As "no-nonsense" Gen Z gains buying power, businesses should find new ways to engage with younger consumers, Euromonitor's report notes.
It’s a pretty young year, but Euromonitor International is already seeing some trends likely to mark the next several months. The firm is out with its report on the top 10 global consumer trends of 2023, which shows the lingering effects of the volatile and lifestyle-changing last several years.
“The past few years have been anything but ordinary, and 2023 will be no exception,” said Alison Angus, head of innovation practice at London-based Euromonitor. “Companies should expect quite divergent behavior as consumers cope with ongoing challenges while getting back in their stride.”
Among this year’s notable trends, according to Euromonitor:
Authentic Automation: As technology continues to advance, spawning the greater use of robots and AI, Euromonitor lauded the advantage of tech while cautioning that human connections are still crucial in today’s marketplace. “One fact remains true: Consumers want to interact with humans and machines, but for different reasons and at specific points in the path to purchase,” the report noted.
Budgeteers: With high prices and economic uncertainty persisting, Euromonitor underscored the penchant for consumer “budgeteers” to save money. In addition to opting for private label and shopping at discount stores, more consumers will be open to alternative payment methods and affordable assortments.
Control the Scroll: Amid the current cacophony across the digital space, consumers are seeking to cut down on time spent online. That desire gives businesses the chance to refine digital experiences and make them more efficient and integrated.
Eco Economic: The push for sustainability meets the realities of the marketplace in this trend. As people look to become more efficient from both a resource and money standpoint, much of the sustainability focus will be about reduction, Euromonitor’s team predicted.
Game On: Gaming is a big deal for a large segment of the population, Euromonitor’s trend watchers contended, and brands and retailers can leverage things like virtual communities to target engaged consumers.
Here and Now: With consumers refocusing their priorities during a stress-filled decade, Euromonitor emphasized the emerging importance of short-term buying approaches that often include surprise-and-delight items. Euromonitor’s experts recommended that businesses create campaigns targeting special occasions and offer instant gratifications that can still fit within budget constraints.
Revived Routines: The return to regular routines continues as consumers go back to old habits while also embarking on new discoveries. In this marketplace, Euromonitor’s analysts projected that products and services that boost confidence will prevail, and that experiential retail environments will capture consumer attention.
She Rises: Women’s rights are in the spotlight, with Euromonitor stressing that brands can advocate for the cause by personalizing products to women’s age, size or life stage. Diversity, equity and inclusion (DEI) should also be ingrained in work culture, the report added.
The Thrivers: Euromonitor highlighted the segment of the population who are weary of recent challenges and hitting the pause button in search of peace of mind. Businesses can reach this group by providing greater personalization and products that address specific need states.
Young and Disrupted: Finally, 2023 will underline the growing power of Gen Z, who are billed as “no-nonsense” consumers who seek real, relevant content “These Young and Disrupted consumers aren’t inherently loyal and can’t be treated like transactions. They need to clearly see the value in their brand interactions to become repeat buyers,” the report concluded.
The full 2023 trends report from Euromonitor is available online.