Russia is increasing the demand for goods and products of low price segment after exit quarantine restrictions, according to Nielsen research.
It is connected with reduction of incomes of the population and the search for the best deals on food and everyday consumer goods (FMCG).
Almost a quarter of respondents to Nielsen consumers in Russia reported a decline in revenue due to the pandemic and isolation. This is reflected in the market of goods and products. The share of low price segment of the market grew to nearly half of the FMCG categories. The share of sales of cheap goods has increased from 17% on average for the year to 18.2% in April and 17.7% in may — according to the study, quoted by TASS.
This applies to many mass products — meat, fruit juices, water, tea, pasta and other. For example, from 27 April to 24 may 2020 the share of cheap pasta rose to 23% in monetary terms from 19% previously. While the share of premium price segment reduced from 35.8% on average in the year to 34.2% in April and 34.4% in may.
in Addition to the cheap everyday goods and products in Russia were more likely to look for discounts. Nearly a third of them began to look for the goods in the shops discounts. In the new conditions – changes of customer preferences and their income, coronavirus – may decrease the traffic in the crowded shops and queues, and some consumers will switch to shopping at the small store formats at home, destinatary and online trade, predicts Nielsen.
This may be a temporary phenomenon. Rosstat recorded a drop in retail trade turnover in April of 23.4%. But in early June, the mood of Russian consumers has improved, and the level of anxiety decreased, you should study BCG and “romira”.
