hiebing explores: seven consumer trends to ignore...if you want to be ignored

Seven Consumer Trends to Ignore If You Want to Be Ignored.

an integrated brand development and marketing firm

IT TAKES MORE THAN A GOOD PRODUCT TO INSPIRE BRAND DEVOTION.

 You must also understand your consumers’ state of mind


 That state of mind is influenced by the world that surrounds them


 That state of mind is influenced by the world that surrounds them

 And reveals itself in the shape of trends

NOT JUST APPARENT, TRANSPARENT

TREND

NOT JUST APPARENT, TRANSPARENT.

TREND

 Folks are angry


 Folks are angry and highly distrustful


 Folks are angry and highly distrustful of big business and government


 A majority of Americans gave corporate America grades of



D



D or F for honesty and ethics



 Only 3


 Only 3 in 10 Americans

 Only 3 in 10 Americans

think the “public good” is a strong factor in the choices of corporate leaders

“Business Ethics in a Time of Economic Crisis,” Knights of Columbus/Marist College Institute for Public Opinion Research, February 2009.


IMPLICATIONS }


 Consumers demand transparency

IMPLICATIONS }


 Consumers demand transparency  Acknowledge consumer complaints

and resolutions

IMPLICATIONS }



and resolutions   Proactive customer service is more

vital than ever

IMPLICATIONS }



and resolutions   Proactive customer service is more

vital than ever   If you make a mistake, be the first to

fess up

IMPLICATIONS }


ONE COMPANY’S ANSWER:  The Footprint Chronicles, a Patagonia

microsite, tracks the environmental impact of 10 products, including CO2 emissions and waste, and how Patagonia actively offsets them.

No. 2WE’RE ALL IN THIS TOGETHER

TREND

No. 2WE’RE ALL IN THIS TOGETHER.

TREND

 Consumers are refocusing on what is really important to them:

WE’RE ALL IN THIS TOGETHER.

 Consumers are refocusing on what is really important to them: family and friends,


 Consumers are refocusing on what is really important to them: family and friends, their community,


 Consumers are refocusing on what is really important to them: family and friends, their community, and the greater good


 A New York Times/CBS News poll recently found Americans are spending more time with family and friends,




and nearly half of Americans


were spending less time buying nonessentials and less money in stores and online


and nearly half of Americans

“In Recession, Americans Doing More, Buying Less,” The New York Times, 1.03.10.

 The NeighborGoods program helps consumers save money by sharing tools they use only occasionally with neighbors and friends


IMPLICATIONS }


 Consumers are seeking simpler pleasures, memorable experiences and stronger relationships

IMPLICATIONS }



 Build a community around your brand via social networks

IMPLICATIONS }



 Build a community around your brand via social networks

  Show how your brand fosters relationships

IMPLICATIONS }


No. 3VAL -

TREND

No. 3VAL-YOU. -

TREND

 Consumers are becoming more self-reliant and self-sufficient

VAL-YOU.


 They enjoy the satisfaction of learning new skills

VAL-YOU.


 They enjoy the satisfaction of learning new skills

 And take pride in providing well for loved ones

VAL-YOU.

 Hobbies such as crafting are on the rise

VAL-YOU.

 Hobbies such as crafting are on the rise

History has shown that poor economic times have people staying home and doing DIY projects

“

VAL-YOU.

” – Knitting entrepreneur Becca Smith

 The maker of Ball canning jars reported sales were up about 50% in 2008,

VAL-YOU.

 The maker of Ball canning jars reported sales were up about 50% in 2008, a trend that has continued in 2009 “Preserving Time in a Bottle (or Jar),” The New York Times, 5.27.09.

VAL-YOU.

IMPLICATIONS }

VAL-YOU.

 Consumers are looking for partners to give them the tools, materials and inspiration to make things

IMPLICATIONS }

VAL-YOU.


 Opportunity abounds for brands that encourage learning and foster self-sufficiency

IMPLICATIONS }

VAL-YOU.


 Opportunity abounds for brands that encourage learning and foster self-sufficiency

  Even consumers who don’t have skill or time appreciate the ability to customize products

IMPLICATIONS }

VAL-YOU.

PROVIDING VAL-YOU  Patrons who order a whole roasted

chicken at L.A. restaurant Comme Ça go home with leftovers and everything else they need to make stock.

CONSUMPTION HABITS NEVER DIE, THEY JUST CHANGE THEIR WAYS.

TREND


valueTREND

 Consumption is a hard tendency to break


value


 After cutting back sharply in 2008 and 2009,


value


 After cutting back sharply in 2008 and 2009, consumers long to free up the reins a bit


value

 The money’s there.


