57% of these shoppers look out for lowest prices when they go shopping.
This is according to the latest insights provided by TGI 2007c – which enables us for the first time to truly answer the question on price sensitivity levels of shoppers.
With the rate hikes in the last year affecting shoppers’ pockets greatly – the need to
understand the sensitivity of South African shoppers has become even more important
part of our marketing function. In all our minds, the big questions are:
Will they still be loyal to my brand – or will they be swayed to buy another because of price?
Will they consider my brand, now that money is too “tight to mention”?
The current perception making shopping rounds of course is that shoppers are not that brand conscious when it comes to household groceries – in fact – a greater percentage of them will switch to a cheaper brand, even more so know given the status quo of our economy. A great worry for most of us managing brands within such a category.
MYTH OR FACT?
Well, a few facts to consider:
57% of SA main shoppers budget for every cent when doing the household shopping.
However only 38% of SA main shoppers tend to buy the cheapest household cleaning products.
And whilst 62% average shoppers buying well-known household products…
49% average shoppers are willing to try new household products.
So, whilst your average shopper is likely to be looking out for the cheapest household cleaning product – a certain type of a shopper is still looking to buy their favourite brand, hopefully at a discounted price.
What about other categories? How do shoppers who always use money off coupons and vouchers feel about discounting within these categories?
So, what type of shopper are you talking to?
With 68% of shoppers always looking out for Instore promotions when instore – is it not time to revisit your Instore advertising strategy – to make sure that your message ties in with their budgetary need or is it constraints?