Overall shopper confidence has continued to fall following the news of further national restrictions being put in place due to Covid-19, according to the latest IGD shopper confidence index.
The IGD Shopper Confidence Index blends a range of measures that relate directly to the food and consumer goods sector to calculate an overall indication of shopper confidence, with -100 being very negative and +100 being overwhelmingly positive.
In September, overall confidence slipped to -8 on average for the whole month, down from -7 in August. While the month started at -6, confidence fell to -10 by the end of September.
According to IGD, confidence appears to have been suppressed by news of increased Covid-19 cases and further national restrictions being put in place, notably the rule of six, working from home where possible and the 10pm curfew for pubs and restaurants.
“Despite this ongoing period of low confidence, positivity towards the food and grocery industry remains high. The continued actions that have been taken by retailers and manufacturers across the country to support those in need have increased this trust.”
The report also revealed that a third (32%) of shoppers expect to be worse off financially in the year ahead, up from 30% in August. As well as this, 18% of shoppers expect food prices to get much more expensive in the year ahead, the highest level since September last year.
Simon Wainwright, director of global insight at IGD, said: “Shopper confidence is likely to remain fragile as the Job Retention Scheme comes to an end to be replaced by the Job Support Scheme, alongside shoppers contending with further uncertainties concerning Covid-19 and whether there is a deal or no-deal with the EU. This will no doubt lead to an increase in savvy shopping tactics over the coming months.
“With so much uncertainty at the moment, we anticipate shoppers’ confidence will respond to key announcements and media reports on Covid-19 and the EU.
“Despite this ongoing period of low confidence, positivity towards the food and grocery industry remains high. The continued actions that have been taken by retailers and manufacturers across the country to support those in need have increased this trust. Indeed, trust in the food industry to ensure good availability has remained high (78%) despite recent increased levels of stockpiling.”
