The pandemic and the increasingly adverse macroeconomic environment are leading to economic polarisation and retailers will need to devise new strategies to tackle the difficult times ahead.

Why it matters

As the rich get richer and the poor get poorer, retailers should avoid falling into the trap of simply focusing their efforts on one or the other group. Even those who feel worse off than before will still want to treat themselves as and when they can.

Takeaways

• Forty-five percent of people in the highest income bracket say that they’re financially better off as a result of the last two...