Article: Consumer sentiment evolves as the next “normal” approaches
While countries around the world begin to reopen and pockets of spending return, consumers continue to feel the financial impact of the crisis.
By McKinsey & Company
May 12, 2020 | Article
As the COVID-19 crisis continues, optimism is largely holding steady globally, with some small fluctuations as the weeks progress. Consumers increasingly expect a lengthy impact to their routines and finances, and most report a reduction in income over the past two weeks.
Overall spending intent is down across two-thirds of countries surveyed, but more categories are showing positive trends. While spending on staples and stay-at-home entertainment has always been elevated, spending on other categories such as food takeout and delivery, snacks, personal care, skin care, non-food baby products, fitness and wellness, and gasoline is slowly picking up in regions that are emerging from the crisis.
Sidebar
Consumers continue to spend significant time on home-based activities. To work around restrictions, consumers have adopted digital and low-touch solutions like videoconferencing, curbside pickup for groceries, and telemedicine. Looking ahead to the next “normal,” around 40 to 60 percent of surveyed consumers who adopted these new products and services intend to continue. […]
