Inflation’s Grip: Adapting Marketing Strategies to Meet Changing Consumer Priorities

Inflation’s Grip: Adapting Marketing Strategies to Meet Changing Consumer Priorities

Inflation’s Grip: Adapting Marketing Strategies to Meet Changing Consumer Priorities

As Seen On

Inflation’s Grip: Adapting Marketing Strategies to Meet Changing Consumer Priorities

As high inflation continues to impact the cost of living and wages worldwide, it is crucial for marketers to understand and address the economic and cultural consequences brought about by these changes. The 2023 Gartner Cost-of-Living and Price Sentiment Survey reveals numerous key findings that provide valuable insights into consumers’ shifting priorities and present opportunities to modify marketing strategies accordingly.

According to the survey, a third of households reported experiencing financial hardship due to price increases, while 38% of respondents indicated that they have reduced their discretionary income, marking a year-over-year increase of 15% from 2022. Over a third of those surveyed have increased their spending on store brands and usage of coupons, and as many as 40% have shifted to generic brands, store brands, and less expensive products in at least one product category. Notably, 57% of respondents postponed a milestone event because of mounting cost-of-living pressures.

Despite these significant shifts in consumer behavior, there seems to be a disconnect between the priorities of Chief Marketing Officers (CMOs) and the general public. While CMOs may emphasize the availability of products, special deals, and increasing rewards and benefits, consumers are more attuned to maintaining steady prices and not providing high-level executive pay raises. This gap may be further widened by the growing sentiment that the system is “rigged” in favor of the wealthy, ultimately fueling feelings of resentment and disconnection among consumers.

To bridge this divide between consumer and brand priorities, marketers must employ responsive marketing strategies that not only acknowledge but actively address consumers’ concerns and expectations. Doing so will enable strong connections with audiences and ensure long-term brand success in this turbulent economic landscape.

Some such responsive marketing strategies include:

  1. Prioritizing narratives that speak to thrift and savings: In times of economic instability, consumers appreciate and resonate with a proactive approach to saving money. Emphasizing affordability and value in marketing campaigns can help companies connect with this heightened need for financial security.

  2. Focusing on brand values that are relevant to consumers’ inflationary pressures: Aligning brand messaging with the challenges faced by consumers is crucial in establishing trust and loyalty. Brands that are perceived as understanding and supporting their customers during difficult times are more likely to be successful.

  3. Citing examples of responsive campaigns: To better illustrate the concept of adjusting marketing strategies to align with changing consumer priorities, marketers can look to successful campaigns such as Tide’s “Cold Hard Savings” and Everlane’s “Priced Like It’s 2019.” These campaigns effectively tap into consumers’ desire for budget-friendly options without compromising on quality.

Admittedly, navigating the challenges posed by inflation requires that companies adapt their marketing strategies to cater to evolving consumer expectations and concerns. By employing responsive marketing tactics that target areas such as thrift, savings, relevant brand values, and successful, relatable campaigns, marketers can develop stronger brand-consumer relationships, ultimately leading to sustainable business growth.

In conclusion, understanding the impact of inflation on consumer behavior is essential for marketers aiming to develop compelling, cost-conscious promotional strategies. By pivoting their tactics to resonate with the experiences and expectations of those suffering under inflationary pressures, marketers can build strong connections with consumers, paving the way for success despite a tumultuous economic climate.

Casey Jones Avatar
Casey Jones
1 year ago

Why Us?

  • Award-Winning Results

  • Team of 11+ Experts

  • 10,000+ Page #1 Rankings on Google

  • Dedicated to SMBs

  • $175,000,000 in Reported Client

Contact Us

Up until working with Casey, we had only had poor to mediocre experiences outsourcing work to agencies. Casey & the team at CJ&CO are the exception to the rule.

Communication was beyond great, his understanding of our vision was phenomenal, and instead of needing babysitting like the other agencies we worked with, he was not only completely dependable but also gave us sound suggestions on how to get better results, at the risk of us not needing him for the initial job we requested (absolute gem).

This has truly been the first time we worked with someone outside of our business that quickly grasped our vision, and that I could completely forget about and would still deliver above expectations.

I honestly can't wait to work in many more projects together!

Contact Us


*The information this blog provides is for general informational purposes only and is not intended as financial or professional advice. The information may not reflect current developments and may be changed or updated without notice. Any opinions expressed on this blog are the author’s own and do not necessarily reflect the views of the author’s employer or any other organization. You should not act or rely on any information contained in this blog without first seeking the advice of a professional. No representation or warranty, express or implied, is made as to the accuracy or completeness of the information contained in this blog. The author and affiliated parties assume no liability for any errors or omissions.