L.E.K Consulting & Civis Analytics Pulse Report | Fielded April 20, 2020
In partnership with management consulting firm L.E.K. Consulting, Civis is publishing “COVID-19 in the U.S.: Consumer Insights for Businesses.” Administered approximately every two weeks, the survey tracks the pandemic’s impact on consumer sentiment as it relates to businesses, honing in on different segments, geographies and products. This 3rd edition of the survey was fielded on April 20, 2020. Responses from approximately 4,500 U.S. adults were weighted to be representative of the U.S. adult population.
Consumer spend across a wide range of regular/monthly spending categories has changed significantly as a result of the outbreak. Many regular/monthly spending categories have experienced a decline in average monthly spend levels, according to consumers, specifically:
Notably, takeout/delivery spend was down 10%-15% as of March 18th and roughly back in line with pre-outbreak spend levels according to our April 1st survey; in our latest edition, takeout spending is up 5-10%. This feedback would suggest consumers are increasingly turning to takeout as an alternative to home cooking.
We also assessed the degree of stockpiling in this latest edition of the survey. We found that consumers report they have ~5 weeks of non-perishable groceries, ~2 weeks of perishable groceries, and ~6 weeks of pet food as of April 20, 2020.
Consumers report that they plan to cancel or avoid a significant portion of anticipated spend during 2020 on household durable and consumer electronics subcategories (including any spend that has already been cancelled or avoided). There appear to be higher rates of unplanned spend within home entertainment and home productivity. However, these categories are still net negative, as the unplanned spend is likely on lower value items to support working from home, such as monitors and headphones.
As the outbreak progresses, the percent of consumers cancelling travel continues to rise. ~90% of business travelers and ~86% of leisure travelers cancelled at least some of their travel plans, up from ~83% and ~80% respectively, on April 1st.
Business travelers indicate a strong willingness to replace large portions of business travel with virtual tools (i.e., video-conferencing). While frequent travelers anticipate lower rates of replacement, the overall amount of travel estimated to be replaced, based on consumers’ responses, is ~26%.
There is strong support for all “new” safety measures tested, many of which are already in place, potentially creating a smoother transition back to normal life for consumers.
Consumers were asked to consider two different future recovery scenarios; scenario 1 in which the country is beginning to recover and scenario 2, in which the outbreak is nearly contained in the country. Here’s what we found:
The full report with more insights, charts, graphs, and analysis can be downloaded by clicking the link below.
Week of April 1: Report
Week of March 18: Report