Jon Wright of IGD will highlight changing shopper trends in a post-covid market during his presentation at this week's World of Fresh Ideas event, which takes place on 26-27 May.
Wright, head of European insight at the food and consumer goods industry analysis provider, is speaking as part of the Fresh Business section of the programme, at 10.30 CEST on day one of the event.
“Covid has had a significant impact on shopper habits which both retailers and suppliers need to consider in their strategic planning," Wright explained. "The pandemic accelerated many of the trends we were seeing before, requiring companies to switch from consideration to action. This focus on meeting new and emerging shopper needs will need to be maintained to make sure they win in a post-COVID world.”
According to IGD, the five trends that both retailers and suppliers need to consider in their strategic planning include:
1. Saving money: Every-day low prices (EDLP) are becoming increasingly prevalent. Fresh produce is playing a key role; driving down prices of familiar everyday produce is being used by retailers as a vehicle to drive overall positive price perception for the retailer.
2. Health: Retailers across Europe are investing hugely in upweighting fresh ranges, making them a really attractive proposition for shoppers.
Innovations such as pre-packaged, pre-cut fruit are positioning fresh produce as a healthy snack and fresh is increasingly playing a key role in in-store meal inspiration ideas and recipe kits.
3. Demanding online shopper: Growth and volume of online is putting increased pressure on margins, given that in-store picking and delivery to shopper is now the most popular method for online shopping. Many suppliers are looking to reduce packaging as a way to mitigate margins.
4. Sustainability: Sustainability credentials continue to play an increasing role in the supply chain, as more questions are asked of companies and shoppers demand more transparency from them.
As retailers and suppliers begin to provide more information shoppers’ expectations will rise, raising the bar across the board. The challenges created by the sustainability issue are being heightened by channel shifts, which require new packaging solutions.
5. Evolving shopper habits: As Covid restrictions begin to lift, there will be more traction in the food-to-go market, which provides an opportunity for both retailers and out of home operators to meet demand for healthy snacking solutions.