Many retailers and brands are very forthcoming about what they stand for and the causes they support, that is, their brand mission/purpose and CSR initiatives. It will become increasingly difficult for brands to be successful in today’s retail climate without a defined purpose or directive; consumers see this as apathy and will tune out if there is nothing to listen to or participate in. Conscious consumers, especially Gen Zs and Millennials, have definite expectations for businesses and will hold them accountable, believing they should make meaningful contributions to improve society by embracing their values and missions that signal a moral and cultural identity. They also want businesses to drive positive change and enable them to be a part of it. This shift toward altruism and activism has been ongoing and was propelled by the COVID-19 pandemic and increased focus on the social justice movement. This is not a trend that will pass; consumers will increasingly look to associate with brands and retailers whose values and morals align with their own and/or dissociate with brands that disappoint them.

• The impact of COVID-19 on consumer behavior and the retail industry

• How the down economy is motivating consumers to shop not just for value, but also with their values

• The cause-related efforts consumers are interested in supporting through their shopping habits

• Consumers’ attitudes related to CSR and DEI initiatives

This Report will explore how retailers are evolving to lead with conviction and becoming more purposeful about defining their values and ethos, and how their missions are becoming more of a central component in their consumer-facing campaigns and messaging. It will highlight how consumers are also changing to become more socially conscious with regard to how and where they shop, including what their expectations are from retailers when it comes to corporate social responsibility and their preferred ways of engaging with merchants whose values align with their own.

The first COVID-19 case was confirmed in the US in January 2020. On March 11, the World Health Organization declared COVID-19 a global health pandemic, and on March 13, President Trump declared a national emergency in the US. 

Across the US, state-level stay-at-home orders rolled out throughout the months of March and April, remaining in place through May and in some cases June. During this time, referred to as lockdown, nonessential businesses and school districts across the nation closed or shifted to remote operations. Retailers shifted to focus on keeping employees and customers safe while shopping in-store or online.

During re-emergence, all 50 states have relaxed stay-at-home orders and allowed businesses to operate with varying levels of social distancing measures in place. The continued spread of COVID-19 infections has driven some states to slow down or reverse course on reopening plans. Retailers will continue to make their missions more of a focus of communication looking ahead.

Mintel anticipates the US will remain in a state of flux through 2021, until the vaccine is more widely administered.

Consumer research for this Report was fielded in October 2020 and reflects consumers’ attitudes and behaviors during the COVID-19 pandemic as restrictions on movement began to ease and businesses began to reopen across the US. The Report was written in December 2020-January 2021, when all states were open, but some states began rolling back and reinstating restrictions due to increasing COVID-19 cases.

The analysis provided reflects an estimated range of the market’s prospects in light of the upheaval caused by the COVID-19 crisis. Mintel’s economic assumptions are based on CBO 10-year economic projections released on July 2, 2020. The CBO expects US GDP to fall by 5.8% in 2020 and recover to 4.0% growth in 2021. Unemployment estimates from the CBO indicate a 10.6% rate for 2020, declining to 8.4% for 2021, which is slightly more positive than initial expectations (11.5% in 2020 and 9.3% in 2021), though expectations are that it will remain above 5% through 2025.