Consumer confidence in the UK declined significantly in March 2020, with the IGD Shopper Confidence Index declining four points to its lowest level since September 2019, data has shown.
Shoppers were concerned about the financial position of their households going forward, as well as the future increase in food prices, according to the IGD ShopperVista report for March 2020.
However, trust in the food and consumer goods industry increased by two points in this period to a 12-month high, as customers recognised and appreciated the efforts of the sector during the COVID-19 crisis.
The study revealed that 58% of customers claim to have stockpiled food and groceries.
Consumers are also focusing on cooking from scratch and reducing food waste, thereby setting the trend for savvy shopper behaviour in the future.
The IGD Shopper Confidence Index considers four key measures that are directly related to the food and consumer goods sector to determine shopper confidence.
These include household finances, food prices, quality versus price, and trust in the industry.
'A Diagnostic Tool'
Director of Global Retail Insight at IGD, Simon Wainwright, said, “The IGD Shopper Confidence Index aims to help industry stay close to shopper sentiment by acting as a diagnostic tool on a month-to-month basis, as well as a foundation to make future predictions.
“Understanding these dynamics can help underpin new product launches as well as shopper communication strategies. This pace of change is going to make it harder to create any long, or even, medium-term category plans. Keeping on the pulse of how shoppers are feeling has never been so vital.”
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: European Supermarket Magazine.