Consumer Thoughts on the Cost of Living: What Brands Need to Know

The cost of living crisis remains firmly at the forefront of consumers’ minds. It impacts their behaviour, and spending habits, which makes it important for companies and brands to understand how they are adjusting.

According to the Which? Consumer Insight Tracker, consumer confidence in the UK economy has dropped to its lowest point since the height of the crisis. Nearly half (46%) of UK households, around 13 million, have had to make at least one financial adjustment just to cover essentials like utility bills, housing, groceries or medicine.

To find out how these numbers are really impacting people in the UK, we hit the streets of Manchester to capture authentic consumer thoughts on the cost of living. Using Vox Pops, we captured unfiltered video insights on spending, and how the crisis has changed in the last year.

Consumer Thoughts: Spending In The Cost of Living

Using vox pops to gather consumer thoughts on the cost of living, showed us how truly top of mind it is. The cost of living crisis has forced consumers to re-evaluate what’s essential and what’s expendable. Everyone we interviewed reported cutting back on luxuries such as dining out and shopping for new clothes.

“I won’t go buy a pint,” one man told our team.

The cost of living has impacted how they earn money, and how they spend. One respondent mentioned picking up extra shifts just to keep up with the cost of living. Others shared how they’ve changed where they spend, opting for local shops to avoid overspending at supermarkets.

“I’ve had to think more about money in a way I haven’t in the last 10 years.”

These quotes show how spending habits are becoming more tactical. The focus is shifting from convenience and indulgence to necessity and value.
Looking at consumer thoughts on the cost of living, and what brands can learn, our video insights point to how people are reassessing their spending habits. Highlighting affordability could be a great way for brands to appeal to these consumers.

“Breathing Is Expensive”

This quote sums up how much of an issue the Cost of Living crisis is, and how it feels to the consumer that it impacts all their life.

The rising cost of everyday essentials is impacting everything from food shopping to energy use. One respondent shared how her go-to cooking oil shot up from £3 to £7.

“Wages aren’t going up as they should, so I don’t know where we’re going to end up.”

There is tension because a common theme among consumer opinions on the cost of living is that wages are not keeping up. Brands that understand the emotional side will connect with customers better and gain their trust.

How Can Brands Respond?

At Vox Pops International, we conducted this research on consumer thoughts about the cost of living last year. Consumers were saying similar things about how it was impacting their day to day. The vox pops in Manchester this year revealed that the cost of living is not improving for consumers.

So how can brands respond? By listening to consumer thoughts on the cost of living, they can understand consumer behaviour and adjust products and services accordingly.

Capturing consumer voices is critical. Whether it’s to gain genuine insight or to understand how your brand stacks up against competitors in terms of cost of living, gathering video insight can help you connect with customers even when spending becomes more difficult.

During this time, brands should consider how consumers are feeling and adjust their strategy and content based on what they are actually saying.

Get in touch with Vox Pops International to find out we can help you connect with your consumer.