Consumer-Based Management: The Newest Trends that Are Reshaping the Consumer Sector
A key part of any business is shaping management in such a way that it actually serves customers. Do you have a top-notch product? That’s fantastic. But what point does that have if you’re not focusing on your consumers and their preferences? What point does launching a new product have is your relying on pure brand loyalty? Here we’ll tell you some of the newest trends that are reshaping the customer sector in 2019 based on a study by CIL Management Consultants
Brand Loyalty is not so loyal anymore
Many first-level companies that have a strategy based on pure brand loyalty are facing enormous challenges. A good example here is Netflix, who in the first semester of 2019 relied on a conservative product and marketing approach and received a significant hit on Wall Street, especially considering the new players soon to come (Disney+, Apple+, Peacock, HBO Max). Brand loyalty is not enough to maintain costumers anymore. Modern customers have a wide array of digital tools and databases that let them compare prices, convenience, check product reviews with ease. Customers have more and more information in hand to make purchasing decisions. That means they take a much more pragmatic approach, which reduces brand loyalties.
Focus on convenience
The mentioned study discovered that in the UK, six out of ten consumers decided their lunch snack based on convenience and 94 % of gym subscribers said the most important factor to choose a gym was the location. For markets such as retail, services, and food chains, convenience is king. Finding the right spot for your business and making the business experience as comfortable as possible for customers are critical factors to consider. For example, if you have a fast-food business, being available through Uber Eats and offering easy online paying options and such may be key for many customers.
Good reviews drive purchases
Technology allows information to fly. TripAdvisor, Amazon, eBay, Yelp, and similar sites allow customers to post real-time reviews of their experiences. Bloggers and influencers are increasingly popular and, in time, many more people rely on their opinions and what they see in the sites we’ve mentioned to try or purchase a product. Experts and influencing opinions are easily accessible online for everyone.
Tribe Alignment
The study indicated that 57 % of consumers bought from own- branded clothing from their fitness providers. It is a significant number, but it less that brand worshiping of the 1990s or early 2000s. Still, it is a trend to consider: consumers feel the need to connect with quality, well-known brands.
But even this tribal approach is somewhat practical. Consumers are more likely to be loyal to a brand if it helps them show a determinate purpose. So, the brand is a means to an end: showing the consumer has a conscious commitment. Buying from a determinate brand or a particular product may show that I, as a consumer have a commitment to the environment or a healthy, mindful lifestyle, for example.
So… In conclusion
Considering these new trends in consuming are important for having an effective, costumer-based management strategy. Clients are better informed than ever on the quality of the product and the experience a brand provides, which leads them to make more practical decisions. To this end, a consumer-based strategy, putting customer’s needs and convenience in the first place is the base of any good management strategy.