11 trends for 2011-phd

Eleven global trends for 2011trends for 2011

Welcome to 2011, a new decade bringing exciting new opportunities for your brands along with fresh challenges inopportunities for your brands along with fresh challenges in keeping up with consumer trends around the world. Continuing with our Evolution of the Consumer insight series we have teamed up with The Future Foundation to bring you a snapshot of the key trends which will shape global consumer behaviour in 2011.We ended 2010 by fielding a Snapshots online survey in 15 markets to 3100 consumers. We revisited the themes of the Evolution of the Consumer research whilst exploring new trends which we believe will define 2011. Bringing these results together with the Future Foundation’s newly launched Global n:Visionwith the Future Foundation s newly launched Global n:Vision research (a study of 30,000 consumers in 21 markets conducted in Q3 2010) gives us a robust and up-to-the minute picture of consumer trends as we move from global economic downturn to a new set of world social and economic certain and uncertainties.

We hope you find these trend highlights informative and useful. If you are interested in a more in-depth presentation of the results then please contact Jo Rigby on [email protected]

2

1. Global Recessionary PsycheFor the past two years Evolution of the Consumer has monitored significant shifts in consumer mindsets, even in those markets which escaped economic recession. Wewhich escaped economic recession. We now see that consumer commitment to budgeting is still present but the extraordinary levels present in the eye of the storm has dissipated slightly. However, even in countries which suffered ,only moderate macroeconomic disruption, price-promiscuity remains strong as we enter 2011. Consumers worldwide have become dramatically sensitized to the concept of price and are instead looking for value in the products they buy.

33

Price sensitivity exists across markets but is less fierce than during the height of economic downturnfierce than during the height of economic downturnQ. “When shopping, I look at prices more than I used to”

4 3100%

23

25 23

8

12

26

15

12

28 3326

15 154

1118

93

24 2817 15

31

14 1224

70%

80%

90%

100%

35

28

31

32 55

34

42

3532 27

28 33

2755

27

40%

50%

60%

70%

1927

5832

24

18

33

19 14

35

44 39

23 43 39

3222

42

37

20%

30%

40%

6 7 1121

81 2

18

0 3 3 4 1 5 6 22

18

7

1911 11

9 614

9

0%

10%

I expect to spend money much more freely than I do nowI expect to spend money somewhat more freely than I do nowI don’t expect to change the way I spend nowI expect to spend somewhat more cautiously than I now do

4

I expect to spend somewhat more cautiously than I now doI expect to spend much more cautiously than I do now

Source: Omnicom Media Group Evolution of the Consumer, Dec 2010

Markets hit hardest by recession are now attuned to buying sale itemsbuying sale itemsQ. “Nowadays, I buy things on sale…”(1=Always, 7=Never)

1 2 1 1 11 3 2 2100%

16

2328

2322 24

12

18 2824

2816

32

3

6 83 3

8

3 4

12

8

58

5 53 2 1 24

1 1

7 41

18

11 3 2 4 2

15

80%

90%

100%

28

34 30

2136

22

29 2535

32

28 26

31

24 32

13

50%

60%

70%

61

61

2921

24

39

35

2927

30%

40%

50%

3732

41 42 4034

23

39 39

12

2532

46

29

17

0%

10%

20%

0%

1 2 3 4 5 6 7 N1+2 3 4 5 6 7-Never

5Source: Omnicom Media Group Evolution of the Consumer, Dec 2010

Across the markets caution reigned in the build up to the holiday seasonthe holiday seasonQ. Please tell us how much you agree or disagree with the following statement: “I am being cautious about how much I spend on gifts and entertainment over the holiday season.”p g y

39 4080%

90%

100%

55 5360 58 58

64

47 47

62 59 58

45

70

40

7160%

70%

80%

3029

3125

36

39 44

25

1323

43

40

30%

40%

50%

15 188 11

1811

2514

10 13

2920

12 919

9

3331

25 25

22 20

0%

10%

20%

0%

Di N ith di A

Source: Omnicom Media Group Evolution of the Consumer Dec 2010

Disagree Neither agree or disagree Agree

6

Parents were also wary about how much they were spending on their children over the holiday seasonspending on their children over the holiday seasonQ. Please tell us how much you agree or disagree with the following statement: “I am being more cautious than I used to be about how much I spend on the children over the holiday season”p y

4235 35

41 4231

4080%

90%

100%

47 4248 47 44 41

4857

42

57

70

40

53

60%

70%

80%

39 39 52

42

17

3748

41

43 28

23

22

51 38

3530%

40%

50%

20 1914 10

37

19 17 189

15

35

22 189

2313

22

0%

10%

20%

0%

Di N ith di ADisagree Neither agree or disagree Agree

7Source: Omnicom Media Group Evolution of the Consumer Dec 2010

2. New World OptimismAs we witness a significant shift in theAs we witness a significant shift in the traditional balance of global economic power to emerging markets, large proportions of consumer-citizens in emerging countries are confident that their respective nations will become powerfulrespective nations will become powerful international players. The majority of Brazilians (53%), for example, agree that their nation “will eventually be one of the most powerful in the world” with a further 24% agreeing that this is already the24% agreeing that this is already the case.(Source: Pew Global Attitudes, 2010).Improved global standing and rising affluence in emerging markets – where personal disposable incomes have traditionally been a fraction of those in developed countries – havefraction of those in developed countries have contributed to a widespread sense of optimism here.

