Strong Preference For In-Store Shopping In 2021, Australian ZenPoll Finds
Zenith’s latest consumer insight report on the fast-moving consumer goods market reveals Australians still favour in-store grocery shopping, despite increased investments on e-commerce.
While 29 per cent of Australians started purchasing more of their groceries online because of the pandemic, 21 per cent say they will continue to do so when the pandemic is over, according to a national ZenPoll of 1,023 Australians carried out in March.
The ZenPoll found there is still a strong preference for in-store grocery shopping among 74 per cent of Australians, versus 24 per cent who prefer to do their groceries online.
However, as supermarket retailers are forced to be more digitally advanced to adapt to the ups and downs of COVID-19 restrictions, many are investing heavily in their ecommerce and click and collect services, Zenith said.
On digital adspend, Vikki Pearce, head of digital at Zenith Melbourne, said: “The online nature of these services is increasing supermarket retailers’ focus on digital media investment in what has otherwise been a softening market.
“And FMCG brands are following suit—particularly over-indexing in their online video spend as they strive to keep top of mind and capture share of wallet not only in the growing eCommerce opportunity.”
The insights come alongside the release of Zenith’s ‘Business Intelligence – FMCG Food and Drink’ report.
According to the report, internationally, FMCG brands will increase their ad expenditure on digital channels by 7 per cent a year to 2023—above the 4 per cent annual growth forecasts for FMCG adspend as a whole in the 12 markets included in the report.
With the reach of TV advertising declining (especially among younger generations), Zenith forecasts that FMCG digital adspend will increase from US$12.3 billion ($15.87 billion) in 2020 to US$14.9 billion ($19.23 billion) in 2023.
The market share will rise from 46 per cent to 49 per cent, too.
This comes after ad expenditure by FMCG brands fell more sharply than the ad market as a whole in 2020, shrinking by 10.7 per cent to US$26.7 billion ($34.46 billion).
Zenith explained that this was not because of any shortfall in demand, as demand soared as people stopped eating in restaurants, cafes and bars and shifted consumption to the home.
Instead, FMCG companies were faced with the challenge of ramping up production while supply chains were disrupted, Zenith said, and using limited available distribution to get their products onto shelves in stores, or to consumers’ homes.
Many FMCG companies therefore cut back on promotional activity for products they couldn’t get to consumers quickly enough to satisfy demand, and invested in distribution infrastructure instead, especially ecommerce operations and partnerships.
Zenith forecasts that the recovery of FMCG adspend will roughly track the market as a whole in 2021–23.
Zenith claims a bounce-back is “almost inevitable” in 2021 given the comparison with the sharp drop-off in 2020, particularly during Q2, though it will still be 6 per cent below 2019 levels.
FMCG companies face uncertainty over how quickly consumers will return to shops, and how much their behaviours have been permanently affected by the pandemic.
Latest News
Feel-Good Gin! The Oasis Committee And Spirit of Little Things Collab On Charity Gin
The Oasis Committee in partnership with Spirit of Little Things has created the perfect bottle of gin for every media office bar cart with all proceeds from the signature gin to go towards Oasis Project and Western Australia’s disadvantaged youth. The Oasis Committee is focused on leveraging the power of the WA advertising and communications […]
TV Ratings (06/05/2024): Emotional Lego Masters Goodbye Does The Numbers For Nine
And we thought Lego could only make you cry when you accidentally stood on a piece.
Lisa Wilkinson AM To Join Cannes In Cairns As Keynote Speaker
Multi-Award Winning Journalist and TV Host Lisa Wilkinson AM to speak at Cannes in Cains, sponsored by Pinterest.
Mamamia Names Natalie Harvey As New CEO
Mamamia has today announces the appointment of Natalie Harvey as Chief Executive Officer.
‘The Media Has A Way To Go On Diversity’ – Diversity Council Leader Lisa Annese On Industry Diversity And Why Sunita Gloster Is An Important Addition To Their Board
Few are more qualified than a Gruen regular to knock adland and the media into shape on diversity.
Mike Shows Up At A Wake And Still Hasn’t Seen That Show, In Latest Instalment Of ‘I Saw It On Binge’, Via Thinkerbell
Why is it we pay for 19 SVOD accounts namely due to FOMO but then rarely bother to watch the shows anyway?
Flexiroam Partners With Specialist Agencies To Launch “Ready For Anything” Global Campaign
Do you return from overseas with Bali belly, a possible STI & a huge phone bill? FlexiRoam may help with the last one.
Samsung Unveils Power Of AI To ‘Upscale Every Moment’ With Neo QLED 8K
Got mates who brag about their 83-inch, 10K resolution, OLED screen TV? You're just as bored & baffled as all of us.
Media-Wize Wins AUSCERT PR Account
Media-Wize calls itself "a media training and technology and cyber security PR agency". Think nerds with better hair.
Snapchat Taps Gelato Messina In New Brand Campaign
B&T needs little tempting to scoff more Gelato Messina. Apart from having to go up a size.
