Resilience of the Mexican consumer in the post-COVID era
Five out of 10 Mexicans had an impact on reducing their income after the pandemic, which mainly impacted women, socioeconomic levels D and D +, as well as people over 55 years of age
In order to share a look at the changes that COVID-19 brought to the purchasing behavior, preferences and habits of the Mexican consumer, as well as the level of resilience of Mexican households in the face of the health crisis, the consumer insights marketplace Atlantia Search and data provider for market research Netquest , presented the study Resilient Consumer 2021.
Estela Roldán, Innovation & Product Development Manager of Atlantia Search comments that: “Without a doubt, the health crisis caused by COVID-19 has not ended: new variants of the virus, challenges in the area of health care and inoculation of the population , as well as new habits of life and consumption caused by confinement, digitization and social distancing, will mark the new normal. In this context, it becomes more relevant for brands to have valuable information for decision-making and to focus their strategies on reliable data based on the DNA of the post-COVID consumer ”.
Within the study methodology, online surveys were conducted with 621 people in Mexico (51% men and 49% women) between 18 and 65 years old, which represent the Nielsen areas of the country: North (17%), Mexico City (17%) Central (18%), Pacific (17%), West-Central (18%) and Southeast (14%). On the other hand, the study is divided into four sections:
- The homes of Mexico.
- Transformation of everyday life.
- Resilient consumer clusters.
- Changes in the Mexican consumer.
“Listening to the consumer conscientiously through analog channels and digital media, as well as measuring the pulse of their new consumption habits and lifestyle with market research, will allow companies to achieve success in their business strategies in this new reality. Many industries, processes and work schemes changed dramatically, with resilience being one of the values that stand out in the population to adapt, despite the circumstances, to a new family, work and social environment ”, highlights Lizbeth Estrada, Client Manager at Netquest Mexico.
Atlania Search / Netquest
Among the main results of the Resilient Consumer 2021 of Atlantia Search and Netquest are :
The Homes of Mexico
- Mexican families maintained their family nucleus after the pandemic, integrating an average of 4 people, consisting mainly of a partner and children.
- 8 out of 10 households maintained their family constitution; 20% had to move members when they went to live alone or with other relatives.
- 17% of those surveyed mentioned that they changed residence (7% rented, 7% moved with a family member or friend, and 3% bought a house). The population segment that was affected the most were the youngest, up to 35 years of age.
- 5 out of 10 Mexicans had an impact on reducing their income after the pandemic, which mainly impacted women, socioeconomic levels D and D +, as well as people over 55 years of age. 7% of those surveyed mention that their income increased and 38% that it was maintained.
- More than 60% of people with low SES (D + and D) suffered a reduction in family income, being the segment most affected during the pandemic.
- Regarding changes in occupation after the pandemic, 18% of consumers changed their main occupation, 11% changed companies to work, 5% added an additional job to their daily activities, while 63% remained in their position.
- After the pandemic, the population that studied before the pandemic increased by 10% and went to unemployment status. In addition, there is greater school inactivity due to factors such as: postponement of study, desertion due to search for job opportunities or completion of studies, but without job placement.
- 1 in 3 women became unemployed after the pandemic, while the unemployment rate by gender was 34.9% in women and 17.6% in men.
- 7.4% of those surveyed are optimistic about the increase in their income in 2022, which can be seen between 10% and 50%.
Transformation of everyday life
- 7 out of 10 Mexicans had some change in their work modality after the health crisis. Furthermore, a third of the population will maintain a flexible work scheme (permanent home office 17% or mixed scheme 18%), which will allow them to enjoy more free time.
- Currently, 8 out of 10 consumers participate more in home activities after the pandemic, such as cleaning and cooking at home.
- 47% of D + level respondents adopted home improvement and home cooking as new activities thanks to trends such as home economics and DIY. 19% of AB level consumers adopted as a new activity ordering food through delivery apps such as Uber Eats, Didi Food or Rappi.
- 86% of Mexicans at AB level increased the daily activity of cleaning the home.
- 7 out of 10 consumers abandoned personal care services within their daily activities, mainly those of level C +. It should be noted that activities that involve spending more time away from home, such as walking the pet or spiritual activities, are the ones that were stopped the most due to the arrival of COVID-19.
- 3 out of 10 Mexicans decreased the frequency of going out to make purchases.
- 4 out of 10 respondents perceive an increase in their free time after confinement. At the same time, 66% said they surf the internet more since the arrival of the health crisis due to COVID-19, which represents a great business opportunity for brands, advertisers and e-commerce platforms. 60% reported watching streaming content and 49% watching television.
- Visits and family events are the activities that respondents most want to resume when recovering the security and confidence lost during the pandemic. It should be noted that only 2 out of 5 Mexicans suspended visits to their extended family - uncles, cousins, in-laws, etc.-
- 4 out of 10 millennials left behind unfulfilled goals, mainly property acquisition plans (20% car and 14% house), however, they remain their focus for the future.
