Cutting coupons might be passé, but comparing prices is only increasing across households, regardless of income. First Insight has released the results of its latest survey, which confirmed that shoppers are eager to suss out the best price for a product.
“The results of the survey indicate that industry disruptors are impacting the behavior of affluent consumers and changing the way they make purchase decisions,“ said Greg Petro, chief executive officer and founder of First Insight. “A growing number of affluent consumers shopping at discount retailers over full-price retailers is an important finding, as it indicates they have already become more price-sensitive. It is more critical than ever that retailers and brands offer differentiated products at the right price in order to attract the informed, affluent shopper on the hunt for deals both in-store and online.”
To collect the findings, First Insight polled 1,000 U.S. shoppers about their current spending habits, shopping behavior and key motivators that drive a purchase decision.
The research discovered that those earning more than $100,000 — securing the categorization of affluence, according to First Insight — are champions of advanced services, like technology bolstered by artificial intelligence. According to the survey results, 42 percent of affluent shoppers often shop at discount retailers, compared to 27 percent who shop at full-price alternatives.
What’s more, the research found that 21 percent of affluent respondents were more inclined to visit an online discount retailer, compared to 12 percent of general survey participants.
The most popular online retailer, unsurprisingly, was Amazon. Seventy-four percent of affluent shoppers typically checked the tech goliath for product pricing before visiting other web sites. “Of note, while 61 percent of affluent respondents said their number of Amazon purchases increased in the past year, 80 percent said they were unwilling to pay more for two-day shipping, underscoring growing sensitivity to prices,” said a First Insight spokesman.
Forty percent of shoppers in the affluent income category tended to rely on smart speakers like Amazon Alexa — compared to 24 percent of other participants. The spokesman said, “More than half (53 percent) of affluent users are utilizing their smart speakers’ AI technology to research pricing, with the most popular items being electronics (65 percent), apparel (48 percent), shoes (42 percent), home appliances (38 percent) and jewelry (31 percent).”
Affluent shoppers tended to use mobile devices to compare pricing while shopping in a bricks-and-mortar — 39 percent — but 52 percent said that the necessity to compare prices while in a store was increasing.
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