Signs are pointing to a global recession sparked by the economic impact of the coronavirus pandemic. Lessons from the Great Recession suggest that, amidst recession, spending growth predominantly stems from Multicultural consumers.
The coronavirus crisis is changing everything in ways we never expected. Read more below to understand our research and review custom options for obtaining detailed reporting and proprietary insights.
The coronavirus crisis has now emerged as a once-a-century transformation in the global economy, with radical impacts on trade-flows, consumer behavior, and spending across every industry. Collage Group members are now in the throes of intensive investigation into consumer response across every category.
Two factors reinforce why this initiative is so important.
Cultural differences impact consumer behavior even more a time of crisis.
Cultural backgrounds significantly influence the neuroloigical “defaults” in human behavior, especially when it comes to health. Consider the progress of COVID-19 in South Korea vs Italy, both democracies in which multigenerational households are common. The differences could not be starker. Indeed, the difference in outcomes could not explained without recourse to an understanding of differences in culture.
The multicultural contribution to growth increases in an economic downturn.
Multicultural consumers will continue to drive the majority of spending growth through this crisis. Indeed, the multicultural contribution to growth has historically increased when the economy shrinks. Indeed, all our projections indicate the contribution can only increase in the future. As you can see from the chart below extracted from our Big Shift research, multicultural response is even more important at this time than in periods of economic strength.
We cover four components in our coronavirus crisis research:
1. Deep Dive Syndicated and Omnibus Survey
Our main survey goes deep into culture factors that are critical to differences in consumer behavior. We incorporate cultural attitudes that impact health and response to risks to health, such as social proximity conventions, multigenerational contact, fatalism, compliance with authority and other factors. The difference between the Italian and Korean situation cited above is probably due to these factors in no small part
We will look at a variety of questions including:
- How does consumer reaction to the coronavirus vary across race, ethnicity, and generation, gender?
- How do cultural factors such as social proximity, risk aversion and multigenerational interaction impact behavior and motivations across demographics segments?
- How are consumers across all segments altering purchasing behavior across and within categories, including stockpiling?
- How are consumers viewing the future, where will they spend when the crisis passes and what will be the long-term effects on behavior?
2. Tracking Survey
Our tracker goes beyond top-line reporting. We will look at levels of concern in multiple areas (financial, health, etc) as well as with government and media response. We will also track behavior adoption change which can be used by brands to encourage consumers to “do the right thing” and which may be predictive
3. Revised Spend Projections and Brand Response
We will updating our Annual Population and Expenditure analysis. We will look at a variety of questions including:
- How are population and spending projections likely to be altered across race, ethnicity, generation, and gender?
- How will these projections alter the outcomes by category?
- What are emerging examples of effective marketing during the Coronavirus crisis?
4. Custom Solutions
Questions we are currently address on behalf of members include:
- How are consumer behaviors changing with respect to my specific category, brand and consumer segments?
- How are my marketing efforts being perceived by consumers?
- How is my size of prize changing?
Dive into More Insights
With the coronavirus crisis disrupting most planned in-person fieldwork, our existing online qual expertise at Collage Group has allowed us to seamlessly support clients despite quarantines.
Collage Group just launched new syndicated research streams ranking ads and brands on cultural fluency.
AdRate and BrandRate are major new initiatives that provide a solution to our members’ mounting need for a comprehensive, ongoing analysis of the cultural fluency of branding and advertising.