{"id":8649,"date":"2021-08-19T08:00:00","date_gmt":"2021-08-19T16:00:00","guid":{"rendered":"https:\/\/www.rangeme.com\/blog\/?p=8649"},"modified":"2021-10-06T14:35:53","modified_gmt":"2021-10-06T22:35:53","slug":"as-we-venture-out-more-what-happens-to-the-household-care-category","status":"publish","type":"post","link":"https:\/\/www.rangeme.com\/blog\/as-we-venture-out-more-what-happens-to-the-household-care-category\/","title":{"rendered":"As We Venture Out More, What Happens to the Household Care Category?"},"content":{"rendered":"\n<p class=\"has-drop-cap\">During the past year and a half, we did everything in our homes. Worked from home. Learned from home. Ate all of our meals at home. And, increasingly, we shopped from home.&nbsp;<\/p>\n\n\n\n<p>Not surprisingly, this resulted in the need for more household care products than ever before. Hoarders notwithstanding, we needed cleaning and paper products for the messes we created while cooking at home. Food storage containers for leftovers. And switching from office outfits to virtual meeting clothes meant less dry cleaning and more laundry detergent (for those who actually changed outfits, that is). And we sanitized EVERYTHING, so we stocked up on wipes and bleach and anything we thought would kill viruses.<\/p>\n\n\n\n<p>As COVID subsides and we go back to our pre-pandemic lifestyles (sort of), some of these new habits will remain. But which ones? During <a href=\"https:\/\/ecrm.marketgate.com\/Sessions\/2021\/11\/HouseholdCleaningPaperDisposableFoodStorage#utm_source=ecrm&amp;utm_medium=blog&amp;utm_campaign=householdcare\" target=\"_blank\" rel=\"noreferrer noopener\">ECRM\u2019s Household Cleaning, Food Storage &amp; Paper Products Program<\/a>, I spoke with a dozen buyers from a variety of retail chains to get their insights on how today\u2019s consumer is shopping in these categories as we start to emerge from the pandemic. <\/p>\n\n\n\n<p>One thing\u2019s for sure, though. The customer journey has been permanently altered. \u201cTwo-thirds of consumers we surveyed said that they have changed the way they shopped,\u201d says Carman Allison, VP of Consumer Insights for <a href=\"https:\/\/nielseniq.com\/global\/en\/\" target=\"_blank\" rel=\"noreferrer noopener\">NielsenIQ<\/a>, who I interviewed in an on-demand fireside chat-style presentation for the program (see video below). \u201cThis is probably the first time in the history of our research where we had a consumer trend such as COVID impact every single consumer in some way or another.\u201d&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe loading=\"lazy\" title=\"NielsenIQ: Omnishopper Trends in the Household Care Segment\" width=\"900\" height=\"506\" src=\"https:\/\/www.youtube.com\/embed\/q2KVP3A9mgA?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" allowfullscreen><\/iframe>\n<\/div><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>The supply chain challenge<\/strong><\/h2>\n\n\n\n<p>One thing we all experienced during the pandemic was the mad rush for household cleaning and paper products. And while we aren\u2019t really stockpiling as much anymore, the ramifications from last year\u2019s surge are still being felt. According to several retailers I spoke with, supply chain issues still impact the category, and many national brands are on allocation, meaning some retailers still face occasional out-of-stocks.<\/p>\n\n\n\n<p>While consumers know and trust the national brands, these supply chain issues led to some opportunities for emerging brands to drive trial and snag new customers. However, not all of them were up to the task. Case in point: several months ago my local drug chain\u2019s paper aisle went from completely empty to fully-stocked \u2013 only it was stocked with brands I had never heard of before. Great, I thought. I\u2019ll give a new vendor a try. The only problem is that these new paper towels pushed spills around, rather than absorbed them. Opportunity lost for them. Remember brands, if you are going to unseat the champion, you have to get a knockout.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Surge in online household care sales&nbsp;<\/strong><\/h2>\n\n\n\n<p>Whether it was due to empty store shelves or for safety reasons, more people turned to e-commerce for CPG purchases last year than ever before, and this is a change that will have a lasting impact beyond the pandemic as these consumers, 22 million of which were first-time CPG e-commerce shoppers, continue purchasing online. According to NielsenIQ\u2019s Allison, online was the fastest-growing retail channel last year for CPG, hitting $160 billion in sales during that period.