Since the economy began to decline roughly four years ago, consumers around the world have approached industries and retailers differently. Instead of buying for luxury, consumers are buying for sensibility. Instead of buying for status, they are buying for purpose. How does this effect companies worldwide? Moreover, how does this affect consumers in return? Simple, it benefits everyone when companies use the right marketing strategy.
By examining the change in how consumers shop, companies can effectively market their particular product more efficiently. Grounded marketing – an approach to understanding better social outlets qualitatively “makes it possible to investigate social phenomena within the context of an exploration process of induction (or interpretation) and deduction – building and examining hypotheses – which is oriented (“grounded”) in a permanent observation of the real or actual.” It is merely an understanding of consumers’ underlying needs versus typical market research.
Today, consumers are making decisions on what to purchase based on the significance of the product versus being swayed by emotional seduction. Aforementioned, consumers today are no longer looking for a status symbol in products. They are looking for what’s cheapest yet wanting authenticity.
How does this all tie in to marketing? By using the correct strategies to market a particular product, more consumers will levitate towards a product that exemplifies need and reliability versus being swayed that the product will make them look higher up in the social class.
Do you agree with this new ideal? Has your buying behavior changed in the recession?
Resources:
http://thedesignofprosperity.se/2009/press/votava/Path_to_a_new_Prosperity_A_new_approach_to_Marketing.pdf
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