Consumer buying behaviors have shifted drastically in recent years, and with soaring inflation and new price hikes, it’s likely that purchase priorities are going to shift again in the next six to 12 months, says Karen Clarke, SVP & managing director of AMER, Anaplan, a supplier of integrated business planning tools.
“I know it can be tempting for businesses to order an excess of product to meet unexpected spikes in consumer demand—it’s something we’ve seen happen within the beauty industry as apps like TikTok drive product virality,” says Clarke. “However, given the realities of a potential recessionary period, coupled with global supply chain congestion and rapid trend cycles, it’s more likely that demand will normalize before you can actually produce and ship new products to your manufacturers. To avoid over-ordering or missing out on these peak sales moments, today’s food processors need a faster, smarter indicator to gauge inventory needs and react to shifts in demand beyond traditional forecasting.”