- A third of Gen Z left their career goals after COVID-19, such as finishing their degree or getting a job; However, in the future they continue to focus their career as their main goal, followed by buying a property.
- 6 out of 10 Mexicans of generation X left goals unfulfilled. Currently, health is their main objective and they continue with the focus on acquiring goods such as a car (23%) and a house (22%), as well as travel (21%).
- 5 out of 10 baby boomers left unmet goals; Although the acquisition of goods such as a house and a car was and is a fixed goal for them, they ruled out having their own business in exchange for worrying about their health.
Atlantia Search / Netquest
Resilient Consumer Clusters
As resilience is the ability to overcome adverse moments and adapt to different realities, 4 styles were identified, as well as 4 attitudes and perspectives of processing all the changes caused by the health crisis at the family level, income, free time, consumption habits and lifestyle:
Home resilience (27%). Middle to lower middle class households between 25 and 44 years old with children in the home and which are more prevalent in the central area. Concerned about protecting his family from external danger, he takes care of his health by cleaning the home.
They declare that they have little free time and take advantage of it by living with the people of their home and in very traditional entertainment, such as watching television 56%. Consumption of streaming and surfing the internet were digital trends that he adopted since the pandemic.
They like to buy fresh fruits and vegetables, despite the pandemic 68% have never bought these frozen products. It is one of the groups that consumes the most ice cream (53%), sweets and chocolates (61%), sugary drinks (51%) and soft drinks (64%), although it had already bought the categories before the pandemic. He likes to eat and pamper his family through food. In the future they seek financial stability and 2 out of 10 dream of having their own business.
Focused resilience (29%). Middle to lower middle class households between 25 and 54 years old with children in the home and that predominate more in the central area of the country. It was one of the groups most affected in terms of income and occupation. He was one of those who continued to go to work in person the most, so they do not feel that they have more free time and feel that his life is very similar to before the pandemic.
Focused on surviving and carrying on the day to day, he spends mainly on basic products and services such as housing and maintaining the home. There is less internet penetration and therefore less adoption of the new trends of virtual meetings, concerts, streaming; They have very traditional entertainment moments like watching TV.
The most consumed products are those of the basic food basket and only 24% declared to buy health products such as vitamins and medicines, a low consumption compared to the average of 40%.
Dynamic resilience (21%). Middle and upper middle class households and predominantly younger. Concerned about their integral health, they are the cluster that worried about their mental health by consuming therapy services and maintaining this expense during the pandemic (20%), and 27% started practicing a sport. They are the ones who most attend a gym after the pandemic or continue attending as before (27%), they are the ones who exercise the most outdoors in the pandemic (25%) or exercise at home (39%).
It is the cluster that most tried and experienced new activities to occupy its time, either indoors or outdoors, such as going to staff care services. In addition, the pandemic represented a challenge to maintain his social and outdoors life as much as he can, he wants to return to concerts and parties.
Pragmatic resilience (23%). Middle to upper-middle class homes, predominantly more in CDMX. They are young people who saw their income affected and also noticed the increase in expenses from staying more at home to work.
He has more free time and dedicates it to watching more streaming, increasing his spending in this area. Other expenses that increased was the purchase of technology and video games. His social life was affected and it is what he most wants to return to.
From the new digital trends they adopted online education and spent their time learning something new. It was the cluster that decreased its spending the most in the category of personal care, since by spending more time at home and with less social activity, it does not see the point of spending in this area.
Changes in the Mexican Consumer
- The digital connection through the internet and cell phone plans has been positioned as an essential expense and to maintain during the pandemic, even above basic services such as electricity and water.
- 50% of consumers explored a new place to buy their pandemic after the pandemic, mainly to boost local commerce (12%).
- Closeness was a very important attribute when making purchases, since after the pandemic 5 out of 10 people adopted corner stores, markets and flea markets as their main shopping places.
- 15% of Mexicans who managed to have an increase in their income are the main assets of home service purchases.
- With a greater reduction in income, Mexicans sought to buy in local stores (14%) and with more accessible prices (10%).
- 20% of Mexicans completely eliminated their consumption of food and beverages away from home after the pandemic.
- On the subject of family spending, the items identified as "It is an expense that I acquired due to the pandemic" most mentioned are: streaming services with 9.8%, Food Delivery apps with 9.2% and Physical health with 9%.
- The main migrations in terms of the purchasing channel were due to two factors: having a space closer to home (41%) and attending places that are perceived as being healthier (25%). This explains why the channel that lost the most was the markets and tianguis.
- 7 out of 10 consumers continue to have the supermarket as the main place to buy their pantry, especially women of socioeconomic level AB.
- The pandemic increased brand discovery, on average each person tried 3 new brands. Among those who bought or tried a new product during this health contingency, they did so with a company / brand that they already knew and that offered certain security and guarantees, in addition to buying with a sense of economy and utility.
To download the complete study, enter here .