Nearly three-quarters of people have swapped brand name products to generic products in the past 12 months.
Compare the Market research found that 72.6 per cent of Australians have swapped the brands they buy to aid the strain on their household budget from rising electricity costs, fuel prices, and repeated rate rises.
Compare the Market’s Chris Ford said it is clear Australians are trying to mitigate the continuous high inflation rates biting into the hip pocket.
“Ever since inflation skyrocketed last year, we’ve seen families doing it tough and continuously try to scrape a bit of cash together to make ends meet,” Mr Ford said.
“It’s no wonder we’re seeing so many people switching from brand-name to generic items, as often this is a quick and painless way to make a few cutbacks.”
The latest research found the most common items people were looking to replace with generic brands were simple or one-ingredient items such as cleaning products, milk, pantry staples and bread.
Compare the Market said this may be due to the quality between brand-name and generic items being comparable for these staples.
The findings also found that people are least likely to compromise their breakfast staples or treats to save a quick buck, with confectionary items the least likely to be switched out for generic brands.
Mr Ford said that people were prepared to pay a little extra for items such as coffee, teas, cereal, biscuits and cakes.
“Life’s little luxuries seem to have won out, with many people becoming cereal enthusiasts and coffee snobs and refusing to trade these for generic brands,” Mr Ford said.
“While it may seem counterintuitive to splurge on expensive sweets or coffee, these small pick me ups may be the only financial reprieve people are giving themselves in such tough financial times.”
