How Has COVID-19 Impacted Brands? Are People Adopting Quality-Conscious Behaviour?

  • Jun 19, 2020 AEST
  • Team Kalkine
How Has COVID-19 Impacted Brands? Are People Adopting Quality-Conscious Behaviour?


  • Amid COVID-19 scenario, people are becoming more conscious of their health and finances.
  • Spending habits are changing, suggesting Aussies are moving towards simpler lifestyles with focus on buying quality essential items over luxury shopping.
  • Online shopping is being preferred over in-store shopping.
  • Australians are looking for brands that are responsible for the community and offer quality products at an affordable price.

COVID-19 crisis has hugely impacted the world, including Australia. By now, everyone knows that there is no quick-fix solution for this problem, and it is going to stay here for long. Apart from claiming lives and devastating the economy, the prolonged virus crisis is changing people's psyche and behaviour.

The uncertainty around how long will it take to get over the pandemic crisis and social isolation is influencing the mental state and thinking pattern of Aussies. Furthermore, Australians are getting more concerned and aware of the COVID-19 crisis impacting their lives, consequently becoming more conscious of their health and finances.

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Owing to coronavirus-led restrictions that are impacting the lives and livelihood of Australians, they have become more conscious of where they are spending their money. In these unprecedented times, managing finance and reducing unnecessary expense is the need of the hour.

New studies on the COVID-19 impact on brands and buyers have revealed that the Aussie buyers are looking for more trusted brands, which can bring safety and security. 

Great Virus Crisis (GVC) Impact on People is Deepening

As the economy is reopening amid the ongoing pandemic, there are options for in-store shopping and eating out with family and doing small social gatherings while following safety guidelines. Despite these options, the spending behaviour seems changed, with people being reluctant towards eating out and socialising.

Australians are getting more focused towards safety, affordability and availability of goods. They are stocking up more of personal hygiene products while reducing spending on beauty products and luxury items.

Number of people preferring online shopping over brick and mortar shopping is also growing at a robust pace, as social distancing measures and fear of catching the infection are diverting more shoppers to online sites.

Do Read: Are Online Discounts Ruling Over Customers’ Minds?

For grocery shopping or anything eatable, Australians are looking for trusted brands at affordable price. The increasing brand consciousness is also expected to change the purchasing behaviour in the long run and would make companies more focused on quality, which is a good thing as we would have more quality products in the upcoming period.

Spending Habits Reveal Getting Back to Simpler Life

Boston Consulting Group (BCG)'s Global Consumer Sentiment survey suggests that people are now going towards a simple life where they want to buy only those items that are necessary for healthy living and they are reducing their spending on luxury and unnecessary items.

As per the study, about 64 per cent of consumers think that basic and simple products are enough to meet their needs rather than wasting money on premium or luxury products. Spending on daily essentials has increased, but the consumers are cutting expense on both travel and luxury brands. 

The change is similar in other developed countries such as the US and the UK. Still, as per the study, China is showing a different pattern, as the consumers in the country believe that they would be able to spend as before the pandemic.

Now with people working from home and travelling less, they are pursuing their creative interests like home maintenance, nurturing gardens, baking bread, and growing vegetables. Aussies are preferring home-cooked meals over eating out and taking up DIY home repairs for home improvement. They are more willing to buy from Aussies brands. The government, supermarket, and healthcare institutions are experiencing trust gains.

If we talk about the retail sector, sales of health, hygiene and sanitisation products have gone up. People around the globe are getting more aware of good health and cleanliness. Sanitisation has a crucial role in stopping the spread of the virus. Also, sales of bathroom products have surged during the crisis.  

Consumer expectations from brands are changing, and they look for real value for their money. Also, they want brands to be more responsible towards the community, including their employees and consumers.

Majority of Aussies believe that the brands will have a significant role during the crisis. And, they want companies to convey how they are useful and adding value to their everyday life.

Brands also need to understand these changes in expectations and become more responsible and proactive towards fulfilling them to gain trust in their products/services to ensure recovery and sustainable growth.

Such findings suggest how coronavirus crisis is changing consumer behaviour, compelling businesses to rethink their strategies for survival in the short term and growth in the long run.    

 The unprecedented and prolonged crisis is changing everything including how we live, how businesses are operating and consumer awareness on brand’s value. It is perhaps the silver lining that we are transitioning towards a more quality focussed world.

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