88

21st century global economic rebalancing

100%

Share of Global GDP

80%

100%

G7 (USA, UK, Japan, Germany, France, Italy, Canada)

E7 (China, India, Brazil, Russia, Indonesia, Mexico, Turkey)

60%

40%

0%

20%

0%1990 1995 2000 2005 2010 2015 2020 2025 2030 2035

9Source: Oxford Economics/nVision

Consumers in emerging markets are feeling buoyant with signs of optimism returning to GermanyQ. Which of the following do you think best describes the current state of the economy in your country?

with signs of optimism returning to Germany

1 1 2 3 2100%

2424

2427

22

26 36

10 5 810

5

38 3833

23

14 111 1 2

16

3 2

38

209 10

46

719

35

70%

80%

90%

100%

60 535326

28 28 42 33

36

53

31

40

38 23

29

40%

50%

60%

70%

2722

56 60 5347

25 22 14 22

28

2127

30

28 28

14

42 33

23

36

10%

20%

30%

40%

6 311 10 14

112

18

1 3 1 3 3 5 3 48

47

0

14914

0%

10%

The economy is strongThe economy is somewhat strong, but could be betterThe economy is neither strong nor weakThe economy is somewhat weak and may be heading toward a recession

10

The economy is weak and is in a recession


Emerging markets feel the future is much brighter

Q. “I believe that children these days will enjoy significantly greater prosperity in their lives than I have enjoyed so far”j y

8480%

100%

4% 79% 73%

5

77%

63%

63%60%

80%

56%

47% 45%

45% 39%

39%

38% 36% 34%

34%

33%

40%

28%

% %

25%

25%

17%

0%

20%

0%

Rus

sia

Indi

a

Chi

na

Bra

zil

Arg

entin

a

Sou

th K

orea

Cze

ch R

ep

Ger

man

y

Pol

and

Irela

nd

Aus

tralia

Italy

Den

mar

k

GB

US

A

Spa

in

Hun

gary

Japa

n

Net

herla

nds

Sw

eden

Fran

ce

11Source: : nVision 2010

Job security in emerging markets is good news for consumer brandsQ. How secure do you feel in your job?

for consumer brands

13%11% 16%

4%

5% 4%

3%

1%6%

3%

2%

3%

18%12%

31%

13%7%

35%30%

14%

30%

8%15%

22%28%

9%

21%30%

80%

90%

100%

49%

16%

18%

11%

18%

14%

12%

20%24%

31%18%

25%

13%

4%

5%5%

3% 4%

4%

7%

3%

12%

50%

60%

70%

38%

41%

33%

40%

36%

34%

48%

44%

46%

38%

34%

51%

40%32%

14%38%

13%

30%

40%

50%

17%24% 21% 25%

30%

9%20%

26%

3%

21%13%

5%13%

23%

11% 13%

27%

38%

0%

10%

20%

Very secure Quite secure Not at all secure I have lost my job I don’t workVery secure Quite secure Not at all secure I have lost my job I don t work

12Source: Omnicom Media Group Evolution of the Consumer, Dec 2010

Aspirations for luxury brands in emerging markets have overtaken those in established marketshave overtaken those in established marketsQ. Which of the following would you buy more of, either for yourself or your family, if you were wealthier than you are today? Designer clothes-accessoriesy y g

80%

90%

100%

57

60%

70%

80%

40% 37%

37% 34 %

34% 31

7% 54%

48% 45%

2

30%

40%

50%

% % 1% 26% 23%

23% 21%

20% 18%

29%

28% 25%

16%

0%

10%

20%

0%

Pol

and

Hun

gary

Irela

nd

Fran

ce

Rus

sia

Spa

in

Sw

eden

Italy

Den

mar

k

Cze

ch R

ep

Net

herla

nds

Ger

man

y

Bra

zil

Indi

a

Chi

na*

Arg

entin

a

Aus

tralia

Sou

th K

orea

US

A

Japa

n

13Source: nVision 2010

Attitudes towards spending in 2011 more positive in Brazil China and IndiaQ. How has the current state of your country’s economy affected the way you spend your money?

in Brazil, China and India

3100%

32

18

2918

19

29

1924

9 8 1324

133

32 29

16 12

34

13 14

34

70%

80%

90%

100%

35

24

60

35

38

3431

38

37 46

4743

41

52

34

40%

50%

60%

70%

12 13

31 2433

914

815

32 2953

34

60

27 17

26

27

21

25

38

26

10%

20%

30%

3 2 19 11

1 110

0 2 2 4 0 3 3 2

136 3 8 5

6 93

8 40%

I spend money much more freely now than I typically wouldI spend money somewhat more freely now than I typically wouldI have not changed the way I spend moneyI spend money somewhat more cautiously now than I typically would