 The money’s there. Savings rates have risen from


1% January 2008



1% 5% to January 2008 December 2009


 Consumers are itching to spend




 Consumers are itching to spend  The National Retail Federation

anticipates a 2.5% bump in 2010 retail sales



 “Tech Upcycling”


helloagain

 “Tech Upcycling” means giving consumers the option to upgrade devices they already own


 “Tech Upcycling” means giving consumers the option to upgrade devices they already own

 Sony’s PS3 game system will soon offer free upgrades to accommodate 3-D games


helloagain

IMPLICATIONS }


 Up your value to encourage consumers to open their wallets

IMPLICATIONS }



 When you force consumers to buy new every year or two, you incent them to find less costly alternatives

IMPLICATIONS }




  Value is in the eyes of the beholder

IMPLICATIONS }




  Value is in the eyes of the beholder  Consider durability, sustainability and

tastiness as dimensions of value

IMPLICATIONS }


MORE HANDS ON THE WHEEL.

TREND


 With consumer devotion come natural feelings of ownership and power


 With consumer devotion come natural feelings of ownership and power

 Consumers express views about “their brands” more often and effectively than ever before

 When Tropicana removed its iconic orange and straw during a package redesign, loyal purchasers raised an uproar


 When Tropicana removed its iconic orange and straw during a package redesign, loyal purchasers raised an uproar

 A month later the original design was back in place


 Backlash against companies can be quick and sharp



 When word leaked that some H&M and Wal-Mart stores destroyed unsold clothes instead of donating them,



 When word leaked that some H&M and Wal-Mart stores destroyed unsold clothes instead of donating them, a swift public outcry slammed the brakes on the practice


IMPLICATIONS }


  If you want consumer devotion you need to give up some control

IMPLICATIONS }



 Relaxing your grip builds credibility and gives you additional brand insight

IMPLICATIONS }




  Solicit input from your top customers, and then let others know what they said

IMPLICATIONS }




  Solicit input from your top customers, and then let others know what they said

 Consumers are talking about you, make sure you join the conversation

IMPLICATIONS }


ENVIRO

TREND

ENVIROMINDFUL.

TREND

ENVIROMINDFUL.

 Consumers are increasingly aware of the impact of consumption

ENVIROMINDFUL.


 As eco-friendliness becomes mainstream,

ENVIROMINDFUL.


 As eco-friendliness becomes mainstream, almost everyone is taking at least a small step toward environmentalism

 A recent poll found that

ENVIROMINDFUL.


of those surveyed 60%

ENVIROMINDFUL.


of those surveyed

felt either a “great deal” or “a lot” of personal responsibility to protect the environment

“Americans’ Attitudes Toward Environment Not Reflected in Actions,” Christian Science Monitor, 12.08.09.

60%

ENVIROMINDFUL.

 Starbucks’ Coffee Cup Challenge winner, Karma Cup, created a program to incentivize customers to use reusable mugs

ENVIROMINDFUL.


 Chalkboards at registers count how many customers bring in reusable mugs

ENVIROMINDFUL.


 Chalkboards at registers count how many customers bring in reusable mugs

 Every 10th customer with a reusable cup wins a free drink.

ENVIROMINDFUL.

IMPLICATIONS }

ENVIROMINDFUL.

  Think more broadly about long-term environmental cost versus short-term financial costs

IMPLICATIONS }

ENVIROMINDFUL.


  If your brand has a strong story to tell, tell it—it earns you credibility

IMPLICATIONS }

ENVIROMINDFUL.


  If your brand has a strong story to tell, tell it—it earns you credibility

 Changes that are easy and relatively inexpensive, like reusable shopping bags, can catch on and spread quickly

IMPLICATIONS }

ENVIROMINDFUL.

I WANT WHAT I WANT WHEN I WANT IT

TREND

I WANT WHAT I WANT WHEN I WANT IT.

TREND


 Technology has made instant gratification commonplace,


 Technology has made instant gratification commonplace, and consumers expect it in virtually all aspects of their lives

 More than


30%

 More than


30% of the people who

visit a business for service expect instant attention

 More than


30% of the people who

visit a business for service expect instant attention—even if they don’t have an appointment


 23% of shoppers in May 2009 preferred to spend more money if it saved them time

 23% of shoppers in May 2009 preferred to spend more money if it saved them time

 That jumped 5 points in June


IMPLICATIONS }


  Provide some form of instant gratification whenever possible

IMPLICATIONS }



  If what you market can’t be delivered instantly, use social media to provide instant information or acknowledgment

IMPLICATIONS }



  If what you market can’t be delivered instantly, use social media to provide instant information or acknowledgment

  Examine all touchpoints to eliminate time barriers to transactions

IMPLICATIONS }


 Marketing is about building a relationship between brands and consumers

IN SHORT


  It’s about listening to what’s important to your target customers, understanding their needs and values and making an emotional connection

IN SHORT


  It’s about listening to what’s important to your target customers, understanding their needs and values and making an emotional connection

 By understanding and listening to how consumers live, brands can inspire devotion

IN SHORT

(608) 256-6357 hiebing.com

One Brand-Devotion Inspiring Call to Make If You Want Your Brand to Be Recognized.