McKinsey European consumer sentiment survey: How current events in Europe are shaping consumer behavior

McKinsey & Company 1
The invasion of Ukraine in February 2022 has had deep human, as well as social and economic
impact, across countries and sectors.
The implications of the invasion of Ukraine are also rapidly evolving and inherently uncertain.
As a result, this document and the data and analysis it sets out should be treated as a best-efforts
perspective at a specific point of time, which seeks to help inform discussion and decisions taken
by leaders of relevant organizations.
The document does not set out economic or geopolitical forecasts and should not be treated as
doing so. It also does not provide legal analysis, including but not limited to legal advice on
sanctions or export control issues.

Three emerging consumer themes in April 2022
New sources of concern and
tumbling confidence in overall
economy
Sharply rising prices on essentials
with noticeable consequences on
spend
Noticeable activity, demand and
channel and brand shifts in search
for value for money
Source: McKinsey & Company Europe Consumer Pulse Survey, 4/12–4/18/2022, n = 5,075 (France, Germany, Italy, Spain, UK), sampled to match European general population 18+ years
1 2 3
How do consumers feel? What do consumer observe? How are consumers reacting?
Despite the pandemic’s continuing grip on societies
in Europe, rising prices and invasion of Ukraine
have now by far overtaken COVID-19 as top
concerns for consumers
Rising prices are particularly worrying for low-
income consumers and millennials
Pessimism about economic recovery has
significantly increased in the last months, climbing
to higher levels than during COVID-19 lockdown
periods and more than doubling when compared
with October 2021
A vast majority of respondents across countries
has observed price increases
More than 90% perceive a high increase in
grocery prices
Consumer tangibly see and feel sharply increasing
prices on food, petrol and other essentials, and they
expects prices to increase even further. As a
consequence, consumers have started to cut
back on spend in other (discretionary)
categories and are expecting to continue to do
so going forward
68% of consumers have changed shopping
behavior in response to concerns and pressures
faced
Downtrading is widespread, and more than half
of those having changed shopping behavior are
testing private labels
Consumers are increasing purchases in
discounters, for which prices/promotions and value
for money are major drivers
Less than half of consumers have returned to
pre-COVID-19 out-of-home routine activities

Despite the pandemic’s continuing grip on societies in Europe,
rising prices and invasion of Ukraine have now eclipsed COVID-19
as top concerns for consumers (1/2)
Germany UK Italy
France2
Spain
Top source of concern1
% of respondents
1. Q: Which of the following is your top concern today? Figures may not sum to 100%, due to rounding.
2. For France, political insecurity (9%) and immigration (8%) are concerns mentioned by more than 5% of consumers.
12
5
7
8
24
44
Europe 5
9
21
11 9 8
7
8
3 6 3
2
4
4
11 14
8
6
7
11
7
34
18
15
32
21
40 44
60
32
47
Rising prices
Invasion of Ukraine
COVID-19 pandemic
Unemployment/job security
Extreme weather events
Other

Despite the pandemic’s continuing grip on societies in Europe,
rising prices and invasion of Ukraine have now eclipsed COVID-19
as top concerns for consumers (2/2)
80
59
41
29
28
20
19
17
5
3
Rising prices
Invasion of Ukraine
Extreme weather events/climate change
COVID-19 pandemic
Political uncertainty
Cost/accessibility of healthcare
Immigration
Brexit
Other
1. Q: What are the greatest source(s) of concern for you right now? Please select the top 3.
2. Q: Which of the following is your top concern today?
Top sources of concern today
% of respondents
44
24
8
5
7
3
3
4
1
1
Among top 3 sources of concern1 Top source of concern2

Rising prices particularly worrying for low income and millennials,
invasion of Ukraine for high income and baby boomers (1/2)
10
5
6
7
21
39
Overall
Top source of concern1
% of respondents
1. Q: Which of the following is your top concern today? Figures may not sum to 100%, due to rounding.
9 10 11
5 6
9 5
7
6
7
15 23
27
44 39
32
4
4
Low income High
income
Middle
income
9 10 10 10
6 5
9 8 7
9
6 6
8
16
16 22 27
39
43 39 36
Baby
boomers
4
Gen Z Millennials
4
Gen X
3
Split by generation
Split by income
Other
Rising prices
Invasion of Ukraine
COVID-19 pandemic
Extreme weather events

Rising prices particularly worrying for low income and millennials,
invasion of Ukraine for high income and baby boomers (2/2)
Top 3 sources of concern1
% of respondents
1. Q: What are the greatest source(s) of concern for you right now? Please select the top 3.
44
24
8
5
7
3
3
4
1
1
Extreme weather events/climate change
Rising prices
Cost/accessibility of healthcare
Invasion of Ukraine
Immigration
COVID-19 pandemic
Political uncertainty
Brexit
Other
High
income
Middle
income
Low
income
Gen Z Millennials Gen X Baby
boomers
49
17
8
4
10
3
3
3
0
1
45
26
7
5
5
4
2
4
1
1
37
31
8
7
5
3
3
5
1
1
44
18
10
7
10
5
2
1
1
1
49
18
7
6
9
3
3
3
1
1
44
25
6
5
8
3
3
4
0
1
41
31
9
5
3
3
2
5
1
1
Split by generation
Split by income

