Life lessons: The value in understanding lived experiences
Opinion
Aside from finding trends from quantitative data, qualitative data can uncover real-life lessons for brands and their agencies navigating the cost-of-living crisis.
“I am lucky we can cover our costs, but we have reduced socialising, reduced spending, using our limited savings, scared the mortgage will jump soon, scared job losses may happen — and we would be in a bad way. We know we are lucky, so for those poorer is horrific, so we give more to charities to help those struggling.”
This makes for an uncomfortable read and a depressing reality for many. And it is just one of the real points of view, expressed by a real person, through our IPA TouchPoints survey data that brings to life the very real impact of the cost-of-living crisis.
Listening to the lived experience
Back in July, when we launched the 2024 IPA TouchPoints dataset, we crunched the quantitative numbers to show data trends pointing to the impact of the cost-of-living crisis on consumer decision-making and activity. These findings provided some clear pointers on the rise of cost-conscious consumers. But this quantitative data just scratched the surface.
Having now taken the time to delve into the 2,640 accompanying qualitative responses to the survey question “How has the cost-of-living crisis changed your lifestyle?”, we are able to paint an even richer picture of the cost-conscious consumer and their feelings and genuine fears behind their amended purchasing decisions and behaviours to provide invaluable insights for our industry.
Focus on value pivotal for brands as consumers get more cost-conscious
Life lessons for brands
According to the qualitative data, consumers are:
Shopping clever: People are becoming more savvy about shopping for “bargains” and making the most of offers and sales.
There are many references to buying only essentials rather than impulse purchases. If brands are therefore having to compete for reduced budgets, they need to focus on providing value, particularly if they are a premium brand.
Increasing debt: There is a noticeable increase in the discussion of the use of credit cards and the accumulation of debt.
Many voice concerns about the ability to afford major life milestones such as buying their own property or even affording rent. And many young people also talk about their need to continue living with their parents to save on housing costs and rely on financial support from family.
Saving energy: Some said they see online grocery shopping as a way to save fuel and effort.
Echoing the need to save fuel, some say essential travel is an issue because of the high cost of fuel. In addition, some view travelling for fun as compromised and it’s an obvious way to save money.
At home, many say they are more mindful of the energy they use, reducing usage where possible.
Scrutinising streaming service offerings: Many respondents have to think hard about the cost of their streaming services’ subscriptions.
Some said they are working the system by taking the latest deals and then cancelling when the deal runs out, while others are reducing multiple subscriptions.
After a dramatic increase in subscription take-up in recent years, with new players such as Disney+ hitting the ground running, it appears streaming services may have to work harder to keep customers going forward.
Staying at home: We’re seeing that, with consumers spending more time at home, they have more time to cook.
Further to this insight, some people say they’re becoming more self-sufficient by growing their own food — not just to cope with rising costs but, they say, also as a form of exercise. At the same time, people are significantly reducing their social activities and travel, with many saying they are cutting back on outings and holidays to save money.
Nuanced realities
It’s clear that, in addition to poring over the quantitative data, by taking the time to really listen to consumers’ lived experiences and nuanced realities via qualitative data, as brought to the fore in the opening quote, we are able to get to the heart of what really matters to people — in their words.
And crucially here, we see and can fully appreciate the toll the cost-of-living crisis has taken and continues to take.
There is now the opportunity for brands and their agencies to use these real-life insights to better their understanding and empathy of consumers and, in turn, their offering to them.
IPA TouchPoints, founded 18 years ago, is a consumer-centric, cross-media, cross-device database detailing the daily habits and media usage of adults in Great Britain aged 15-plus. Find out more here.
Belinda Beeftink is research director at the IPA