Travel Insurer Trippi Draws Ire From The Brazilian Embassy Over Cheeky Brazilian Ad
There's a very fine line between "playful" and "utterly offensive". These ads are almost a dictionary definition of it.
Racing NSW Hits Tabcorp With Legal Action Over $6 Million Revenue Loss
Here's some horse racing news that thankfully doesn't require a silly hat or passing out in a nearby rose bush.
AI Tools Such As ChatGPT Leading To ‘Content Overwhelm’ Among Marketers
Study says tech leading to an avalanche of content for marketers. Not to mention having to read the instruction manuals.
Stake Appoints 72andSunny As It’s Creative Partner
72andSunny nabs Stake's creative. And by that we mean the investment platform, not the nemesis of all vampires.
61% Of Aussies Want Corporate Australia To Stay Away From Social & Political Issues Leo Burnett Study Finds
Do you love a study that appears to fly in the face of every study before it? Be mesmerised by these results from Leos.
Brendon Cook, OAM, Inducted into the OMA Hall of Fame
Other than Australia's typically pleasant weather, no one's done more for outdoor than the former oOH! boss.
New Campaign Highlighting Renewable Gas As A Crucial Component Of Energy Transition
It's hard not to make a renewable gas ad sound like a tedious Year 9 science lesson. So well done to the agency here.
Love Media Welcomes Alana Dowling As New Client Director
Seasoned media pro Alana Dowling joins the Love Media team. Clearly replacing someone who didn't love it
B&T 30 Under 30 – Where Are They Now? Until Recently, Prison!
A prestigious 30 Under 30 gong can get you headhunted, promoted or, in this instance, a two-year stint in the slammer.
“We Will Never Tell A Journalist What To Write” – Nine’s Aimie Rigas On How Data Is Shaping News
Data becoming the journalist's tool for more engaged content. Still not beating dodgy MAFS contestants or a Kardashian.
Beware The Bad Guy. Billie Eilish Fans Brace Themselves For Scammers
Thought getting Tay Tay tickets was an unimaginable nightmare? Read on as Billie Eilish promoters say hold my beer.
Twilio Names Chris Koehler As CMO
Chris Koehler named as Twilio's CMO. Which may prove a prickly tongue twister after a lengthy open bar tab.
ARN Announces Ad Sales Partnership With The Athletic
Can we slow the rotation of the sun? Because that's the only way we'll fit all these new podcasts into one day.
Burger Wars Continue As Hungry Jack’s Brings Back The Big Jack & Mega Jack
Hungry Jack's' Big Mac ripoff set to return after recent legal win. Still no one racing to clone the Filet-O-Fish.
Diverse Voices, Sustainable Choices: Natalie Dean-Weymark On Why Sustainability Is A Non-Negotiable
Here, Compass Studios' Natalie Dean-Weymark talks diversity in media. It's the human equivalent of the Family Assorted.
New Partnership Between The Sweetshop And The Gardening.Club
Thought you'd be getting tips on aphids & fungus gnats from this Gardening. Club news? Prove yourself totally wrong here.
‘A Very Rare Breed Of Creative’ – Clemenger BBDO hires Chief Creative Officer
B&T's chatting with Clems boss Dani Bassil on Adrián Flores CCO appointment. We never got to Italian or Thai herbs.
Concrete Playground Debuts Innovative Urban Exploration Platform With Lexus As Launch Partner
Concrete Playground announced the launch of its redesigned website in partnership with Lexus. This partnership introduces a new era of urban discovery, enabling a deeper, more intuitive engagement with cities through a state-of-the-art digital platform. Revolutionised Digital Experience Concrete Playground’s website has undergone a significant transformation, designed to enhance the way users interact with their […]
Mindshare And The Brand Agency Take Top April’s New Business Rankings
Which agencies soared like an eagle for the month of April? As in stellar performance, not Eddie the hapless ski jumper.
Suntory BOSS Coffee Fuels Ambition With New Campaign From It’s Friday
Does your workplace have a strict, policed illegal drug policy? Then Suntory BOSS Coffee will have to do.
Resolution Digital Wins MyPlates Media Account
The best thing about personalised number plates is it makes spotting wankers on the road far easier. And drug kingpins.
Debunking The “Three Year Lie”: A New Approach To Retail Digital Strategy
This columnist says it's wrong to claim digital always has a three-year pay off. Has no opinion on the seven-year itch.
TV Ratings (06/05/2024): The Farmer Is Back And He Wants A Wife
It was a good night for lovers of farming and love.
The Growth Distillery Unveils The New Rules Of Influence
The New Rules Of Influence has arrived. And there appears to be no "difficult second album" syndrome here.
Whittaker’s Launch New Brand Platform, ‘Hello Chocolate Lovers’ Via Bastion Shine
New Zealand chocolate brand continues its insidious march into the Aussie market. Much like New Zealanders themselves.
Tyro Shows They Are ‘Into Business Big Time’ With New Brand Campaign Via Howatson+Company
Think finance isn't funny? Think again with this fun work. Yes, it still applies to funeral homes & Clive Palmer ads.