Almost two out of three consumers are negative about their own
country’s current economic state
Confidence in own country’s current economic state1
% of respondents
55 58 61 63 67
32 29 24 26 22
13 13 15 11 11
Germany UK Italy
France Spain
1. Q: How are you feeling about [COUNTRY]'s economy today? Rated from 1 “very positive” to 5 “very negative.” for visualization, we merged the categories “very positive” and “positive,” as well as “very negative” and ”negative.” Figures may
not sum to 100%, due to rounding.
2. Calculated by subtracting all "negative" answers from all "positive" answers.
Net confidence2 −42 −56
−52
−45 −46
61
27
13
Positive
Neutral
Negative
Europe 5
−48

Low-income and elder consumers have the lowest confidence in
their own country’s economic recovery
61
27
13
Positive
Overall
Negative
Neutral
% of respondents
1. Q: How are you feeling about [COUNTRY]'s economy today? Rated from 1 “very positive” to 5 “very negative.” For visualization, we merged the categories “very positive” and “positive,” as well as “very negative” and ”negative.” Figures may
2. Income brackets use € for France, Germany, Italy, Spain; for UK, the same brackets were used with £.
3. Baby boomers includes silent generation.
66 59 57
26 28 25
13 18
High (>50K)
9
Low (<25K) Middle
(25K–50K)
54 58 63 64
29 27 26 26
17 15
Baby boomers3
11
Gen Z Millennials Gen X
10
By income2
By generation

Consumers who are concerned about price increases and
unemployment are the most pessimistic on the current economy
68
57
46
69
46
23
29
33
22
36
9 14
21
9
18
COVID-19
pandemic
Rising prices Invasion
of Ukraine
Unemployment Extreme
weather events
% of respondents overall and by top concerns
1. Q: How are you feeling about [COUNTRY]'s economy today? Rated from 1 “very positive” to 5 “very negative.” for visualization, we merged the categories “very positive” and “positive,” as well as “very negative” and ”negative.” Figures may
2. Calculated by subtracting all "negative/very negative" answers from all "positive/very positive" answers.
Net confidence2 −29 −28
−60
−43 −25
61
27
13
Negative
Overall
Positive
Neutral
−48

Supply-related risks are the greatest worries of consumers with a
negative outlook on the current economy
Germany UK Italy
France Spain
Top 3 reasons for negative view on economy1
% of respondents who indicated a negative view of the economy’s current status and/or outlook
1. Q: You mentioned that you are feeling negatively about [COUNTRY]’s economy in light of the Ukraine invasion. Which of the following topics are you most
uncertain about? Please select up to 3. Figures may not sum to 100%, due to rounding; Bars only show reasons with agreement >20%.
47
42
39
31
27
26
24
16
12
9
3
0
Impact of influx of refugees
Interruption of gasoline supply
Unemployment rates/job security
Supply chain shortages
Energy shortages
Risk of further escalation of the war
Rising interest rates
Food shortages
Risk of nuclear disaster
Uncertainty on the stock market
Restrictions on international travel
Other
41
50
53
33
19
22
14
23
14
8
2
1
45
44
36
29
22
33
20
17
12
10
3
1
53
40
43
30
19
31
33
12
11
7
3
0
49
32
41
29
37
20
23
15
13
11
3
0
46
44
24
34
39
24
28
11
12
10
2
0
Europe 5

30 30 32 30 31 31
24
17
25
37
52 55 53 55 54 53
55
49
51
49
18 15 15 15 14 16 21
34
24
14
Mar 2020 Apr 2020 May 2020 Feb 2021
June 2020 Oct 2021
Nov 2020 Mar 2022 Apr 20223
Sept 2020
Optimistic: The
economy will rebound
within 2–3 months and
grow just as strong as or
stronger than before the
current crisis
Neutral: The economy
will be impacted for 6–12
months or longer and will
stagnate or show slow
growth thereafter
Pessimistic: The current
crisis will have lasting
impact on the economy and
show regression or fall into
lengthy recession
1. Q: What is your overall confidence level surrounding economic conditions after the coronavirus (COVID-19) crisis subsides (ie, once there is herd immunity)? Rated from 1 “very optimistic” to 6 “very pessimistic”; Top, middle, and bottom 2
boxes of scale aggregated to "Optimistic," “Neutral,“ and "Pessimistic.“ Figures may not sum to 100%, because of rounding.
2. Average of biweekly pulse surveys shown for Mar–May 2020.
3. Question in Apr 2022 was not framed for coronavirus: What is your overall confidence level surrounding the potential economic impact related to the invasion of Ukraine that began in Feb 2022?
Source: McKinsey & Company Europe Consumer Pulse Survey, 4/12–4/18/2022, n = 5,075 (France, Germany, Italy, Spain, UK); 3/22–3/29/2022, n = 5,028 (France, Germany, Italy, Spain, UK); 10/15–10/22/2021, n = 5,081 (France, Germany,
Italy, Spain, UK); 2/23–2/27/2021, n = 5,139 (France, Germany, Italy, Spain, UK); 11/9–11/16/2020, n = 5,232; 9/24–9/27/2020, n = 5,338 (France, Germany, Italy, Spain, UK); 6/18–6/21/2020, n = 5,645; 5/21–5/24/2020, n = 5,641; 4/30–
5/03/2020, n = 5,631; 4/16–4/19/2020, n = 5,623; 4/2–4/5/2020, n = 5,645, 3/26–3/29/2020, n = 5,614; 3/20–3/23/2020, n = 5,035 (Italy, France, Germany, Spain, UK, Portugal), sampled to match European general population 18+ years
Overall pessimism about economic recovery has significantly
increased, climbing to higher levels than during COVID-19 crisis
Confidence in own country’s economic recovery after crisis,1 % of respondents
20202 2021 2022

