Consumers are feeling the pressure this year, causing feelings of apprehension and doubt among business owners across the UK.
Households face a triple consumer squeeze this financial year, (no) thanks to higher interest rates, increased national insurance contributions and rising energy and fuel prices. The current inflation rate stands at 7.0%, leaving consumers in financial strain. This is the highest rate since March 1992 when it stood at 7.1%. We can expect cuts to be made, spending to decrease and people across the UK to feel uncertain about the future.
Now that the cost of living has skyrocketed higher than in previous years, businesses must prepare for the battle of the brands.
With many facing more financial strain, shopping sprees and splurging on luxuries are a thing of the past. Shoppers will be more cautious of how disposable income is spent and who they are spending with. Consumers will be making some big cuts rather than big purchases, and who stays comes down to how well brands rank in customer service, brand experience and product proposition.
We know a thing or two about audiences here at HDY. So we’ve come up with a breakdown of how you can still appeal to customers by showing you understand what really matters to them.
Great treatment of customers can take you a long way. With consumers being more selective with the brands they select, amazing customer service is number one on the list of bare minimums.
With little moments of joy holding a lot of weight this year, brands need to understand the importance of lifting customers’ spirits with positive communications and experiences, making the most of moments that can’t be cancelled with a quick change to government guidelines.
Offering consumers light relief from the stress of the economy can play a big role in customer loyalty and satisfaction.
Brand experience is all about leaving your customers with a lasting impression as a sum of all the thoughts, feelings and sensations they encounter after interacting with your brand. As a performance-based content marketing agency, we know a thing or two about making an impression.
Positive experiences lead to deeper connections. So, if you are able to connect with consumers, this can boost your chances of being chosen over another brand as well as reduce the risk of losing the sale.
Does your brand showcase products and features that solve problems for your customers?
In an attempt to avoid bigger financial losses, buying with purpose rather than buying luxury ‘want’ items is on the agenda for buyers in 2022.
Focus on what your brand can bring to the table and how you can make the lives of your consumers easier. This will put you in a great position to target customers that need you during such tight times.
If you want to stay ahead of the game with all the latest consumer, marketing and design trends, HDY has you covered. Take a look at the biggest trends on our radar at the moment in our full HDY Future Thinking Trends PDF.