The Post-Covid Consumer Spending Trends
Global supply chains are now witnessing changing patterns of consumer demand. Automobiles, engineering, and manufacturing are experiencing strong demand, whereas demands for retail and consumer goods may be dwindling. Flexport’s , Post-Covid Indicator tracks such trends and a potential return to pre-pandemic spending patterns. Consumer demand and spending patterns underwent a significant shift with the onset of the pandemic, especially away from services to more towards goods in the past two years.
The above graph clearly shows a sudden split in the spending on goods vs. services. With the onset of the pandemic and subsequent lockdowns, consumer spending on goods increased significantly and averaged 31.3% of the total in four years. The second stage of the lockdowns saw consumers spending on home goods augmented by the government income support.
The Flexport Post-Covid Indicator, launched in June 2021, indicates changing consumer spending patterns and estimates how these patterns may change in the coming months. Learn more about the changing dynamics of consumer spending behavior and its impact on logistics and supply chain industry here. Read More.