2. Today: From consumerism to moderation<\/a><\/p>\n\t 3. Tomorrow: From now to wherever analytical prediction takes<\/a><\/p>\n\n\n\n <\/p>\n\n\n\n While back in 2000, the ecommerce sector made up 0.9%<\/a> of total retail sales in the U.S. In 2022 this indicator amounted to 14.6%, which is basically a jump from nothing to the abundance we have today.<\/p>\n\n\n\n <\/p>\n\n\n <\/p>\n\n\n\n Let\u2019s look closer at how tendencies and trends in consumer behavior and marketing were changing in the last 20 years. The first (almost) quarter of the 21st<\/sup> century is known for some quite distinct changes in the sales world, according to the Deloitte report \u201cRe-invent sales for the 21st<\/sup> century\u201d:<\/p>\n\n\n\n Multi-channel sales<\/strong> is one more feature of the sales landscape in the 21st<\/sup> century: a unique combination of online stores, brick and mortar stores, ecommerce sites complementing each other, giving way in some situations and gaining in others. <\/p>\n\n\n\n <\/p>\n\n\n <\/p>\n\n\n\n In short, it\u2019s safe to say that the first two decades of the 21st<\/sup> century saw a savvy and sophisticated customer, enjoying various shopping opportunities and a huge variety of goods and services to choose from provided by ecommerce businesses.<\/p>\n\n\n\n If we turn to the global situation today with the increasing cost of living worldwide and the resulting inflation, we might see a drastic change from consumerism to more frugal spending habits <\/strong>among consumers. Moderation and avoidance<\/strong> are the dominating trends today. All these changes manifest themselves in consumers focusing less on product quality and more on value for money. Businesses, in their turn, are trying to provide better value-for-money options, discounts, and multi-functional products in an attempt to address the growing concerns about personal financial situation of consumers. This is a general overview of the \u201cSpending Priorities – Consumer Behavior Trend Analysis\u201d by marketresearch.com<\/a>.<\/p>\n\n\n\n If we turn to the Deloitte report \u201c2022 Global Marketing Trends\u201d based on two global surveys and 18 in-depth interviews with global executives, which proves its global relevance, we\u2019d see a set of marketing trends reflecting consumer preferences. This report named 2022 a year of recovering and for some businesses even thriving in the customer-centric world, as opposed to 2021, which was focused on responding to an unprecedented shock of the pandemic 2020.<\/p>\n\n\n\n The data gathered during the polls and interviews helped to outline the following global marketing trends and strategies, and if we go a step further, these trends can give us a clear idea about consumer behavior and preferences. <\/p>\n\n\n\n The Deloitte survey of customers states that one third of consumers under 25 years old opt for sustainability as a top criterion when buying beauty and personal care products. A quarter of customers choose data privacy<\/em> for their banking decisions, and more than a half (57%) of customers agreed that their loyalty to brands<\/em> is fostered by the brands\u2019 commitment to address social inequalities. According to the 2022 Edelman Trust Barometer <\/a>findings, about a half of the respondents believe that businesses should do more to address societal problems (climate change – 52%, economic inequality – 49%, workforce reskilling – 46%, trustworthy information – 42%). That leads to a conclusion that while the price-quality ratio is still important, there\u2019s a growing preference of the\u201d higher purpose\u201d among customers.<\/p>\n\n\n\n As a response to these consumer preferences, many companies today are trying to redefine their purpose beyond profit and focus on some \u201chigher purpose\u201d like solving ecological problems or fighting inequality to resonate with their customers. <\/p>\n\n\n\n While consumers of today are getting more and more diverse in terms of their ability, race and ethnicity, beliefs, their needs and preferences differ significantly. <\/p>\n\n\n\n Consequently, businesses are trying to reflect these differences by supporting diversity and inclusion<\/a> in public and behind the camera, which helps win future customers, especially younger generations.<\/p>\n\n\n\n The results of the Global Marketing Trends Executive Survey showed that high-growth brands (those with the annual revenue growth of 10% or more) are more frequently using DEI (key performance metrics for diversity, equity, and inclusion) in comparison to their lower-growth competitors. So DEI is becoming a strategic priority for 94% of CEOs. <\/p>\n\n\n\n <\/p>\n\n\n <\/p>\n\n\n\n Advances in AI and big data allowed businesses to target their customers better using third-party cookies, but at the same time ignited some security concerns among customers<\/em>. So today\u2019s trend is reversing to data privacy to respect the needs of clients. This trend resulted in a number of restrictions, regulations and disabling third-party cookies, which had its adverse effect on the previously effective customer engagement techniques.