fbp
IFA Global Press Conference Highlights Two Critical Retail Trends

Written by Rob Stott

April 28, 2022

IFA global press conference Jens Heithecker

For the uninitiated or unfamiliar, IFA Berlin is one of the oldest and longest running consumer electronics and home appliance shows in the world. Though the analogy isn’t exact, you could think of the show itself as a European version of the Las Vegas-based Consumer Electronics Show put on by the Consumer Technology Association each year.

IFA, which will take place September 2-6, offers consumers and industry attendees alike the opportunity to get hands-on with some of the latest and greatest innovations. This year, as IFA hosts its first close-to-full-scale event since the pandemic, Nationwide Marketing Group will be on hand to both participate and explore the halls of the expansive Messe Berlin campus.

In the run-up to the show each year, IFA hosts a Global Press Conference that highlights some of the major exhibitors, keynote speakers and more. IFA also provides a platform for GfK, a global consumer insights firm, to share consumer and retail trends. During this year’s GPC, which was live streamed this week, GfK dropped two data nuggets that stood out for the retail community, and independent retailers specifically.

1. Hybrid work is here to stay.

Perhaps not surprisingly at all, GfK reported that consumer interest in working from home, at least a portion of the time, is not waning. Over the past two years, as we were all forced to shift our working environments, we became comfortable with, and perhaps accustomed to, the idea of working and living in the same space. As such, GfK found that 63% of consumers say they want to continue to have the option to work from home at least three days a week.

For retailers, this represents an important opportunity to continue being a resource for the consumer who needs to either establish or upgrade that work-from-home experience. In particular, demand should continue for office furniture, networking equipment, computing equipment and more.

2. Consumers are very willing to spend on premium products.

Last year, premium brand sales growth grew by 32%, according to GfK. The bottom line there, consumers showed a willingness to spend more to obtain nicer, higher-quality product. Whether that’s a nicer pair of headphones, upgraded appliances, etc., more time at home meant wanting to upgrade that at-home experience.

That’s good news for retailers and those premium brands, to boot. But independent retailers, in particular, should be excited about the shift towards more premium brand sales for two reasons.

First, our data shows that the average ticket price for a Nationwide Marketing Group dealer is higher than the industry average. That tells us that consumers opt to shop with our retailers when they’re looking to make those more premium purchases. And it shows that Nationwide Members have a strong close rate when it comes to making those premium sales.

And second, we know that if a customer is looking to invest in premium-grade product — no matter the category — they want to experience that product before making the investment. The shopper journey starts online, there’s no denying that. But when it comes time for the consumer to make the purchase, especially on a premium-level item, they’ll likely take every precaution and want to turn over all stones to ensure they’re making the right investment. Independent retailers are uniquely positioned to offer that top-notch experience and professional expertise to reassure the customer that they’re making the best decision — not something they’d find roaming the aisles of a big box store.

 

Connect With Us!

More Podcasts

247: Synchrony Sets the Stage for What Retailers Should Expect, and How to Succeed, in 2025

247: Synchrony Sets the Stage for What Retailers Should Expect, and How to Succeed, in 2025

Before we get too deep into the calendar year, we wanted to take some time to sit down with Synchrony Financial to help set the stage for 2025. Dave Marsh, general manager for the brand, dives into some of the more important economic indicators as well as the programs and services retailers should tap into to be successful in the new year.

246: A Year-End Economic Recap, a Brief Look Ahead, and Deep Dive Into Waterfall Programs with Wells Fargo

246: A Year-End Economic Recap, a Brief Look Ahead, and Deep Dive Into Waterfall Programs with Wells Fargo

With the end of the year fast approaching, we take a moment – with the help of Wells Fargo’s Steve Jermier – to look back at how the retail industry (and economy) ultimately performed in 2024, and look ahead to next year. Steve also gives an overview on the resources available to set retailers up for success in the new year, including waterfall programs.

245: Experience Running Retail and as a Vendor Partner Makes Adam Fain’s New Role at NMG the Perfect Fit

245: Experience Running Retail and as a Vendor Partner Makes Adam Fain’s New Role at NMG the Perfect Fit

It can be difficult to truly understand what it means to run an independent retail business unless you’ve actually been in the trenches and done the dirty work. Same could be said about working on the manufacturing side of the business, if we’re being fair. Adam Fain, who recently joined the NMG field team, has experience on both sides of the business and brings that unique perspective to the group and our members.