Economics Alter Brand Expectations

Economics Alter Brand Expectations. In today's economy, consumers have more options and are looking for better deals. Better deals can mean more than a better price as they also prioritize ethical and sustainable practices, leading to brand switching for product availability and convenience. Brands must prioritize improving customer experience, including offering personal, instant, and responsive shopping experiences, to stay competitive in a rapidly evolving market.

This trend originates from the report:

Shopify - Commerce Trends 2024

Economics Alter Brand Expectations. Consumers have more options than ever, and in today’s economic climate, they’re ready to exercise that freedom of choice. More than seven in 10 consumers bought from the competitor of their go-to brand between May 2021 and May 2022.

And, if spending power decreases as expected in 2023, consumers will continue to shop around for better deals. But shoppers aren’t just aware of the price tag. Environmental, social, and governance concerns influence about half of global consumers.

Buyers want to support more ethical businesses with more sustainable supply chains—even though consistency in freight, distribution, and especially fulfillment are nearly impossible for many businesses to control. That’s why product shortages motivate nearly half of all brand switching: 46% of consumers move to competitors who have the products they want in stock. Discovering new brands to try is also easier for consumers— and most are ready to buy.

More than seven out of 10 like the convenience of instantly purchasing products where they’re browsing. And they’re browsing on social media: 60% of the globe is already on social media, so they need only go to the platforms they’re already on to find new brands and products. That same expectation for seamless immediacy is seeping into physical retail too.

“While we see customers really interested in coming back into the store space and having a personal approach, they’ve also gotten used to having everything immediately,” says Shaza Mahmoud, head of retail at Daily Paper. “They want it now. This is just the era we’re living in.

Everything available at the click of a button.” Consumers want their shopping to be personal, instant, and responsive—and they want that high-value experience anywhere. That’s why, aside from growing revenue, improving customer experience is the top priority for global businesses.

This attitude of ultimate flexibility and interconnectivity is hitting all aspects of commerce—including employment. Employees are moving their talents to the companies that will benefit their wallets, lifestyles, and values. For one out of five employees, flexible schedules and locations are keys to retaining them, something that brands with a strong retail presence will need to keep in mind.