Loyalty to retailers and grocery brands is weakest among 45 to 54-year-olds, as just 35% of the age group describe themselves as financially comfortable, new research shows.
According to IGD’s shopper research, housing costs and bills consume almost half (49%) of monthly spending among 45 to 54-year-olds. In comparison, 46% of both 18-24 and 25 to 34-year-olds describe themselves as financially comfortable, with household bills taking up 32% and 34% respectively.
Loyalty to grocery retailers falls to 55% among 55 to 64-year-olds, the lowest level of any age group, while loyalty to grocery brands reaches its lowest point among 45 to 54-year-olds, at 51%.
IGD said its findings suggest value is increasingly becoming a retention strategy rather than an acquisition strategy.
Shoppers aged 45-64 are among the most focused on keeping costs down but are also more likely than average to try to balance cost with quality rather than buy the cheapest products available.
Products that last longer, reduce waste and are reliably available are becoming increasingly important measures of whether a purchase represents good value, according to IGD.
“Many mid-life shoppers are becoming the ‘sandwich generation’, balancing mortgages, rising household bills, children and ageing parents,” said IGD head of shopper insight Caroline Young.
“What this means for retailers and brands is mid-life shoppers need the strongest reassurance that they’re spending their money well. That’s balancing price with quality, freshness, availability and reliability, rather than competing on price alone.”
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