Confidence in own country’s economic recovery after current crisis,1 Apr 12–18, 2022
% of respondents
33 35 35 38 42
52 51 49
50 44
14 14 16 12 14
Pessimism about economic recovery is high across countries and
more than doubled since October 2021
1. Q: What is your overall confidence level surrounding the potential economic impact related to the invasion of Ukraine that began in Feb 2022? Rated from 1 “very optimistic” to 6 “very pessimistic.” Top, middle, and bottom 2 boxes of scale
aggregated to "Optimistic," “Neutral," and "Pessimistic.“ Figures may not sum to 100%, due to rounding.
Change in % pessimistic vs Oct 2021 survey,
percentage points
Change in % optimistic vs Oct 2021 survey,
percentage points
UK
+18
−17
Italy
+25
−23
Spain
+24
−19
Germany
+19
−23
France
+13
−19
Optimistic: The economy will rebound
within 2–3 months and grow just as strong
as or stronger than before the current crisis
Neutral: The economy will be impacted for
6–12 months or longer and will stagnate or
show slow growth thereafter
Pessimistic: The current crisis will have
lasting impact on the economy and show
regression or fall into lengthy recession

Low-income and elder consumers are having lowest confidence in
their own country’s forward-looking economic recovery
37
49
14
Overall
Pessimistic
Neutral
Optimistic
Confidence in own country’s expected economic recovery after current crisis1
% of respondents
1. Q: What is your overall confidence level surrounding the potential economic impact related to the invasion of Ukraine that began in Feb 2022? Rated from 1 “very optimistic” to 6 “very pessimistic.” Top, middle, and bottom 2 boxes of scale
aggregated to "Optimistic," “Neutral," and "Pessimistic.“ Figures may not sum to 100%, due to rounding.
2. Income brackets use € for France, Germany, Italy, Spain; for UK, same brackets were used with £.
41 35 33
48 51 49
15 18
11
Low (<25K) Middle
(25K–50K)
High (>50K)
22 34 41 40
57
49 46 50
20 18 13
Gen X
Gen Z Millennials
10
Baby boomers3
By income2
By generation

economy
spend
for value for money
1 2 3
with October 2021
grocery prices
so going forward
faced

Across countries, the vast majority of respondents observed price
changes
Germany UK Italy
France Spain
1. Q: In the last 4–6 weeks, have you seen a general change in the prices of any goods you commonly buy?
Price changes perceived in last 4–6 weeks1
% of respondents
Year-over-year inflation,
Mar 2022, %
7.6 5.1 7.0 6.8 9.8
7
93
11
89
12
88
10
90 94
6
Source: OECD; McKinsey & Company Europe Consumer Pulse Survey, 4/12–4/18/2022, n = 5,075 (France, Germany, Italy, Spain, UK), sampled to match European general population 18+ years
9
91
No
Yes
Europe 5

By far the most respondents perceive price increases in groceries
and food for home
1. Q: In the last 4–6 weeks, have you seen a general increase in the prices of any goods you commonly buy?
2. Q: In the last 4–6 weeks, how have you observed prices changing across the following categories? Rated from 1 "Prices decreased" to 5 "Prices increased significantly."
3. Calculated by subtracting all "decreased" answers from all "increased/significantly increased" answers.
Stayed the same
Decreased Increased Increased significantly Not sure
Price changes perceived in last 4–6 weeks
General price change1
% of respondents
Price change by category2
% of respondents who shopped category
9
91
Yes
No
Net change3
92
69
69
67
66
55
54
51
49
49
46
45
43
42
40
32
2
1
1
2
1
1
1
1
2
2
2
2
2
3
2
2
3
21
23
17
25
26
30
30
32
28
28
32
33
40
33
37
34
48
44
36
48
37
40
37
35
34
33
32
31
31
28
21
60
22
26
33
19
19
16
16
15
17
15
15
13
14
14
13
7
6
12
7
16
13
16
16
19
22
20
20
13
23
27
Household supplies
Home decoration and furniture
1
Home improvement and gardening supplies
Groceries/food for home
Skin care and makeup
Pet food and supplies
Kitchen and dining products
Personal-care products
Sports and outdoors equipment, supplies
Footwear
Consumer electronics
Fitness and wellness services
Apparel
Accessories
Jewelry
Vitamins, supplements, and OTC medicine

