spotlight prioritization
TRANSCRIPT
Prioritization:
1
© 2010 The Futures Company
V = V = RRVVRRPP ++ NN
2010: A New Definition of Value2010: A New Definition of Value
© 2010 The Futures Company
• Consumers want better prices, but have not become frugal
• Instead, consumers are redefining what is worth paying more for
• The new dynamic is prioritization
• Prioritization is replacing accumulation as the defining passion of consumption
The New Definition of Value
© 2010 The Futures Company
2010
Agree: ‘I’ll never spend my money as freely as before the recession.”
Impact of the Great Recession:The Future Will Be Different
Source: Yankelovich MONITOR 2008/2009
69%63%
Total Agree
© 2010 The Futures Company
Five Prioritization Strategies
1. Seek value for money2. Be careful3. Do your research4. Focus on style, design and performance5. Don’t buy on impulse
© 2010 The Futures Company
2009
Provides the best value for the money
1. Prioritization: Value for Money
Important in choosing a brand to purchase:
Source: Yankelovich MONITOR 2008/2009
63%
© 2010 The Futures Company
2010
Lately I've often regretted making purchases after I go shopping
2. Prioritization: Be Careful
Source: Yankelovich MONITOR 2008/2009
69%
31%
Total Agree
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26%
74%
2010
3. Prioritization: Do Your Research
Describes me:
“I am increasingly likely to spend time researching a product before making a purchase.”
Source: Yankelovich MONITOR, Finances and Spending Lens, fielded 4/12 through 4/27, 2010
© 2010 The Futures Company
29% 34%
2009
4. Prioritization: Focus on Style, Design and Performance
“When I buy any product, its style and design is as important as its performance”
32%
Source: Yankelovich GLOBAL MONITOR 2010
2010
41%
© 2010 The Futures Company
34%
I am impulsive
5. Prioritization: Don’t Buy on Impulse
Self Descriptor Rating
Source: Yankelovic hGLOBAL MONITOR 2008/2009
I am cautious
20102010
22%
78%
22%
© 2010 The Futures Company
© 2010 The Futures Company
Prioritization: Five Brand-Building Strategies
1. Give consumers permission to buy 2. Focus on brand performance3. Stimulate new user trial4. Reward brand loyalty5. Innovate, innovate, innovate
1. Give Consumers Permission to Buy
• Now is not the time for complexity; clarify as much as possible– Don’t ignore the basics; in fact, consider playing them up– Do you need to reprioritize your benefit story?– What about simply saying what the brand does…and
doesn’t do?– Rational, deliberative motivators
2. Focus on Brand Performance
• Talk about quality• Talk about craftsmanship• Talk about heritage• Provide product comparisons
3. Stimulate new user trial
Starbucks VIA Ready Brew Free Trial, National Tour, and National Roll-Out (television); May 2010
4. Reward Brand Loyalty
• Promote consistently• Reward your best customers
© 2010 The Futures Company
Netbooks: Hit of 2009Netbooks: Hit of 2009SC Johnson Clip-On insect repellent: Hit of Summer 2009
SC Johnson Clip-On insect repellent: Hit of Summer 2009 e-readers: 2009
Christmas hit
e-readers: 2009 Christmas hit
17
iPad: Hit of 2010iPad: Hit of 2010
5. Innovate
Meaningful innovation will connect with consumers
© 2010 The Futures Company
• Consumers want better prices, but have not become frugal
• Instead, consumers are redefining what is worth paying more for
• The new dynamic is prioritization
• Prioritization is replacing accumulation as the defining passion of consumption
Prioritization & The New Definition of Value