Consumer spending is expected to grow at its strongest pace in seven years in 2018, but marketers need to consider the changing consumers’ attitudes and purchasing behaviors, according to an international market-research firm.
“Shifting consumer attitudes and behaviors will continue to cause disruption for business in 2018, with mobile technology and Internet accessibility playing a key role in shaping these changes,” said Euromonitor International in the report “Top 10 Global Consumer Trends for 2018.”
The report pointed out that the Internet especially has increased awareness of global issues, inspiring consumers to pursue greater social responsibility.
“Younger consumers are embracing mindfulness and betterment, choosing clean living aimed at reducing harm to themselves, others and the world around them,” it said.
Budget retailers also thrive as the financial crisis continues to cast a shadow on consumer behavior despite reaching its 10-year anniversary, it added.
“Consumers of all ages want and need less. Ownership is under question, and flexible, minimalist living is gaining popularity, with consumers sharing everything from clothing, household items and pets through to cars and living spaces,” it said.
Affordability, convenience and sustainability are key factors in the growth of the sharing economy.
“People living hectic and increasingly mobile lifestyles continue looking for ways to cut costs, save time and live freely in a way that is also eco-friendly,” it noted.
The report said consumers will seek more radical transparency from brands this year.
“The desire for uniqueness and true authenticity is driving customization to a new level, with consumers becoming the creators in 2018, feeding into the design of products and becoming involved in the production process,” it added.
Euromonitor International report also identified “View in My Roomers” trend this year, in which consumers would be able to visualize products before they try or buy, both in-store and online.
“Consumers can be prone to abandon purchases, particularly for big-ticket items,” it said. “For items such as clothing or accessories, consumers who are undecided on what size or colour to buy, often order multiple options and then return the unwanted items. This is a frustrating way to shop and costly for businesses.”
Augmented reality improves the consumer experience, providing a more lifelike view of the items and facilitates operational efficiencies for businesses by potentially reducing return rates.