14

I spend money much more cautiously now than I typically would

Source: Omnicom Media Group Evolution of the Consumer, Dec 2010

3. The Search For Personal ControlPersonal ControlWhat characterises consumers today is a determined focus on instilling a sense of personal control over all aspects of life; from personal finances to health,

d llb iappearance and wellbeing. In the consumption process, consumers are willing to spend considerable time and effort to maximize personal budgets, and use a variety of tools in the process - from coupons and price comparison sites to thecoupons and price comparison sites to the advice of friends and family. In the realm of health and wellbeing, control in 2011 will increasingly be maintained through personal health tracking and any number of services that promise to delivernumber of services that promise to deliver healthy lifestyles with minimum effort required

1515

Consumers will increasingly look to brands to help them control their health and wellbeing in 2011them control their health and wellbeing in 2011Q. Some of the things people have told us they are concerned about are listed here. Please say which of the following items you personally are concerned about. “Trying to stay fit and healthy” % who are concerned

84 8

88%

80%

90%

100%

4%

83% 80%

79%

79%

78% 75% 73% 70% 67%

67% 65%

58

79% 76% 74% 72% 68% 66%

58

60%

70%

80%

8% %

30%

40%

50%

0%

10%

20%

Den

mar

k

Rus

sia

Italy

Sw

eden

Irela

nd

Ger

man

y

GB

Fran

ce

Pol

and

Net

herla

nds

Spa

in

zech

Rep

ublic

Hun

gary

Chi

na

Indi

a

Aus

tralia

Bra

zil

US

A

Arg

entin

a

Sou

th K

orea

Japa

n

16

Cz

Source: nVision 2010

Personal control: monitoring intake

Interested in an app for tracking calories/ nutritionaltracking calories/ nutritional

values

India: 60%

Brazil: 53%

Chi 48%China: 48%

Ireland: 44%Ireland: 44%

South Korea: 43%


Self-tracking devices offering total control = hyper information continual feedback and hard incentivesinformation, continual feedback and hard incentives

Soon, there will be no excuse for not living lives of organised moderationliving lives of organised moderation

every hour of every day.

18

Brands are responding to consumers need to control their budgetstheir budgets

19

The appetite for controlling content is growing with Thailand leading the wayThailand leading the wayQ. Thinking about the ways you spend your leisure time, how much more or less of these activities are you doing nowadays, compared to 12 months ago? (Viewing TV on demand). y g y p g ( g )

13%11%

7% 6% 1%25%

17%28%

37% 36%

10%16%

39%

15% 17%24% 20%

4%

20%13%

80%

90%

100%

28%

11%5% 10%

19% 16%14% 10%

7%16%

23%14%

29%

7%

3%2%

11%

4%

2%

6%

4%

5%1%

7%%

46%

59%

46%

60%

70%

80%

14% 19%9%

13%12%

30%24%

37%

33%27%

28% 31%

29%28%

15%

28%

38%

31%

37%7%

10%6%

5%

5%2%

2%

4%

30%

40%

50%

13% 17%

6%16%

11% 8% 7%

21%

3%

19% 22% 24%13%

9% 9%

33%11%

12%

11%

8% 20%

9%7%

4%

9%

11%9% 11%

28%

0%

10%

20%

0%

A l t l S h t l Ab t th t S h t A l t I h d thiA lot less Somewhat less About the same amount Somewhat more A lot more I have never done this


4. Game OnAs we progress into 2011 playtime willAs we progress into 2011 playtime will become more important in people’s lives than ever before. Electronic gaming has become the world’s most valuable entertainment industry in revenue terms. Significant proportions claim to play video games at least once a week and “social gaming” vialeast once a week and social gaming via social networking profiles place games at the heart of online social interaction. More, as mobile devices have become more sophisticated, gaming on the go has become a widespread activity, enabling consumers to y gcleverly fill moments of unproductive downtime. Gaming as we know it, however, is changing. No longer a simple pastime, 2011 will see the further integration of playful, game-like mechanics into the products and services wemechanics into the products and services we use, as well as the leisure activities we pursue.

2121

Penetration: Games console ownership across the globe

USA

Germany40%

GB63%

France49%

JUSA 59% Spain

60%Italy47%

China34%

Japan 55%

South Korea21%

Brazil

India24%

40%

Argentina33%

Australia58%


Across Europe gaming is becoming a multi-generational activityactivity

100%

Proportion of respondents playing computer or video games at least once a week

80%

90%

100%

61%

62% 59%

62% 57%

56%

58%

62% 58%

5 5

57% 5

59%56%

55% 550%

60%

70%

% % 51%

52% 50%

% 53% 49%

43%

51% 48%

50%

41%

46%

31%

33%

% % 3%

41%

49%

40%

42% 38%

43% 38%

29

31%

51%

50% 49%

39%

40%

40% 39%

31%

35% 31% 2

30%

40%

50%

% % %% % 27%

21%

0%

10%

20%

0%

16 24 25 39 40 54 55

23

16-24 25-39 40-54 55+


Gaming more popular in emerging markets

90%

Proportion of respondents playing computer or video games at least once a week

83%

73% 7

79%

6

74%70%

80%

90%

% 70% 68%

63% 60% 58%

51%

69%

61% 57%

58%

52%

57%

49

%

58% 56%

57%

49%

50%

60%

% 9%%

40% 37%

41%

30%

40%

0%

10%

20%

0%

16 24 25 39 40 54 55

24

16-24 25-39 40-54 55+

Source: nVision 2010 (*China 16 – 54)

