WSL Strategic Retail has come up with three predictions for retail trends in 2007 on the back of its How America Shops Survey.
The research body suggests that the number of shopping trips just isn't increasing, so retailers must be smarter to help draw customers to their stores. WSL suggests that with one quarter of shoppers look for information outside the store before they buy, retailers should build websites that help the shopper to form their purchasing decisions from home. Beauty brands in particular are using their own sites to push the benefits of particular products or ranges. Retailers should also bear in mind that men are cosierably less cautious when it comes to guarding their dollar. While 70% of women believe that gas prices will rise again and have curbed their spending accordingly, WSL notes that the recent lull in utility bill hikes has instilled a sense of security among the male population.
The second trend to dominate 2007 will be the rise of retailer's brands, says WSL. Several Private label ranges have graduated from low-cost alternatives to exclusive ranges, trading on quality. Retailers can benefit from this trend as they have high brand recognition. Almost 80% of shoppers believe that retailer's brands are as good as branded products.
Last natural and organic products are set to develop even further. With the more stringent organic brands bringing out a higher tier of 'real' organic products, consumer confusion may force the legislator's hand - up to 36% of consumers don't believe that organic products are really organic. According to WSL, 1.2 million consumers now use only homeopathic and natural remedies and 29% use homeopathic products.