HR MATTERS. people leading business
management communication HR practitioner Knowledge Bank Insight Archive Newsletters Jobs

 

0

SURVEYS/REPORTS
10 Crucial Consumer Trends for 2010

Apr 2010 | 1. BUSINESS AS UNUSUAL
Forget the recession: the societal changes that will dominate 2010 were set in motion way before we temporarily stared into the abyss.

This year, prepare for ‘business as unusual’.


HR Matters Magazine
Issue 10 | April 2010





 

 





For the first time, there’s a global understanding, if not a feeling of urgency that sustainability, in every possible meaning of the word, is the only way forward. How that should or shouldn’t impact consumer societies is of course still part of a raging debate, but at least there is a debate.

Meanwhile, in mature consumer societies, companies will have to do more than just embrace the notion of being a good corporate citizen. To truly prosper, they will have to ‘move with the culture’. This may mean displaying greater transparency and honesty, or having conversations as opposed to one-way advertising, or championing collaboration instead of an us-them mentality. Or, it could be intrinsically about generosity versus greed, or being a bit edgy and daring as opposed to safe and bland.

As always, the future is unevenly distributed: one only needs to look at the Googles and the Amazons and the Zappos and the Virgins of this world to get a feel for 'business as unusual'. So not surprisingly, the trends in this briefing all touch on doing things differently, driven by changing consumer preferences and desires.

2. Urbany
Urban culture is the culture. Extreme urbanisation, in 2010, 2011, 2012 and far beyond will lead to more sophisticated and demanding consumers around the world.

A defining trend for 2010, 2011, 2012, and so on: urbanisation on steroids. We'll let the numbers speak for themselves:

  • "Less than 5 per cent of the world’s population lived in cities a century ago. In 2008, for the first time in humanity, that figure exceeded 50 per cent. In the last two decades alone, the urban population of the developing world has grown by an average of 3 million people per week.”
  • “By 2050, it will have reached 70 per cent, representing 6.4 billion people. Most of this growth will be taking place in developing regions; Asia will host 63 percent of the global urban population, or 3.3 billion people in 2050.” (Source: the Global Report on Human Settlements 2009, October 2009.)

Where will this lead us? We’ve dubbed this extreme push towards urbanisation ‘URBANY', representing a global consumer arena inhabited by billions of experienced and newly-minted urbanites. The significance?

A forever-growing number of more sophisticated, more demanding, but also more try-out-prone, super-wired urban consumers are snapping up more ‘daring’ goods, services, experiences, campaigns and conversations.

URBAN PRIDE [subtrend]
Basically, in thriving mega-cities, whose economic and cultural power already often surpass that of entire nations, inhabitants’ identities will be closely tied to a city's culture, its brand, its heritage, its 'being'. Random example : The Absolut Cities Series first launched in New Orleans, when the brand developed a special mango and black pepper blend inspired by the city.

3. REAL-TIME REVIEWS
Whatever it is you're selling or launching this year, it will be reviewed 'en masse', live, 24/7.We recently highlighted NOWISM*, and while that mega-trend in its entirety should be on your radar for the next twelve months, let’s dive into one sub-trend that will be truly disruptive: the rise of REAL-TIME REVIEWS.

In short, with even more people sharing, in real time, everything they do**, buy, listen to, watch, attend, wear and so on, and with even more search engines and tracking services making it easy to find and group these ‘live dispatches’ by theme, topic or brand, this year will see ready-to-buy consumers tapping into a live stream of (first-hand) experiences from fellow consumers.

* Consumers’ ingrained lust for instant gratification is being satisfied by a host of novel, important (offline and online) real-time products, services and experiences. Consumers are also feverishly contributing to the real-time content avalanche that’s building as we speak.
** As more people are reviewing and contributing, the sheer mass of opinions will lead to a real-time stream of information, findable and viewable to all. In addition, online access and device convergence will allow more on-the-spot reviews. Twitter is the much-deserved poster child for real-time reviews: it has established itself as the real-time snapshot of what people are thinking/feeling/experiencing and yes, reviewing, around the world.

4. (F)LUXURY
Closely tied to what constitutes status (which is becoming more fragmented), luxury will be whatever consumers want it to be over the next 12 months. This year, luxury, and what it means to a bewildering number of ‘consumer segments’, will remain in flux. So how will luxury brands fare over the next 12 months? What will define luxury over the next few years?

The answer is ‘luxury will be whatever you want it to be'. After all, what constitutes luxury is closely related to what constitutes scarcity. And, beyond the basic needs, scarcity is in the eye of the beholder, especially those beholders who are desperately trying to be unique.

Now that there are so many more ways to be unique than just buy the biggest and the most expensive, how about luxury constituting: Anything commissioned? Providing 'access'? Secrets? Stories? Time with one's loved ones? Time for oneself? All things local? Peace and quiet, if not escape? Eco-friendly? Human-friendly? Animal-friendly? Caring? Empathy? Not having or wanting to consume? Being opinionated? Anything premium? Curation if not the absence of any kind
of choice? Philanthropy? Bespoke goods and services? Knowledge? Skills? Frugality? Health? Etiquette & manners? Or a mix of any of these? So don't worry about missing out on the next big thing in luxury, focus on defining it.

