Have you seen the Nielsen Research Retail 2015 Predictions. Written by Todd Hale, SVP of Retail and Shopper Insights they give you a look at what retail may be facing in 4.3 years. The research centered on consumer trends that have evolved through the economic downturn. Consumers have shifted their buying patterns, brand loyalty and the number of shopping trips.
You can read the entire article here. But, we're going to cut to the chase - What we thought were the most significant are these...and yep, you get our comments too.
e-commerce Will be A Big Winner - Look, we've said for years that if you have products and services that can be purchased on the web...get there. Ten years ago we opened a new tractor dealership online just to prove to agriculture that TRACTORS could be sold...online with no brick and mortar. Scared the hell out of manufacturers and dealers. That was 10 years ago. What are you waiting for?
Low and High-End Grocery Stores Will Grow- How can that be? How can "high-end" grow in the face of consumer with-drawl. Simple - Not everybody is shopping...cheap. Two weeks ago Insight on Business had a story about selling high end products to the people making $250,000 and more. Remember not EVERYBODY is retracting. Second reality - Organic is HUGE...and high-end organics work.
Pet Stores & Dollar Stores Will Grow - Last week Insight on Business had a story about "pet-humanization" and the rapid growth in pet product sales as well as big bumps for pet product stocks. We said that "nearly everybody can join the parade". Got extra space? Put in a pet line and watch what happens. We don't make this stuff up.
Big Will Get Bigger- Retail consolidation will increase. However, niche single, stand-alone businesses will also grow IF they learn how to market to various "tribes" using social media and marketing. Case in point: Simply for Giggles a Des Moines based small business saw a 25% increase in sales so far in 2010. How...SM baby...SM.
Store Formats Will Evolve - Small...Wins - Wait...didn't we just say "Big Will Get Bigger"? Yes...however big also loses when it comes to being community based. Watch for more wins by community based, environmentally friendly "Mom and Pop" outlets. There is a reason 20,000+ people flood downtown Des Moines each Saturday for the Farmer's Market...and it ain't "big box".
There you go...a reality check. And know what? We've talked about each one of these items for months. Haven't heard? Then you haven't been watching Insight on Business or reading these posts. Now that you know...come back?
You can carry on the discussion on Twitter - @MichaelLibbie (personal and business) or @InsightADV (business baby...business). And watch Insight on Business part of Webcast One LIVE! We're on Monday - Thursday with insights on advertising, marketing and consumer trends. Join us?