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    Breaking News

    Euromonitor Names Top 10 Trends for 2021

    One year into a world reshaped by COVID-19, themes of resilience and adaptability during hardships have manifested greatly in food and nutrition.

    Euromonitor Names Top 10 Trends for 2021
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    01.20.21
    Market research company Euromonitor, a specialist in the food, beverage, and nutritional spaces, recently shared its thoughts on how a globally catastrophic year will go on to define the broad behavioral patterns and priorities which shape consumption. Amid a tumultuous year completely disrupted by a global pandemic, economic turbulence, and political instability, it’s clear that the crises of the past year will reverberate in 2021, shifting the values and behaviors of consumers in ways that will be lasting or even permanent.
     
    The company’s annual report, “Top 10 Global Consumer Trends 2021,” seeks to shed some light into the many motifs and changes which will go on to define the novel needs and values consumers around the globe adopt in a year that many hope will be defined by-and-large by recovery, economic stability, and a return to ways of life that are a close approximation of what was previously conceived as “normal.”
     
    “Resilience and adaptability are the driving forces behind the top global consumer trends in 2021,” the company aid. “The pandemic created, influenced, or accelerated each of these 10 trends, forever altering consumer behavior. Despite the hardships faced in 2020, consumers have not given up. They continue to find their voice and push forward to advocate for a better tomorrow.”
     
    Euromonitor’s trends are: Build Back Better; Craving Convenience; Outdoor Oasis; Phygital Reality; Playing with Time; Restless and Rebellious; Safety Obsessed; Shaken and Stirred; Thoughtful Thrifters; and Workplaces in New Spaces.
     
    Build Back Better
    This trend is defined by consumers’ apparent demand for companies to engage in altruistic pursuits, and that companies no longer perceive of brands as purely profit-driven entities.
     
    “Companies should help reshape the world in a more sustainable way, leading to a shift from a volume- to a value-driven economy and turning the tide on social inequity and environmental change,” the company said.
     
    According to the company’s findings, 2020 was a year in which focus on sustainability shifted from one that was more rooted in the environment to one that emphasized the importance of more immediate threats to social priorities, namely the wellbeing of the workforce and local communities. However, the company said that a pandemic-driven shift in social initiatives will not eclipse environmental awareness. Euromonitor’s top environmental concerns among surveyed consumers, prior to COVID-19, were deeply tied to packaging and the physical components of an end-product, and included reducing plastic waste (64.3%), climate change (61%), reducing food waste (59.7%), recycling items (58.8%), and trust in recyclable labels (57.2%).
     
    “With consumers paying closer attention to companies’ actions during lockdowns, brand activism gained a new sense of social purpose,” Euromonitor said. “In 2020, 73% of industry professionals believed sustainability initiatives were considered critical to success[…] consumers will take social and environmental issues more seriously, rewarding businesses that use their profits for good post-pandemic.”
     
    Craving Convenience
    This trend is largely defined by personal inconveniences that come from the safety measures which upended daily life as we once knew it, and a craving for the relative ease which was taken for granted beforehand.
     
    Between the fact that in-person consumption must be pre-planned, and the rapid advent of e-commerce for everything, Euromonitor believes that companies will only succeed by relying on the digital channel to achieve a level of flexibility seen in pre-pandemic days.
     
    “Digital commerce provides a seamless experience without the in-person component that consumers are familiar with,” the company said. “However, usage varies amongst generations, and businesses need to account for the disparity between what customers of different ages perceive to be convenient. Younger consumers prefer digital interactions, whereas older consumers prefer talking to human customer service representatives.”
     
    Clear issues still present, due to supply chain issues and social distancing restrictions, can be spoken to by “guaranteed product availability or subscription services” to minimize or eliminate the number of shopping trips needed, Euromonitor said.
     
    Outdoor Oasis
    For the purposes of safety, leisure, and recreation, the great outdoors have served as a respite from the impact that the public health threat has had on the ability for people to engage in social activities.
     
    Especially for city dwellers, outdoor oases are critical to the physical and mental wellbeing of many, and companies providing goods and services must cater to the feeling of connectedness and change of scenery which outdoor activities enable. Much of the growth seen in certain products recently has been tied to seclusion, working from home, and a desire to connect with nature.
     
    Phygital Reality
    This trend is defined by the convergence of digital and physical realities – consumers are increasingly integrating virtual processes into their physical spaces with a greater amount of at-home experience. The blending of these two realities, and the rise in digital sales, has resulted in a huge influx of consumer data and AI fuel which can go on to be utilized not only for marketing purposes, but for improved services.
     
    “Businesses can develop a Phygital Reality strategy using apps to facilitate onsite virtual experiences and partnering with technology providers to recreate in-person occasions and home. Companies that deliver safe and memorable experiences via multiple methods and platforms will develop loyal customers,” Euromonitor said.
     
