ANALYSIS
Father ’ s Day 2020 .
Another is increased experimentation and more elaborate and complex meals including at breakfast and lunch , driven by an increase in skills and a need to expand cooking repertoires and cuisines beyond spaghetti bolognese ( the most frequently prepared meal in many households ) and the typical 10 – 15 dinner recipes prepared on rotation . Retailers and brands can assist shoppers who are “ roaming the supermarkets , desperate for variety and inspiration ” by promoting co-located product categories bundled into interesting — not just basic — meal solutions as a starting point . Promotion of international meals , whether ready-toeat for less involved cooks , or requiring preparation for more confident and involved cooks , can also assist . The consumption diaries of many consumers we studied pointed to an uptick in Mexican meals particularly .
Another major impact of working from home has been on snacking . Earlier in the pandemic , the consumers in the Project Hearth study were snacking , not only more frequently , but more indulgently ; out of boredom and needing a break but also as a treat and reward for not being able to go anywhere . However from mid- to late-2020 , in a bid to lose the resulting ‘ Covid kilos ’ and because many now realise working from home in some fashion is likely to become an ongoing proposition for the foreseeable future , consumers are pragmatically seeking out healthier snacking options rather than attempting to reduce snacking frequency . Some are starting to bake their own snacks such as banana bread , or make their own hummus . Retailers can provide both make-your-own snack ideas and promote ‘ better for you ’ snacking options , and manufacturers can accelerate and leverage production of superfood ingredient-rich products .
Beverages have also seen a marked change , with 33 per cent of consumers reporting increased coffee consumption at home , supported by appliance manufacturers ’ skyrocketing sales of at-home coffee machines . In focus groups , consumers told us that during ‘ cocooning ’ at home they realised how much they ’ d been spending on coffees out , and that an at-home coffee machine would save them money ‘ in the long run .’ Likewise higher at-home tea consumption was reported by 25 per cent of our consumers . At the other end of the spectrum , energy drinks , soft drinks , flavoured milk and sports drinks were all claimed to be consumed less than pre-COVID , and none of our week-long household food and beverage diaries mentioned energy or sports drinks at all . These beverage categories , often purchased in convenience channels , appear to have been negatively affected by lockdowns and forced working from home . However as commuter traffic increases , even if only on a part-time commute basis , we would expect them to bounce back somewhat .
Fewer but bigger shopping trips Project Hearth data identified that shoppers were shopping less often at the start of the pandemic to reduce social contact in-store . Supermarket trips typically dropped to a once-a-week stock-up shop , as shoppers stocked their pantries in order to cook with more leftovers in mind . Customers made more bulk buys via larger pack sizes , more items in the pack , and more multipleitem purchases , leading the average weight of purchase per trip to increase . This behaviour is likely to stick , with consumers indicating that having more time to plan , prepare and cook meals , often due to bulk cooking , is more efficient and enjoyable , which is a change they want to retain .
Between the earlier bushfires and the pandemic we have observed across all of our studies in the past 12 months a consumer desire to support local businesses , with consumers saying they are shopping at local stores 30 per cent more often . This includes independent takeaways and restaurants as well as supermarkets . Shopping is becoming hyperlocal , and shoppers are not only looking for familiar and well-known brands but also local brands to support , even if this is a little more expensive . Stores in neighbourhood areas have an opportunity to range and promote local products , in the way White ’ s IGA in Queensland has its ‘ Locavore ’ program . ( IGA more broadly had a bumper year in 2020 , likely not just because the pandemic tide lifted all supermarket boats , but because of its ‘ local ’ positioning ). It also means that local retailers ranging local brands don ’ t have to be the cheapest , or need to heavily discount local items and familiar brands .
More cooking means more kitchen appliances and renovations Being at home more often , combined
Consumers are pragmatically seeking out healthier snacking options . with the inability to spend money on travel and leisure , has resulted in record consumer savings levels and consumers looking to spend up on the home — on furniture , appliances and kitchen renovations . Last year was a boon for appliance retailers such as Harvey Norman and JB Hi-Fi .
More cooking , more often means that kitchen appliances are wearing out ; they ’ re either insufficient in size or performance or different appliances altogether are needed due to greater experimentation . Some of the more involved cooks are ‘ treating ’ themselves to new appliances . More time in the kitchen has led many consumers to realise their kitchens aren ’ t as functional as they ’ d like , and due to the inability to travel , many have money to burn on kitchen renovations . A third of our consumers were considering premium appliance brands as part of their renovation , representing a relatively easy upsell opportunity for retailers . Another is the inclusion of small or benchtop kitchen appliances in kitchen renovation packages , as small appliances were purchased by more than half of consumers conducting a kitchen renovation .
Kitchen renovations were planned ‘ in the near future ’ by four in ten of our gourmet and competent cook sample . Nearly four in ten of our total consumers plan to continue their cooking experimentation and skill improvement into the future , meaning the need for both meal inspiration and variety , and more kitchen appliances to assist , is likely to remain for some time .
There have been a number of benefits of the pandemic that consumers would like to retain in the future , the primary one being time . Less rush , more time available ( due to less commute time ) to spend with family and on cooking . The kitchen , rather than the lounge room , has become , and looks set to remain for a while yet , the ‘ hearth ’ of the home . �
Norrelle Goldring is executive director of Illuminera Australia , part of the fastgrowing APAC analytics , research , strategy and activation-based Illuminera Group of companies that specialises in consumer goods and retail . Contact : norrelle . goldring @ illuminera . com ; + 61 411 735 190 .
May 2021 www . insideretail . com . au | 29