The weird things Americans spend money on during COVID-19 pandemic
The weird things Americans spend money on during COVID-19 pandemic
As the COVID-19 pandemic continues, consumer spending habits are reflecting our changing circumstances and manufacturers are finding some interesting trends.
HOUSTON - In a COVID-19 world, consumers are changing their spending habits with telling results.
As the COVID-19 pandemic continues, consumer spending habits are reflecting our changing circumstances and manufacturers are finding some interesting trends.
The headline? Snacks are in, and personal hygiene is negotiable.
In it's quarterly earnings report, the multi-national consumer product company Unilever says consumer trends have changed to reflect the times. Personal care products, like deodorant, soap, and cosmetics are not big sellers. Comfort foods are huge, though. Ice cream sales are up double digits, along with pasta and sauce, alcohol and, even, mayonnaise.
The sudden changes, likely, caught marketers by surprise.
"Everything happened all of a sudden," says University of Houston marketing expert Paul Galvani, "Instead of marketers having the opportunity to watch consumers habits change over time, this was: one day they were buying... the next day they weren't."
Even the idea of panic-buying, as shoppers try to make sure they have enough, in case of a shortage, has led to unexpected demands. Freezers, for example, are hard to find as people look for places to store their supplies.
Galvani says it all creates a challenge for manufacturers, to keep up with the changes. "The ability to, perhaps, change a factory to produce more of one thing and less of another is causing a lot of manufacturers a lot of grief because they can't turn on a dime," he says.
Another factor in our changing priorities is that we're doing more for ourselves because it limits the extra people we have to come in contact with. We call it DIY. Marketers call it 'insourcing' versus 'outsourcing' and they are examining how, best, to cater to that as well.