How Consumers Save Money

Since 2008, consumer spending has weakened and people started to focus on saving their money. Households are likely to remain under pressure for the near future and are looking for ways to get more for their pound. 

Here are 3 interesting ways in which consumers save and squeeze more value from their money:

• Discount Coupons 

The phenomenal growth of Groupon since 2009 as the fastest growing company in history, shows how consumers are reaching for discount coupons to save money. Often purchases with discount vouchers mean that consumers have to compromise on what they are buying. Seldom does the perfect product have a range of discount vouchers available.

• Investing in the Home 

In our previous blog post we mentioned how in-home entertainment was becoming more popular. Significantly, households are willing to spend more now to spend less in the future. Think buying a new TV to stay in more and going to restaurants and cinemas less. 

• Online Search 

Not only are customers using the internet at home to find the best deals, but the growth of smartphones have empowered comparisons in-store. 40.6% of mobile users have price compared while in a retail store and left to purchase from a competitor. Though for products which are not like-for-like there may not be an easy comparison.

Rather than simply stopping spending, consumers are becoming more calculating in their approach to purchasing. Online plays a massive part for price comparison and obtaining discount vouchers.

The opportunity for sellers is to consider the willingness to delay, home-centred attitude and compromising purchasing behaviour of consumers while being aware of what online can offer. 

Paul Barnes 

Media Analyst 

Aviva report on consumer attitudes to savings is here.