Interactive advertising in stores using RFID that respond to what the shopper is buying being us a little closer to the memorable scenes in Minority Report where the ads change after scanning Tom Cruise's retina.
Not long before we get "shoppers who bought x also bought y" in the store....
Saturday, August 23, 2008
The End of Consumerism
Well, I know that is a dramatic overstatement. But this is a blog....
What I think we can see however is something of a shift in values in the West. We always do in a recession. These are usually fairly superficial and would hardly constitute a challenge to consumerism as an ideology. Since the second world war it has become assumed that consumerism is some kind of natural state and that the best organized societies are those that place consumer satisfaction at the centre of all their major institutions.
This is already being challenged by the climate crisis and concern for the environment. A global recession and credit crunch will contribute to that challenge. We already see signs such as the "simplicity movement".
But the key here is demographics. The baby boomers undermined many social institutions and ideologies. But they championed consumerism with its emphasis on individualism and choice. They are being forced to reject it as they age and their income shrinks and of course they will eventually start dying. What we will see is how the millenials' values will be shaped by the coming austerity. That could be the key to a significant shift in Western social values.
What I think we can see however is something of a shift in values in the West. We always do in a recession. These are usually fairly superficial and would hardly constitute a challenge to consumerism as an ideology. Since the second world war it has become assumed that consumerism is some kind of natural state and that the best organized societies are those that place consumer satisfaction at the centre of all their major institutions.
This is already being challenged by the climate crisis and concern for the environment. A global recession and credit crunch will contribute to that challenge. We already see signs such as the "simplicity movement".
But the key here is demographics. The baby boomers undermined many social institutions and ideologies. But they championed consumerism with its emphasis on individualism and choice. They are being forced to reject it as they age and their income shrinks and of course they will eventually start dying. What we will see is how the millenials' values will be shaped by the coming austerity. That could be the key to a significant shift in Western social values.
Wednesday, August 6, 2008
New Shopper Insights Research: The Good and the Really Rather Bad
First the good stuff: OgilvyAction have conducted a comprehensive study on in store decision making. They clearly have some good insights from this. It is being pitched as refuting the now urban legend "70% of decisions are made at point of sale" claim that came from the 1995 POPAI study done by Meyers Research.
Actually it doesn't refute it at all. It says that 72% of decisions are made at the point of sale. It simply cuts that figure a little finer - breaking it into brand switching, brand decisions, category impulse purchase etc. This clearly makes sense. The 70% figure was always very woolly. You could argue that 100% of decisions are made at point of sale. The other point that the OglivyAction research makes is that it varies by category. Another rather obvious point that needed making.
And this research was done Old Skool. They asked people what they intended to buy when they went in and asked them what they bought when they went out. No broken beams, RFID and video-mining. Nice.
Now the bad stuff: TNS did a survey in Canada and asked people how important a bunch of things were when they bought products - including price and corporate reputation. And guess what? Corporate reputation is nearly as important as price! Wow! I guess that explains why Wal-Mart is so unsuccessful and why Fair Trade and sustainable products have such huge market share in Canada. C'mon guys - this is the kind of stuff that gives market research a reputation for being ...well....useless.
Actually it doesn't refute it at all. It says that 72% of decisions are made at the point of sale. It simply cuts that figure a little finer - breaking it into brand switching, brand decisions, category impulse purchase etc. This clearly makes sense. The 70% figure was always very woolly. You could argue that 100% of decisions are made at point of sale. The other point that the OglivyAction research makes is that it varies by category. Another rather obvious point that needed making.
And this research was done Old Skool. They asked people what they intended to buy when they went in and asked them what they bought when they went out. No broken beams, RFID and video-mining. Nice.
Now the bad stuff: TNS did a survey in Canada and asked people how important a bunch of things were when they bought products - including price and corporate reputation. And guess what? Corporate reputation is nearly as important as price! Wow! I guess that explains why Wal-Mart is so unsuccessful and why Fair Trade and sustainable products have such huge market share in Canada. C'mon guys - this is the kind of stuff that gives market research a reputation for being ...well....useless.