Two-thirds of consumers surveyed are concerned about rising
prices and expect prices to further increase over the next 12 months
65
63
47
36
13
I believe prices will continue to rise
throughout the next 12 months
I am concerned that the prices of everyday
purchases have been increasing
I am planning to buy fewer products/
services in the future if prices continue to rise
I intend to use more “buy now, pay later”
services in the coming months
I have had to scale back my lifestyle due to
an increase in prices
57 66 68 66
53 62 65 66
35 41 38 31
42 51 50 44
14 19 13
Statements Millennials Gen X
Gen Z
Baby
boomers3
Generational cut
Agreement to price-related statements
% of respondents rating agreement as 5 or 6 on 6-point scale
Between −3 and +3
< −3 > +3
Difference vs all consumers,2
percentage points
1. Q: Please read the following statements and indicate your level of agreement with each. Rated from 1 "Strongly disagree" to 6 "Strongly agree“.
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here split by generation.
All consumers
8

As spend on essential products rises, consumers save less and
spend less on nonfood discretionary items—and expect further cuts
1. Q: How have your household finances been affected over the past 4–6 weeks? Rated from 1 "Reduced a lot" to 5 "Increased a lot.“ For visualization, we merged “increased a lot” and “increased,” as well as “reduced a lot” and “reduced.”
"Last 4–6 weeks" refers to the change in behavior vs before the invasion of Ukraine.
2. Q: How do you expect your spend on the following categories to change in the next 4–6 weeks? Rated from 1 "Will spend significantly less" to 5 "Will spend significantly more.“ For visualization, we merged “significantly more” and “more,” as
well as “significantly less” and “less.” "Next 4–6 weeks" refers to the plan consumers make today, so this change is incremental to past change.
3. Calculated by subtracting all "lower" answers from all "higher" answer in each column/time frame.
Change of spend and expected spend in general categories
% of respondents
8 14 20 15
33
50
73
24
21 30
41
40
19
62 59 55
27
10
Rent/
mortgage
Energy/
utilities
Transport
and gasoline
Food and
essentials
Nonfood
discretionary
Put money
into savings
Net change3
10 −6
39
47 38 −40 7 −16
30
38 26 −34
About the same
Higher Lower
11 17 23 18
40 46
72
28
28 35
37
41
17
55 49 48
24
13
Rent/
mortgage
Energy/
utilities
Transport
and gasoline
Food and
essentials
Nonfood
discretionary
Put money
into savings
Change in spend in the last 4–6 weeks1 Expected change in spend in the next 4–6 weeks2

Majorities of consumers report spend increases and expect further
increases in energy, transport and gasoline, and food
1. Q: How have your household finances been affected over the past 4–6 weeks? Rated from 1 "Reduced a lot" to 5 "Increased a lot.“ For visualization, we merged “increased a lot” and “increased,” as well as “reduced a lot” and “reduced.”
"Last 4–6 weeks" refers to the change in behavior vs before the invasion of Ukraine.
2. Q: How do you expect your spend on the following categories to change in the next 4–6 weeks? Rated from 1 "Will spend significantly less" to 5 "Will spend significantly more.“ For visualization, we merged “significantly more” and “more,” as
well as “significantly less” and “less.” "Next 4–6 weeks" refers to the plan consumers make today, so this change is incremental to past change.
3. Calculated by adding the blue highlighted cells, ie, increased past spend or expect to increase future spend, excluding consumers that have decreased or expect to decrease their spend.
Change of spend in general categories in last 4–6 weeks1 and expected
in next 4–6 weeks,2 % of respondents
Calculation example
Observed/expected price increase,³ % 23
Decrease No change Increase
Decrease 4 3 1
No change 4 63 6
Increase 2 7 10
Change of spend in
next 4–6 weeks, %
Change
in spend
in last
4–6
weeks,
%
Germany UK Italy
France Spain
25
66
62
69
34
19
21
55
55
53
25
9
31
76
60
62
26
9
15
62
50
41
23
10
21
53
50
52
25
10
Energy/utilities
Transport and gasoline
Food and essentials
Nonfood discretionary
Put money into savings
Rent/mortgage
Europe 5
23
62
55
55
27
12
Between −3 and +3
< −3 > +3
Difference from all consumers,2 percentage points
Observed/expected price
increase,³ %

Spending on food and gasoline increased sharply and is expected to
grow further, while other categories are showing declines
10
20
37
36
42
42
41
41
54
51
33
18
14
32
45
39
37
27
44
17
17
12
13
18
9
11
9
8
13
15
13
10
10
12
14
21
Restaurant
Home improvement, garden
Food takeout and delivery
Groceries
Tobacco products
Alcohol
Apparel
Accessories
Quick-service restaurant
Home and furniture
Footwear
Jewelry
Toys and baby supplies
Household supplies
Personal-care products
Sports and outdoors
Kitchen and dining
Decrease Increase
Stay the same
12
25
16
36
37
45
27
30
33
16
23
41
29
40
39
44
46
43
18
14
10
7
13
12
13
14
11
60
29
14
35
17
15
18
14
16
Books/magazines/newspapers
Entertainment at home
Out-of-home entertainment
Fitness and wellness
Vitamins and OTC medicine
Pet care services
Personal-care services
Gasoline
Vehicles
Short-term home rentals
Travel by car
Cruises
Adventures and tours
International flights
Hotel/resort stays
Domestic flights
−5
−29
−25
−33
−13
−15
−22
45
−27
7
−23
−25
−26
−32
−11
5
23
−10
−28
−27
−32
−25
−35
−30
−48
−44
−27
−9
−5
−24
−39
−32
−27
−14
Net change
expected,3 next
4–6 weeks
6 0
−18
−12
−29
−34
−26
−16
−18
−23
29
−6
−29
2
−13
−20
−24
−29
−27 −25
Net change3
−46
34
−20
−3
−35
−3
−20
−25
−29
−25
−32
−30
−43
0
−22
−27
−24
−6
Change of spend in categories in last 4–6 weeks1 and expected in next 4–6 weeks2
% of respondents who shopped category
Change, last
4–6 weeks
Net change
expected,3
next 4–6
weeks
Net change3
Change, last
4–6 weeks
1. Q: In the past 4–6 weeks, how has the amount you have spent on these categories changed? Choices include “Spent less on this category,” “Spent the same amount,” “spent more on this category.”
2. Q: Over the next 4–6 weeks, do you expect that you will spend more, about the same, or less money on these categories than usual?
3. Net change is calculated by subtracting the % of respondents stating they decreased spend from the % of respondents stating they increased spend in the category.
Net change > +15
Net change −15 to +15
Net change < −15
xx xx xx

