IRI is helping provide more clarity on consumer shopping and consumption trends during the COVID-19 pandemic, creating the IRI CPG Demand Index, which tracks weekly changes in consumer purchases vs. previous year periods. The data includes various departments, categories, retail formats and regions, and looks to be a great tool for brand leaders.
Some interesting information from IRI: “…panic shopping – a feature of the early part of the outbreak – appears to have leveled off, although overall dollar spending demand for CPG product departments, categories and formats has increased 13% year over year as of the week ended April 12. The Frozen food category stands as the leader when it comes to highest demand levels, up 31% year over year. Alcohol demand has spiked 27%, thanks to the closing of bars and restaurants, IRI said. Consumers continue to shop heavily for food at grocery stores, with this activity up 33%.”
Interestingly, if you’ve been watching the stock market, consumer package goods stocks have appreciated nicely in the last month (see list below). As unemployment filings balloon, we will see consumer demand continue to focus on staples & non-discretionary items. The uptrend in alcohol and tobacco is also something to watch, as during recessionary times, it is not uncommon to see an uptick in demand in these product categories.
- KHC: +20.7%
- PG: +2.3%
- CLX: +6.5%
- K: +12.2%
- BGS: +16.4%
For more insights, visit www.iriworldwide.com.