Amazon DSP

The Shift in Consumer Behavior and its Impact on Advertising

Cameron Williamson
5 Minutes

The Shift in Consumer Behavior and its Impact on Advertising

At the start of 2020, an infectious disease brought by a new coronavirus shocked many with how fast it spread throughout the globe. As described by the World Health Organization (WHO), “Most people infected with the COVID-19 virus will experience mild to moderate respiratory illness and recover without requiring special treatment. Older people, and those with underlying medical problems like cardiovascular disease, diabetes, chronic respiratory disease, and cancer are more likely to develop serious illness.” We have seen major outbreaks from all over the world since.

Pandemics such as COVID-19 change the world as we know it. Consumer behavior has been transformed with the current times. People now are living differently and in many ways, buying differently. Priorities now are no longer the same. Retailers are closing doors and many people are losing their jobs. They now worry about their health and well-being more than ever.

Consumers all over the world are consuming products from a different perspective. The change in the consumer landscape has accelerated trends in a wide range of categories, including changes in how people shop. Having experienced disruption, we know how it works and impacts the marketplace.

Over the last year, we have seen the rise of online retailers. Since consumers cannot come to physical stores like before, the stores come home with a push of a button. Consumers are now learning to improvise and adapt to new habits.

The Rise of Online Grocery Shopping

Recently the world is having a sense of normalcy with more vaccines administered. But even so, analysts doubt that we will go back to how we used to consume. The convenience of online shopping has been proven efficient and hassle-free. To that effect, even if some local shops still exist, online shopping is becoming the go.

It's more common to place grocery orders online today. Whole Foods Market’s online sales tripled between March and December 2020. Even Amazon has been expanding its grocery services to more customers as well.

The Boom of Online Streaming

Many of us have found solace with television. Across the United States, streaming television and movies have been a hit the past year. There have been fewer cable users in the last five years. This is great news for advertisers. This new generation of viewers is shifting from linear TV to streaming TV, and they aren’t looking back. Streaming TV is not just an emerging way to reach audiences now, but it is the way to reach them.

The Impact on Advertising

The digital sale journey has taken place at home for much of the last year. With this, we have to adapt to the ever-changing world around us. Understanding your audiences is an essential factor in the success of your campaigns. Discovering opportunities can help you tailor your campaigns. This is so that they meet the needs of your customers where they are. Amazon Advertising is doubling down on first-party insights to help advertisers reach their desired audience with more certainty. Amazon Marketing Cloud (AMC) can help you better measure and optimize your campaigns. Advertisers can do actionable insights as a result of holistic measurement solutions. AMC allows them to read data from Amazon DSP and generate insights.

For sure, more technological innovations will emerge to make life easier. We aim to create experiences that add value at every touchpoint of the customer journey. Amazon DSP is here for you.

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