Sunday, August 3, 2008
Nielsen, Mindset Media Bundle Psychographic Data Into Homescan Panel
Interesting stuff here from Nielsen linking psychographic profiles to Homescan panel data in the US.
Note the faint praise from the digital media fella. They need more guidance than this. But he is right that it will give creative insights and could be useful for in-store - if the segments that Mindset Media have created can be tied to shopper experience needs....which I am sure they can.
I have to say that as someone who was raised with a distaste for Nielsen's monopolistic arrogance and lack of innovation, they seem to be doing a lot of new things ....
Note the faint praise from the digital media fella. They need more guidance than this. But he is right that it will give creative insights and could be useful for in-store - if the segments that Mindset Media have created can be tied to shopper experience needs....which I am sure they can.
I have to say that as someone who was raised with a distaste for Nielsen's monopolistic arrogance and lack of innovation, they seem to be doing a lot of new things ....
Thursday, July 31, 2008
Tangou - Social Shopping
You may have read about Tangou - like minded individuals combining to specifically collectively haggle for an item. Popular in China where haggling and collectivism are both salient.
Similar thing with carrotmob - who seek to combine individuals to reward companies and stores that are green - even liquor stores. Good video example here.
Both examples of social shopping using technology to facilitate grouping of people for a specific purpose.
The TNS survey cited earlier indicated that Canadians are more open to this than shoppers in other countries ...although little sign of it here so far.
Similar thing with carrotmob - who seek to combine individuals to reward companies and stores that are green - even liquor stores. Good video example here.
Both examples of social shopping using technology to facilitate grouping of people for a specific purpose.
The TNS survey cited earlier indicated that Canadians are more open to this than shoppers in other countries ...although little sign of it here so far.
Thursday, July 17, 2008
Distracted and Depressed Shoppers
Some time back it was recently discovered that depressed shoppers buy more - as they tend to try to create a sense of self through purchases and fire up with dopamine.
Now a new study implies that distraction can lead to less cognitively processed purchase decision - hence greater propensity brand switching.
The point on depression is not that retailers should depress their shoppers....simply that they need to provide enjoyment. Distraction is hardly a surprise. The intention of shopper marketing is to distract and interrupt habitual purchase.
Now a new study implies that distraction can lead to less cognitively processed purchase decision - hence greater propensity brand switching.
The point on depression is not that retailers should depress their shoppers....simply that they need to provide enjoyment. Distraction is hardly a surprise. The intention of shopper marketing is to distract and interrupt habitual purchase.
Saturday, July 12, 2008
The Most Interesting Thing About Canadian Shoppers
After 5 years in Canada I have adopted the national pastime of focusing my attention on the nuanced differences between Americans and Canadians.
And that is why when I read TNS' New Future in Store report I couldn't help myself getting excited not only by the fact that Canada is shown as a data point (quite a self esteem boost) but it shows that we are different from American shoppers ...
Beauty, eh?
The first thing is that Canadians seem generally more open to innovation retail than Americans. Americans consumers are notoriously conservative in their attitudes to retail - partly due to lack of retail consolidation in its past - and technology.
But the most interesting trend and the most interesting cross border North American difference is the appeal of group buying (using the Internet as a tool). Shopping has always been social and the Internet is already facilitating that in a number of categories. Could it be that Canada's collectivist social and political culture is manifesting itself here? Look who else is high up on the trend - China, Japan and France....
And that is why when I read TNS' New Future in Store report I couldn't help myself getting excited not only by the fact that Canada is shown as a data point (quite a self esteem boost) but it shows that we are different from American shoppers ...
Beauty, eh?
The first thing is that Canadians seem generally more open to innovation retail than Americans. Americans consumers are notoriously conservative in their attitudes to retail - partly due to lack of retail consolidation in its past - and technology.
But the most interesting trend and the most interesting cross border North American difference is the appeal of group buying (using the Internet as a tool). Shopping has always been social and the Internet is already facilitating that in a number of categories. Could it be that Canada's collectivist social and political culture is manifesting itself here? Look who else is high up on the trend - China, Japan and France....
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