This month, the IMRE Home IQ Editors attended the International Home + Housewares Show in Chicago, IL to learn first-hand the consumer lifestyle and product trends happening in the home industry. One of the best parts of the show was Global Trend and Design expert, Tom Mirables’ presentation on 2012 Industry Trends. With 2012 already underway, Mirable’s Top Trends provided great insight into the new American consumer on the rise, which takes us to the first trend, Re-imagining the American Consumer.
Trend 1: Re-imaging the American Consumer
Photo by Simon Howden
Consumers’ lives have shifted, which has directly affected their buying habits and product needs. It is more common than ever for family members from different generations to live together in the same household. Today’s American consumers can be divided into four sections:
- Generation Y (84 million): Also known as the Millennials, Generations Yer’s are 17 – 36 years of age. They are techy, non-traditional and dislike not being involved in product experiences. They are the powerhouse generation. If Millennials enjoy a product, they will share their experiences with their friends.
- Generation X (43 million): Between the ages of 37 – 43, Generation X consumers are buying starter homes, living within their means and supporting local retailers. They were hit hard by the recession and hate wasting space and memory. Gen Xer’s take pride in smart shopping and growing their own vegetables.
- Baby Boomers (80 million): The third generation of consumers, baby boomers, are between the ages of 44 and 66. They are looking to reinvent themselves and like to pay for experiences. 82% of baby boomers use social media. They work longer years and make decisions for multiple households, assisting with their children and grandchildren’s purchases.
- Active Seniors (47 million): Active seniors are over 67 years of age. Their needs have moved from product accumulation to life enhancement that center on health and experiences. They are keen on home safety, cooking at home and value a product that offers quality with a good price. They purchase products that can make their lives easier. Many active seniors have refrigerators in their bedrooms for a more convenient experience in their home.
All four of the American consumers require a different product experiences and have differing product needs, which makes the second trend key in creating a successful household product.
Trend 2: Creating Experiences
A successful household product should exert excellence in four key categories to fully satisfy the consumer experience. First, the product must inspire. A consumer who finds a product inspirational will instantly be engaged. Today’s consumers want to unleash their inner chef. Martha Stewart does an excellent job of inspiring the American consumer through “The Martha Stewart Makes Cookies” iPad recipe app. The app offers users photos of the finished dish, detailed explanations, videos of cooking and baking, has a digital timer and will even email you a digital shopping list. Every part of the experience to engage the consumer is achieved.
Second, the product should aid in preparation. The desire to improve nutrition, lose weight and achieve other health and wellness goals is a key reason many Americans are taking greater control over what they prepare in the kitchen. A savvy design is also important when preparing. Housewares are a reflection of style and consumers prefer to mix and match their dining essentials. Third, presentation has been gaining greater emphasis in product packaging and design. Celebrity reality cooking shows place a heavy focus on presentation, and consumers are trying to emulate that upscale look throughout their homes, especially in the kitchen. Fourth, it’s important to create a product consumers can interact with. For example, take the packaging, design and function of a snack. Snacks are eaten during multiple occasions. They are eaten at work. They are eaten while driving, and they are eaten on the go. Creating a product that a consumer can interact with in multiple settings needs to be considered when creating a satisfying product experience.
Trend 3: Rebirth of Aspiration
Following the gratification of creating experiences is finding the aspiration to now drive the purchase, which is our third trend. Five key drivers dictate purchases – innovation, saving time and space, personal expression, intuitive function and intangible assets. These five drivers should answer the following questions:
- Innovation – Does the product solve problems in new and unique ways?
- Saving Time and Space – Does the product allow multi-tasking and the ability to take up less space?
- Personal Expression – Does the product allow consumers to define their unique style?
- Intuitive Function – Does the product minimize the processes?
- Intangible Assets – Does the product deliver an intellectual and emotional value?
Trend 4: Delivering Consumer Engagement
Once a product meets all areas of consumers’ aspirations, the only step remaining is the actual purchase, which brings us to Mirable’s final trend – engagement. The fourth trend, consumer engagement focuses on creating brand loyalty and happiness. Consumers who are emotionally connected to a brand are more likely to return.
So how do consumers engage? Consumers go through a five-step process when making a purchasing decision. First they search, then find, study or research, make a decision and finally share. Social sites, mobile commerce and e-commerce have allowed consumers to engage during any time through the day and anywhere they convene.
A Changing Economy
To successfully execute the top trends of 2012, Mirable left us with six considerations when reaching consumers. As the typical household dynamic continues to shift, embrace household diversity. Remember to cater to the aspirational consumer and take a proactive approach to health and wellness. Become part of the foodie culture to really grasp key experiences taking place in the kitchen for consumers. Engage in social and mobile marketing, and finally, create products that offer relevant consumer solutions. After all, understanding your consumer is crucial to a product’s success!