Established markets are catching up with play on the go led by the emerging marketsgo led by the emerging markets

60%

Proportion of respondents who play games on their mobile phone at least once a week

52% 51%

50%

60%

38%

30%

40%

29% 27%

23% 22%

22%

21% 20%

30%

25%

21%

21% 18%

20%

30%

16% 15% 14%

13% 12% 10%

%

0%

10%

0%


Play on the go is driven by the increased need to avoid unproductive downtimeavoid unproductive downtimeQ. % who agree “One of the things I dread most is to be bored, or have nothing to do”

100%

80%

90%

100%

67.30% 59.10 %

56.0

65.60%

65.30%

60.20 % 550%

60%

70%

% 00% 50.60%

49.00%

45.90%

45.40%

45.20%

42.20%

30. 7 2

% 52.30%

51.40%

46.90%

44.70% 35.30 %

30%

40%

50%

70%

26.60%

26.20% 20.00%

%

0%

10%

20%

0.00%

0%


The big push for gaming in 2011 will be within social networkingnetworking Proportion of social networkers who have played a game within a social networking site

Germany29%

France30%USA

45%30%

Spain42%

Italy41%

China78%

Japan 25%

South Korea21%

Brazil

India48%

21%

Brazil 49%

Argentina50%


5. Alternative EconomiesIn 2011 we fully expect to see consumers increasingly collaborate with each other in order to boost individual purchasing power and to share discounts, rewards and tips.Sites such as Germany’s Citydeal and UK’s Groupola (the sister of US site Groupon)

ff h ’ d il di t hi hoffer shoppers’ daily discounts which are redeemable only if a set target number of people buy the deal before it expires. The internet has powered the possibilities of communities to create sites to swap and share products and servicesshare products and services.

2011 will also see public authorities in some corners of the globe encourage the whole principle of joint-venturing and partnership as a way of a) stimulating new forms of creativity b) distributing responsibility for social problems and c) controlling public sector finances.

2828

Bulk buying is increasingly popular across markets

Q. “Nowadays, I buy products in bulk…”(1=Always, 7=Never)

3 2100%

1122

13

15

15

15

1219

185

15 12

5

1411

15

10

6

710

10 114

26

6

22

8 103 4

917

112

6 9

80%

90%

100%

2421

24

24

26 25

15

25

31

18

20

16

19

2316 23

13

19

23

15

21

16

50%

60%

70%

2025

27

1824

18

20

30

20

20

24

22

19

16

27

24 23

2432

16

30%

40%

50%

1712

18

6

28

8 9

19 21 1824

510

3325

15

17

1218 18

2114

20

0%

10%

20%

0%

1 2 3 4 5 6 7 N1+2 3 4 5 6 7-Never


Sites which enable consumers to swap or share goods and services are reaching a wider audiencegoods and services are reaching a wider audienceQ. “Nowadays, I share or swap products I need via community websites, family, or friends…”

100%

39 43 4133

44 47

3444

31

45

33

49

27 28

4080%

90%

100%

13 1310 716

17

12

14

13

14

1418

15 16

21

5449

50%

60%

70%

161513

17

11

19

17

14

17

152011

9

7

14

13

117

13

12

13

10

15

1010

17

15

1417

1418

15

21

30%

40%

50%

9 8 6 9 10 9 511

514

7 6 6

18 1410

10 99

8

1810

5

10

11

14

712

7

13

5

1311

1111

1817

15 1313

0%

10%

20%

0%

1 2 3 4 5 6 7 N1+2 3 4 5 6 7 - Never


Collective purchasing and group discounts: Sites facilitating the ‘Team Buy’facilitating the Team Buy

• The phenomenon of collective discounting emerged notably in mainland p g g yChina where it is known as Tuangou which, roughly translated, means ‘team buy’. Closely linked to the tradition of haggling, team-buying consists of a group of people meeting at the same time to negotiate the price of an item in a shop. Chinese sites like Liba and Taobao help p p pconsumers to find others looking for discounts. Similar communities can be found in the US and Europe although these are less established.

• At the same time, a wave of websites such as Germany’s Citydeal, UK’s C dit d G l (th i t f US it G ) d L dCrowdity and Groupola (the sister of US site Groupon) and London-based Snippa offer shoppers’ daily discounts – usually one per day –which are redeemable only if a set target number of people buy the deal before it expires and thus leave the retailer with a profit. These sites offer d l f h f hi h l i i t ddeals on a range of purchases many of which are leisure-oriented.

• We have even noticed versions which aim to cater for other emerging markets. Barriocuda plans to offer consumers local discounts in South American markets including Brazil Mexico and ColombiaAmerican markets including Brazil, Mexico and Colombia.

31

Sourcing inspiration and innovative ideas from the wider consumer collectivewider consumer collective

• Quirky.com is a US site where new product ideas are shared with the y p13,000 strong Quirky community to crowdsource advice and opinion for product development. If a member’s advice is taken on board or is seen to have been influential, then they are credited for their contribution with cash payments, relative to the importance of their input. The French site p y p pCrowdSpirit works under a similar ethos.