More than half of European consumers surveyed, especially baby
boomers, are more conscious about their home energy usage
Change in purchase behavior in last 4–6 weeks1
% of respondents
1. Q: In which other areas of your life, if any, have you changed your shopping behavior in the last 4–6 weeks?
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here generational cut.
Between −3 and +3
< −3 > +3
Difference from all consumers,2 percentage points
Source: McKinsey & Company Europe Consumer Pulse Survey, 04/12–04/18/2022, n = 5,075 (France, Germany, Italy, Spain, UK); sampled to match European general population 18+ years
55
25
20
17
13
13
12
7
7
6
5
4
4
18
I have become more conscious about my home energy usage
I have changed my mode of transport to use less gasoline/to save money
I have delayed/canceled a pending trip/vacation
I have reduced/stopped purchasing products from companies that have
not taken a stance on the invasion of Ukraine
I have purchased supplies to donate to the Ukraine
humanitarian effort and/or have donated money or time to volunteer
I have stocked up on products (e.g., grocery or household items) that I use
often in the event that there are supply chain shortages
I have delayed/canceled a planned purchase of a car/other vehicle
I have reduced/stopped purchasing products from Russian companies
I have started/increased my purchase of products from companies that
have taken a stance on the invasion of Ukraine
I have delayed/canceled a planned purchase of a new home
I have sold/plan to sell my car or other vehicle
I have sped up my plan to purchase a new home
I have offered to shelter/sponsor Ukrainian refugees
None of these
Generational cut
Millennials Gen X
Gen Z
Baby
boomers3
31 26 23 25
48 53 53 62
20 20 16 16
10 10 5 2
10 6 4 1
12 13 15 11
9 6 4 2
13 12 13 15
8 8 6 6
8 8 6 5
20 21 21 19
13 14 11 12
8 5 4 2
11 15 19 21
All consumers

economy
spend
for value for money
1 2 3
with October 2021
grocery prices
so going forward
faced

v
Two-thirds of consumers changed shopping behavior; a plurality of
them have tried or plan to try private label
68
37
29
24
14
13
11
10
10
Try a new digital shopping method
(eg, ordered groceries via app)
Try a private-label brand
Switch from a brick-and-mortar store to online
Switch to a different brand than normal
Shop from a different website than normal
Shop from a different retailer/store than normal
Use a new shopping method
(eg, pickup and food delivery subscription)
Switch from online to a brick-and-mortar store
Activities in last 4–6 weeks1
% of respondents
Plans to do activities in next 4–6 weeks2
% of respondents who did not do activity in
the last 4–6 weeks
1. Q: In the last 4–6 weeks, which of the following have you done when purchasing groceries and other essentials (eg, toiletries, cleaning products)?
2. Q: How likely are you to change your shopping behavior in the next 4–6 weeks when purchasing groceries and other essentials (eg, toiletries, cleaning products)? Rated from 1 "Not likely at all" to 6 "Extremely likely." Here, the answers
"Extremely likely" and "Likely" are shown in an aggregated view.
3. Any new shopping behavior applies if a respondent has chosen at least 1 of the other categories mentioned.
Activities when shopping for groceries or essentials
38
21
13
10
9
8
8
7
14
Activities
94% of consumers noticed a price increase
when shopping for groceries and essentials
Total: Any new shopping behavior3

68
37
29
24
14
13
11
10
10
Shop from a different website than normal
Switch from a brick-and-mortar store to online
Switch to a different brand than normal
Try a private-label brand
Total: Any new shopping behavior3
Shop from a different retailer/store than normal
Try a new digital shopping method
Use a new shopping method
Switch from online to a brick-and-mortar store
For groceries and essentials, Gen Z and millennials were much more
likely than older consumers to explore new shopping behaviors
Generational cut
All consumers
Between −3 and +3
< −3 > +3
1. Q: In the last 4–6 weeks, which of the following have you done when purchasing groceries and other essentials (eg, toiletries, cleaning products)?
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here generational cut.
3. Any new shopping behavior applies if a respondent has chosen at least one of the other categories mentioned.
Activities when shopping for groceries and
essentials in the last 4–6 weeks1
% of respondents
percentage points
Gen Z Millennials Gen X Baby boomers
87 79 67 54
31 30 23 17
23 21 11 6
40 37 29 20
42 40 38 32
22 18 13 9
16 13 8 6
20 16 8 4
22 17 8 4

