Price-sensitive consumers and promotions: best friends forever

According to Nielsen’s Shopper Trends study, in 2015 Hungarian households spent HUF 40,300 on groceries, but by 2016 this sum grew to HUF 42,800 (half of which is used to by fresh food). While three years ago 92 percent of shoppers planned what they would buy in advance, in 2016 this proportion decreased to 72 percent.Three years ago 49 percent of consumers did a big shop once a week or every other week, but in 2016 already 54 percent of consumers went for a big shopping this often.

Ágnes Márta Tóth
Nielsen

From every 100 shoppers 65 more or less know the prices of products they buy and notice it if they change. Nielsen’s survey revealed that one third of shoppers switch stores if they think that they can get the products they need cheaper at another place. At the same time the proportion of consumers who are loyal to brands dropped from 28 to 26 percent. What about various forms of promotion? In the FMCG market nearly half of sales are realised in promotion. In 2016 three quarters of consumers were searching for price discounts when shopping
(formerly this proportion used to be 78 percent).

Hungarian consumer associate low prices, a good price-value ratio and motivating promotions with discount
supermarkets the most. Hyper- and supermarkets attract shoppers with their private label products and
loyalty programmes that offer various gifts. All in all, retailers shouldn’t forget that the price is a very important decision making factor for consumers, but it is only one from the many store choice factors. //