Consumers in the Boston Metro and around the world are holding their wallets tighter as economic concerns weigh on their minds. According to an April 2020 study by Deloitte, which surveyed 13,000 consumers in over a dozen countries, health fears and personal financial worries will limit discretionary spending for the foreseeable future.
The study has implications for Boston Metro business owners and commercial real estate investors who are anxious for a return to normality. Weakness in consumer confidence could prolong economic contractions brought about by the pandemic. Current insights from the Deloitte survey show that Americans intend to spend more on basic necessities, and much less on travel and dining, even when stay-at-home guidelines are lifted.
Yet opportunities exist for Boston entrepreneurs who can find the silver lining in today’s consumer priorities. For example, 55% of surveyed U.S. consumers indicated that they were “stockpiling” essential goods. 48% said they would pay more for convenience to get the products they need.
If your business involves less-than-essential goods, take heart: nearly half of surveyed U.S. consumers said they would make non-essential purchases if they found a “great deal.” About half of consumers are also sticking with brands they trust.
The biggest change in consumer behavior could give local retailers a leg up on Amazon. 83% of surveyed Americans said they plan to buy items online and pick them up at local stores. The key for smaller retailers is to have easy-to-use online shopping and checkout, complimented by curbside pickup.
If developing a robust online shopping experience isn’t feasible, small businesses can allow local customers to place orders order the phone, pay over the phone, and provide them with purchase pick-up or delivery options. The pandemic has trained consumers in contact-free shopping techniques very quickly! Some consumers will prefer this time-saving method in the post-pandemic era.
When you are ready to begin, relocate or expand your business, team up with the Jay Nuss Realty Group, LLC! Whether you are thinking of buying, leasing, or investing in Boston Metro commercial real estate, we can help you find the ideal property.
Contact us today for expert guidance!