     
    Playing with Time
    With so many people working from home, and confined by social distancing practices, schedules have broadly become less rigid than they once were, a lifestyle change that may be important for companies to keep in mind if they offer products tied to schedule changes and a departure from the commute-oriented, busier-than ever lifestyles of days past. Today, consumers are mostly staying within a 15-minute radius of their homes, and few brick-and-mortar establishments resemble their former selves. In 2020, 51% of consumers chose “time for myself” among their top three life priorities, according to a company survey.  
     
    “Companies catering to Playing with Time stand to be seen as partners, helping consumers adapt to a new way of life whereby activities are scheduled in a non-conventional order to suit individual time demands,” Euromonitor said. “This new level of flexibility will change how businesses operate, requiring a 24-hour service culture. Businesses must be aware of how customers are using their time to better position current products and services and develop new solutions.”
     
    Restless and Rebellious
    Beyond the pandemic, plenty of tumult has been brewing in the global political arena, and widespread distrust toward the ruling class, along with bias and misinformation, are shaping a crisis of confidence which is shaping the worldviews of many.
     
    “People are more cynical of governments and politics, giving rise to the Restless and Rebellious,” Euromonitor said. “Only 17% of Americans say they can trust the government; in Chile, it is a meager 5%. Violence has erupted on the streets of Paris, Hong Kong, Santiago, and Portland, as political parties are no longer able to channel the discontent. Youth feel especially disconnected from the political system, believing that those in power do not care to represent them.”
     
    The battle for consumer trust and confidence, along with credibility, will be an issue moving ahead, with consumers more disillusioned and plugged-in than ever. “The pervasive distrust in media and online content means companies have an opportunity and an obligation to ensure that marketing dispels misinformation,” the company said. “Consumers want the facts and expect brands to act.”
     
    Safety Obsessed
    The fear of infection, and an increased awareness of behaviors which promote overall health, is clearly here to stay in 2021.
     
    Demand for commerce to become touchless, cashless, and clean has clearly driven e-commerce growth to a volume which observers did not expect to see for several years. In addition to a huge preoccupation with handwashing, sanitation, and hygiene, “concerns surrounding the origin and delivery of products and services are elevating safety standards,” Euromonitor said. Currently, personal and home hygiene products have seen the brunt of a sales rush fueled by the need for sterility, but the company said that needs will quickly evolve from basic hygiene to general health.
     
    Shaken and Stirred
    The quest for a greater mental resiliency was one undertaken by more consumers than ever over the past year, and this demand is likely to be a leading trend in the year 2021.
     
    “Mental wellbeing has been top of mind for consumers and is the primary indicator of good health. Consumers previously turned to quick-fix products and services like functional foods, self-indulgent luxuries, and technologies that supported mindfulness […] Consumers now understand that treating symptoms of stress does not address the root cause and confronting these underlying issues head on would be a more successful strategy to achieve serenity,” Euromonitor said.
     
    Today, consumers are seeking more holistic solutions, which will enable them to withstand future crises and life-altering events.
     
    Thoughtful Thrifters
    With an economic recession, and record-shattering unemployment numbers, it’s no surprise that consumers are taking on a recessionary mindset, and seeking products from which they can extract the greatest value and health benefit. Discretionary products will take the biggest hit in the year to come.
     
    “Decreased consumer confidence coupled with inadequate fiscal and monetary stimulus will lead Thoughtful Thrifters to carefully budget spending, and increase savings as insurance for the unforeseen. Pessimism is higher among millennials and Generation Z due to the 2008 Global Financial Crisis that occurred early in their careers,” Euromonitor said.
     
    Companies have benefitted significantly from off-price retail formats, including subscription models, bulk discounts, and other reduced price points which improve market competitiveness among a consumer marketplace that has grown more discerning on the topic of value.
     
    “Readjusting product portfolios, distribution channels, promotions and supply chains to cater to Thoughtful Thrifters will futureproof businesses for a new normal. There is no one-size-fits-all approach,” the company said.
     
    Workplaces in New Spaces
    While working from home is not a new concept, the section of the global population now working remotely has increased exponentially, reshaping the demand for products which once catered to those who made the daily trek to the office.
     
    “Loss of commutes and out-of-home offices will limit on-the-go occasions, such as grabbing coffee, running errands on lunch breaks, or socializing with colleagues after work,” Euromonitor said. “Purchase decisions will shift towards casualization in terms of workwear and beauty routines, but affordable premiumization will drive food and beverage choices to create restaurant-quality meals at home.”
     
    More on Euromonitor International’s Top 10 Global Consumer Trends for this year, in addition to the company’s research methodologies and observations, can be found here.
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