LIMITED LOCATIONS [subtrend]
We know you all know about limited editions as an enduring luxury-strategy; it is an easy way to appeal to consumers’ need for exclusivity and scarcity, amidst a 'Sea of Sameness'. So why not introduce LIMITED LOCATIONS to extend the scarcity theme to the distribution channel?This year, just sell something special, something premium, something desirable in just one (geographical) location. Which means forgoing a chain-wide rollout or selling to all from
a borderless e-shop.

Examples of brands having fun with this : Burberry’s Blue Label is a line of Burberry stores exclusive to Japan that features a more fitted, sassier version of Burberry styles.

5. MASS MINGLING
Online lifestyles are fueling and encouraging 'real world' meet-ups like there's no tomorrow, shattering all cliches and predictions about a desk-bound, virtual, isolated future.More people than ever will be living large parts of their lives online in 2010. Yet, those same people will also mingle, meet up, and congregate more often with other ‘warm bodies’ in the offline world. In fact, social media and mobile communications are fueling a MASS MINGLING that defies virtually every cliché about diminished human interaction in our ‘online era’. So, forget (for now) a future in which the majority of consumers lose themselves in virtual worlds. Ironically the same technology that was once seen to be—and condemned for—turning entire generations into homebound gaming zombies and avatars, is now deployed to get people out of their homes.

One example of a mass mingling fact/driver : The most popular and/or hyped online services, from Foursquare to Google Latitude to Loopt to FireEagle, are currently all about following, finding, tracking, connecting to, and ultimately (spontaneously) meeting up with interesting people (friends and strangers). For some users of these services, 'life-streaming' is now a reality, especially when combined with their blogs, tweets, and Facebook updates pages.

6. ECO-EASY
To really reach some meaningful sustainability goals this year, corporations and governments will have to forcefully make it 'easy' for consumers to be more green, by restricting the alternatives.While the current good intentions of corporations and consumers are helpful,serious eco-results will depend on making products and processes more sustainable without consumers even noticing it, and, if necessary, not leaving much room for consumers and companies to opt for less sustainable alternatives to begin with.

Which will often mean forceful, if not painful, government intervention, or some serious corporate guts, or brilliantly smart design and thinking, if not all of those combined. Think anything from thoroughly green buildings, to a complete ban on plastic bags and bottles, to super-strict bluefin tuna quota — anything that by default leaves no choice, no room for complacency, and thus makes it 'easy' for consumers (and corporations) to do the right and necessary thing.

7. TRACKING & ALERTING
Tracking and alerting are the new search, and 2010 will see countless new INFOLUST services that will help consumers expand their web of control. If INFOLUST (consumers lusting after relevant information) is the enduring mega trend, then TRACKING and ALERTING are its du jour sub-trends.

First of all, TRACKING & ALERTINGis the new searching, as it saves consumers time, makes it impossible to forget or miss out, and thus ultimately gives them yet another level of control. Count on everything being tracked and alerted on (there's more than FedEx packages!): from friends (MASS MINGLING!) to enemies to fuel prices to flights to authors to pizzas to any
mentions of oneself.Oh, and ALERTING, when done well, is of course the ultimate in INFOLUST: relevant information finding consumers, based on (voluntarily revealed) preferences.

8. EMBEDDED GENEROSITY
This year, generosity as a trend will adapt to the zeitgeist, leading to more pragmatic and collaborative donation services for consumers. It incorporates all giving initiatives that make giving and donating painless, if not automatic (after all, pragmatism is the new religion ;-).

On top of that, with collaboration being such an integral part of the zeitgeist, expect lots of innovative corporate giving schemes that involve customers by letting them co-donate and/or co-decide.

9. PROFILE MYNING
With hundreds of millions of consumers now nurturing some sort of online profile, 2010 is a good year to introduce some services to help them make the most of it (financially), from intention-based models to digital afterlife services. And no, we’re not referring to companies / advertisers
making money from personal profiles (jeez....), even though they’re dying to ‘mine’ personal data to serve up 'relevant' ads; we're putting our money on data and profile mining by its rightful owners, i.e. consumers.

Hence the MYNING, not MINING.

10. MATURALISM
2010 will be even more opinionated, risqué, outspoken, if not 'raw' than 2009; you can thank the anything-goes online world for that. Will your brand be as daring? So, this year, the question is how far you can/should go as a brand, when mirroring societal beliefs that are about anything but being meek. And no, we’re not saying you have to be rude or nasty or inconsiderate; this is about being a tad more daring and diverse if you want to move with the culture.

Excerpted from Trendwatching.com
Source : www.trendwatching.com One of the world's leading trend firms, trendwatching.com sends out its free, monthly Trend Briefings to more than 160,000 subscribers worldwide.


 

-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

HR MATTERS. Copyright 2008-2010. All rights reserved. Site last updated Nov 2011.

The material on this site may not be reproduced, distributed, transmitted, cached,
or otherwise used, except with the prior written permission of HR Matters.
HOME | SUBSCRIBE | ADVERTISE | ABOUT | CONTACT | CAREERS | TERMS | PRIVACY POLICY