Tag: consumer behavior

  • Rising inflation forces over 80% of Pakistanis to reduce monthly expenses

    Rising inflation forces over 80% of Pakistanis to reduce monthly expenses

    A recent survey conducted by PulseConsultant in the month of May has shed light on the significant increase in downtrading among urban Pakistanis, attributed to the high inflation rate. The study surveyed more than 1,360 respondents across the top 12 cities of Pakistan.

    The findings of the study reveal a notable shift in consumer behavior and attitude towards purchasing and consumption patterns in light of the current inflation wave. As prices continue to soar, many respondents have altered their buying preferences to cope with the economic challenges.

    According to the study, 55 per cent of respondents reported that they have switched from expensive brands to more affordable ones. This percentage represents a considerable increase from the previous month of April, where the trend stood at 45 per cent. This shift highlights the growing financial strain faced by consumers, prompting them to seek cost-effective alternatives.

    Moreover, the data indicates a decline in the phenomenon of purchasing the same brands but reducing the quantity. In April, 46 per cent of respondents claimed to be adopting this strategy, whereas in May, the number dropped significantly to 38 per cent, showing an 8 per cent decrease. This suggests that consumers are finding it increasingly difficult to maintain their previous consumption habits.

    In terms of monthly home purchases, the study reveals that 81 per cent of respondents reported a reduction in May, marking a 3 per cent increase compared to April when the figure was 78 per cent. This indicates that consumers are actively curtailing their household expenses in response to the inflationary pressures.

    To gain a deeper understanding of consumer behavior and attitudes towards the current inflation wave, PulseConsultant invites individuals to join their syndicated research initiative. The study aims to gauge the impact of inflation on purchasing and consumption behaviors across 40+ categories, focusing on five parameters: consumption increase/decrease, brand switching, quantity reduction while retaining the brand, changing the stock keeping unit (SKU) while retaining the brand, and category consumption drop.

    The research methodology involves face-to-face interviews with a sample size of 1,704 individuals across the top 17 cities in Pakistan. The gender distribution comprises 30 per cent males and 70 per cent females, while the age group considered is 22-55 years. The socioeconomic classes targeted range from SEC A-D. The research is scheduled to take place over a period of four weeks.

    As inflation continues to affect the purchasing power of consumers in urban Pakistan, the study by PulseConsultant aims to shed light on the evolving trends and behaviors within the market. The findings will help businesses and policymakers make informed decisions to navigate the challenging economic landscape and cater to the changing needs of consumers.

  • Google reveals what Pakistanis are searching for

    Google reveals what Pakistanis are searching for

    Google’s maiden “What is Pakistan searching for?” report has revealed what Pakistanis are looking for online.

    According to the report, Pakistanis are looking for ways to connect with new communities, searching for high-quality products and how they can improve their lives and environment. 

    The data can be very useful for seasoned marketeers who’re trying to build businesses, or entrepreneurs looking for ways to engage with potential consumers.

    In the past three years, Pakistan’s digital population has surged by 68 per cent, with over 78 million (seven crores and eight lakhs) users. Understanding the needs and expectations of this growing number of digital consumers is important for brands to remain agile and relevant, especially during these unprecedented times. 

    “Pakistanis and their smartphones are inseparable — always on the lookout for the best experiences and deals within their vicinity and at the same time seeking authoritative information during these trying times,” said Google Asia Pacific Industry Head for South Asia Faraz Azhar. 

    Google has highlighted five key areas that are shaping how Pakistani’s carry out an online search.

    1. Increasingly sophisticated consumers

    Consumers expect search engines to understand the intent behind what they need and deliver the best. They want high-quality products that are available with a convenient digital experience.

    Four of five Pakistani consumers research products online before a purchase, and they switch between online search and video. They also want quick access to products and services. 

    As per the report, 138 per cent growth in “near me” searches and 1.5 per cent increase in “same-day delivery” queries was reported between the year 2018 to 2019. “Fast delivery” searches increased by a whopping 1300% and online grocery delivery searches increased by 300% since the coronavirus pandemic began.

    2. Towards sustainability and conscious consumption 

    A combination of the state of the world and an overall rise in awareness has seen the rise of environmentally-conscious consumers. Over the past year, these searches have risen sharply across Pakistan: “climate change” by 1.5x, “electric cars” by 1.5x and “reusable” by 1.3x. 

    Users were also curious about the visible impact on air quality and pollution levels, with searches such as “clear skies” increasing by 300 per cent, “clean air” by 225 per cent and “clear water” by 217 per cent.

    3. Digital video continues to boom

    Video streaming and sharing platforms where Pakistanis get their fix of information, entertainment, news and sports. The primary drivers are a combination of affordable data combined with the proliferation of devices and new platforms. 

    Every seven in 10 Pakistanis use YouTube every month, with searches related to “with me” increasing by 150 per cent, “Teeli” by 108 per cent and “village food secrets” by 168%.

    4. Healthy lifestyle choice

    While Pakistan has a rich and diverse culinary tradition, there has been a rise in searches for alternate diets and meal plans predicated around well-being. 

    Searches for “daily exercise” are up by 1.6x. Searches for “vegetarian cuisine”, “healthy supplements” and “intermittent fasting” have risen by 1.5x. Meanwhile, searches for “superfood” are up by a whopping 767 per cent and “high-intensity interval training (HIIT) workout” by 600 per cent.

    5. COVID-19 implications

    With COVID-19 restricting the movement of people outdoors, Pakistanis have started looking for ways to start (or continue) their usual physical routines indoors with “HIIT workout” YouTube search growing by 600 per cent, “gym at home” by 125 per cent and “home workouts” by 80 per cent. With more people confined indoors, interest in mental health and well-being has also become an important factor for Pakistanis, with a surge in searches for “meditation” (+56%) in March this year.

    The information was gathered from a web conference organization by Syntax Communications with Google Asia Pacific team.