Shoppers looking for good value are increasingly seeing beyond the price, according to new research.
Rather than opting for the cheapest price every time, UK consumers have different ideas about what they are looking for in their search for value, suggests the Window on the Value Equation report published by Shoppercentric this week.
The report asked 1,074 UK adults who are responsible for household shopping what they looked for when it comes to value, and found that the largest group, at 28%, said value meant getting the most for the money they planned to spend.
One in four (25%) said it meant low or lowest prices, while 21% said that to them it meant getting the right quality for the money they planned to spend. One in five (20%) said it meant 'feeling that what I'm buying is worth the money I'm spending.'
The research also identified four 'tribes' with differing attitudes towards value. The Quality Matters group, which accounted for 34% of shoppers, were looking for a fair price and quality. Low Price Hunters (23%) sought the lowest price for the best price they could afford, while Holistic Value Seekers (22%) were searching for 'the least waste for the price. Finally, 21% were Pile it High shoppers, looking for a certain price per 100g.
"Retailers work with a range of strategies designed to tap into shoppers’ desire for value – especially important in this period of austerity,” said Danielle Pinnington, managing director at Shoppercentric. She added: “Our research should be a much needed reminder to the retail industry, and brand manufacturers, that promotions aren’t the answer to the economic downturn. A sales spike is not a real change in behaviour. And a BOGOF is not always value for money.
"When shoppers are feeling the pinch it is important that retailers really understand their needs and align their offers to the new shopper requirements. Retailers that take a stand on a specific issue, such as quality or price, better differentiate themselves in shoppers’ minds – this is vital since shoppers have access to so many different retailers nowadays.”