New Zealand consumers prioritise value in deciding purchase

Younger consumers are purchasing more online whilst the older are returning in-store.

“Value for money” is the top driver of purchase decisions amongst New Zealand consumers, according to a report by Boston Consulting Group (BCG).

The report added that consumers in New Zealand seek more affordable brands and low prices online, and buy at a discount.

To seek value in their purchases, consumers within the age group of 18 to 24 and 35 to 51 increasingly research prices through digital channels where they also buy goods and arrange services.

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Meanwhile, those in the age group of 52 years old and above are returning in-store as they attribute value to quality and reliability, aside from price.

BCG said businesses should consider their pricing strategy to win value-seeking consumers, ensuring that their offer is competitive, coupled with a promotional programme.

They should also personalise their offer, delivering “low-priced affordability” to the younger age groups, and “long-term quality value” to those 52 and above.

“Getting this right relies on 4 elements: a clear personalisation strategy along the customer journey; advanced data and analytics to deliver customer insights; scalable and modular technology investments; and a broader reset of ways of working within the organisation,” the report read.