Alvina Panjikar from Lost & Found shares insights on consumer behaviour

In today’s rapidly changing world, it is essential to evaluate your customer audience and target segmentation for successful businesses. Understanding the consumer behaviour and their evolving needs is crucial for the growth of any business. In a recent guest session for FYBBA students, Alvina Panjikar, Co-founder of Lost & Found Company, shared some valuable insights on this topic.

Consumer Behaviour – Pre & Post Pandemic

The COVID-19 pandemic has changed the way we live our lives. It has also significantly impacted consumer behaviour. Alvina pointed out that even hard-core offline shoppers turned into online shoppers during the pandemic. Categories such as over-the-counter (OTC) medicine, groceries, household supplies, and personal care products saw a growth of over 35% in online shoppers. Discretionary categories such as skin care, makeup, apparel, jewellery, and accessories also saw an expected customer growth of more than 15%. There was also a rise in online fitness classes and other online hobby classes.

Pre-pandemic, people trusted in-person experiences more than online experiences. Older generations were averse to online shopping due to the trust deficit. People took pride in foreign products. However, post-pandemic, people started taking immense pride in made in India products and started buying local. There was also low brand loyalty and high consumer flexibility. The supply chain crisis resulted in a readiness to shift to other brands if one brand is stocked out.

The Concept of Revenge Travel and Revenge Shopping

As restrictions eased, people were eager to travel and shop again. The concept of revenge travel and revenge shopping emerged. In Feb 2022, gross consumption was up 104% compared to the pre-pandemic period of February 2020. However, with international travel still restricted, more and more Indians became open to the idea of vacationing within the country.

Key Behavioural Traits and Shifts Observations

There was a significant growth in digitization during the pandemic. More than 80 million adults made their first digital merchant payment after the start of the pandemic. Local vendors, rickshaw drivers now accept digital payments. Online grocery shopping increased. The growth of the last-minute delivery app and transport app such as wefast, porter, swiggy, instamart, blinkit, zepto, etc., was also observed.

Self-reliance also increased during the pandemic. Digital payments led to the growth of self-service kiosks in malls for payments and more self-service kiosks at airports. With the rise of 10-minute delivery promise, people plan less and buy more spontaneously. Interestingly, the hoarding behaviour and larger baskets have shifted to smaller quantities as and when required throughout the day. The frequency of purchase has increased.

Finding the Right Consumer for Your Business

To be successful, it is essential to find the right consumer for your business. Alvina shared some examples of companies that have identified their priority audience and tailored their marketing accordingly. For Amazon, the consumer is the priority target audience along with sellers, enterprises, and content providers. Their mission is to be the world’s most consumer-centric company. Customer appeasement is a significant part of their marketing strategy, including Prime free shipping, detailed product reviews, look inside the book, and the listing of lower-priced products from off-site competitors. Apple has identified two types of audiences – volume drivers who want to be different and love to go with what’s trending and core audience, people who they want to see their brand with. Creative enthusiasts who are passionate about performance and innovation are also a priority for them.

Women Consumer Evolution

The evolution of women and men as consumers has been shaped by changing societal norms and economic factors. From traditional roles as homemakers to independent decision makers, women are now a powerful consumer force. Men have also evolved with changing family structures, leading to shifts in consumer behaviour. Brands are recognising these changes and adapting their marketing strategies to reach these diverse audiences.

Session Summary

The COVID-19 pandemic has significantly impacted consumer behaviour, with a growth in online shopping and a rise in online fitness and hobby classes. The concept of revenge travel and shopping has emerged as restrictions ease. Digitisation, self-reliance and frequent small purchases have also increased. It is essential to find the right consumer for your business, and brands are recognizing the evolution of women and men as consumers and adapting their marketing strategies to reach these diverse audiences.

About Alvina Panjikar

With over 13 years of experience in advertising, branding and marketing and having worked on brands such as McDonald’s, P&G, Tata Salt, HDFC Life and many more, Alvina Panjikar started her own social media and branding consultancy 7 years back. Her company currently caters to brands such as Kikkoman, Japan’s no. 1 soy sauce, Fern Hotels, Airport Lounges and a lot of popular restaurants in Mumbai.

She has won the prestigious LEO INTEL Global Award for her Consumer Research on stepping out teens for Whisper (P&G) while working in Leo Burnett, India in 2010.