While consumers are eager to purchase summer items early, trust is paramount in getting them to take action. Retailers should also be mindful of marketing fatigue and tailor their communication methods accordingly. Understanding product category preferences is essential in determining whether consumers prefer to shop online, in-store, or both. Ultimately, retailers must act as advisors first and sales machines second, offering guidance to consumers to build trust and loyalty.
56% of consumers plan to shop for summer items in May and June; consumers are ready to act on sales for summer items early. As almost seven in ten (68%) want to know about sales by April, respondents to our survey said they are willing to act and buy, as 51% said an early sale could “sometimes and often” motivate them to buy.
Most consumers (72%) will budget the same or less for summer items compared to 2022. And just 22% will spend more than in 2022. And almost half of the respondents (47%) have less confidence in the economy for summer 2023 compared to 2022. Less than one quarter has more confidence in the economy.
Two-thirds of consumers (66%) want fewer marketing messages, and 27% feel they get bombarded by marketing messages. The top preference for communication by consumers is email.
The top items that respondents plan to buy are clothing (78%), swimwear (58%), home goods, and beauty products, each at (50%). Seventy-nine percent (79%) of shoppers said that they check prices online when shopping in-store. It underscores that retailers need omnichannel capabilities. Almost eight in ten consumers say a brand caring about the environment is essential. So, it is a “must-have” moving forward for online marketers.
The motivators for consumer purchase are price 77% and quality 78%. A distant third is brand reputation at 28%.
It’s clear that if a brand loses consumer trust, it can destroy the brand. Trust is the cornerstone of loyalty. Trust is earned through word-of-mouth reputation by consumers reading online reviews or talking to friends. It means online retailers must be an advisor first and sales machines second. The more brands can “act like a friend” and offer advice – the more they can build consumer trust and loyalty.
The media can also destroy whole brand categories. A recent story on CNN said, “High egg prices send profits at largest US producer soaring more than 700%”.
Cal-Maine Foods, the largest egg producer in the United States, reported revenue doubled and profit surged 718% last quarter because of sharply higher egg prices.
According to Reuters, the company, which controls about 20% of the US egg market, said its average selling price for a dozen eggs in the quarter ending February 25 was $3.30, more than double the average of $1.61 a year earlier. Despite the higher prices, the total number of eggs it sold edged up 1%, so its overall revenue rose 109% to $997.5 million. Do you think consumers will remember that?