&nbsp;<\/p>\n\n\n\n<p>Thirty percent of consumers bought household care products online. \u201cWhile the average online share for CPG was 12.8%, for household care products, it\u2019s almost double that at 23%,\u201d says Allison. \u201cWhen you have almost a quarter of your business shifting online, that\u2019s being fueled by the Omni shopper. They realized that if something is out of stock in a store, they can easily go online and search for it across many retailers.\u201d<\/p>\n\n\n\n<p>And once they were online, they stayed because of the convenience. They discovered the ease of subscriptions for items they need to replenish regularly like paper products or detergent, and the fact that they don\u2019t have to lug these heavy or bulky items themselves.&nbsp;<\/p>\n\n\n\n<p>Indeed, many of the retailers I spoke with are doubling down on digital, looking for brands that have drop-ship capabilities, providing curbside pickup, and creating special digital-only offers. Those who have created a strong digital game during the pandemic will reap the benefits long-term because the great thing about Omni shoppers is that they are big spenders. \u201cThey spend 20%more than the average consumer,\u201d says Allison. \u201cThat\u2019s why as a retailer or manufacturer you can\u2019t ignore them, because they will help drive your growth strategy.\u201d<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Sustainability and clean products&nbsp;<\/strong><\/h2>\n\n\n\n<p>While some consumers may have deprioritized the health of the planet behind their own health during the early months of the pandemic, one result of COVID was that consumers have become more vigilant about the ingredients in the products they buy, and the impact they have on both themselves, their family, and the environment.&nbsp;<\/p>\n\n\n\n<p>Indeed, <a href=\"https:\/\/www.bloomberg.com\/news\/features\/2020-12-16\/covid-pandemic-microbiomes-could-be-key-to-stopping-spread-of-future-viruses\" target=\"_blank\" rel=\"noreferrer noopener\">a recent Bloomberg Businessweek article<\/a> reported on how homes and offices actually have microbiomes of their own, and that some ingredients found in cleaners and sanitizers may do more harm than good as they kill off the healthy bacteria while letting superbugs spread. Consumers are paying close attention to studies like this, much more so than in the past. Podcasts and social media are also providing a wealth of information in this area and consumers spent a lot of time during quarantine soaking it up.<\/p>\n\n\n\n<p>Not only is it important for retailers to offer a variety of natural and clean-ingredient products, but they must provide strong messaging around it. \u201cConsumers are much more knowledgeable about products, and want to buy things they believe in,\u201d says Christina Vander Weide, Associate Buyer, Household Cleaning and Laundry, <a href=\"https:\/\/www.meijer.com\/\" target=\"_blank\" rel=\"noreferrer noopener\">Meijer<\/a>. \u201cWhen it comes to natural cleaning products, messaging at the shelf is key, particularly callouts about sustainable or clean-ingredient claims, and a digital presence is absolutely necessary. Shoppers need to be able to do their research instantly.\u201d<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1283\" height=\"723\" src=\"https:\/\/rangeme-blog-images.imgix.net\/blog\/wp-content\/uploads\/ChistnaMeier.jpeg?auto=format%2Ccompress&amp;w=1024&amp;h=1024&amp;fit=crop\" alt=\"Meijer's Christina Vander Weide\" class=\"wp-image-8652\" srcset=\"https:\/\/rangeme-blog-images.imgix.net\/blog\/wp-content\/uploads\/ChistnaMeier.jpeg?w=1283 1283w, https:\/\/rangeme-blog-images.imgix.net\/blog\/wp-content\/uploads\/ChistnaMeier.jpeg?w=300 300w, https:\/\/rangeme-blog-images.imgix.net\/blog\/wp-content\/uploads\/ChistnaMeier.jpeg?w=1024 1024w, https:\/\/rangeme-blog-images.imgix.net\/blog\/wp-content\/uploads\/ChistnaMeier.jpeg?w=1200 1200w\" sizes=\"auto, (max-width: 1283px) 100vw, 1283px\" \/><\/figure>\n\n\n\n<p class=\"has-text-align-left\"><strong>(Above)<\/strong> Meijer&#8217;s Christina Vander Weide and the author meeting during the ECRM Program<\/p>\n\n\n\n<p>Sustainability also applies to paper and food storage products, as well, with more consumers\u2014particularly Millennials and Gen Zers \u2013 seeking products made from recyclable materials, or those that can easily be recycled or composted.