The most influential Megatrends set to shape the world through 2030, identified by Euromonitor International, help businesses better anticipate market developments and lead change for their industries.Learn More
This article is part of a series that highlights the Top 10 Global Consumer Trends 2020 report.
Businesses must be agile, adaptable and aware of consumer trends to retain market share. Organisations that identify these trends before their competitors will ultimately achieve long-term viability.
In a recent blog, we highlighted the 10 most powerful consumer trends in 2020. These trends will help businesses better target consumers based on what they value in products, brands and companies.
Understanding these trends isn’t enough. To remain competitive, brands need to pinpoint which trends will have the biggest impact on their business and identify competitive strategies for growth.
Here’s how businesses should respond to these trends in the coming year:
Organisations need to incorporate AI-driven robot capabilities into long-term strategies. This technology will be used to automate manufacturing and logistics, understand differentiated consumer demands and deliver personalised solutions with precision.
Today, the trend is visual and multisensory but will evolve to incorporate voice commerce and artificial intelligence. In a highly competitive market, brands need to offer dynamic content that consumers seek. To get ahead of what Catch Me in Seconds will be in the future, businesses need to make their information, product or service as accessible as possible in a short timeframe to compete with other consumer demands.
Personalisation is key for brands to achieve Frictionless Mobility. The change in consumer mindset from ownership to access will enable this trend as consumers embrace a crowded world that is no longer seen as car-first. Transportation, along with all other industries, must cater to the varying needs of citizens on a 24/7 basis.
Companies must be more inclusive of the disabled community in their business models and address the needs of those often underserved. Those who seek to embrace diversity in their products must truly understand these consumers’ needs, putting the disabled community at the heart of new product development. Diversity will become a measure of a brand’s relevance, and Inclusive for All will be the new norm.
Minding Myself is bringing the mind and mental wellbeing to the forefront of consumer concerns. Purchasing decisions will be based on personalised need states to address areas, such as anxiety or low energy, across a range of industries. The Minding Myself trend ultimately heralds a new future of socially responsible intoxication for traditional stimulants like alcohol and tobacco. Some players will reinvent themselves as wellness providers. Responsible stimulation and mental wellbeing will be the new norm as consumers seek their “holistic happy.” The ultimate goal will be to develop holistic and responsible mental rebalancing solutions that are hyper-customisable and personalised.
Remote work and access to 5G are accelerating the evolution of the home. Consumer habits regarding working, dressing, shopping and exercising, among other activities, will revolve around their homes. As traffic to stores, restaurants and gyms in central business districts declines, consumer demand to receive these same goods and services at home will increase. Meanwhile, consumers will spend more time and money on products, services and activities for their Multifunctional Homes. In 2020, organisations need to tailor their products and services to meet consumers at home.
Brands are employing proactive methods to give customers a more personalised experience, but they are ever more reliant on data to help them achieve these ends. While many consumers enjoy these customised experiences, consumers will become less trusting of companies extracting and using their data without transparency, adequate security and opt-out options. In 2020, brands must build trust, provide security and deliver products and services that add value to outweigh consumer concerns.
There is a growing preference for local products and brands, which are seen as more authentic and better representing individuality. Niche brands start their global route to success by accentuating their local credentials. At the same time, multinationals are becoming more sophisticated in shaping their products to local tastes and preferences without losing their core brand identity. Brands will need to consider local tastes and preferences and tailor their products and services accordingly. Tuning in to the Proudly Local, Going Global trend is a compelling business strategy to win and retain consumer loyalty.
With sustainability affecting brand perception, businesses are launching subscription models and reusable or refillable options to meet ethical demands. Companies tapping into the Reuse Revolutionaries trend will need to find the balance between sustainability and convenience as consumers still rank efficacy, value and aesthetics as desired characteristics. To do so, companies need to incentivise consumers to switch to reusable or refillable options that are both convenient and affordable. As more companies integrate reusable packaging into their product lines, this option will become less of a competitive advantage and more of a must-have.
Consumers are more aware of air pollution and its potential to drastically impact health. We Want Clean Air Everywhere is a powerful trend that advocates for a carbon-free world. A range of industries is innovating and adapting products to appeal to climate-conscious consumers. This trend will see new players fight for a carbon-free world, with brands vying for market share based on their efforts to contribute to environmental protection.
Learn more by downloading the full report, Top 10 Global Consumer Trends 2020.