The war and economic instability have significantly altered the consumer behavior of Ukrainians, as shown by recent findings from Deloitte Ukraine's annual study on consumer habits. Despite the harsh realities faced over the past few years, Ukrainians continue to adapt and find ways to navigate these challenges.
According to the study, Ukrainians are making fewer purchases overall, but they are spending more on specific categories of goods. For example, the frequency of buying children's items has noticeably declined, with 39% of respondents indicating they are purchasing them less often than the previous year. This marks a 7 percentage point increase compared to 2023. Similarly, purchases of building materials have also decreased, with 48% of consumers buying these items less frequently.
On the contrary, there has been a remarkable increase in the demand for food and medicine. A substantial 37% of respondents reported spending more on these essentials, which reflects shifting priorities during these turbulent times. The average check for food purchases increased by 19% offline and 18% online compared to pre-war levels, indicating adjusted consumer spending habits. Notably, the study suggests, "Ukrainians are making fewer purchases but spending more on individual categories of goods,” as stated by Deloitte Ukraine.
Demographics also play a role. Young people aged 18-27 are exhibiting distinct spending behaviors; they have become less likely to economize on essentials, with 56% saying they are not cutting back on food, and similar trends observed for cosmetics and leisure activities. This generation seems to be safeguarding their quality of life amid constraints—a marked trend compared to their older counterparts.
Despite rising costs and diminished purchasing frequency, other categories seem less impacted by the economic downturn. Surprisingly, expenditures on children's items, pet products, and ready-made food have shown minimal cuts, indicating areas of consumer priority amid financial restrictions.
Community warmth and social responsibility remain strong, as 89% of respondents continue to donate to support the Armed Forces of Ukraine and those affected by the war. While this is slightly down from the previous year, systematic donations still remain high at 29% of the surveyed individuals. This willingness to assist speaks volumes about the values held within Ukrainian society during these challenging times.
Interestingly, traditional shopping habits retain their dominance. The preference for offline shopping remains high, with 72% of respondents choosing physical stores for food purchases, 64% for household chemicals, and 59% for medicine. Even as online shopping gains traction, particularly for electronics and cosmetics, the clear inclination is toward traditional retail for everyday essentials.
When itcomes to spending patterns, 77% of total expenses are dedicated to mandatory payments and necessities, with detailed allocations showing 30% going to utilities, rent, and debts, and 34% to food. Health and transport take smaller slices, with only 8% allocated for healthcare—a stark comparison to European norms where leisure accounts for 15% to 20% of budgets.
Lastly, it’s worth noting the integration of technology within consumer habits, with 19% of respondents reporting positive experiences using neural networks for various purposes including customer service and technical support. An even larger 36% actively employ these technologies, comprising students, freelancers, and entrepreneurs who are embracing digital tools in their daily lives. While trust remains tentative concerning AI's role within medicine, there's optimism about its integration elsewhere, indicating a broader acceptance of digital innovations across the board.
Overall, the resilience displayed by Ukrainian consumers is commendable. They are reformulating their purchasing habits and priorities to cope with the uncertainties caused by the war and economic instability. Despite challenges, optimism shines through, illustrating how individuals and communities adapt creatively to their circumstances.