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Go big or go home<\/strong><\/h2>\n\n\n\n<p>One shopping behavior that may remain post-pandemic is the demand for larger sizes and multipacks when it comes to household care products. Part of this was driven by the fact that consumers wanted to shop less frequently in stores, part of it was the fear of running out. Another factor is the shift to e-commerce, where consumers tend to buy these items in bulk as they don\u2019t have to transport them home themselves.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Value-seeking shoppers<\/strong><\/h2>\n\n\n\n<p>Larger pack sizes and multipacks are of particular interest to those shoppers NielsenIQ refers to as \u201cconstrained.\u201d According to Nielsen, the number of consumers identified as newly constrained has doubled from 23% to 46% in the four months between September and December 2020. By definition, these newly constrained consumers have experienced a decline in household income, or their financial situation has worsened, leading them to consciously watch what they spend. And as economic stimulus packages and furlough schemes come to an end in some countries, those numbers are at risk of rising.<\/p>\n\n\n\n<p>\u201cThese consumers may still continue eating at home, and seeking more value in their purchases,\u201d says NielsenIQ\u2019s Allison. \u201cThey may seek private label products, or multipurpose cleaners vs. separate cleaners for each task.\u201d<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Looking ahead<\/strong><\/h2>\n\n\n\n<p>Moving forward, we can expect to see more shifts in how consumers shop the category. As people head back to the office, they may send more clothes out for dry cleaning and do less laundry at home. The same goes for cooking. Dining out may result in less need for paper, cleaning, and food storage products at home.<\/p>\n\n\n\n<p>Then again, many of the habits created during the pandemic may stick. I certainly will continue eating at home, and I know that my neighbor continues to order paper products online \u2013 if the huge packages I regularly see in my building\u2019s vestibule are any indication.<\/p>\n\n\n\n<p>\u201cWe\u2019re expecting to see some shifts in the household care categories as things open up and people get back to work,\u201d says one buyer for a major regional grocery chain. \u201cFor example, dish detergent will soften as people go out to restaurants more, and starches and softeners will come back as people dress up more for the office. Things will start to normalize.\u201d<\/p>\n\n\n\n<p>One thing is clear. It won\u2019t be easy to predict which COVID-related changes will stick and which will revert back to pre-COVID activities. It\u2019s likely most will maintain some sort of hybrid. As retailers and brands, we\u2019ll have to keep a close eye on our shoppers, wherever they are \u2013 via loyalty programs, digital tracking, in the stores \u2013 and do what we can to assure them that we are there for them when, where, and how they prefer to engage with us.<\/p>\n\n\n\n<p>For information about November&#8217;s Household Cleaning, Paper &amp; Disposable Food Storage Program, email Tony Giovanini or visit the website <a href=\"https:\/\/ecrm.marketgate.com\/Sessions\/2021\/11\/HouseholdCleaningPaperDisposableFoodStorage#utm_source=ecrm&amp;utm_medium=blog&amp;utm_campaign=householdcare\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>As COVID evolves and pre-pandemic lifestyles start to peek through, learn which household care habits and trends are expected to continue. <\/p>\n","protected":false},"author":47,"featured_media":8650,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[481],"tags":[2151,1872,471,2422,1289,37,259,2424,2421,2430,2426,906,2425,2427,30,2428,2423,711],"class_list":["post-8649","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry-trends","tag-cleaning-products","tag-conscious-consumerism","tag-consumer-packaged-goods","tag-covid-19-cleaning-habits","tag-covid-19-impact-on-retail","tag-cpg","tag-ecrm","tag-empty-shelves-from-covid","tag-household-care-category","tag-how-consumers-have-changed-the-way-they-shop","tag-online-cpg-sales","tag-online-product-discovery","tag-online-sales-in-household-care","tag-product-ingredients","tag-rangeme","tag-shopping-habits","tag-supply-chain-challenges","tag-sustainable-products"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>As We Venture Out More, What Happens to the Household Care Category? 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