This week’s Pick of the Week firstly follows up last week’s article on pricing in recession with a question about category differences.
Secondly climate change has become a focus of commentary during lockdown and we look back and forward regarding its importance to shoppers and how much that may change. Finally we update the most recent trends for FMCG.
1. During the last recession, FMCG did well in volume but it proved difficult to get real price increases – especially in some countries eg. the UK and Brazil. But what about category? Food & Beverages behaved very similarly to the total but it was even harder to get real price increases in Personal Care and both volume and price in Household Care. These are likely to be similar issues as we come out of lockdown.
2. There have been many articles on both the positive and negative environmental impact of Covid-19. Last year in our #WhoCaresWhoDoes study we looked at shopper attitudes and behaviour in relation to a number of environmental concerns – and we are repeating the study this year.
Climate Change was the major concern for shoppers worldwide with significant views on product choice and buying behaviour. Will Covid-19 make these and other shoppers even more determined?
3. FMCG continues to show significant growth in Europe. This is still characterised by less frequent visits, little shopping around and large basket sizes. Online and proximity stores remain the main beneficiaries.