Latest research from
international food and grocery expert, IGD reveals new shopper loyalties
are emerging across Europe as food retailers and manufacturers engage in
an intense ‘contest for value.’
More than a quarter
(27%) of shoppers in Europe have made changes to their food and grocery
shopping due to the recession, with 70% of these shoppers saying they
will stick with their new habits even when the economy recovers.
In France, a third (33%) of shoppers have
changed their shopping habits with 70% of these shoppers saying their
changes are permanent. This compares to 22% of Spanish shoppers that
have made changes, with 64% of these shoppers saying they will stick to
their new habits regardless of the economy
Joanne Denney-Finch,
Chief Executive, IGD said: “Shoppers are shopping around more, wasting
less, seeking out promotions, planning meals better and taking their
time to find the best deals.
“In such a vibrant
marketplace, in which new shopper loyalties are emerging, retailers and
food manufacturers are responding very rapidly to the challenges
presented by the recession. They are each vying to excel at delivering
value – and the most effective are reaping the rewards.”
Research conducted with
shoppers in France, Germany, Spain & UK released today by IGD highlights
a number of winners emerging:
Investment in the quality and variety of
supermarket own-label is paying off as almost a third (31%) of shoppers
in these markets are buying more own-label
Over a quarter (28%) of shoppers in these
markets is visiting discount supermarkets (eg, Aldi, Lidl, Penny, Dia)
more often
Brands also have a
number of shopper trends in their favour.
Almost half (49%) of French shoppers say that
a major strength of brands is their reliable "taste and quality",
compared to over a third (37%) of Spanish shoppers
27% of shoppers in the UK particularly favour
brands because they have “grown up” with them - the highest figure
compared to its European counterparts and no surprise as strong heritage
has become an important attribute for UK shoppers
An IGD survey of 120
food and drink manufacturers found that they are responding decisively
to changing shopper trends. For example:
47% are putting a strong emphasis on price
and value through advertising and communications
47% are focusing on brand values in their
communications
43% have increased promotional activity
42% have changed pack sizes in response to
consumer trends
Joanne Denney-Finch
concluded: “Overall, nearly a third (29%) of people in Europe have yet
to make major changes to their grocery shopping during the recession but
expect to if conditions worsen. So there could be further transformation
ahead with a great deal still to play for.”