Hi, I’m Bianca from Profusion, and today’s session is 3 marketing trends we predict for 2021.
So, the first is brand purpose, this has come to the for more this year than ever and will continue to take on greater importance in 2021 as brands strive to stand out from their competitors and increase growth and there is greater sensitivity to the content in which they’re operating in.
So firstly, what is brand purpose?
It’s a higher order reason for a brand to exist than just making a profit.
It’s usually found in a brand’s mission statement, as can be seen from the 3 examples, Tony’s Chocoloney, Tesla and Nike, it’s delivering profit but with purpose and considering the wider social environment.
This was evidenced in the first wave of lockdowns this year with brands such as Pret offering hot drinks to NHS staff for free and the National Trust, keeping it’s historic gardens open – again, for free.
In fact, consumers value this with 79% of respondents, from a recent Deloitte study, recall instances of brands positively responding to COVID-19 to help their customers, workforces and communities.
It’s worth noting that a brand’s purpose can not merely be a sweeping statement, it’s reflected in how a company treats its staff, at-risk groups, suppliers and the community.
Indeed Kantar found that 49% agree that acting responsibly is the single largest influence on a brand’s reputation.
Re-evaluation of customer needs
The second trend we predict for 2021 is the re-evaluation of customer needs. There’s been a lot of talk about which habits are going to stick or sink as most of us come out of Tier 4 lockdowns, but for the vast majority of our lifestyles.
We’ve all increased purchases online, with online sales accounting for 28.5% of sending in October compared with 19% in January (pre covid). Mintel reports that consumer spending is not expected to recover pre-pandemic levels until 2023.
So with that in mind, it’s clear that our changing habits have had a knock-on effect on all aspects of the marketing funnel, from deciding how to spend media budgets effectively, to re-evaluating assumptions we have about customer journies and user insights.
2020 clearly hasn’t been a normal year, and it’s likely that how we, as all consumers behaved pre COVID in 2019, won’t hold an accurate prediction to how we will behave coming out of lockdown.
Something that underpins all aspects of this is data insights, as 41% of C-Suite Execs hope to react more quickly to customer needs by implementing more digital technologies and platforms.
Technology Driving Online Customer Experience
So we’ve just explored that shopping habits will change long term, so this places greater empathise on providing a fantastic online customer experience and mitigating barriers to purchase online if a product is typically purchased in store will be crucial.
Take for example cosmetics, L’Oreal saw the effect of this reporting that the beauty market has fallen by around 25% this year, and clothing and footwear is reported to be down 24% in Q3 of 2020 compared to 2019.
Now that there is a larger pool of consumers comfortable with shopping online, reducing the barrier to purchase of goods that you typically rely on in-store is imperative and shoppers expect it. A recent McKenzie study found that 80% of shoppers expect a personalised retail experience.
So, we predict increased investment in driving differentiation at scale, with innovations including personalised product recommendation and augmented reality as can be seen by a couple of examples we’ve got here, like Diageo with its whiskey selection tool and Pandora with its augmented jewellery try on.
If you would like to discuss these ideas further, please feel free to get in touch at Hello@profusion.com, thank you.