# The new year will bring new consumer attitudes with it
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2020-12-30
Category: LIFESTYLE
Category URL: https://financedigest.com/category/lifestyle
Meta Title: 2021: The Year of Changing Consumer Behaviour in Retail
Meta Description: Discover how the pandemic has permanently altered consumer shopping habits and what this means for retailers in 2021. Insights based on recent data and surveys.
URL: https://financedigest.com/the-new-year-will-bring-new-consumer-attitudes-with-ithtml

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_By **Ed Whitehead,** Signifyd managing director, EMEA_

Vaccines are rolling out around the world and bringing with them realistic hope that 2021 will be the year that we will vanquish the virus.

That doesn’t mean we won’t continue to live with its effects for years to come. [COVID-19 and the pandemic](https://www.financedigest.com/uk-sees-biggest-rise-in-foreign-workers-since-covid-19-pandemic.html "UK sees biggest rise in foreign workers since COVID-19 pandemic") succeeded at changing nearly every aspect of our lives, including retail and commerce.

The changes in consumer behavior and retailers’ operations have been on vivid display during the [Christmas shopping](https://www.financedigest.com/christmas-shopping-begins-early-as-britons-face-cash-crunch.html "Christmas shopping begins early as Britons face cash crunch") season. Fewer shoppers in stores, when [stores were even allowed to be open](https://www.financedigest.com/lego-posts-strong-growth-on-robust-demand-new-store-openings.html "Lego posts strong growth on robust demand, new store openings"). More online orders. More click-and-collect.

And, perhaps most surprisingly, more cheating [among consumers](https://www.financedigest.com/epi-how-to-build-trust-and-adoption-among-consumers-and-merchants.html "EPI: How to build trust and adoption among consumers and merchants") when it comes to filing false claims in an effort to keep online orders while also receiving a refund for the goods.

**Pandemic-induced [changes aren’t going away any time](https://www.financedigest.com/why-the-time-is-right-for-finance-to-embrace-digital-change.html "Why the time is right for finance to embrace digital change") soon**

These changes were not subtle and like many other pandemic-induced changes, they are not going to be reversed — not in 2021 and possibly not ever. And so, brands and merchants should take note: Commerce life during Christmas season 2020 is a model for [everyday](https://www.financedigest.com/factbox-from-spreads-to-shampoo-palm-oil-is-part-of-everyday-life.html "Factbox – From spreads to shampoo, palm oil is part of everyday life") life in 2021.

How do we know? Consumers have told us. More than 77% of UK consumers surveyed by Signifyd in September said the pandemic has [encouraged them to try new ways of shopping](https://resources.signifyd.com/c/uk-holiday-2020?x=Flxcg6&lx) that they are likely to stick with from now on. When it comes to those new ways, 57% said they do more shopping online. Nearly 48% said they’d be more likely to use click-and-collect in the [coming year](https://www.financedigest.com/mild-sourness-products-is-expected-to-fuel-growth-of-sour-sugar-market-in-coming-years.html "Mild Sourness Products Is Expected To Fuel Growth Of Sour Sugar Market In Coming Years").

We saw that sentiment reflected in transaction data. Online sales in Europe were [up 56% year-over-year](https://www.signifyd.com/ecommerce-pulse-data/) in November, according to Signifyd’s Ecommerce Pulse data.  Globally, ecommerce sales on Signifyd’s Commerce Network increased 49%, with some verticals — including electronics, grocery, home goods and [precious metals](https://www.financedigest.com/best-paying-jobs-in-precious-metals.html "Best paying jobs in precious metals") — up significantly higher.

As for click-and-collect, Signifyd’s global data shows were up more than 500% the last week of November, over [pre-pandemic levels](https://www.financedigest.com/marstons-says-q4-sales-above-pre-pandemic-levels.html "Marston’s says Q4 sales above pre-pandemic levels").

It’s possible, likely even, that the [rate of dramatic growth](https://www.financedigest.com/microbial-rennet-market-overview-2022-2029-top-manufacturers-cagr-value-future-scope-revenue-growth-rate-and-forecast.html "Microbial Rennet Market Overview 2022-2029 (Top Manufacturers, CAGR Value, Future Scope, Revenue, Growth Rate and Forecast)") we’ve seen in online shopping and click and collect will slow once it’s safe to return to stores. But shopping habits have [staying power and tend to become established through step changes:](https://www.financedigest.com/german-regulator-stays-vigilant-as-meta-changes-vr-headset-rules.html "German regulator stays vigilant as Meta changes VR headset rules") A dramatic event shifts behavior significantly; the event passes and the behavior falls back, but rests at a higher plateau.