Many consumers increased their purchases in discounters; many
shopped less in convenience and specialty stores and hypermarkets
Amount of shopping by retail format in past 4–6 weeks1
% of respondents who shopped at a different retailer/store than normal in last 4–6 weeks
Retail format
11
4
36
25
23
16
24
29
33
35
38
56
29
33
34
35
16
7
9
8
Discounter
Supermarket
Hypermarket
Specialty grocery store
Convenience store
Did not shop there Shopped more
Shopped less Shopped same amount
1. Q: You mentioned that in the last 4–6 weeks you started shopping from a different retailer or store than you normally would when purchasing groceries and other essentials. How has your shopping at the following types of
retailers/stores changed?
2. Calculated by subtracting all "shopped less" answers from all "shopped more" answers.
24% of consumers changed their
retailer/store in the last 4–6 weeks
Net change2
−22
−8
19
−24
−27

German consumers shifted heavily to discounters, while only
Italian consumers increased purchases from supermarkets
Germany UK Italy
France Spain
19
-8
-22
-24
-27
Supermarket
Discounter
Hypermarket
Specialty grocery store
Convenience store
Net change
Channels All consumers
Between −3 and +3
< −3 > +3
Difference vs all consumers,2 percentage points
41 22
41 18 45
2 −4
−12 −24 43
27 −15
27 25 24
41
28 45
43
−27
27 25 −32
4
22
−9
−25 −26
−29 37 32
37 32
−21 −20
−16 −25
26 −28 −25
26
−16
−30 −29
Net change in shopping by retail formats, past 4–6 weeks1
% of respondents who shopped at a different retailer/store than normal
24% of consumers changed their retailer/store in the last 4–6 weeks
1. Q: You mentioned that in the last 4–6 weeks you started shopping from a different retailer or store than you normally would when purchasing groceries and other essentials. How has your shopping at the following types of
retailers/stores changed? Net change calculated by subtracting all "shopped less" answers from all "shopped more" answers.
2. Difference calculated by subtracting the answers of all consumers from those in a subgroup—here split per country.

Consumers’ top reasons for moving to a new retailer are prices/
promotions and value for money, particularly in the United
Kingdom and Italy
1. Q: You mentioned you shopped from a different retailer/store in the past 4–6 weeks when purchasing groceries and other essentials (eg, toiletries, cleaning products). What were the main reasons you decided to
try this new retailer/store? Respondents could choose up to 3 reasons.
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here split per country.
All consumers
Top reasons for choice of new retailer/store for groceries/essentials1
% of respondents who shopped at a different retailer/store than normal in last 4–6 weeks
46
42
21
19
16
15
14
14
13
10
8
8
8
7
7
6
5
3
Less crowded has shorter lines
Better quality
More easily accessible from my home
Better prices/promotions
Better value for money
Offers natural/organic offerings
I wanted to save on the cost of gasoline
Products are in stock
Supporting local businesses
Family/friend recommendations
Wanted variety/a change from normal
One-stop shop
Wanted to treat myself
Shares my values
More sustainable/environmentally friendly
Cleaner/has better hygiene measures
The company treats its employees well
Their response to the invasion of Ukraine
Between −2 and +2
< −2 > +2
Difference vs Europe 5,2
percentage points
38
35
18
21
17
21
13
8
12
13
14
7
10
8
3
5
11
8
Germany
56
55
15
12
14
17
12
8
14
9
9
8
5
4
6
4
7
5
UK
50
38
23
22
17
6
13
15
12
9
8
6
9
11
5
2
7
7
Italy
44
39
21
21
17
15
16
13
10
8
4
16
7
6
5
4
8
7
France
39
41
27
22
14
15
15
24
15
8
5
7
8
7
7
2
4
5
Spain

Across generations, better prices/promotions and better value for
money consistently are key reasons for switching retailers
1. Q: You mentioned you shopped from a different retailer/store in the past 4–6 weeks when purchasing groceries and other essentials (e.g., toiletries, cleaning products, etc.).What were the main reasons you decided to try this new
retailer/store? Respondents could choose up to 3 reasons.
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here generational split.
Top reasons for choice of new retailer/store for groceries/essentials1
% of respondents who shopped from a different retailer/store than normal in last 4–6 weeks
46
42
21
19
16
15
14
14
13
10
8
8
8
7
7
6
5
3
More easily accessible from my home
Less crowded/has shorter lines
Shares my values
Better quality
I wanted to save on the cost of gasoline
Family/friend recommendations
One-stop shop
Offers natural/organic offerings
Their response to the invasion of Ukraine
Cleaner/has better hygiene measures
Between −2 and +2
< −2 > +2
percentage points
18
46
39
5
20
14
8
21
13
6
10
9
8
9
3
14
8
17
Millennials
16
50
42
4
17
12
8
20
12
4
5
7
8
8
3
16
8
10
Gen X
13
36
41
10
28
12
12
15
16
8
10
9
13
13
6
15
5
14
Gen Z
11
49
46
8
15
16
7
26
15
4
7
3
5
10
3
18
6
11
Baby
boomers
All consumers

