A lot has changed about the way businesses go to market during the pandemic. Yes, there are the obvious delivery and curbside pickup options from restaurants to retail, not to mention masks, hand sanitizers, and plastic shields. But there are less obvious and more substantial changes as well.
For example, according to a recent study done by McKinsey, "75% of Americans have changed brands during the pandemic.”
In what they call a “shock to loyalty,” it turns out that consumers have “changed their shopping behavior and tried new brands and retailers,” including 20% who have changed their grocery store. According to the study, these changes have been driven by a focus on value, availability, and convenience. For example, where brands weren't able to keep up with consumer demand, people were forced to choose something else. In other cases, prioritizing value or convenience provided the motivation to establish a new product relationship.
In short, “the amount of market share that is up grabs is unlike any time.” No matter what business you're in, and regardless of whether you're in an industry that is benefitting right now, you have the opportunity to gain share.
A second major shift is what they call the “Homebody economy,” driven by people not feeling comfortable returning to “normal” even as restrictions ease. Think of this as the “nesting” concept previously identified with new parents. There is more time spent in the home so spending follows on things that enhance that experience.
Now, rather than a life stage phenomenon, image a sustained way of life across all demographics. Yes, some of the at-home focus will change over time, but how many have learned to fundamentally live a different lifestyle, and how can you respond to that?
See the rest of the article as well as a video interview here.
And remember, like all major challenges, there is ample opportunity for those willing to make adjustments.
Find out how Parnassus has adjusted
As you may know, Parnassus still isn’t open to the public, instead opting to stick with online sales and curbside pickup. In this Q&A, Ann Patchett shares more about how they’ve been adapting and why they have adopted this strategy.
You don’t have to be a musician to weigh in on the local music scene
Did you know the Nashville Area Chamber of Commerce is working on a new study to understand the pandemic’s impact on the local music economy and what the future may hold? And they want your opinion … yes, even if you’re not a musician or in the business (and by the "business," I mean the "industry"). Check out the survey here if you want to add your voice.
Tell me what you think
Do you have observations about the local economy, consumer behavior, or marketing during and after the pandemic? I’d love to hear about it. Or feel free to give feedback on anything else.
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