<\/p>\n\n\n\n 61% of high-growth companies<\/a> are shifting to a first-party data strategy, while only 40% of negative-growth companies follow this strategy. All in all, rethinking analytics, cultivating unique first-party data through offering value in exchange help to build more trustworthy relationships with customers.<\/p>\n\n\n\n As long as we\u2019re talking about sophisticated and picky customers, enjoying competition, making customer experience better<\/em> has always been the purpose of marketing, which relies on detailed customer data. With a considerable setback in data tracking resulting from customer privacy concerns, marketers are trying to gain customers\u2019 trust back. It\u2019s obvious that geo-tracking, active device listening, and third-party cookie-based recommendations can scare off customers, to say the least. <\/p>\n\n\n\n The survey of customers mentioned before looked at 10 brand interactions that use customer data and asked respondents to rate the interaction on a scale of creepy to helpful. While 68%<\/a> of customers found their favorite brand sales alerts really helpful, 53% deemed active device listening creepy.<\/p>\n\n\n\n Today brands gravitate towards involving privacy and security teams from day one, earning customers\u2019 trust before implementing deeper tracking methods and giving customers choice in terms of providing businesses with their personal information.<\/p>\n\n\n\n Looking for convenience in everyday life, many customers shift a huge part of their lives to the digital world. Remote working, telemedicine, studying online, ecommerce are just a few examples of this shift. In an attempt to cater to their customers, successful brands are working on the implementation of new hybrid customer experiences. <\/em>In a nutshell, more and more brands focus on a working blend of physical and digital experiences. The Global Marketing Trends Executive Survey results showed that 75% of global executives were planning to invest more in delivering hybrid experiences, including personalization (43%), innovation (43%), customer connection (40%), and inclusion (38%). Businesses are ready to meet their customers in their preferred channels and make their decisions relying on rapid feedback from the clients.<\/p>\n\n\n\n It\u2019s hard to underestimate the meaning of customer service in the world of ecommerce today. According to the customer survey, when the customers were asked about the most helpful options while making purchase decisions, the most common answers were \u201ctimely offer\u201d and \u201cknowledgeable customer service\u201d<\/a>. These two marketing tactics are successfully delivered by AI: getting the right offers to customers at the right time and providing customers with great post-sales service.<\/p>\n\n\n\n <\/p>\n\n\n <\/p>\n\n\n\n As we see, AI potential is only unfolding today and will surely find many applications. However, when it comes to customer service, AI and contact centers <\/a>with human customer agents shouldn\u2019t be mutually exclusive, but rather work harmoniously to deliver the best service. <\/p>\n\n\n\n Having in mind that 37.9 % of retail ecommerce market share<\/a> belongs to Amazon, it seems logical to elaborate on the results of another report on customer behavior by Jungle Scout. \u201cGenerational trends in consumer behavior\u201d <\/a>focuses on generational differences among Gen Z, Millennial, Gen X, and Baby Boomer customers in terms of spending habits and ecommerce shopping and is based on a study of 1000 shoppers around the U.S. The insights of the report are quite revealing. <\/p>\n\n\n\n When it comes to the place where people buy<\/strong>, Walmart (61%), Target(29%), Walgreens (20%) are the top 3 for in store shopping, while Amazon(68%), Walmart.com (40%) and eBay.com (17%) are chosen more often for online shopping.<\/p>\n\n\n\n When looking at money-saving strategies,<\/strong> one can see some significant difference among generations. Baby Boomers (73%) and Gen Z (60%) are more likely to buy items on sale than Millennials (42%) and Gen Z (41%). At the same time, Millennials (35%) and Gen Z (32%) are more brand-conscious and less likely to buy from cheaper brands in comparison to Gen X (49%) and Baby Boomers (54%). When it comes to buying used products, Gen Z and Gen X are taking the lead with 21% and 20% respectively, while only 11% of Baby Boomers and 17% of Millennials tend to buy used products.<\/p>\n\n\n\n In terms of online shopping frequency<\/strong>, Gen Z consumers are leading with 32% shopping online once a day or more, compared to just 7% of Baby Boomers.<\/p>\n\n\n\nYesterday: From rags to abundance<\/strong><\/span><\/h2>\n\n\n\n
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<\/figure><\/div>\n\n\nToday: From consumerism to moderation<\/strong><\/span><\/h2>\n\n\n\n
1. Purpose-a beacon for growth<\/strong><\/h3>\n\n\n\n
2. Authentically inclusive marketing<\/strong><\/h3>\n\n\n\n
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<\/figure><\/div>\n\n\n3. Meeting customers in a cookieless world<\/strong><\/h3>\n\n\n\n
4.<\/strong> <\/strong>Designing a human-first data experience<\/strong><\/h3>\n\n\n\n
5. Elevating the hybrid experience<\/strong><\/h3>\n\n\n\n
6. Supercharging customer service with AI<\/strong><\/h3>\n\n\n\n
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