Accenture Report Finds Consumer Values and Buying Motivations Have Fundamentally Changed, Shifting Away from Price and Quality

A majority of Irish consumers are reimagining their values and basing purchasing decisions on factors beyond price and quality, according to a new report by Accenture.

Accenture’s 16th annual research report based on a survey of more than 25,000 consumers across 22 countries including Ireland, entitled “Life Reimagined: Mapping the motivations that matter for today’s consumers”, set out to understand how companies can capitalise on evolving consumer expectations to achieve new levels of growth and competitive agility.

Fifty per cent of those surveyed are coming out of the pandemic having reimagined their behaviours and values as consumers. They have re-evaluated what is important to them in life and are increasingly focused on their personal purpose. This is having a direct impact on what, how and why they buy.

An additional 33% of consumers surveyed have evolving values and purchasing mindsets while interestingly, the unprecedented experience of the pandemic has had no impact on the buyer values of 17% of respondents.

The research analysed over 80 unique factors across 14 industries and found that five distinct areas are increasingly driving consumers’ purchasing decisions. The five factors extend beyond price and quality to include health and safety; service and personal care; ease and convenience; product origin; and trust and reputation.

Perhaps even more notable is that these five factors, which have been historically important to the specific demographic groups of Gen Z and Millennials, have now hit a tipping point and are considered critical across the full breadth of consumer demographics.

“Customer demands have fundamentally changed and it’s time for Irish businesses to respond by revisiting their strategies and setting new standards for the services they offer,” said Hugh-John O’Reilly, managing director, customer strategy & consulting at Accenture.

“Irish consumers are embracing new experiences and forming new habits, but this comes with high expectations. They value convenience and transparency and expect companies to not only understand their needs but deliver on them seamlessly across all channels. There’s a huge opportunity for businesses to build customer loyalty by refocusing their customer engagement strategy and create personalised experiences with the right mix of digital and in-person interaction.”

Health and safety are paramount

Consumers are asking: Are you keeping my neighbours and me safe? What about your employees?

—  Health and safety ranked high in importance for Irish consumers, with 59% believing it is crucial that companies prioritise health considerations for consumers and employees in all operations.

—  Fifty per cent of Irish consumers believe that companies/brands are just as responsible as governments for the health of societies.

—  Forty-one per cent of Irish consumers would not purchase anything from a company that doesn’t provide guidance on how to behave in pandemic times.

Customer service and personal care are top of mind

Consumers are asking: Do you remember me? Are you making my experience with your brand as personal as it can be? Are you there for me when I need you?

—  Dealing with companies who do not make it easy to do business with them, i.e. experiencing long wait times, having to complete a lot of paperwork/online forms, is the biggest source of frustration for Irish consumers (76%).

—  Moreover, 67% felt more convinced that their issue was actually resolved after speaking with a human representative than when using a digital self-service tool.

—  Almost a third (31%) have switched to new brands because they understand their needs better as consumers.

Ease and convenience must be table stakes

Consumers are asking: Are you meeting me where I am, in the digital world, the physical world, and through a blend of the two? And are you able to deliver what I need, when I need it, across all channels?

—  A substantial 35% of Irish consumers have not engaged at all with their favourite brands through telephone over the last 12 months. Meanwhile, 71% have interacted with their favourite brands through online customer service portals.

—  Almost half (47%) of those who switched service providers in the last 12 months agreed that offering better digital services and support options (mobile capabilities, social media, etc.) would have kept them as a customer.

Product origin is increasingly important

Consumers are asking: What about the environment, and societal and corporate responsibility? Can you help me make sustainable choices? Can you help me support my local community?

—  Irish consumers want to know what goes into a product, how it’s produced and how far it’s been transported. Sixty per cent say they are attracted to brands that source services and materials in highly ethical ways.

—  Additionally, 55% are attracted to doing business with brands that are environmentally friendly.

Trust and reputation influence buying decisions

Consumers are asking: Can I trust you to do the right thing for me and not just for your business? Can I trust you to be who you say you are and stand for the things you say you stand for?

—  Brands that support and act upon societal and cultural causes which are in common with those of their customers, such as diversity, social justice, and funding charities, is crucially important to 51% of Irish consumers.

—  Fifty-eight percent of consumers feel that a business that can demonstrate they are not capitalising on the pandemic is a crucial factor when considering using their services.

About the Research 

Accenture conducted its 16th annual Global Consumer Pulse Research to gain an understanding of global consumers’ preferences, beliefs and behaviours.

The online survey of 25,444 consumers age 18+ in 22 countries was designed to identify how consumer expectations are evolving — and how companies can capitalize on that evolution to achieve new levels of growth and competitive agility. Fieldwork was conducted between December 2020 and February 2021.