Happy New Year! Can you believe we are already halfway through the first week?
Reflecting on lessons learned last year, I keep coming back to the reality that consumers are fickle and, like birds of a feather, they flock together.
I’ll never forget sitting in a board room after presenting a complete change to our current marketing strategy and waiting for the reaction. One board member had dozed off, literally! While the rest were anxiously waiting to debate. The Chairman took over, asking me, “How do you know if this will work?”
My response? “We talked to the people who vote with their wallets, and they said yes.”
Yup, I sure did! The customer is never wrong and will always tell you the correct answers if you ask politely and listen deeply enough to hear their whispers of inspiration.
At Compass Rose, we start every client engagement with a deep dive into a brand’s story—primarily through the eyes of the consumer. When we do this, we uncover historical insights from the past, benchmark for the present, and imagine and envision the future path for growth.
We also look at trends and perspectives shaping the Direct-To-Consumerexperience for the rest of the year.
Navigational challenges we have noticed include
???? The crucial need for zero-party data. Instead of marketing based on third-party data, the most progressive and successful brands market based on what customers tell them. Quizzes on websites are the hot new way to capture personalized data to deliver tailored recommendations for your ideal customer. You can also use social media polls, post-purchase surveys, and account creation to capture customer insights.
???? The need for scalable content has never been more important – regardless of who produces it. The creator economy is on the rise, with more consumers purchasing online now than ever before, and the purchases are based on recommendations from friends, influencers, and sometimes perfect strangers. Harness the power of user-generated content to amplify your brand and build an audience.
Three key consumer trends that we will be keeping an eye on
1) Closed Community Platforms – While we cannot ignore the power of growing an audience through social media, it is growing increasingly important to create our communities. From changing algorithms, banning or deleting accounts to charging for verification of users, the major players on the market. Savvy brands and retailers will use the giants to drive their consumers to a world where they can manage engagement.
2) Social Commerce – Intelligence Node estimates that in 2023, social commerce will reach more than $30 billion in sales, accounting for 20% of global retail eCommerce. Savvy brands and retailers must include social media, social storefronts, and shoppable posts in their marketing DNA. Sounds easy, but implementing the habit is critical for the year ahead.
3) Emergence of the Circular Economy – This stems from today’s socially conscious consumer and the concept of “commerce,” or the circular economy. Historically, a linear economy has transformed into one where products and raw materials are reused, recycled, upcycled, and ethically and locally sourced. Sustainability is everything to today’s consumers.
The Compass Rose team loves to follow trends impacting our client’s industries. Follow us here on LinkedIn to stay on top of the trends with us. If you like this content, repost it and share it with friends who might find our insights helpful.
