impact of consumer trends on your value chain jakarta, indonesia july 2015 christophe landuyt

Impact of consumer trends on your value chain

Jakarta, Indonesia

July 2015

Christophe Landuyt

Impact of consumer trends on your value chain

1) Understanding & interpreting consumer

trends

2) Geographical aspects

3) Assessing the impact

a) on marketing & communication

b) on distribution & trade partners

c) on product design & development

Impact of consumer trends on your value chain

1) Understanding & interpreting consumer trends

- Every trend watcher has his own set of trends

- Trends are often formulated in vague terms

- ‘How to lie with statistics?’

Impact of consumer trends on your value chain

1) Understanding & interpreting consumer trends

- Trends help us understand (groups of) consumers

- Trends reveal what is about to happen

- Trends allow us to make the difference / stand out

Understanding & interpreting consumer trends

1) FOOD TRENDS (Gfk – Anuga)

Glocalisation

Daily luxury

Fair Food

Wellfood

Co-manufacturing

Myfood

Understanding & interpreting consumer trends

Glocalisation

The world gets smaller all the time

(global village), but in food we want local

accents.

Soto ayan Kippensoep Velouté de poulet

Chicken soup Sopa de pollo

Understanding & interpreting consumer trends

Daily luxury

Professional life is very demanding. Indulging in

small daily luxuries makes it more bearable.

Understanding & interpreting consumer trends

Fair food

What we eat should reflect our values, our ethics

and our hope for a better world.

Understanding & interpreting consumer trends

Wellfood

What I eat adds to my wellbeing and my physical

and mental integrity.

Understanding & interpreting consumer trends

Co-manufacturing

Yes, I Cook!

Understanding & interpreting consumer trends

Myfood

What I eat, expresses my

individuality. I am what I eat.

Understanding & interpreting consumer trends

2) NON-FOOD TRENDS (Euromonitor Itl.)

1) Narrow gap between interest & purchase (Shop this)

2) Eating right

3) Eco-worriers & social conscience (SHFT)

4) Home Base: importance of home & community

5) Work-Life balance: a source of stress

Understanding & interpreting consumer trends

2) NON-FOOD TRENDS (Euromonitor Itl.)

6) Luxury for more consumers (affordable luxury)

7) The People’s Choice (Trip Advisor)

8) Post-recession Coping (the New Normal - REWE)

9) There’s an app for that

10) Visual Craving (Filter Fakers, Pinstrosity)

Understanding & interpreting consumer trends

Ugly Fruit Video

2) Geographical aspects

EUROPE =

- One unified market (legislation)- Many national laws (phytosanitary)- 27 nations – 24 official languages- Many different clusters of consumer preferences- Different speeds for developing consumer trends

Needs create segments

Table culture

Courtesy Reinhardt Werner

Table culture

Courtesy Reinhardt Werner

Table culture

Courtesy Reinhardt Werner

Table culture

Courtesy Reinhardt Werner

Five important questions relating to segmentation:

Can we quantify the segment ?

Is it big enough to justify ?

Is there specific distribution ?

Is it really different ?

Can we reach it ?

High, middle and Low

Segmentation on price/value; design

EU market segments

Upper end (5-20%)

Middle end (50-70%)

Lower end (20-40%)

‘statement’ pieces (large)decorative; minimalist stylestop aesthetic and finishhigh value/high price

mainly functionaldining, tabletopwell-pricedcreative ‘me-too’

massmachine-madefunctional‘me-too’

In a nutshell

There is no such thing as “a market”

Countries is only one criteria

Use elimination in the process

Focus, don’t compromise

What do you prefer?

Left orRight?

Mouse or Lion?

Better the “head of the mouse” than the “tail of the lion”

Key Question:

How do I find out who my target audience is

and what their expectations are?

Customer profile

Who are the target customers?

Why will they want to buy?

What will the target

customers want to buy?

How will customers

want to buy?

When will they want

to buy?

Where will they want

to buy?

Where do they live? How old are they? Are they men, women,

children? What is their occupation? Income? Status? Level of education? Religion?

Special interests?

What benefits these

customers will get by buying my product?

What products with what features will meet their expectations? How will they want it packaged?

What quantities will they want?

Will customers buy this product when they buy other related

products? How important is the place of purchase? Will they go to buy it alone or with someone

else? Is delivery important?

How frequently will they purchase? Is this a regular or special purchase? Are there certain times or days of the week or the year when products will be more demand (e.g. special foods may be in greater demand during

New Years)

What stores, locations, or outlets will make it easiest for customers to find and buy your products? Where would they

expect to find them?

Knowledge about target customers is the basis for providing them the products that will satisfy them, make them loyal, repeat buyers, and provide profits to the business.

Courtesy Reinhardt Werner

How to find information

Ask

Shake hands

Keep your eye on the competition

Society Consumer

MarketsTechnology &

Business

Keep your eye on the competition

Understanding the market:

Summary