Americans have seen a 22% decline in its collective net worth. Add this to a high unemployment rate and you have diminished consumer confidence. Consumers will adjust their spending patterns and reevaluate their priorities. A greater emphasis will be placed on affordability and functionality. Donnan states, “Indicators signal that we are entering a new era of nonconspicuous consumption… where less is more; where an emphasis on quality will replace a desire for quantity; and where the pursuit of enjoyment, purpose, and fulfillment will supersede a quest for material success and personal achievement”. This is a profound statement about the American consumer in that it declares the end of reckless spending on material goods that dominated the last decade to an era of responsible spending where environment, health, and need are the focus of consumers.
Opportunity can arise from a new value-driven consumer. Donnan observes that customer loyalty is up for grabs. New and improved ways to reach and target consumers should and must be approached. Also, new technologies and “customer-centric investments” implemented by companies should allow value and functionality in their products to reach these new consumers.
This relates directly to our last chapter on Systems and Marketing Research. Decision Support Systems need to reevaluate and update their data. New mediums for marketing research will be explored and the marketing research process will have to be redone. Secondary data will need to be collected in a more timely fashion and in greater numbers due to the evolving markets. Survey research, the most popular technique for gathering data, can also be reevaluated and may get more honest answers based upon consumers’ shift from want to need.
During the research for this assignment, I found that most of the articles and feedback on this topic resides on blogs. Future advertising and customer value concerns will most likely be voiced on this medium as well as variations of mobile communications. While there are some methods for mobile transfer, eg. Twitter, these remain ambiguous. I believe more refined methods for this kind of communication may result from the need for marketers to get better information to enter into their marketing research process.