• Many brands are widening their creative processes to benefit from the wisdom of crowds and we see this being applied across sectors. The g ppNokia beta labs community, Asda’s ‘Chosen by You’ scheme and Volkswagen’s ‘app my ride’ competition all aim to extract good ideas from the populus to drive their creative processes.

• Even media production is subject to the trend. Ridley Scott is producing a crowdsourced documentary using footage uploaded by people across the globe to YouTube of various happenings filmed only on July 24th

2010

32

As a consumer, I have had the opportunity to come up with an idea for a brand e.g. via Facebook, otherup with an idea for a brand e.g. via Facebook, other social networks, ad campaign, customer feedback scheme etc

18% 31% 22% 25% 15%

UK USA France Germany Japan

33

UK USA France Germany Japan


6. The Selfish GreenIn previous waves of Evolution of the Consumer we identified that consumers are concerned about environmental issues. However, translating general concerns into actual behaviour is a difficult task for consumers and few - wary of overspending household budgets and pragmatic in their consumption choices - are willing to pay a premium for products guaranteed to not harm the environment. In 2011, companies have a clear opportunity to give consumers the greenopportunity to give consumers the green light for green consumption by creating offers that: do not interrupt everyday life, that can in some way deliver (either in the short or long-term) money-saving benefits and that can provide consumers with immediate feedbackprovide consumers with immediate feedback of both their own eco-friendlier actions and those of brands and companies.

3434

Environmental goodwill stronger in emerging markets

Q. Proportion agreeing “I am concerned about what I personally can do to help protect the environment” (see notes). % who agree/agree strongly by countryp ( ) g g g y y y

8480%

100%

68% 66%

65% 61%

61%

60%

59%

4% 81% 79%

71%

5

60%

80%

% % % 55%

54% 52%

42%

55%

54%

54%

47%40%

0%

20%

0%

0%

Italy

Den

mar

k

Spa

in

Irela

nd

Ger

man

y

Pol

and

Hun

gary

Fran

ce

Sw

eden

Cze

ch R

ep

Rus

sia

Indi

a

Bra

zil

Arg

entin

a

Chi

na*

Sou

th K

orea

US

A

Aus

tralia

Japa

n


Concern translating into action is also stronger in these marketsthese marketsQ. Few agree strongly “I would be willing to pay as much as 10% more for grocery items if I could be sure that they would not harm the environment”. % who agree/agree strongly by countryy g g g y y y

80%

100%

60%

80%

40%

16% 14% 10%

10%

9% 9% 9% 8% 8% 7% 5 % 2

27% 25% 20%

11% 6% 6% 6 % 20%

20%

% 2%

% 2%0%

Hun

gary

Italy

Rus

sia

Ger

man

y

Spa

in

Cze

ch R

ep

Pol

and

Den

mar

k

Sw

eden

Fran

ce

Irela

nd

Net

herla

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Indi

a

Bra

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Arg

entin

a

Chi

na*

Sou

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orea

US

A

Aus

tralia

Japa

n


The organic trend is tipping in emerging markets but declining in established onesQ. “I continue shopping for organic food”

but declining in established ones

100%

21 21

7

22

46

1929 30

11

3427

1218

23

80%

90%

100%

53 53

52

53 62 4371 39

61 45 3471

61

50%

60%

70%

35

62 43

52 39

2630%

40%

50%

26 26

42

2520 19

2919 19

2717

3427

14

374313

0%

10%

20%

0%

Di N ith di A

37



Price takes priority over ethical values

100%

Q. “Price is now my priority rather than how green a product is”

1936

31

43

27 28

43

29 28

45 43

12

49

32 34 3680%

90%

100%

36 44

15

38 22

4954

50%

60%

70%

58

70

35

40 41

47

44

31 23

4345

3230%

40%

50%

30 34

18

29

1624

35

12

26 28 25

45

1814

0%

10%

20%

0%

Di N ith di A

38



Consumers have increasingly high expectations for brands to take responsibilityQ. “Companies should be penalised for failing to care for the environment”. % who agree or agree strongly by country

for brands to take responsibility

g y y y

8

91% 89%

80%

90%

100%

82% 79%

78% 77%

76% 72%

71%

70% 67% 64%

63%

78% 76% 74%

66% 61 %

60%

70%

80%

54% 50%

%

46%

30%

40%

50%

0%

10%

20%

0%

0%

Rus

sia

Irela

nd

Hun

gary

Pol

and

Fran

ce

Cze

ch R

ep

Italy

Spa

in GB

Den

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Sw

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Net

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Arg

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a

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Indi

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Chi

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Aus

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US

A

Japa

n


New routes to personal and corporate eco-energy transparencytransparency

% interested in an 36% 62%app/device that could “scan barcodes and give i f ti b t h

36%

28%

62%

53%

information about how environmentally friendly a product was” 30%

25% 38%

28%product was . 30% 8%


7. We Are FamilyChanges in the demographic structure of global populations are having a major impact on people’s life courses and, as a Family interaction is increasingly spread across generations, households and places. As longevity increases, older generations will increasingly play an active role in the extendedincreasingly play an active role in the extended family life; from helping out with childcare to advising younger family members about future careers and lifestyle choices.It can be argued that families are becoming more connected than ever We also note thatmore connected than ever. We also note that parents maintain an increasing amount of influence and support within their children’s lives for longer. From a financial perspective, young adults will increasingly draw upon parental and familial support. The influence of the familyand familial support. The influence of the family network on purchasing decisions is unquestionably potent.

