Consumer Insights Research Team
Dec 19, 2019
80% of consumers adopt one of three shopping behaviors: deal-seeking, brand-loyal, or convenience-focused. But deal-seeking dominates as the preferred approach for 62% of consumers, according to data from the 2019 Gartner Retail Survey. That majority holds across generations, though a higher percentage of Gen Xers and Boomers are deal-seekers compared with Gen Z and Millennials. Deal-seeking consumers also have a lower household income than brand-loyal or convenience-focused consumers.
Deals are a high priority for daily-use products, like household items, apparel, and personal care items. Online channels have become a prime resource for finding deals, but with an important nuance. Deals are clearly associated with lower prices, but also with value for money. As a result, deal-seeking consumers do more research and verification than other shoppers. They spend more time online reading reviews and they are more likely to go to stores to try out, try on, or otherwise experience a product before they buy it. Marketers take note, and use these preferences to design customer experiences.
To attract deal-seeking shoppers, brand marketers can create in-store and online experiences that tap into the deal-seekers’ desire to make sure they’re making the right choice. Customer reviews and in-store product experiences are important research resources for deal-seekers. Target is addressing that need by partnering with direct-to-consumer (DTC) brands and setting up in-store displays to allow shoppers to test and try the products—a hard-to-find experience with DTC. Yet be forewarned: brand loyalty is rare among deal-seekers, so don’t expect a one-time buy to drive subsequent purchases unless the consumer sees continued value.