Downtrading is particularly evident in household products, snacks
and confectionary, and frozen foods
25
31
34
38
40
40
43
43
44
44
51
5
5
5
6
5
7
5
5
6
8
5
69
63
61
56
55
53
52
51
49
48
43
Hot drinks
Household products
Snacks and confectionary
Bread and bakery
Frozen foods
Non-alcoholic beverages
Dairy and eggs
Healthcare, beauty, baby
Fresh fruit and vegetables
Fresh meat, fish, poultry
Alcohol
No change Switched to higher-priced brand Switched to lower-cost or private-label brand
1. Q: You mentioned that in the last 4–6 weeks you tried a different brand than you normally would when purchasing groceries and other essentials. Which of the following best describes how/where you switched brands?
2. Calculated by subtracting the answers for "switched to higher-priced brand" and "no change“ from "switched to lower-cost or private-label brand."
Brand-switching behavior of consumers1
% of respondents who switched to a different brand for
groceries or essentials in last 4–6 weeks
Net trade-down2
39
27
21
11
9
6
3
3
−1
−5
−13
51% of consumers changed a
groceries/essentials brand in the last 4–6 weeks

Consumers in Germany and the United Kingdom are downtrading more
than other countries in additional categories, including non-alcoholic
beverages; healthcare, beauty, and baby; and bread and bakery
Healthcare, beauty, and baby 6
Non-alcoholic beverages
Frozen foods
27
Household products
Alcohol
Snacks and confectionary
Dairy and eggs
21
Hot drinks
Bread and bakery
Fresh meat, fish, poultry
Fresh fruit and vegetables
39
11
9
3
3
−1
−5
−13
Germany UK Italy
France Spain
26
44
28
4
11
23
17
15
7
12
−12
−13
14
-7
30
8
−18
3
-6
-5
−13
−20
19
40
23
48
8
41
12
24
13
7
−13
13
−3
4
0
39
22
26
−6
5
−7
−12
35
3
−3
12
30
13
5
10
−17
−12
−11
1. Q: You mentioned that in the last 4–6 weeks you tried a different brand than you normally would when purchasing groceries and other essentials. Which of the following best describes how/where you switched brands?
2. Calculated by subtracting the answers for "switched to higher-priced brand" and "no change“ from "switched to lower-cost or private-label brand."
Net trade-down2
Brand-switching behavior of consumers1
% of respondents who switched to a different brand for groceries or essentials in last 4–6 weeks
51% of consumers changed a
groceries/essentials brand in the last 4–6 weeks

Across generations, better prices/promotions and better value for
money consistently are key reasons for switching brands
1. Q: You mentioned you tried a new/different brand than what you normally buy in the last 4–6 weeks when purchasing groceries and other essentials (eg,
toiletries, cleaning products). What were the main reasons that drove this decision? Respondents could choose up to 3 reasons.
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here generational split.
Top reasons for choice of new brand for groceries/essentials1
% of respondents who bought a different brand than normal in last 4–6 weeks
Between −2 and +2
< −2 > +2
Difference vs all
consumers,2
percentage points
All consumers
52
51
14
12
12
12
11
10
10
9
9
8
6
6
6
4
3
3
Larger package sizes
Wanted to try a new brand I found
Wanted to try new type of product
Cleaner/safer
Is natural/organic
Better quality
Available where I’m shopping
Better shipping/delivery cost
Shares my values
Their response to the invasion of Ukraine 4
5 2 3
15
10
12 11
56
44
40 57
59
47
40 57
8
8 4 3
19
20 8 10
8
10 9 12
8
11 6 3
10
11 13 13
3
8 3 1
12
10 7 8
13
12 9 8
7
5 3 2
9
15 6 4
11
12 6 9
9
12 9 13
6
10 4 6
12
13 10 13
Millennials Gen X
Gen Z
Baby
boomers2
51% of consumers changed a groceries/
essentials brand in the last 4–6 weeks

When observing price increases, more than half of consumers
change behavior; about 20 percent say they delay the purchase
Perception of price
increase and action taken
by consumers by category
1. Q: In the last 4–6 weeks, how have you observed prices changing across the following categories? Rated from 1 "Prices decreased significantly" to 5 "Prices increased significantly."
2. Q: In the last 4–6 weeks, have you done any of the following when purchasing [product]? Respondents who answered they switched to a different or lower-cost brand, delayed their purchase, switched to a different store or website,
purchased a smaller quantity.
No action
Delayed a purchase
Switched to a different brand
Switched to a higher-cost brand
Switched to a lower-cost brand
Switched to a different store/website
Purchased a larger size/quantity
Purchased a smaller size/quantity
70
69
57
56
53
51
51
48
47
44
44
42
34
Kitchen & dining products
Pet food & supplies
Apparel
Home improvement & gardening supplies
Skincare & make-up
Home decoration & furniture
Sports & outdoors equipment & supplies
Footwear
Fitness & wellness services
Accessories
Jewelry
41
32
35
35
35
47
34
41
32
40
39
38
32
7
15
21
15
16
18
22
20
22
18
22
20
20
13
15
8
14
13
11
10
10
15
12
14
13
13
3
4
3
4
4
4
4
6
4
6
4
8
4
22
38
20
29
24
16
22
21
22
18
21
21
15
10
7
9
7
8
10
9
9
12
12
12
12
13
15
11
6
7
10
5
3
5
8
4
7
5
9
14
24
25
22
23
17
26
20
22
15
21
24
28
Consumer-observed price
increases by category1
% of respondents top-2-boxes
Changed behavior when price increase perceived2
% of respondents reacting to perceived price increase

