Consumer trends firms need to watch out for

Due to the outbreak, Brands are likely to put more focus on the following: Supporting people during Covid-19; Being eco-friendly; Offering value for money; Producing high-quality products; Treating staff fairly; and Supporting social causes

Sydelle Fernandes

What a year it has been. It has been the biggest shakeup of our lives in recent memory. With 2020 coming to an end engulfed by the pandemic Covid, what will 2021 be for businesses?

Some of the consumer trends predicted for the future:

There's no place like home

Many predicted that Covid-19 would mean the death of the city. If you can work from home, why not move to the countryside? But actually, most countries are still urbanizing, with cities in the West evolving, not dying. Night-time and service economies have been badly hit, but city dwellers will come to value other aspects of their environment, from the local neighborhood stores to their home interiors.

The big city appeal

Per cent of urbanites who would choose to continue living in the city: India 90 per cent; China 88 per cent; Brazil 83 per cent; Germany 79 per cent; UK 74 per cent; France 71 per cent; USA 70 per cent

All work and no play

Almost overnight, office-acclimated workers had to set up camp at home and get working. Now bosses are torn between pulling the troops back in or continuing with remote working. The latter may be the smarter decision. Not only can it whip up business performance during an uncertain time, but may also boost productivity and employee satisfaction – when combined with flexible working.

How have working arrangements changed since 2019?

Office staff are 32 per cent more likely to be allowed to work from home Icon of flexible time and 5 per cent more likely to work more flexible hours

More than lockdown blues

What a year. The pandemic in 2020 put just about every bit of our lives out of whack. Sadly, the effects of this health crisis will usher in another one in 2021 – a mental health crisis. Businesses will need to take the same proactive approach that they used in the early stages of the corona meltdown.

What are consumers more concerned about?

Mental healthand wellbeing 31 per cent. Covid-19 vaccine 29 per cent

It's a kindness magic

As the Covid-19 crisis develops, businesses must think through their responses beyond short-term crisis management. Like building new ways of doing business that bake in kindness and empathy at their core. Serving up PPE and sanitizer worked well at the time, but next year will need more focus on individual consumers and how to support them during times of hardship.

Due to the outbreak, Brands are likely to put more focus on the following: Supporting people during Covid-19; Being eco-friendly; Offering value for money; Producing high-quality products; Treating staff fairly; and Supporting social causes

A green awakening

The first wave of lockdowns had an unexpected upside: we began a new chapter in our relationship with the environment…or so it seemed. Sadly, any gains look set to be wiped out as normality returns. Cynicism is also making a comeback. Consumers have gone from seeing a bright future ahead to feeling pessimistic – and this backlash will ensure our green values remain a hot topic through 2021.

The environment will get better in the next 6 months

Coming of age

Many have called 2020 a "generation-defining" year. This is especially true for the mature age groups. Generation X and baby boomers have increased their reliance on the internet and online shopping, which looks to be permanent. As many populations are aging, the older groups' market power is soaring. So their decisions and behaviours will be more impactful than you might think.

Online grocery shopping among Gen X and baby boomers in the USA has grown over 57 per cent since Q3 2019

The digital storefront

The explosive growth of TikTok, has seen the rise of influencers, and the need for brands to distinguish themselves online. Livestreaming commerce will be a new battleground for retailers and may bring community and entertainment to online shopping – elements it currently lacks.

The hot topic of data privacy seems to be cooling off. In the recent past, scandalous exposures have fueled an ever-growing concern among consumers. But with the advent of contact-tracing apps, consumers are more accepting of data as a public good. As Google prepares to kill off the cookie, publishers might just have a new way to influence consumers with the value of first-party data. There are concerns about the internet eroding personal privacy.

Per cent of urbanites who would choose to continue living in the city:

l India 90%

l China 88%

l Brazil 83%

l Germany 79%

l UK 74%

l France 71%

l USA 70%