Back in February, we examined expected shopping patterns for 2021. How close did these projections come to reality? To answer, let us review more recent 2021 consumer shopping trends.
From McKinsey: 2021 Consumer Shopping Trends
For this post, we again turn to McKinsey. It identifies five major consumer themes for 2021. As shown in the chart. And described below it.
McKinsey & Company
Major 2021 Trends
(1) Spending is growing by 6% vs the pre-COVID-19 trajectory. However, higher incomes and younger consumers spend more.
(2) 60-70% of adults are omnichannel consumers. Thus, both brick-and-mortar business and E-commerce are growing.
(3) Acceleration continues in many categories. For example, travel and out-of-home consumption declined with the Delta variant.
(4) Almost 50% of consumers buy out-of-home products. And investment in homes continues
(5) About 75% of consumers continue to switch brands. With this figure rising to roughly 90% among millennials and high-income consumers.
Now, let’s look at some other data from the McKinsey report.
- Wealthier consumers drove the robust rise in spending. While lower-income consumers began pulling back in May 2021.
- Five different types of channel and category performance evolved over the course of the COVID-19 pandemic. In vastly different ways.
- Consumers continue to change their shopping behavior, with three-quarters making some change. And about 40 percent switching brands. This dynamic behavior gets magnified among younger consumers and higher-income consumers. When asked why they switched brands, consumers also indicate generational differences. With older consumers, they switch for better value and availability. While younger consumers focus on value and purpose.