High end, high spend - changes in retail spending

High end, high spend - changes in retail spending

What’s in a name? What is it that sways a consumer to purchase a product, buy into a business or support one service over another? How have their spending habits changed in the last year? Is brand-protectionism dead and is the endangered high street still falling behind the allure of online shopping? 

With economic uncertainty presented by Brexit and the wider geopolitical issues we face here in the UK, and across the world, understanding consumer spending habits is more crucial now than ever to not just surviving, but succeeding in 2019. 

In order to help you follow the money, RSM has surveyed over 2,000 consumers to lift the lid on where exactly consumers are putting their pounds.

Cost-consciousness will continue to define consumers in 2019. People will spend less on many products and services in the next 12 months including on going out to eat, days out, takeaways and drink. Conversely, spending on holidays, gym memberships and hobbies are least likely to be reduced. 

Living costs will be impacted most by the reduction in disposable income in the next 12 months followed by Inflation and Brexit according to survey recipients. It seems that Millennials and Generation Z are upping the ante when it comes to their saving, yet not cutting back on commodities to the same extent as older generations.

High end, high spend - Good brand gone bad

Good brand gone bad 

After a scandal-hit 2018, brand sustainability has been a hot topic of conversation across the age groups. In the past, brand loyalty was a powerful advertising tool, yet in recent years this has diminished. Nearly 60 per cent don’t see brands as an important factor when purchasing, with over 50 per cent saying that negative press coverage concerning a brand would prevent them from purchasing their products again. What’s more, nearly 75 per cent would not go near an outlet who had been reported for hygiene or food poisoning...

Continue reading

The ethical equation

Baby boomers, those in the 55-plus range, had the largest growth in willingness to pay a premium for ethical products, services and experiences. Two-fifths of consumers say, a ‘company’s position on being animal friendly’ and ‘the ethical reputation of a company’ are important when purchasing products or experiences...

Continue reading
High end, high spend - The ethical equation
High end, high spend - Virtual assistants and their place in the home

Virtual assistants and their place in the home

Virtual assistance has supposedly revolutionised the way we do everything in the home, from music to ordering food. Of those surveyed, 21 per cent of consumers have a virtual assistant and 59 per cent of those have used it to make purchases – this is being driven by younger generations. It is mainly the under 35s who use their virtual assistant to purchase, 82 per cent of Millennials have and 78 per cent of Gen Z, compared to just 45 per cent of Gen X and 7 per cent of Baby Boomers...

Continue reading

Dwell time for a swell time

Nearly all UK adults, 93 per cent, shop online. This staggering figure is consistent across all regions. With this, spending on the high street has fallen by 7 per cent, from 91 per cent of people regularly shopping on the high street in 2017, to 84 per cent in 2018. The ease and accessibility of online purchasing seems to be the biggest draw card for consumers, with free delivery and returns the top concern for those shopping online. 90 per cent of online shoppers want free delivery and returns when purchasing items online, with nearly 50 per cent believing it to be essential to online shopping...

Continue reading
High end, high spend - Dwell time for a swell time
High end, high spend - Death of the Department

Death of the Department

We have seen it played out in the media but the British department store seems to be on a downward spiral. Modern day shoppers are busy and harassed. They have no time to sift through what has been labelled as a stressful style of shopping. ‘They’re seen as intimidating, that jumble sale store isn’t a nice way to shop anymore.’ The key irritation, it seems for consumers is, the saturation; there is so much on offer that they often feel overwhelmed and leave, favouring specific stores or the online allure of late night shopping in pyjamas. ‘Hassle-free shopping’ seems to be what joe-public is looking for, quick, easy and exciting. So how do we get people to spend on the street? The answer is Placemaking.

Outwit, outlast, outplay

Placemaking is an idea of a ‘smart-shopping’ approach. It is a multi-faceted style of planning, design and management of public spaces, using a local community's assets and potential. The idea of utilising placemaking is one-way Andrew Westbrook believes the high street could see a resurgence. The idea is that you have ‘the intention of creating public spaces that promote people's health, happiness, and wellbeing’. Doing this may be the only way to get not only footfall up but spend too...

Continue reading
High end, high spend - Outwit, outlast, outplay