The “Long Covid” Impact to Consumer Behavior

Reflecting on the past Covid-19 pandemic, it's striking how a topic that once dominated headlines and conversations for hundreds of days has gradually faded from public discourse.

As consumer researchers and marketers, we’d have to argue that the ripple effects of this global crisis will continue to leave a lasting imprint on consumer attitudes and societal norms. The following key points demonstrate the significant impact that the Post-Covid years have had on consumer behavior, reshaping our preferences and purchase decision-making:

1. Embracing Flexibility

The Covid-19 pandemic has underscored how fragile life is and how events can unfold unexpectedly. For consumers in general, the pandemic has compelled them to acknowledge that they cannot gain control over every aspect of their lives, prompting them to accept uncertainties as a challenge to overcome.

This has fostered a greater openness and readiness to adapt to new circumstances. According to McKinsey’s survey publication, over 60% of consumers globally have changed their shopping habits in response to the pandemic, with many citing a need to be more flexible and open to new ways of doing things.

The pandemic has also resulted in the creation of  ‘new demand’, i.e. increased consumption of certain products which were either consumed in lesser quantities or not consumed at all before the event. Such effects have led to significant upward shifts in the market demand for these products.

Food for thoughts for Marketers : How Might We maintain our products’ / brands’ relevance after the pandemic, and create more ‘new demand’ moving forward?

2. Growing interest in Self-care

The stressful pandemic exposed consumers to a growing physical and mental health discourse. It was estimated that cases of anxiety had increased by 76m globally, 26% above pre-pandemic levels.   

This has led to shifted priorities to self-care and well-being, such as physical exercise and mindfulness practices. Millennials and Gen Zs are arguably the most health-conscious demographics.

They spend more and devote more time with regards to their wellness - i.e. more interest in sports and healthcare, look up for self-help info, create safe spaces to process feelings, and retreat to familiar & entertaining activities (e.g. games).

Food for thoughts for marketers : How Might We highlight our brand’s value beyond functional level and serve consumers’ emotional needs?

3. Heightened realization and desire for justice amidst inequality

The pandemic has magnified existing social and economic inequalities, leading to a greater awareness of injustices in society. People are increasingly demanding fair treatment and equal access to resources. Data from the World Economic Forum shows that the pandemic has disproportionately affected marginalized communities, with lower-income individuals facing higher rates of job loss and financial insecurity.

There are generational differences responding to this issue. While millennials boast ambitions to change the world—communicating social impact in a grand way. Gen-Zs, however, have a more realistic view. They think more critically on issues, and perceive that often it’s best to focus on small yet important actions against issues that impact them the most.

Food for thoughts for Marketers : How Might We demonstrate and manifest our brand’s social purpose in ways that would empower our consumers?

4. More rapid tech adoption : Offline to Online to Hybrid 

The pandemic accelerated the adoption of technology as people turned to digital solutions for work, education, entertainment, and socializing. Data from Statista shows the growth of global e-commerce sales trend since the pandemic, reflecting the shift towards online shopping.

While there was initially a heavy reliance and enthusiasm on technology, there is also evidence of "tech fatigue" as more consumers are now seeking a balance between digital and offline experiences.

Food for thoughts for marketers : How Might We effectively engage and deliver exceptional experiences across both digital and physical world?

5. Higher dependency on social proof 

During the pandemic, there were many situations that placed people in urgent need for guidance. With the rise of misinformation and uncertainty, consumers are placing a greater emphasis on seeking out reliable information to navigate the chaos.

Edelman’s research on Trust Barometer shows that trust in businesses and institutions has declined during the pandemic, leading consumers to rely more on peer recommendations and expert opinions when making decisions. This has raised the importance of social proof (i.e. the tendency to look for and follow other people’s behavior for their purchasing decisions).

Emerging sources of inspiration and guidance across markets, including family and friends, social media contents (TikTok, Instagram, Youtube, etc.), Public figures and KOL reviews, communities, as well as motivational & religious influencers.

Food for thoughts for marketers : How Might We build trust in our brand and become the brand they’d always choose and recommend?

References :

• McKinsey Report (2020) Perspectives on retail and consumer goods
• Int J Consum Stud. (2022) Impact of COVID‐19 on changing consumer behaviour: Lessons from an emerging economy
• Word Economic Forum (2021) One in two people globally lost income due to the pandemic
• The Economist - Covid-19 has led to a sharp increase in depression and anxiety, 2021
• McKinsey Report (2024) The trends defining the $1.8 trillion global wellness market in 2024
• Statista (2024) Retail e-commerce sales worldwide from 2014 to 2027
• Deloitte Insight (2021) About one-third of consumers report feeling overwhelmed by tech management during COVID-19
• Trust Imperative (2020) Richard Edelman on Trust during the COVID19 Pandemic