4141

Family and friends are a powerful influence on purchasingpurchasingQ. “If a friend or family member recommends a product or service to me I am much more likely to buy it”

80%

60% 58% 55%

62%

50%

5760%

70%

80%

51%

48% 52%

40% 48% 42% 40%

36 3

7%

48%

43% 48%

40%

50%

60%

6% 5%

32%

30%

31%

20%

30%

40%

11%

11%

13%

9%

11%

5%

17%

6%

8% 7% 6%

7%

4%

12%

18%

6%

9%

13%

6%

8%

20%

10%

20%% 2%0%

Irela

nd

Pol

and

Cze

ch R

ep.

GB

Spa

in

Den

mar

k

Hun

gary

Sw

eden

Italy

Ger

man

y

Fran

ce

Rus

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Net

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Chi

na

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Sou

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US

A

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A t l A

42

Agree strongly Agree


The power of recommendations from friends and family is strongest in China and IndiaQ. % who consulted friends-family before purchasing a TV

family is strongest in China and India

100%

80%

100%

60%

37% 34%

34% 32 % 30% 29 2 2

47%

47%

37%

36% 33%

2

40%

% % 9% 8%

27% 25% 23% 20% 19%

17%

8%

22% 19%

0%

20%

0%

Hun

gary

Rus

sia

Cze

ch R

ep

Pol

and

Den

mar

k

Spa

in

Aus

tralia

Irela

nd

Sw

eden

Italy

Ger

man

y

Fran

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Net

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Chi

na

Indi

a

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orea

Arg

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a

Bra

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US

A

Japa

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Consumers look to spend more quality time with their familiesQ. Which of these best describes how often you do each of the following activities? Eat a family meal together. Average times per week

their families

y g g p

5.0

6.0

4.77

4.74

4.62 4.42 4.04

4.03 3.87

3.83

3

4.73 4.49

4.38 4.22

4.21 3.98 3.81

4.0

3.31

2.91

2.86

2.75

3.04

2.0

3.0

1.51

0.0

1.0

0.0

Italy

Pol

and

Net

herla

nds

Sw

eden

Den

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k

Ger

man

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GB

Irela

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Fran

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Arg

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Chi

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US

A

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The Bank of Mum and Dad

Q. Some of the things people have told us they are concerned about are listed here. Please say which of the following items you personally are concerned about. “Financially supporting my extended family” % g y p y y pp g y ywho are concerned

90%

100%

60

64%60%

70%

80%

0% 57%

44%

3 3

%

54% 50% 47%

30%

40%

50%

30%

30%

23% 21% 19%

12%

12%

11%

6%

22% 20% 18%

3%

0%

10%

20%

0%

Spa

in

Cze

ch R

ep

Rus

sia

Hun

gary

Irela

nd

Italy

Pol

and*

Den

mar

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Sw

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Net

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8. Concierge BrandsThe availability of concierge services was onceThe availability of concierge services was once entirely confined to the gilded world of the affluent elite, celebrities and only the most senior of corporate executives. But enhanced service offerings are now burgeoning in the mainstream landscape, becoming one more weapon in brands’ arsenal to

ti f th d d f th ti i i i dsatisfy the demands of the exacting, maximising and budgeting consumer in 2011 and beyond.

Such is the scale of innovation taking place that highly personalised services are becoming the new loyalty-mortar for offers in virtually all sectors.

This innovation is being electrified by all the possibilities for real-time personalised contact which the internet provides. And to this we add the bottomless appetite for here-and-now convenience, drudgery-elimination, crisis-management, fun-enhancement as well as for status confirming clubenhancement… as well as for status-confirming club membership which the 21st century consumer most emphatically demands.

46

Consumers increasingly look for brands which make them feel special and uniquethem feel special and uniqueQ. Please tell us how much you agree or disagree with the following statement: I only want to own things I care about. g

4280%

90%

100%

6168

5359

68 69

48

60 64 65

82

56 53

69

42

66

50%

60%

70%

2840 29

41

29 23

21

40

39

30%

40%

50%

11 10 8 12 11 8 11 104

12 1423

612

19

7

2823 21 23

2932

23

520 27

0%

10%

20%

Di N ith di A

Source: Omnicom Media Group Evolution of theConsumer December 2010


47

j15

j15 Jo: can you work out how to get all the bar charts on the page.jo.rigby, 09/01/2011

The need to feel ‘valued’ as a customer is an integral part of today’s path to purchase and brand experienceQ. ‘In the past year I have taken my custom to a different shop or company because of poor customer service’ % who agree or agree strongly, by countryg g g y y y

80%

90%

100%

36%

50%

60%

70%

43%

39% 36%34% 29% 32% 26%

30% 31% 25%

50%

33%

39% 41%44%

30%

40%

50%

21%12% 14% 12% 16% 13% 17%

12% 10% 11% 11% 7% 3%

45%

14%

29%19% 16%

11% 9% 7%

31% 25%20%

22%18%

27% 29%

0%

10%

20%

Irela

nd

Pol

and

GB

Italy

Cze

ch R

ep.

