Changes in Consumer Behavior
Consumer behavior continues to change in unpredictable ways. Some changes are likely caused by the pandemic, while others may be longer lasting. This article will show a few of these trends over the years, according to educator Jonathan Osler. Osler notes a growing tendency over the past several years of consumers to choose more economical, budget-friendly products and services.
Osler’s research found the most recent changes have come from consumers having more access to information outside of TV, print and radio advertisements. He also said he has seen an increased desire from consumers to feel close to a brand by having a better understanding of how it is made and that it aligns with their personal values.
Osler states that retailers must address the rapidly changing nature of marketing in order to stay relevant. He goes on to say that frequent updates to data and analytics tools are essential for businesses to keep up with changing consumer desires, preferences and behaviors. Businesses must invest on paid social media marketing agency in Cardiff to apply the right digital marketing techniques that is effective nowadays.
The digital revolution has changed the way we communicate, and thanks to social media, it’s easier than ever for consumers to voice their opinions. Brands can respond in real time, and consumers can see how their peers react. Consumer behavior is constantly evolving as a result of these technological advances.
Together, these macro- and micro-trends have given rise to what Joseph Pine II and James Gilmore called “The Experience Economy” in their influential 1998 book. The world has changed since then, of course. And over the past 18 months in particular, there’s been a seismic shift in consumer behavior. The pandemic has led to an integral change in our way of life — and continues to amass major implications for how we live our lives now, and how we will be called to make purchases and engage with brands moving forward.
Today’s consumers are different from those of just a few years ago. For one thing, today’s consumers — people of all ages, but particularly young adults — want to use products that solve problems quickly and easily. They want value for the dollars they spend. And they want goods that last a long time and look good while they’re using them.
People tend to want what’s new, or different. One way for businesses to stay ahead of this is to become the first with a new product. Another way is to make a product available in an entirely new way. People also avoid spending all at once, so businesses should consider subscription models over one-time purchases, which is essentially what Spotify did with music streaming. Access-based products (think Zipcar, Airbnb) are also great because they don’t force consumers to purchase the item in general. The sharing economy suggests consumers are willing to pay a higher price point for experiences and paying monthly allows them to do that more often.”
Consumer behavior is the study of how people make decisions about what they buy, want, need or act in regard to a product, service, or company. Jonathan Osler believes that it is critical to understand consumer behavior to design more effective marketing strategies and increase revenue.