Across categories, majorities of consumers switching brands are
moving to private labels
Type of brand selected (private label or not)2
% of respondents choosing a different or lower-cost brand as reaction to a
perceived price increase
Switch to lower-cost or
different brand
% of respondents reacting to a
perceived price increase
91
69
72
71
76
79
69
68
79
72
62
77
63
9
31
28
29
24
21
31
32
21
28
38
23
37
1. Q: In the last 4–6 weeks, have you done any of the following when purchasing [product]? Respondents who answered they switched to a different or lower-cost brand, delayed their purchase, switched to a different store or website,
purchased a smaller quantity, none of these.
2. Q: You mentioned that you switched to a different brand when purchasing [product]. Was this a private-label brand (eg, supermarket brand)?
Consumers switching brands by product category1
% of respondents who perceived a price increase in category and switched to a different or lower cost brand in the last 4-6 weeks
Private-label brand Non-private-label brand
53
43
37
37
36
35
34
33
31
29
28
28
28
Apparel
Accessories
Footwear
Jewelry

Relative to other countries surveyed, Spanish consumers are brand
loyal in health and well-being, Germans in clothing and interior
53
43
37
37
36
35
34
33
31
29
28
28
28
Apparel
Accessories
Footwear
Jewelry
Germany UK Italy
France Spain
45
50
37
42
31
45
39
32
26
28
25
25
33
52
44
32
28
38
23
28
40
31
29
22
28
25
37
41
45
45
33
33
49
17
32
30
33
29
25
40
34
37
43
37
38
31
41
42
32
28
41
30
57
43
34
35
40
38
34
29
25
25
35
23
24
Switch to lower-cost or different brand1
% of respondents reacting to perceived price increase
Europe 5
Between −3 and +3
< −3 > +3
Difference from Europe 5,2 percentage points
1. Q: In the last 4–6 weeks, have you done any of the following when purchasing [product]? Data are for respondents who answered they switched to a different or lower-cost brand.
2. Calculated by subtracting the answers of all consumers from those in a subgroup—here split per country.

Reasons for choosing a product/brand in the past 4–6 weeks1
% of respondents rating reason as 1 or 2 (unimportant) and 5 or 6 (important) on 6-point scale
1. Q: In the last 4–6 weeks, when choosing a product/brand to purchase, how important to your purchase decision were the following factors that may be attributed to the product or brand? Rated from 1 "Not
important at all" to 6 "Extremely important."
2. Calculated by subtracting the unimportant (ratings of 1 or 2) value from the important (ratings of 5 or 6) value.
Trying out a new brand is strongly driven by ‘rational’ reasons,
especially lower price and availability
21
28
27
29
41
35
58
51
36
49
42
28
21
Rational
Beliefs
Sustainability 13
14
18
18
20
5
6
12
6
10
24
27
29
No artificial ingredients/natural/GMO-free
Recyclable products, packaging, or initiatives
Small or neutral carbon footprint
Sustainably sourced materials
Fair trade practices
Lower price
Available in the store closest to me
Locally sourced/locally owned
Brand that I know and trust
Brand that treats employees well
Brand actively supporting the humanitarian effort in Ukraine
Brand that has stopped doing business in Russia
Brand that has made public statements in support of Ukraine
Unimportant Important
Net
importance2
27
21
11
9
1
54
45
24
32
5
1
−8
43

Reason for trying a new brand in the past 4–6 weeks1
Net importance rating2
1. Q: In the last 4–6 weeks, when choosing a product/brand to purchase, how important to your purchase decision were the following factors that may be attributed to the product or brand? Rated from 1 "Not
important at all" to 6 "Extremely important."
2. Calculated by subtracting the unimportant (ratings of 1 or 2) value from the important (ratings of 5 or 6) value.
Rational
Beliefs
Sustain-
ability
Consumers in Germany, Italy, and Spain place more value on
sustainability; those in Spain also value a clear position on Ukraine
Europe 5
27
21
11
9
1
54
45
24
43
32
5
1
-8
Locally sourced/locally owned
No artificial ingredients/natural/GMO-free
Lower price
Recyclable products, packaging, or initiatives
Small or neutral carbon footprint
Sustainably sourced materials
Fair trade practices
Available in the store closest to me
Brand that I know and trust
Brand that treats employees well
Brand that made public statements in support of Ukraine
Brand that actively supports humanitarian effort in Ukraine
Brand that has stopped doing business in Russia
France Spain
UK Italy
Germany
34
22
14
12
9
54
49
21
40
29
-5
-13
0
29
16
7
2
-7
40
36
27
33
26
-13
-16
-22
6
14
2
-2
-6
63
47
1
40
27
9
11
-10
32
21
8
12
-4
44
36
31
40
32
5
-2
-3
35
33
22
22
12
66
57
40
60
48
23
17
11

McKinsey European consumer sentiment survey: How current events in Europe are shaping consumer behavior

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McKinsey European consumer sentiment survey: How current events in Europe are shaping consumer behavior

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