looking to spend. 21% of adults reported an increased current account value compared to before lockdown and 8% of adults will spend more or all additional funds. When asked what they will spend their additional cash on, 35% chose to spend it on improving their home, 26% wants to buy new furniture and appliances, 25% will spend it on clothing and 16% wants to spend it on holiday. On the other hand, more and more people (35% in the UK compared to 32% in Germany) are now waiting for promotions and the breakdown to be over. One of the reasons is undoubtedly financial, the other is safety. 93% of adults in the UK believe new safety features are important in any public space.
So what does that mean for you? Think about how you can create demand and excitement for your customers while giving them a sense of safety.
2. People don’t go shopping, they go buying.
Around 80% of all retail spend in the UK is in-store but the way we are going to shop in-store and the amount of time we are going to spend in-store is going to change. We probably will not do as much browsing, we will not discover as much and we are going to be more practical in our approach. 38% in the UK are planning to either spend less time or visit stores less post lockdown, compared to 49% in Germany. And the most impacted stores seem to be shopping malls, as well as, clothing stores and department stores (as seen in China).
So what does that mean for you? Think about new ways of reaching your customers, refining your budgets and realigning your strategies.
3. Prepare to be a pandemic-proof.
“Now is the time for preparation, not celebration.” Dr Hans Kluge, WHO Director for Europe, 8th June 2020.
Brands have to adapt to consumer behavioural changes, and consumer behaviour is digitalising. Shopping online is becoming more common and frequent with 87% in the UK purchasing online within the last month, compared to 95% in Germany. Ecommerce is forecast to be the source of retail growth in 2020. Emarketer is predicting retail non-eCommerce sales to drop by 14% YoY versus an 18% increase in e-commerce sales.
So what does that mean for you? Grow by owning customers relationships, consider shifting direct to consumer, build partnerships for scale and convenience, understand your partnerships better.
Thank you for joining us for this series of webinars. We hope those insights helped you and your business preparing for big growth in the second half of 2020. If any of the above inspire you to make a change to your current strategy, reach out and let us know how we can help!
Keep tuned for future updates from the Push Facebook Team