5 Actionable Insights from Jungle Scout’s Q1 2024 Consumer Trends Report

Nothing is more important for ecommerce brands, businesses, and sellers than understanding your customer base, their preferences, and their shopping habits.

The first quarter of 2024 is nearly over, and our latest research into consumer trends behavior provides a detailed pulse check on where, when, and how people are shopping, what they’re buying, and what’s influencing their purchases — both on ecommerce platforms like Amazon and at brick-and-mortar retailers.

Key insights from the Q1 Consumer Trends Report

Our quarterly consumer survey delves into U.S. consumers’ shifting behaviors and spending patterns, surfacing invaluable insights for businesses that are growing, optimizing, and expanding their sales channels.

The latest edition also reveals new data on social media’s increasing influence over ecommerce, ways in which burgeoning technologies like AR and AI are changing the customer experience, and which categories are most (and least) susceptible to price sensitivity.

Here are 5 of our biggest takeaways:

1. 52% of consumers maintain consistent spending habits, but economic uncertainty is not over

While more than half of consumers reported consistent spending levels in Q1 2024 compared to the previous quarter, the percentage of those indicating increased spending reached its lowest point in three years, at just 16%. This suggests a cautious approach to spending that highlights the impact of ongoing economic concerns on consumer behavior. 

The report also reveals generational gaps in spending behavior, both online and overall.

How can brands and sellers respond to this trend?

2. One in three consumers browse TikTok Shop weekly

Social media is reshaping ecommerce, with TikTok in particular rapidly gaining influence. 35% of consumers now browse or shop on TikTok Shop every week, and 23% have purchased a product there. 

The report highlights an especially high level of influence among Gen Z shoppers, with significant percentages turning to the app to discover and purchase products.

How can brands and sellers respond to this trend?

How could a TikTok ban impact Amazon sellers?

Although TikTok’s popularity is rapidly rising in the United States, there are persistent talks about banning the platform due to national security concerns. The House of Representatives has recently approved a bill that would require ByteDance (TikTok’s parent company) to sell the social media channel or face a ban on U.S. devices.

Such a ban would have a significant effect on Amazon sellers, brands, and retailers.

More than half of enterprise businesses use TikTok ads, and nearly 40% of U.S. consumers say they’re likely to purchase from TikTok Shop.

TikTok’s marketing capabilities can’t be understated. The platform is brimming not only with consumers researching and sharing products but also with some of the world’s most popular influencers, who are invaluable for helping brands penetrate new market niches and generate sales.

It remains to be seen what will happen with the potential TikTok ban, but one thing is for certain: Whether it continues its meteoric rise or faces a ban, TikTok’s massive impact on ecommerce isn’t over.

3. 31% of Amazon shoppers who use AR say it has led to a purchase

As consumer awareness of augmented reality features like Amazon’s View in Your Room grows, the technology is becoming more valuable in facilitating purchases. Over half of consumers who are aware of View in Your Room use it when shopping, and nearly one in three say it has led them to buy a product on Amazon that they would otherwise only buy in person. 

The report also explores how features powered by artificial intelligence, like AI-generated review summaries, are enhancing the customer experience.

How can brands and sellers respond to this trend?

4. Consumers are buying 20%+ more art supplies and pet products on Amazon

Jungle Scout Cobalt data shows that sales in Amazon’s Arts, Crafts & Sewing, and Pet Supplies categories have experienced the highest sales growth in the last year, with each category’s sales increasing by 20% or more. Other categories, however, have seen sales drop more than 25% year-over-year.

The report details which products consumers are buying more (and less) of this year by analyzing sales trends across 24 Amazon categories.

How can brands and sellers respond to this trend?

5. 71% of consumers prioritize products with the lowest prices

Price remains a dominant factor influencing purchase decisions on Amazon, with almost three out of four consumers prioritizing products with the lowest prices when shopping. However, factors such as ratings, recommendations, and product features still play pivotal roles in purchase decisions for over half of shoppers.

In the report, consumers rank how much 10 different factors influence which brands and products they purchase on Amazon.

How can brands and sellers respond to this trend?

Get the Q1 2024 Consumer Trends Report

There’s no better way to understand the full nuances of shopping behavior than by tapping into the very voices that drive the market forward: consumers.

NEW

Exclusive data:

• Quarterly changes in consumer spending
• Most/least popular products in Q1
• Employment and income trends
• The correlation between pricing and sales
• How AR and AI are changing digital shopping
• Social media’s growing influence

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Jungle Scout’s Q1 2024 Consumer Trends Report provides a wealth of data imperative for gaining the perspective that brands and sellers need to compete successfully across multiple channels and markets.