It’s a Small World, After All

Articles
October 26, 2010

It’s a Small World, After All

Shopping attitudes and behaviors know no borders; they are common across the globe.

Shopping attitudes and behaviors know no borders; they are common across the globe. Therefore, multinational CPG brand suppliers and retailers should strategize by common shopper patterns rather than by geography, indicates new Ipsos research of people in 23 countries.

For brands and merchants that segment and market accordingly, the study described five kinds of global shoppers, each with distinctive traits:

  • Brand Lovers (19%). They spend money on brands that may be costlier than other choices, they place high value on convenience, and store staff influences them.
  • Price Driven (23%). Likelier to make shopping lists, they compare prices and shop in multiple outlets to meet fixed budgets.
  • Indulgents (16%). Impulsive and attracted to new products, when it comes to food and beverage they’re likelier to opt for taste over healthfulness. They also are willing to spend more money in order to save time.
  • Responsible Planners (17%). They compare prices online to meet fixed budgets, and they shop in a more sustainable manner.
  • Bargain Hunters (25%). Less budget-constrained and more impulsive than others, they buy in bulk when they see the right deal.

“Retail strategies should align with shopping styles, which are not necessarily dictated by geography,” says Donna Wydra, senior vice president, Ipsos Marketing, U.S. Shopper & Retail. “For example, Brand Lovers dominate across China, India, Russia and Turkey. Therefore, 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 U.S., Canada, Great Britain and Australia for whom smart shopping has become a way of life.”

The Lempert Report believes these commonalities could help multinationals develop common platforms with extensive reach. This could bring market efficiencies, which in turn could help moderate prices and keep brands and outlets more competitive. Within the multicultural U.S., however, marketers should keep their targeting and refinement energies high because the state of competition demands it.