store TECH-SAVVY SHOPPERS SPONTANEOUS SHOPPING HAPPENS The call to reconnect with consumers Concerns about e US economy continue to weigh on American consumers’ minds . . . Factors driving how the American consumer shops believe e US is in a recession. Some day, I will get back on a good financial footing. When that happens, I will abandon low-quality food, whether it’s national brands or store brands. On the other hand, I will continue to experiment with high-quality store brands that perform well and have consistency. out of Those watching eir budget tend to choose oer options (ste and, fresh, local). 33% 2010 2015 30% NATIONAL BRAND LOYALTY DOWN store +10% When it comes to ste ands, me fl ey are sacrificing when purchasing a ste and instead of a national and. I AM SACRIFICING 2014 2015 store Consumers remain bo cautious and precise in eir buying. believe e economy has fundamentay changed. Fewer are wiing to try ste ands compared to last year . . . OPEN TO TRYING STORE BRANDS 2015 2014 NATL. BRAND . . . leaving possible opptunity f national ands, which tend to trigger me emotional responses from consumers. “I WANT” NATIONAL BRANDS The majity of consumers now rely on digital technologies at some point in e shopping process (pre-ste planning, in-ste, and post-purchase) . . . USE APPS AND WEBSITES FOR PRODUCT RESEARCH 2015 2014 REVIEWS PRICE COMPARISON GROCERY LISTS PURCHASE MEAL PLANNING PRODUCT RESEARCH COUPONS . . . and most fl sharing eir personal infmation is w it to receive personalized promotions and deals. THE TOP REASONS “AT THE SHELF” PURCHASES WERE MADE There are a variety of reasons and triggers at influence shoppers to buy “at e shelf.” PURCHASED “AT THE SHELF” MY HEALTH IS WORTH IT Healier options are increasingly imptant to e American consumer . . . FOR HEALTHIER VERSIONS OF PRODUCTS, MAJORITY WILL PAY A PREMIUM OF UP TO Fewer preservatives No HFCS Natural ingredients Low sodium I WANT The call to reconnect with consumers Focusing on these key areas can help CPG companies reconnect with consumers and maximize brand loyalty. For more information, or to learn how the results of our study can be applied to the unique needs of your business, please contact: Barb Renner, [email protected] US consumer products leader, Deloitte LLP Rich Nanda, [email protected] Principal, Deloitte Consulting LLP Copyright © 2015 Deloitte Development LLC. All rights reserved. CPG companies should consider strategies surrounding non-price triggers to improve long-term and heal. 89% 49% 48% 37% 37% 36% 81% 63% 52% 50% 45% 44% 41% 38% 35% 32% 30% 26% Discounted prices Free samples Special offers (store circular, announcements) Remembered had coupon when saw product Discount on bundled products Received coupon on smartphone in store Remember I needed it when I saw it in the store I just wanted to try it A new product by a trusted brand Bought related products even though no discount Product helped with easy meal prep Saw a product from advertisement Info on label in line with health & wellness needs Product made cleaning easier at home Convenient packaging Shopping partner wanted to try it Product demonstration In-store ad or display PRICE-RELATED TRIGGERS NON-PRICE TRIGGERS NATIONAL VS. OTHER OPTIONS SHOPPING BEHAVIORS ENTRENCHED . . . but many are cautiously optimistic. The economy is on the upswing, but that won't change my frugal nature . . . Anupam Narula, [email protected] Consumer & industrial products market insights, senior manager Julie Finn, [email protected] Consumer products market insights, team leader wi pay even me. out of AND consider emselves to be heal-conscious. Shoppers have preferences f healier choices, and a shared a common ce of “wants.”