Revealing an ‘Affordability-First’ Cohort
A study published this month reveals that for 26% of Americans, affordability is the top purchasing priority, versus factors including sustainability and health (EY, 2022). This is lower than several other major markets, including Japan (41%) and the UK (33%) but on par with the global average (25%).
Google, Klarna Boost Budget-Focused Search
Tech and payment giants are automating formerly laborious deal hunting, putting greater pressure on retailers to match rivals’ promotions or expand loyalty programmes.
This month, Google announced that it’s trialling several new features in the US and France. Expanding on a ‘price insights’ feature introduced two years ago, people searching for an item can now see its typical price range, as well as its price history. They can also get email updates on price fluctuations – similar to a feature launched by global payments provider Klarna in late 2020 (Stylus members can access Reframing Frugality, part of our Budget (Re)Valued Macro Trend, for more). Google product searches now also surface coupon codes and details on current retailer promotions, highlighting sales on the product in question.
Meanwhile, Klarna, which boasts 23 million active monthly app users, introduced multiple features last month, including a search tool that compares thousands of websites to find the best price for an item. Users browsing a product page in Klarna’s app can see whether other retailers offer a better price or cheaper delivery options, and any available coupons are automatically applied at checkout.