Retaining the Loyalty of the Post-Recession Consumer is Key to Success
As many advanced economies see their economic growth accelerating in 2014 the aftermath of the global financial crisis may be receding from the thoughts of some consumers. Having said that, per capita disposable incomes remain depressed – lower in two of the G7 economies in 2014 than they were in 2007 (Italy and France) and only significantly higher (5% or more) in two (Germany and Canada). The situation in the eurozone remains tougher still, with only four of the 16 economies for which we have data expected to have higher per capita disposable incomes in 2014 than they had in 2007 – the average across the Eurozone will be 5.9% lower. Unsurprisingly, Greece is suffering more than most with average incomes in 2014 expected to be 36.9% lower in real terms than in 2007.
Growth in Per Capita Disposable Incomes in Selected Developed Economies 2008-2014
Source: Euromonitor International from national statistics
In this climate consumers consider their purchasing decisions more keenly and are less willing than ever to accept inferior service or poor quality goods and services. Creating a brand that consumers trust is vital. In 2012 I wrote that consumers crave the three Ts: Transparency, Trust and Togetherness and this remains the case in 2014.
“People’s Choice”, which encompasses consumers as brand ambassadors, spreading the word about good buys when satisfied, and reacting in minutes to what displeases them, is just one of the top 10 consumer trends for 2014 identified by Daphne Kasriel-Alexander, our Consumer Trends Manager at Euromonitor. Download the report or listen to the webinar.