Spa

in

Hun

gary

Sw

eden

Den

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Ger

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Fran

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A t l A


Agree strongly Agree

Related trend manifestations

• Virgin Holidays has introduced a ‘Rockstar Service’ which carries the promise “Feel like a rock star on holiday by booking with someone who goes the extra mile y y g gto make you feel special”. The service comprises the ‘v-room’, an exclusive relaxation area at Gatwick airport, a ‘Check in, Chill out’ service which allows customers to check in directly from their hotel and a dedicated concierge facility that makes recommendations, reservations and meets any special requests.

• In the UK, Vue Cinemas’ ‘Scene’ sub-brand showcases an only-slightly-premiumised version of the same idea. Aimed at cinema-goers aged 18 and over, these venues promise a red carpet viewing experience, with ultra-comfortable interiors private lounges and bars as well as a concierge service And all of this isinteriors, private lounges and bars as well as a concierge service. And all of this is included for a minimal price premium, making it a small indulgence, anchored firmly within the grasp of the majority of British consumers.

• Similarly in India, in a bid to accommodate upgrade-hungry filmgoers, PVR’s ‘Gold Class’ cinemas (located across the country) offer exclusive halls with recliner seats and in-seat service as well as a private lounge for customers. By doing so, the cinema commands ticket prices that are 2-3 times higher that the norm. PVR began with its first 'Gold Class' screen in Bangalore in 2004. Other premium players in the Indian cinema market include Cinemax Entertainment (whose fourth 'Red Lounge‘ arrives in Nagpur in 2010), and Adlabs Cinemas, who have a luxurious ‘Ebony Lounge' in Mumbai.

49

9. Socially Networked and yMobileWhat will characterise internet usage in 2011 and beyond? We identify here 2 key drivers – the further embedding of social networking into the fabric of the internet and the continuing flight of g ginternet activities to mobile devices. Social networking has become a key internet activity. In many corners of Europe, we are approaching majority take-up. In emerging BRIC markets too, social networking has become one of the most popular online activities for Netizens Thethe most popular online activities for Netizens. The internet is becoming a big social club. Though still a niche trend globally, 2011 will witness more and more internet usage migrating onto mobile devices. The latest generation of smartphones/tablet devices allow people to carry out virtually any kind of activity – from the serious to the frivolous – wherever they are.

5050

By the end of 2010 there were over 2 billion internet users globally double the figure in 2005Q. Estimated Internet users per 100 inhabitants

internet users globally, double the figure in 2005

100

80

90

100

514

53.6

54.7

58.8

59

6261.8

5

66.6

65

55

71.6

50

60

70

45.9

36.3

149.4

39.2

6

44.846.3

25 2

0.4

35.7

27.1

46

24

30.1

20

30

40

10.7 8 9.5

2.2

7.8

15.912.9

10.6

10.7 3

9.4

17.5

18.4 13.8

13.6 3.6

12.3

20.8

5.2

16.9

16.6

5.9

15.3

3.820.5

19.5

8.8

18.5

14.9 21.9

9.6

21.1

0

10

20

pe as IS es fic ca ed ng rld

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op

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tate

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in

Wor

2005 2006 2007 2008 2009 2010*

51Source: UN ITU World Telecommunication/ ICT Indicators database 2010 (*estimate)

2005 2006 2007 2008 2009 2010*

By the end of 2010 there were over 5.3 billion mobile subscriptions worldwideQ. Mobile cellular telephone subscriptions per 100 inhabitants

mobile subscriptions worldwide

140

111

113

117.7 1 0

128.6 118.5

114. 3

131.5 120 116.1100

120

140

91

82.3

81.9

100.5 93.4

96.4

1.1

72

102

81.9

09.2

89.3

73

3

94.1

79.4 76. 2

80

100

59.7 52.9

3 3

63

38. 7

41.7

2.4

52.1

36.

38.5

50.1

61.3

45.6

3

48.2

59.3

.3

55.8

37.6

57.7

67.9

67.8

41.4

67.6

2

40

60

26.6 22.5 12.3

22.9

3.9

7

28.6

17.8

30

.4

23.3

532.16

0

20

IS pe as es fic ca ed ng rldCI

Eur

op

The

Am

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a

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b S

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a &

Pac

if

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Dev

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e

Dev

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in

Wor

2005 2006 2007 2008 2009 2010*

52

2005 2006 2007 2008 2009 2010*

Source: UN ITU World Telecommunication/ ICT Indicators database 2010 (*estimate)

Countries where the majority social networkers log in everydayeveryday


Social networks fuel conversations

I find that things I 50%51%

see on social networking sites 52% 41%networking sites give me something to talk about to 66% 66%to talk about to friends and family

66% 66%

34%

54

Breaking free of the wired web to go mobile

Q. % who have used the mobile internet at least once a week, by country100%

80%

90%

100%

66%

50%

60%

70%

36% 31 %

31% 2 2

47%

47%

31 % 2

30%

40%

50%

% % 28%

27% 24% 22%

21%

21% 18%

18% 13% 11%

% 27% 25% 20% 17%

0%

10%

20%

0%

0%

Rus

sia

GB

Pol

and

Irela

nd

Sw

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Den

mar

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Cze

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Net

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10 Lure of the Shop Floor10. Lure of the Shop FloorFaced with increasingly competitive e-commerce channels, weather fronts that can often dissuade shoppers from venturing outdoors and a global economy threatening to remain uncertain in many areas into the decade’s teen years, the bricks-y ,and-mortar retail world has come under sustained pressure to offer engaging and attractive offers.In 2011, we expect retailers to evolve retail locations into havens of technological interactivity and experiential treats. We will be presented with a radically altered retail futurepresented with a radically altered retail future, where shopping locales become genuinely alluring leisure destinations, complete with unique in-store activity and, crucially, seamless connectivity with the technologies and networks consumers can so readily access on-the-go.

