Changing Shopper Behaviour & the Rise of the Social Shopper

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Presentation by Hugh Boyle at Retail in Detail Shopper Marketing at Prague …

Presentation by Hugh Boyle at Retail in Detail Shopper Marketing at Prague

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  • Even houses people are thining about buying online
  • Even houses people are thining about buying online
  • Sept 2006 - the economist A city in Southern China - 500 shoppers gather outside a Gome electrical superstore & arrive in mass at the destination time (previously agreed online) to get 10-30% discounts on cameras, DVD players and flat screen tvs.

Transcript

  • 1. CHANGING SHOPPER BEHAVIOUR & THE RISE OF THE SOCIAL SHOPPER HUGH BOYLE GLOBAL HEAD OF DIGITAL OGILVYACTION
  • 2. > THE PACE OF THE TECHNOLOGICAL REVOLUTION IS NOT DETERMINED BY THE EXISTENCE OF TECHNOLOGY ALONE
  • 3. WE ARE THE MACHINE...
  • 4. BEANZ.CO.UK
  • 5.  
  • 6. THE DIGITAL SUPER-GENERATION
  • 7.  
  • 8. WHERE WILL BRANDS FIND HIM IN THE FUTURE?
  • 9. INTERNET THE NEW ‘ channelS’ MOBILE EMERGING TECHNOLOGIES DIGITAL IN-STORE DIGITAL OUTDOOR SOCIAL MEDIA
  • 10. TRADITIONAL CONSUMER journey PROMOTION RESEARCH CONSIDERATION PROMOTION IN-STORE AT HOME ON THE MOVE > RESEARCH CONSIDERATION AT HOME IN-STORE > > PROMOTION ON THE MOVE > TRIAL PURCHASE
  • 11. DIGITALLY ACTIVATED consumer journey IN-STORE ON THE MOVE AT HOME RESEARCH CONSIDERATION C CONSIDERATION PROMOTION TRIAL
  • 12. DIGITALLY ACTIVATED consumer journey IN-STORE ON THE MOVE AT HOME PURCHASE
  • 13. A (QUICK) LOOK AT ‘TAGGING’
  • 14.  
  • 15. A (QUICK) LOOK AT MOBILE
  • 16.  
  • 17. A (DETAILED) LOOK AT THE SOCIAL SHOPPER
  • 18. BEFORE WE START, LETS LOOK AT SOME IMPORTANT DATA
  • 19. Apple just reached 15 billion app downloads Facebook has officially hit 750 million users Zuckerberg says that Facebook didn’t unveil this stat separately because the team doesn’t think counting users is important anymore
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  • 23. Neither is where we stand on social media:
  • 24. In order to understand Social Shopping we need to look at our brands our consumers
  • 25. Social Media Mentions of a Product Mentions of a Category How people live
  • 26. ALL THEORY. LET’S PUT IT INTO PRACTICE.
  • 27. This is Adrian . He is 20 years old and goes to university at the London School of Economics. It’s saturday afternoon and he’s checking his facebook.
  • 28. His best friend Steph just posted new pictures of her vacations in the Bahamas. She mentions a new camera in the album and he remembers he needs to buy a camera. Home Profile Acconunt
  • 29. He goes into amazon and browses through all the digital camera options and decides to look more into detail into a canon model.
  • 30. He scrolls down the page and sees a review of a professional photographer. He recommends it and all of a sudden Adrian is more inclined to buy this camera ...but he’s still not ready to buy it.
  • 31. Hey, Steph! I’m thinking of buying a Canon. Do you recommend it?
  • 32. So he decides to go to an electronics shop to get a hands on experience with the camera he liked on Amazon.
  • 33. The attendant explains that if Adrian checks in the store on foursquare or recommends the store to his friends on Facebook, he gets the chance of personalizing his camera with a name and several colors. There, he discovers Canon has a special promotion happening in the store. Adrian Finch Adrian just checked-in @ Best Buy (w/savings on camera personalization) (London, UK) Best Buy Best Buy Like Adrian on foursquare
  • 34. Just bought this new personalized canon at Best Buy! He completes the purchase recommending the store in his Facebook page. Home Profile Acconunt Finch
  • 35. Social Media channels Social listening/mining Peer to peer influencing The Social Shopper path & how Cannon used it. Differentiated Purchasing & positive review In store Digital social interaction Geo Location & Mobile incentive Finch
  • 36. THIS IS WHAT CALLS THE
  • 37. So, Adrian is engaged, but ..... World population in emerging countries Adrian is part of 20% of possibilities Source: Population Reference Bureau http://www.prb.org/Publications/Datasheets/2008/2008wpds.aspx
  • 38. A new global marketplace on the horizon Source: Oxford Economics h ttp://www.oxfordeconomics.com/free/pdfs/the_new_digital_economy.pdf The emerging-market customer takes center stage “ As a result, Western firms are turning to reverse innovation, creating products first for developing markets and then rolling them out to the industrial world.” Private and public spending Private and public spending will increase twice as fast in the BRIC economies than the top four advanced economies
  • 39. DIFFERENT BUYING BEHAVIOUR The group buying sector in China grew dramatically over the past 2 years: from 4 sites in the beginning of 2009 to nearly 1.700 in Dec. 2010 The sector made 75.4 billion U.S. dollars in 2010 Source: http://www.slideshare.net/Jarrahbear/tuangou-group-buying-in-china
  • 40. THE SHIFT IN GROUP BUYING Source: Power in Numbers - um knol por James Pruett Crowd Clouts on Electronics (low margin products) Group buying platform focusing on Expensive/ high margin items
  • 41. A WORD ABOUT LISTENING...
  • 42. ATTRIBUTE MAPPING
  • 43.  
  • 44.  
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  • 46.  
  • 47. SO, WHAT ARE WE SEEING HERE?
  • 48. TECHNOLOGY IS REORGANISING AROUND PEOPLE... ...AROUND THE PLACES , THINGS & OTHER PEOPLE THAT THEY LIKE...
  • 49. FACEBOOK WILL ‘PIVOT’ AROUND MOBILE ENTIRELY INFORMED BY SOCIO-GRAPH AND CONTEXT RELEVANCE & SOCIAL INTELLIGENCE WILL BE THE ACTIVATION TOOLS OF THE FUTURE
  • 50. ...AND SO, OUR WORLD ‘IS’ INTERNET THE INTERNET OF ‘THINGS’
  • 51. SOME CLUES ...? MOBILITY | UTILITY | CONNECTIVITY WILL BECOME KEY FACTORS IN CONSUMER BEHAVIOUR
  • 52. IT’S EASIER TO BE REPEATEDLY USEFUL THAN REPEATEDLY FUNNY Rory Sutherland, Ogilvy
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  • 56. http://www.youtube.com/watch?v=WfBlUQguvyw
  • 57. http://www.inbflat.net /
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  • 62. http://www.flushtracker.com / http://www.flushtracker.com /
  • 63. THANK YOU Follow me on Twitter @hughboyle