Conference Board data: How the pandemic has changed consumers

The report also noted that consumers remain obsessed with finances and other things , with sales surging for pricey home gym equipment , fresh produce and health products, alcoholic beverages and anti-anxiety products , among others.

According to the report, one of the most lasting changes in consumer behavior may be the growth of online and mobile shopping and the need for convenience. Researchers found that e-commerce peaked at 16.1% of sales in the second quarter of last year , although they also noted that the digitization of retail has expanded beyond purchasing goods.

“For American consumers, the pandemic has accelerated prior trends and crystallized new preferences and priorities,” said Denise Dahlhoff, senior fellow of consumer research at The Conference Board, in a statement. “As the pandemic recedes, the three trends previously driven by the pandemic — digital convenience , frugality, and wellness — will continue to drive consumer behavior. The most successful brands will be those that can address these needs, ideally those that can offer consumers solutions that don’t force trade-offs but rather strike a balance between these three distinct priorities. ”

Other studies have similarly noted that the e-commerce growth witnessed during the pandemic will remain intact. According to GlobalData, online sales during the holiday season reached nearly 21% of total U.S. sales, necessitated by the outbreak and supported by services such as in-store pickup. Adobe expects e-commerce spending to grow by $850 billion to $930 billion this year and reach $1 trillion in 2022 .

In the United States, physical stores supported nearly 37% of e-commerce holiday sales , up 5 percentage points from 2019, according to GlobalData .

But the financial instability of many American consumers, which has worsened for many during the pandemic, casts a shadow. In January, more than 40% of consumers who are black , Latino , low-paid or less educated said they had trouble covering household expenses. That insecurity is likely to continue to drive sales of rental and secondhand clothing, as well as more private-label consumer goods.

This change in consumer patterns due to the pandemic recession may be slow to reverse, with many likely to stick with name brands for cheaper products and sales channels even after their finances recover .

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