5656

Leisure shopping more popular in emerging markets where e-tailing is still developingwhere e-tailing is still developing‘Going shopping because I feel like it, not because you have to’, average times per month

4.29 3.85 2.183.85

1 842 06 2 05

2.18

1.842.06 2.05

1.52 1.23


Increasing demand for me-tail technology to enhance retail experienceretail experience

Proportion who would be interested in location-based apps or devices

60% 61 70% 71 80% 80%

58Source: Global nVision

<60% 61-70% 71-80% >80%

• At CompUSA electronics stores, customers are invited to browse the internet for product information, price comparison and consumer reviews on the very same computers and devices that are being offered for sale. The company hopes that by providing information atoffered for sale. The company hopes that by providing information at point-of-sale and indulging maximising behaviour , people will reach final decisions about what to buy when on the premises (and hopefully, in the retailer’s favour).

• During 2010, the US-based Home Depot gave10,000 of its employees portable devices that can take payments from customers throughout the store and call-up information on stock levels and product

il bilitavailability.

• Shop assistants at the flagship Tokyo store of wedding service company Novarese Inc are reported to use iPads to help customers in p y p pthe dress-buying process. Sydney restaurant Global Mundo Tapas has gone as far as to (bravely) replace printed menus with iPaddevices. Diners can view additional nutritional information and send orders, via Wi-Fi, to the kitchen. The Square service for iPad (with q (swipe card add-on) lets merchants take payment wherever there is an internet connection. Payment is confirmed by touchscreen “finger signatures”, with receipts sent as emails or SMS.

59

11. A Right Royal Knees-upg y pWe predict that the 2011 Royal Wedding of Prince William and Kate Middleton in the UK will be the largest event ever accessed via social media across the globe. One billion people watched the wedding of Princepeople watched the wedding of Prince Charles and Lady Diana in 1981. A massive 4 billion people are predicated to watch her son marry on 29th April, that’s three quarters of the world’s TV viewing population. This will be dwarfed by the amount of socialwill be dwarfed by the amount of social media content generated and shared across the big day.

In our quick poll about the event we weren’t too surprised that the royal loving Australians

fwere more aware of the event than the cynical Brits!

6060

Massive awareness of the engagement across the worldQ. Have you heard about the recent engagement of Prince William and Kate Middleton in the UK?

100%

world

19

34

6 7

24

11 7

2010

27 29

45

1627

14 11

80%

90%

100%

50%

60%

70%

81

66

95 93

76

89 93

8090

73 71

56

8474

86 89

30%

40%

50%

0%

10%

20%

0%

Y N

61

Yes No


We’ll be tracking this to see how many give in to temptation as the excitement builds!Q. Will you be watching the UK Royal Wedding (Prince William and Kate Middleton) in 2011?

3 3 2 2 1 3100%

temptation as the excitement builds!

4139 39 40 45 45

3222 41

25

40

5 93 3 6 4 2 4 4

106

13

2 61 3

80%

90%

100%

40

4141 49

45

50 55 52

50%

60%

70%

37

43

3943 16

50 43

2244

30 29

5949

11 41

30%

40%

50%

177

2015

30

6 10

2921

11 116 7

32 34

16

29

0%

10%

20%

0%

Yes No Maybe I am not aware of the Royal Wedding

62

Yes No Maybe I am not aware of the Royal Wedding


Twitter will have to brace itself for its busiest traffic day since it launched

25 0 0 2 0 2 0 3100%

Q. How will you be following coverage of the UK Royal Wedding (Prince William and Kate Middleton)?

day since it launched

2121

8

21 17

31

1

4

212

621 18

9 3

4

5

116

1124 28

6

34

54

7

6 35

10

29

3423

1131

518

10 7 138

15

924 10

2

7

13 9

6 76 88 5 0

12 210 2 13

0 720 16

2 8 0 3

80%

90%

100%

20

39

18

32

39

22 25

31

24 17

29

35

35 18 21

13

21

21

17

259 715

13

1711

7

13 10

21 18 27

41

3525

28

16 43

50%

60%

70%

93

91 9789 81

35

42

42

6322 24

2745

32

30%

40%

50%

8184

93

7572

82

7668 83

7982

83

0%

10%

20%

0%

TV N M i T itt S i l t ki it Offi i l b it ( CNN BBC) R di Bl

63

TV Newspapers Magazines Twitter Social networking sites Official websites (e.g. CNN, BBC) Radio Blogs


11 trends for 2011-phd

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Transcript of 11 trends for 2011-phd