FOOD INDUSTRY Extreme Weather: A Major Challenge for Retailers Por Hernando Ramírez-Santos s extreme weather events become more common REGIONAL DIFFERENCES IN PREPAREDNESS across the United States, consumer shopping AND SATISFACTION behaviors are shifting, creating new challenges Consumer behaviors and satisfaction with retailer for retailers. performance vary significantly across different regions AA recent survey by RELEX Solutions highlights of the U.S. these evolving preferences and underscores the need The Mid-Atlantic region, which includes states like for improved retailer preparedness to meet consumer New Jersey, New York, and Pennsylvania, leads in prepa- demands during such events. redness, with 53% of consumers keeping larger stocks of essentials and 57% shopping more frequently to avoid IN-STORE SHOPPING PREVAILS shortages. Amid hurricanes, tornadoes, heatwaves, and severe This region also reports the highest satisfaction with storms, over half of U.S. retailers' stock mana- consumers (53%) conti- gement during extreme nue to prefer in-store weather, with 40% of shopping when stocking consumers expressing up for extreme weather. strong satisfaction. However, only one-third In contrast, the West (33%) express satis- North Central region, faction with retailers' including states like Iowa ability to manage their and Minnesota, shows the stock and services lowest levels of prepared- during these times. This ness, with only 30% of dissatisfaction points to consumers keeping larger a significant gap in the stocks of essentials. retail sector's ability to Similarly, the East meet consumer expec- South-Central region, tations, particularly encompassing Kentucky, during critical periods. Tennessee, and Alabama, Laurence Brenig- reports the lowest satis- Jones, VP of Product faction with retailer Strategy and Marketing performance, with only at RELEX, remarked, 6% of consumers being "This signals an in-store very satisfied. renaissance after the e-commerce boom, which had been driving shopper preferences toward alternate methods RETAILERS MUST ADAPT like curbside and buy online, pick up in-store (BOPIS)." 吀栀e shift in consumer behavior presents both a challenge and an opportunity for retailers. PANDEMIC EFFECTS PERSIST To e昀昀ectively serve these more prepared consumers, The pandemic has left a lasting imprint on consumer retailers must enhance their readiness and responsiveness, habits. According to the survey, 44% of respondents now particularly during extreme weather events. keep a larger stock of essentials at home as a precaution "As consumers adopt more proactive, long-term against potential shortages. preparation strategies in response to increasing extreme Additionally, 34% of consumers shop more frequently weather events, this shift could have significant to avoid running out of necessary items, and 26% have implications for inventory management and the product shifted towards purchasing more shelf-stable products. mix retailers begin to o昀昀er," added Brenig-Jones. These behaviors indicate a growing trend of preparedness Retailers that succeed in aligning their strategies with among consumers, which retailers must consider in their consumer expectations will be better positioned to thrive inventory management strategies. in this evolving landscape in昀氀uenced by extreme weather changes. 4040 NNOOVVEEMMBBEERR/ D/ DECECEEMMBBEER 2R 200224 4 AABBAASSTOTO..CCOOMM