U.S. Consumers Want to Keep Pandemic Conveniences

NEW YORK—While post-ish pandemic discretionary spending continues to ramp up across apparel, domestic travel, experiences and luxury, consumers’ high-bar expectations for fast, free delivery and returns, along with seamless omnichannel experiences are here to stay. “A Year of Agility—What Post-ish Covid-19 Consumer Behavior Looks Like Right Now,” produced by Coresight Research in partnership with media, analytics and strategic consulting firm January Digital, identifies new retail priorities.

Half of shoppers surveyed expect fast, free delivery to remain when choosing a retailer or brand to shop, while nearly 50% say the same of easy, free product returns for online orders. The ability to view and purchase the same products in-store and online was the other feature that was considered "very important" by more than one-third of consumers.

When broken down further by age demographic, more than 34% of U.S. consumers surveyed younger than 45 years old ranked buy-online-pickup in-store (BOPIS) and curbside options as "very important" over the ability to view and purchase the same products in-store and online.

“Knowing that the pendulum of recovery has already swung back more quickly than expected, retailers should prepare for increased spending and a customer who is more mobile than ever this holiday season,” said Krystina Gustafson, senior vice president of content at Shoptalk, in a press release. “Consumers expect not only curated product selection, but a deeply personalized experience that is convenient for their lives.”

According to this report, 33.4% of U.S. consumers consider the ability to view and purchase the same products across online and offline channels "very important" when determining which brands and retailers to shop with, and an additional 17.4% said that it is "somewhat important" to them.

Low-income consumers plan to spend 18 percentage points more on retail products this summer than they did amid the pandemic, as opposed to mid-to-high-income consumers, whose retail spending remains flat compared with their mid-pandemic behavior. Experiential spending is slated to skyrocket, with 42% of high-income consumers planning to travel and eat out after they receive vaccinations (a trend which will start to show as early as this month).

However, online grocery—the star of pandemic spending shifts—has remained steady and continues to be as relevant as it was during the pandemic with no sign of slowing down.

“Personalization, last mile delivery logistics, localization or BOPIS are not new concepts, but customers are making it clear that getting these conveniences right and making them truly tailored is more important than ever. Be surgical in your approach to understanding what moves the needle for your specific business and lean in,” said Tierney Wilson, senior vice president for client strategy and consulting at January Digital.

NACS Research last year released its landmark “NACS Last Mile Fulfillment in Convenience Retail” study, outlining the opportunity for convenience retailers to grow sales and expand customer reach as the market evolves. Download it free here.

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