Part 2: DNA of the New Age Consumer

In my previous blog [Decoding New Age Consumer] the intention was to bring awareness about the transformation brought by the advent of newer technologies in the retail industry. The changing buying pattern is primarily being driven by “New Age Consumer” and the availability of myriad branded products to choose from, adds to complexity. The adaptation of mobile phones, tablets and other smart devices has resulted in the convergence of market places, shifting power from the seller to the consumer.

Let us take a look at some mind boggling numbers that show how new age consumers have changed the retail landscape:

• Worldwide B2C e-Commerce sales amounted to more than 1.2 trillion US dollars in 2013.
• Current e-Commerce statistics state that 40 percent of worldwide internet users have bought products or goods online via desktop, mobile, tablet or other online devices. This amounts to more than 1 billion online buyers and is projected to grow continuously.
• Mobile e-Commerce is ramping up faster than online e-Commerce, now making up 4 percent of total retail sales. 
• 48 percent of all Internet users come from just five countries (Brazil, Russia, China, India and the US)
• The average iPhone user only spends 45 percent of his on-device time making voice calls.

So what is the DNA of this new age consumer? 

• They belong to multi-tasking phenomenon; there is a constant consumer switch from messaging apps to social networking to e-mail to video-sharing among other communication channels. All newly introduced promotional media are sampled by the consumer in real time and engaged in one’s own space.
• They will look purely for brands that will offer the best value and best buying experience. 
• They rely on their smartphones and social media for promotions and product information.
• They look forward to coupons and offers on their smart phones, that will help save them money
• They also rely more on word of mouth recommendations. Any brand that is not being shared in a positive light within their social network will have a lot of catching up to do.
• They look forward to speed delivery and 24x7 customer service across communication platforms

Some MNC retail brands and their marketers are gearing up to this new age consumers and trying to leverage new technologies and data analytics that will help devise better strategies. But many retail brands and traditional retailers still need to up their ante. This will help them garner more mind share and thereby garner higher market share. The time has come to adopt new rules of the game, but adapt to new game thrown by the competitors and also change the way the game is played.