Three in four shoppers tighten budgets amidst higher prices

Consumers will likely switch to e-commerce for better and cheaper deals.

A total of 75% of consumers had no plans to increase their overall spending in 2022 amidst the rising prices, Euromonitor International reported. 

Euromonitor noted that shoppers often pick affordability and bargains over brand loyalty. 

In this light, the report expected consumers to switch to e-commerce to do away with transportation expenses as well as to score better deals. 

“Saving money is top of mind and consumers are bracing for leaner months ahead,” the report read in part.

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Moreover, Euromonitor found that 66% of retail professionals said the rising cost of raw materials had an extensive impact on their company in the past 12 months; whilst 55% said theirs increased prices of certain products or services due to inflation.

“Trading down means private label products and discounters will steal a market share of certain categories,” Euromonitor also noted.

“But alternative payment methods, affordable assortments, and strong partnerships can expand your customer base to maintain competitive positioning.”