August 11, 2021
Medallia Sense360 Releases New Analysis of How the Pandemic Shaped the Future of the Retail Industry
Consumers continue to embrace digital platforms, even as pandemic restrictions begin to lift.
SAN FRANCISCO, Calif., August 11, 2021 – Medallia, Inc. (NYSE: MDLA), the global leader in customer and employee experience, today announced the release of - The Future of Retail Consumer Behavior - a free report examining the changes in retail consumer behaviour over the last year.
“Retail consumer behavior changed drastically over the course of the past year, but as consumers and businesses begin to define a new normal, we wanted to understand what behavior changes will be permanent and what trends may already be fading,” says Andrew Custage, Head of Analytics for Sense360 By Medallia.
To track and understand consumer behaviour, Sense360 By Medallia combined data from three sources: foot traffic data from smartphone geolocation of more than 2 million opted-in consumers, spend data from more than 6 million consumers, and psychographic survey data. Combining multiple datasets yields a more holistic view of the customer journey, and a more accurate way to answer strategic insights questions for retailers.
Drawing on this industry leading pool of data, the The Future of Retail Consumer Behavior report examines:
- Consumer spending trends and surveys from 15 months of daily research
- How consumer behavior has changed - and which habits are here to stay
- How different retail sectors have been affected, and specific strategies for retaining customer loyalty in the grocery, sporting goods, and beauty sectors.
- Overall: Despite recent concerns over the delta variant, overall fear levels toward COVID-19 have subsided compared to a year ago. However, surveys show that there will likely always be a group of people whose fears are here to stay. Consequently, their behaviors and shopper journey have shifted - in some cases, likely permanently. The shift to online shopping continues, despite the pandemic having slowed down.
- Grocery: One of the biggest pandemic-induced habits is the channel shift to grocery delivery and curbside pickup. Although it's now safe to shop in-store, consumers have embraced off-premise behavior and many of them won't go back.
- Sporting Goods: This retail category shows not all pandemic habits are here to stay. An uptick in demand for sporting goods during early lockdown periods is tapering off as consumers look to move beyond at-home exercise. The current market is seeing a split with Mass retailers plus Amazon competing on price, and specialty retailers competing on product selection and quality. Specialty retailers will need to find more ways to reach and retain the customer to compete with Amazon's growth.
- Beauty: The beauty retail space has become an even more competitive, zero-sum game. The pandemic tightened the purse strings of consumers, and although their spending on beauty is recovering compared to last year, they aren’t planning to increase purchases much more. They also plan to try different products and different brands while simultaneously shifting their spend to Mass and Department stores. Beauty specialty retailers and DTC brands are in an increasingly difficult battle for consumer loyalty.
“Perhaps the clearest insight from the report is that while consumer behavior was initially forced to change by the pandemic, certain habits continue to stick even as restrictions loosen – creating a sustained adoption of digital platforms,” continued Custage. “ In order to understand the volatile world we now live in, it’s critical for retailers to use holistic research to understand their customers and the competitive landscape.”
To download the full report, visit https://info.sense360.com/insights-report-the-future-of-retail-consumer-behavior.
Medallia (NYSE: MDLA) is the pioneer and market leader in customer, employee, citizen and patient experience. The company’s award-winning SaaS platform, Medallia Experience Cloud, is becoming the experience system of record that makes all other applications customer and employee aware. The platform captures billions of experience signals across interactions including all voice, video, digital, IoT, social media and corporate messaging tools. Medallia uses proprietary artificial intelligence and machine learning technology to automatically reveal predictive insights that drive powerful business actions and outcomes. Medallia customers reduce churn, turn detractors into promoters and buyers, create in-the-moment cross-sell and up-sell opportunities and drive revenue-impacting business decisions, providing clear and potent returns on investment. For more information visit www.medallia.com.
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