Adyen, the global payments platform of choice for many of the world’s leading companies, today announced U.S.-specific findings from its 2020 Global Retail Consumer Survey which explored how consumers’ perspectives and spending habits shifted during the COVID-19 pandemic and what their outlook will be post-pandemic. The study revealed that even during a time when America’s unemployment rates are at their highest, two things matter more than price for many consumers: brand loyalty and experience.
“The businesses that have risen to the top and will make it through the other side during these challenging times all have something in common — they are trailblazers in enabling technology that gives consumers the convenience and access that social distance orders took from them. Based on our survey, there’s no going back now — more than four out of ten of consumers say that the convenience of the shopping experience is more important to them than the price of items,” said Roelant Prins, Chief Commercial Officer at Adyen. “Additionally, nearly half of Americans surveyed said they will shop to support brands they want to see survive.”
Loyalty is paramount: strong relationships and brand equity are crucial
The study revealed that the majority of Americans remained loyal to their local shops and restaurants and will continue to do so. During difficult times, the normality of a familiar face and your favorite cup of coffee is a comfort.
- 69% said they intend to continue shopping with/supporting retailers that they relied on during the pandemic
- 63% said they expect to shop more with retailers located nearby because they want them to stay open
- 51% said they intent to go out of their way to shop with responsible businesses that demonstrated a social conscience/engaged with charitable initiatives during the pandemic
- 47% said they expect to shop with important heritage or traditional brands that they want to see survive
Adyen’s platform saw a ~60% increase in online retail volume compared to the beginning of the year and the survey data also reflects that technology played a key role in keeping consumer spending afloat.
- 57% said retailers used technology well to make their products available during the pandemic
- 58% said restaurants, cafes, etc. used technology well to make their services available during the pandemic
Life After COVID-19
When Americans think about shopping after the coronavirus pandemic, the survey revealed that 58% are excited to shop in store for pleasure again but the convenience offered by digital experiences will stick, especially among the digital natives.
- 41% said they are going to shop online more than they did before the pandemic, with Millennials leading the charge (58%) followed by Gen X (37%) and Boomers (30%)
- 28% said they are going to use subscription services for products (e.g., food, beauty, etc) to reduce the amount of times they need to shop. This was higher among men (33%) than women (25%), and Millennials have shown they are much more interested in subscription services (54%) than their Gen X (25%) and Boomer (8%) counterparts.
Nearly a quarter (23%) of Americans said that prior to the coronavirus pandemic they traveled to another country with the primary purpose of shopping, but post-pandemic shopping will likely cut back.
- 67% said they are nervous about travelling to other countries in the short term, with Boomers (82%) much more hesitant compared to Millennials (55%) and 64% Gen X (64%)
- 66% said they are unlikely to travel to other countries until next year with older generations much more cautious than Millennials less (55%), Gen X (63%), Boomers (80%)
