Five types of shopper identified, worldwide
Global consumer packaged goods shoppers should not be defined by their country but instead by their shopping attitudes and behaviour, especially their attitudes toward price and their propensity to pre-plan their purchases, according to a global study by Ipsos Marketing.
Based on a consumer survey spanning 23 countries, the study identified five different types of CPG shoppers which can be found around the world in varying degrees. These shopper segments include:
- Brand Lovers (19%) The distinguishing trait of these shoppers is spending money on brands that may be more expensive than alternatives. These shoppers are the ones who are more influenced by store staff and place a greater value on convenience.
- Price Driven (23%) With fixed budgets for grocery shopping, shoppers in this group are more likely to make a shopping list, compare prices and go out of their way to find the stores with the lowest prices.
- Indulgents (16%) The most impulsive group, this group is attracted to new products in store and are more likely to choose the good tasting over the healthy option. They are happy to spend more to save time and don't mind paying more for branded products.
- Responsible Planners (17%) Shoppers in this group are also on a fixed budget (like the Price Driven shoppers) and always compare prices. They are the shoppers most likely to buy online and have changed their habits to shop in a more sustainable way.
- Bargain Hunters (25%) Shoppers in this group also hunt for bargains but are less price-constrained and more impulsive. They can afford to buy in bulk and are less interested in shopping online.
As a result, the study identified two important implications for CPG marketers:
- Global CPG shoppers can be segmented based on their attitudes toward bargain hunting, promotions and price comparisons and the degree to which they stick to their pre-planned purchases vs. buying on impulse.
- Country of residence is not a strong factor in trying to classify global shoppers into different segments. In fact, our data suggests that consumers in different countries may exhibit similar shopping behavior even though they are geographically dispersed and at different stages of economic development.
According to Gill Aitchison, president for Ipsos Marketing (global shopper & retail), "This study suggests that shopping styles transcend geographic boundaries. For example, Argentina, Brazil, Italy, Mexico, Poland, and Spain all fall in the middle of the spectrum when it comes to price sensitivity and pre-planning of CPG purchasing - despite the fact that they differ considerably in terms of geographic location and economic development. These cross-country patterns can help marketers adopt a multinational strategy based on common shopping traits."
"It's natural for marketers to try to customise their merchandising strategies to countries or geographies. There is an intuitive logic to doing that. However, our findings show that retail strategies should align with shopping styles, which are not necessarily dictated by geography," concluded senior vice president, Donna Wydra. "For example, Brand Lovers dominate across China, India, Russia and Turkey, so marketers can take advantage of the opportunities that this provides as brands become more affordable in these growing economies. On the other hand, there is a need to continue to promote and meet the needs of the bargain hunters found in the US, Canada, Great Britain and Australia for whom smart shopping has become a way of life. The bottom line is that shopping strategies should align to shoppers, not countries."
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