This archive report was first published on 14 October 2019.
On October 14, 2019, the Kenyan retail sector was undergoing a significant transformation, driven by favourable prospects and stable customer confidence.
According to a survey by global consumer research firm Nielsen in 2018, about one in every four consumers browsed for products and services online, sparking a need for retailers to move online.
The survey further revealed that there was a huge gap in retail e-commerce space, yet a quarter of Kenyans used social media to find out about fast-moving consumer goods.
As a result, retailers were forced to adapt to changing trends and demand for products, and shopping experiences to succeed.
They must also see the essence of developing e-commerce platforms, which are pivotal to their success and longevity.
Going by findings from the latest household survey by research consulting firm Kantar, there was also a need for retailers and manufacturers to collaborate in coming up with new business models that match changing consumer trends.
The survey showed that Kenyans were trimming their shopping budgets and favouring discounted goods in big packs to save on money.
Higher prices were pushing consumers to rethink ways of making ends meet by turning on credit purchases or favouring second-hand goods.
Additionally, consumers from low-income households were spending on local brands in big packs, mostly applied in home and personal care products.
Consumers have never before been so concerned about what they eat than now, wanting more information, quality, and transparency across the entire food chain.
Indeed, evolving technology has brought a breath of fresh air to the retail sector, and retailers must now adapt to changing consumer behaviour if they want to survive.
As technology and consumer behaviour connect to inform a complex shopping trend, retailers must be willing to evolve and adapt to meet the changing needs of their customers.
— Jesse Kisenya, communications consultant
