Almost all Irish consumers will adopt cost saving behaviours over the next six months, research shows.
According to the 2023 PwC Irish Consumer Insights Pulse Survey, over three-quarters (79%) said that they have changed their non-essential spending, including 15% who have stopped non-essential spending altogether.
74% of Irish consumers (global: 56%) said that rising prices has been the most frequently experienced issue over the last three months when shopping in-store (online Irish shoppers: 63%; online global shoppers: 48%).
John Dillon, leader, PwC Ireland Retail & Consumer Practice, said, “2022 was a challenging year for consumers with growing inflation, higher fuel bills and rising interest rates.
"The new research highlights a heightened level of concern across Irish consumers. They are also very clear about the actions they will take to manage their budgets.”
'Cautious And Mindful'
2022 saw the re-appearance of inflation after decades of very low levels.
As a result, Irish consumers are cautious and mindful of cost and value.
The survey reveals that expected spending increases over the next few months to be less than last year. Consumers are shifting their consumption habits in-store and online as a result of the cost-of-living challenges and supply chain disruptions. 98% of Irish consumers will adopt cost-saving behaviours over the next six months (global: 90%).
It’s all about value, for example, six out of ten (60%) Irish consumers intend to buy retailers’ own brand products (global: 32%); 59% intend to shop with retailers offering better value (global: 46%); 55% will buy certain products only when they are on promotion or special offer (global: 49%) and 53% will switch to a cheaper brand (global: 37%).
“For retailers to thrive in this challenging environment and maintain consumer engagement, they must remain focused on delivering value to the consumer, invest in the in-store store customer experience and ensure their omni-channel propositions deliver a frictionless customer centric experience,” Dillon added.