Consumers are affecting everything coming off the shelves these days. as the readings stated Nike and M&M are personalizing the online and in store experience. You are getting exactly what you want while paying a little more but you made it. From the companies point of view this is brilliant! You have your best color schemes on the shelves for point of purchase but the real savings comes from the ability to customize and wait for delivery.
How does this impact purchase power -
Company doesn't have to store large quantity of multiple products.
Client gets desired results.
Company makes more money on designed product.
If interest declines- less sale units or items sold to seconds stores.
Brand strengthens from always selling at retail cost.
A great example is Timbuk2 a great company built on quality and performance of their product. They have now started marketing a bag in a box concept its a gift card. However that gift card is a ticket to build your own specialized bag on their website. www.timbuk2.com It takes NikeID to another level by incorporating the giftcard that is the in thing at the moment and specializes the process.
· How has consumer behavior has shifted in the past, and will shift because of this recession?
Consumers are buying less, and that less needs to be better quality. With budgets shrinking in the public and private sector there is a need for more transparency in budget and expenditure. This recession will garner three main things. Increased awareness in quality, attention to product placement and packaging and the companies interest in customer satisfaction and feedback generating measures.
· How does design develop brand truth?
Design is the portal for your company: and with your design you say so many things about your product that if you are portraying a sustainable product and don't deliver customers feel let down. So yes design develops brand truth in the fact that with a strong design with consistent touch points you will speak to the customer more fairly and thus yield brand truth and loyalty.
· Is there a difference between producing happiness and producing brand loyalty?
The difference is which one is the chicken and which one is the egg. Happiness comes from the success and implementation of the product doing its job and exceeding expectations. Brand loyalty brings the customer back because of that satisfaction and hopefully the happiness will happen before checkout the second time around !
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