The novel coronavirus disease (COVID-19) has changed the daily lives of nearly every human on the planet. Some of these shifts are likely to bring about permanent changes while others are more temporary. Understanding how consumers are reacting to COVID-19 and what trends are here to stay will help you plan for your organization’s future in the coming months and years.
The world hardly hesitated to adjust to the drastic changes brought on by coronavirus lockdowns and self-quarantine directives. Movie theater, sporting event, and travel industries came to a screeching halt nearly overnight. Restaurants closed their doors along with gyms, bars, and escape rooms.
Tightened Purse Strings
The resulting lurch of these sudden closures left a lot of people out of work and others with nothing to occupy their time. People suddenly found themselves with either a lot of time on their hands, little money, or both in many cases. These changes rippled into the economy and continue to change consumer behaviors today with overall spending intent down in most countries as people tighten their purse strings.
Spending is down across nearly all industries as a result of the economic uncertainty many households are facing. However, increases in time spent inside has spurred on more spending on at-home entertainment options and groceries. Many consumers expect their income will continue to fall, signaling that spending is unlikely to go up in the near future.
Fraud on the Rise
Difficult times are often taken advantage of by unsavory individuals. Similar to the way the recession of the late 2000s came with an increase in fraudulent activity, COVID-19 has brought about a large surge in scams as well. Scammers are preying upon COVID-19 fear by claiming to offer protection against the virus or even cures for it. Online fraud has also increased due to another COVID-19 trend: spending more time online.
Increased Internet Usage
While the internet has been a daily part of most people’s lives in the developed world, COVID-19 saw usage increasing massively thanks to everyone suddenly being stuck at home with little to do.
Internet traffic drastically increased (nearly 50% increases in some states) after the lockdowns began and people spent most of their time inside on work from home orders. Our internet usage rates have changed, and so has the way we use the internet. Ecommerce, in particular, saw an enormous increase in the United States (US retailers saw a 68% year-over-year online revenue growth) due to COVID-19 concerns and stay at home orders.
People are using the internet to do the things they can no longer do in person such as playing tabletop games, joining trivia competitions, or singing in a choir. Making sure your organization has an internet presence is more important now than ever before with these increases in traffic and signs showing that online shopping is here to stay.
Cardinal can help your audience find you online. We leverage our marketing know-how to make the most of your advertising investment. Get in touch with us to learn more about our digital marketing and content creation services.
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