Are Supply Chain Disruptions Impacting Consumer Behavior? Inflation Could be the Bigger Culprit.

 

A recent survey by o9 Solutions reveals significant shifts in consumer behavior due to supply chain disruptions, with over half reporting direct impacts on purchasing habits. Amidst rising costs, many are halting purchases or seeking more cost-effective alternatives, signaling a critical moment for industries to reassess and innovate their supply chain strategies​.

In the wake of these persistent supply chain disruptions affecting consumer behavior, how can retailers and consumer packaged goods (CPG) companies adapt to ensure the resilience and health of their supply chains? Travis Tokar, Ph.D., Professor of Supply Chain Management at TCU’s Information Systems and Supply Chain Management Department, brings a nuanced perspective, suggesting that while the pandemic’s severe disruptions may have decreased, ongoing inflation, influenced by fiscal policy and increased fuel and labor costs, continues to shape consumer spending. “I think that there’s an inflation issue more probably than a disruption issue… things are just much more expensive,” Tokar observes, proposing a critical reassessment of the factors currently driving consumer behavior shifts.

Article by James Kent

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