Price and data protection important issues for consumers

‘My impression from the research is that we need to go back to the essence,’ says sector specialist and PwC partner Vincent le Noble. Worldwide, 20,662 consumers took part in the study, including 1,017 in the Netherlands.

• Compared to the global results of this research, Dutch consumers are more likely to consider price when making purchasing decisions, more so than sustainability. 
• Compared to the global results, Dutch consumers are less concerned about climate change. However, a large proportion of Dutch consumers are willing to pay (slightly) more for sustainable products.
• Providers who are careless about data privacy or data protection can expect a dent in trust. 
• In general, Dutch consumers are cautious about artificial intelligence.

The fact that price can be a deciding factor is demonstrated by the research finding that 52 per cent of Dutch people are willing to try an unfamiliar brand of the same product if it offers value for money. Globally, this percentage is ten percentage points lower. A good deal can also persuade the Dutch to switch brands: 43 per cent compared to 27 per cent globally.

Vincent le Noble is not surprised by the importance of price for consumers. 'It would be silly to point only to the proverbial thrifty Dutch culture. The research also shows that the Dutch are very concerned about inflation. If you look at the price increases in recent years, I can understand that this makes people hyper-conscious about prices.' 

He is also quick to point out that this creates a dilemma for producers. Le Noble: 'Consumers want quality on the one hand, but they also want a good price. The same goes for sustainability: they are open to it, but products must not become too expensive. It’s clear that this can put pressure on producers. Sustainability and quality also come at a price. So companies will have to look at how to make products simpler and more sustainable, for example by focusing more on the core business or removing "frills". This means making adjustments to the existing way in which a company creates value. I would almost say: back to the essence.'

The 'Voice of the Consumer' shows that there is still a future for physical stores. In PwC's Retail Monitor 2024 in the Netherlands, we have already seen that physical stores still have a future, especially if they focus on the experience. CBS also recently reported that, after years of decline, the number of physical stores actually increased in 2023. 

A large proportion of shoppers still come to stores to discover new products and services, to do further research and to make the actual purchase. But all of these stages are also taking place through other channels, notably websites, Google search and social media. 

Le Noble says: 'What is striking is the large group of consumers who use social media not only as an orientation channel, but also as an actual purchase channel. We advise retailers to make good use of this, because it is through these social channels that you can measure and monitor what customers find important and what they are interested in. This gives you the opportunity to make a good and personalised offer to the customer.'

Another important outcome of the 'Voice of the Consumer' is that consumers are concerned about the privacy and security of their data. Companies that are careless about this can expect a major dent in trust. One of the reasons this is so high on the consumer agenda is that people are confronted with suspicious digital messages on a regular basis. 

The majority of Dutch consumers are not willing to simply share their data just to improve their digital shopping experience. They do not yet show much enthusiasm for artificial intelligence-driven products or services. They are more sceptical than the rest of the world in this regard. Another example: 62 per cent of global respondents think it is important for electronic devices such as cameras and speakers to become 'smart' in the future. In the Netherlands the figure is 42 per cent.

Vincent le Noble: 'Sloppy handling of data costs trust, and the reverse is also true: those who handle data carefully build trust. Investing in data security, but also in clearly communicating about what you do as a company with customer data, pays off.'

'I think the same is true for artificial intelligence (AI). A large number of consumers are willing to use it as a tool to write texts or gather product information. More risky and important activities, such as finding the best mortgage, they would rather do themselves than leave it to AI. We expect companies that prove they are careful, safe and responsible with AI to be working on a clear differentiation and thus competitive advantage. And they will be able to use this technology for more applications in the future.'