Forrester: Empowered Customers Have Turned The Tables On Consumer-Facing Businesses
Experience, not marketing, will drive demand. The traditional buyer journey must be reinvented. Today's buyer wants to buy or test products before fully committing, emphasizing the use, ask, and engagement pieces of the buying model. Spotify is an example of a brand using innovative pricing and distribution that enables access instead of ownership.
Values, specifically privacy, will influence purchase decisions. While climate change and racial and gender equality are top-of-mind, privacy is the most important to consumers when buying. In fact, the most popular corporate value among US and Canadian online adults is a commitment to information confidentiality and data privacy. Firms that don't make privacy, security, and data ethics a core tenet of their corporate social responsibility efforts will face the ire of consumers and regulators.
Traditional business models will become extinct. Startups and nimble tech companies are forcing even the most established consumer-facing business to rethink their strategies. To survive, companies will need to evolve through alternative revenue streams, expanded partnerships and new channels.
"Companies will need to discard orthodoxies around pricing, distribution, promotions and products," said Forrester VP and Principal Analyst, Sucharita Kodali. "Companies that survive by 2030 will have new products and solutions that constantly adjust to fickle and changing consumers. These transitions are painful because firms have a lot invested in their current go-to-market approaches. If the pandemic taught us anything, it's that sometimes even large capital expenses carefully invested in over the years need to be re-evaluated."
Resources:Download Forrester's guide to how consumer buying is changing in North America and Europe. Forrester clients can access the related report. Read Forrester's blog on B2C buying.
Forrester (Nasdaq: FORR) is one of the most influential research and advisory firms in the world. We work with business and technology leaders to drive customer-obsessed vision, strategy, and execution that accelerate growth. Forrester's insights are grounded in annual surveys of more than 690,000 consumers and business leaders, rigorous and objective methodologies, and the shared wisdom of our most innovative clients. Through proprietary research, data and analytics, custom consulting, exclusive peer groups, certifications, and events, we are revolutionizing how businesses grow in the age of the customer; learn more at forrester.com.
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