**Changes in [consumer behavior](https://www.financedigest.com/behavioral-biometrics-simple-and-secure-way-to-authenticate-consumers-digital-identities.html "Behavioral Biometrics: Simple and Secure way to Authenticate Consumers’ Digital Identities") raise warnings**

![Ed Whitehead](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/ed-whitehead-signifyd-1-450x450-1736838659902-compressed.jpeg)

Ed Whitehead

That consumers have embraced new behavior and thinking around shopping is certainly a message to [retailers that they must sharpen their online](https://www.financedigest.com/why-online-retail-trading-needs-an-overhaul.html "Why online retail trading needs an overhaul") and omnichannel operations. But it brings another warning, as well.

In our September survey, consumers also told us something rather surprising: a significant portion are not [beyond cheating in order to get free or discounted products](https://www.financedigest.com/insurance-products-growing-in-importance-in-2021-and-beyond.html "Insurance products growing in importance in 2021 and beyond"). More than 36% of respondents, in fact, said they had falsely claimed that a legitimate charge on their credit account was fraudulent in [order to receive a refund while keeping](https://www.financedigest.com/keep-your-head-in-the-cloud-improving-the-order-to-cash-process.html "Keep your head in the cloud: improving the order-to-cash process") the product.

Another 31% falsely claimed that a product they ordered had never arrived or that it had arrived in unsatisfactory condition in order to keep the product and get a refund. And 32% said they had broken discount and promotion rules by, for instance, falsely claiming to be making a “first-time purchase.”

Those figures were [substantially higher than what we would expect](https://www.financedigest.com/cherry-picker-crane-market-is-expected-to-experience-substantial-gains-with-projections-around-6-to-8-cagr-from-2021-to-2031.html "Cherry Picker Crane Market is expected to experience substantial gains, with projections around 6% to 8% CAGR from 2021 to 2031") based on previous consumer surveys. For instance, in January, just two months before [COVID and pandemic](https://www.financedigest.com/exclusive-eu-to-move-away-from-emergency-phase-of-covid-pandemic-document.html "Exclusive-EU to move away from emergency phase of COVID pandemic – document") and lockdowns became a part of life, we asked U.S. consumers a different, but similar, question.

**The answer for retailers is to focus on relationships**

[In that survey](https://resources.signifyd.com/c/2020-consumer-sentiments?x=Flxcg6&lx) only 8% of consumers said they had falsely claimed that an online order had never arrived. Another 6% said that when they weren’t pleased with a product ordered online, rather than return it, they would keep it and ask their [credit card](https://www.financedigest.com/more-businesses-investing-in-assets-like-virtual-credit-cards.html "More Businesses Investing In Assets Like Virtual Credit Cards") companies to reverse the charge.

Like the other changes in behavior brought on by months of pandemic life, we’d [expect that the level of bad behavior among consumers](https://www.financedigest.com/u-s-consumers-inflation-expectations-highest-in-8-years-ny-fed-says.html "U.S. consumers’ inflation expectations highest in 8 years, NY Fed says") will settle at a level higher than it was before the pandemic. For retail leaders, that means a need for higher vigilance.

But it also means they need to continue to [build relationships](https://www.financedigest.com/building-a-relationship-led-bank-requires-a-more-human-touch.html "Building a relationship led bank requires a more human touch") with consumers. Ensuring that the product descriptions and photos are accurate and clear, so shoppers are less likely to be disappointed with their online purchases. Make sure your return policies are reasonable and easily accessible, so [customers don’t](https://www.financedigest.com/you-dont-need-magic-to-anticipate-your-customers-needs-just-the-right-tech.html "You don’t need magic to anticipate your customers’ needs, just the right tech") turn to chargebacks to take returns into their own hands.

And be prepared to [push back](https://www.financedigest.com/ukraine-pushes-russian-forces-back-restricts-gas-flow-to-europe.html "Ukraine pushes Russian forces back, restricts gas flow to Europe") on chargebacks that you are convinced are illegitimate. The dispute process is a quasi-judicial process that requires evidence and comes with deadlines. Have systems in place for gathering the necessary documentation in [real time](https://www.financedigest.com/how-real-time-data-innovation-is-driving-up-customer-experience-in-fintech.html "How real-time data innovation is driving up customer experience in fintech") and consider assembling a dedicated team, either internally or externally, to manage and assess chargebacks as they arrive.

In 2020, we’ve seen how quickly the unexpected can [turn the world](https://www.financedigest.com/total-allowable-catches-tac-and-fishing-quotas-across-the-world-turning-favourable-for-the-global-mackerel-market-sales.html "Total Allowable Catches (TAC) And Fishing Quotas Across The World Turning Favourable For The Global Mackerel Market Sales") upside down. While 2021 is likely to be the year we’ll [return to normal](https://www.financedigest.com/return-to-normal-uk-pm-johnson-outlines-end-to-englands-virus-restrictions.html "Return to normal? UK PM Johnson outlines end to England’s virus restrictions"), it will also be the year we realize that normal isn’t anything like it once was.


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