The New Consumer
I visited the New Consumer fashion industry forum as part of the Loral Melbourne Fashion festival to gain an up to date insight into the modern consumer. There were a number of key speakers who each had differing views on the area of the new consumer. Below are a number of key points, images and a bio on each of the speakers.
Adam Ferrier is a consumer psychologist and founding partner of Naked Communications one of Australia’s most awarded agencies. He features on the ABC radio, The Gruen Transfer and writes for The Australian.
Key points include:
- People are the same technology is changing
- To succeed in business is to change behaviour. People will only change behaviour if there is motivation and ease.
- Advertising is desire and permission. For example the creamy footage of an ice cream is the design and the 98% fat free is the permission
- All things must be easy for the consumer otherwise they will not bother
- To change a behaviour you need to frame and target the exact behaviour you want to change
- Actions, feeling thought method of behaviour change inefficient as there is a us and them mentality
- Awareness doesn’t lead to action – KONY 2012
- Benjamin Franklin effect, do gain a relationship with the consumer get them to do you a favour. The act of them doing you a favour is them investing something in your brand. They will also have a bond.
- Example Art series hotel “Steal Bansky” & Witchery Man campaign
- Switch also an example. Has friends of the company who promote and advertise through blogging which in return they ‘friends’ get 25% off all products all the time
Lorna is a senior retail analyst at WGSN, a global trend analysis company that monitors cultural indicators, consumer moods,behaviors and attitudes.
- There is a changed consumer. The retailer is at the back of the pack with the consumer “at the front holding an ipad.
- Moving digital more so than ever before. Apple made a hybrid product. Currently 19% of Adults have a tablet device will be 30% at the years end.
- Consumers are researched up. Women are shopping like men. They do their research before then even enter a store to purchase.
- Consumers ‘Edit’ then want the retailer to further ‘edit’ for us
- Pinterest is social media ‘editing’ where by the consumer see what their network thinks before making a purchase
- Inventory Magazine , ‘edits’ for the customer
- Consumers are sick of the clutter – must edit down. Can be seen all over Europe (except ASOS) however their magazine is a form of editing down
- H&M current campaign is 10 key items = example of editing down
- Australians are saving more, they are making only considered purchases. The 10 key items is a way of validating the purchase by saying these items are versatile and you will get your moneys worth
- Zara – no more 4 way racks again a example of editing down
- Think before purchase
- Fashion Diet Sanne Jansens
- New Balance 30 year celebration
- Importance of provenance
- Honest By (As seen already on my blog)
- “Retail Nomads” changing designations, any place any time, what is the purpose of a store? The rise of the pop up shop over the last 10 years
- Example – Tesco Home plus retail store on a wall in a subway
- Products now come to you
- Magazines buy off the pag
- Business loung shopping facilities , no products just couches and Ipad in London
- Stores will become less permanent, we will see a move to flagship and pop up opportunity. The locations and way these store will run will be crucial
Howard Parry-Husband works in marketing research specializing in brand positioning and is a founder of Pollinate and Soup, expert communication companies. Pollinate works to create societal change to influence peoples behavioral change. Howard is dedicated to developing successful solutions for society.
- If you asked the average consumer what’s wring with Australian fashion retail they would most likely say nothing
- Fashion is differentiation / imitation
- 60% prefer to buy cheap items that are of poor quality
- They type of consumption has not made consumers happy. There is a level of guilt about where the clothes came from whilst also the financial burden of keeping up with the trends
- Sustainable doesnt work well in marketing
- The more you understand about sustainabilty the less you buy green
- People are tied of cheap choice, unsatisfying
- Legacy items don’t exist anymore
- Brands need to engage users through values
A favorite quote from the day:
People don’t change. Society does.