Consumer behaviour and attitudes are continually changing, and so it is vital for businesses to be attuned to how consumer habits and tastes are evolving. Here we highlight five trends in consumer behaviour of which tech businesses should be aware.
Having a healthy, robust and loyal consumer base is critical to the success of every business. However, organisations can become complacent and take their relationship with the customers for granted and as a result, no longer have their finger on the pulse of that relationship. When this happens, complaints about consumers being fickle start to emerge. However, the truth is that consumer behaviour and attitudes change over time. Often, these changes are being driven by how technology and the wider society are evolving,
It is over 10 years since we last examined consumer behaviour trends – see 7 insights on the future of technology and the Internet – and it is interesting to see how the then-predicted trends that have come to fruition and which we now take for granted, and those that have not had the impact anticipated. We thus thought it opportune to identify current and emerging consumer behaviour trends that will be influencing the tech space for years to come.
1. Ultra-personalisation is still growing
Personalisation of services was one of the main trends highlighted in 2011, and it is still going strong and will become innate in all products and services. Businesses should be harnessing all of the data that they can (and already do!) collect on their customers in order to offer products and services that meet their specific needs and values.
In turn, personalised recommendations, messages and products are helping consumers to be more efficient and effective in their research and searches. With the plethora of products and services a business might offer, consumers may get overwhelmed, and end up not dissatisfied with the experience. Reducing the guesswork, or providing a shortlist tailored to their preferences will continue to be a critical and unique selling point for those who do so well.
2. Growing emphasis on ethical and sustainable products
The days when we had no real interest in the company selling us goods and services are fast disappearing. Organisations can no longer be faceless or anonymous entities. They need to engage consumers and be seen to be more accessible. However, in doing so, consumers get to learn more about the business, which often leads to questions about the values and the alignment of the company’s values with those of its consumers.
Among millennials and GenZs in particular, there is a growing emphasis on organisations being socially responsible and engaging in sustainable practices. The brands these customers purchase are being seen as a reflection of their values, and consequently, is driving the need for alignment. However, these values should not just be in the branding and marketing campaigns, for example, but should be integrated into the organisational culture and even into the products and services that are being sold.
3. Seamless online shopping and delivery
Although online shopping has been around for at least 25 years, the COVID-19 pandemic put the trend in overdrive, as almost any and everything can now be purchased online. However, the premise is not just about being able to purchase static items remotely, such as books, a vacuum cleaner and groceries. It has expanded to include items for which it may be necessary to interact with prior to completing the sale.
An example that highlights how involved, and evolved, the online shopping experience can be is purchasing glasses (or spectacles). It was almost impossible to buy prescription spectacles online because lots of measurements must be taken to ensure a good fit of the frames and that the prescription is well situated in the areas where they are needed. However, now, interactive apps are being used, for example, to record the correct measurements, or companies are prepared to ship the frames beforehand, allow the customer to make the necessary measurements and thereafter, return the frames to be properly outfitted.
In other words, consumers are looking for seamless digital shopping experiences, which may mean that the ‘quick sale’ or highly transactional model is not the only one that must be developed. The sale process may need to have more points of engagement with customers, which in turn requires a robust process that is optimised to still provide a customer-centric experience.
4. Experiential retail is essential
Coupled with the previous point and the interactive experience that some businesses are offering when selling glasses online, increasingly, customers want experiences. They want to be engaged, they want to be immersed, and they want brands that leave an impression.
Eventually, it is anticipated that augmented reality (AR) and virtual reality (VR) will be key to providing these immersive experiences. However, currently, that role is being played by influencers. Influencers are facilitating product discovery among their followers, they are using the products and to some degree, allowing their audience to live and experience them vicariously through them.
5. Health and wellness are an important focus
Finally, we have all become more aware of the importance of our mental health, and even the need to have the occasional digital detox. The stress of life, the uptick in lifestyle-related illnesses and the growing need to improve our work-life balance have resulted in a greater interest in self-care and in health and wellness.
Even if your business is not in health and wellness, ensuring that your product and service offerings are aligned with consumers’ life and lifestyle goals could make them stand out in the already crowded marketplace. Features that increase productivity, efficiency, or even automation, thus freeing up users’ time for more leisure, mindfulness and self-care could be highly welcomed.
Image credit: Kindel Media (Pexels)
