Korea taks lead in ‘SCREEN CULTURE’ trend

By Kim Jae-kyoung

In 2012, much as in previous years, some brands may be staring into the abyss, while others will do exuberantly well. Due to lingering uncertainties caused by the slowing U.S. economy and the debt crisis in Europe, the outlook for the global economy next year remains bleak.

Global trend firm Trendwatching.com, however, claims that there are more opportunities than ever for creative brands and entrepreneurs to deliver on changing consumer needs if they are able to read new trends.

The company has recently unveiled 12 must-know consumer trends that will dominate global retail markets in the next 12 months ― 1) Red carpet; 2) DIY Health; 3) Dealer-Chic; 4) Eco-Cycology; 5) Cahs-less; 6) Bottom of the urban pyramid; 7) Idle sourcing; 8) Flawsome; 9) Screen culture; 10) Recommerce; 11) Emerging maturialism; and 12) Point and know.

In an interview with Business Focus, Henry Mason, head of Research and Analysis at Trendwatching.com, said that watching trends is all about inspiring successful innovations and unlocking profitable opportunities.

“This year especially, we've taken a number of bigger trends, such as the continued power shift to China, and used examples of existing innovations to show businesses how they can tap into, and profit from these trends,” he said.

“For example, our Red Carpet trend can give brands ideas about how they can profit from the volume and spending power of Chinese tourists by offering them exclusive or tailored products and services.”

Mason points out that there are four main areas where companies can apply these trends to secure opportunities.

“First, trends can shape a company’s whole vision. For example, Proctor & Gamble outlines a long-term sustainability vision. Second, they can lead to whole new business concepts. For example, Zipcar shifts the automotive industry toward a rental access model, rather than the traditional ownership model,” he said.

“Third, new products, services, and experiences. The SkinScan app is a good example. It allows users to track their moles and alerts people if they have potentially cancerous ones. Finally, marketing, advertising, and PR. Companies around the world are following the zeitgeist and launching more risque campaigns that resonate with their forward-thinking.”

Out of the 12 trends, the chief analyst of the London-based research firm stressed that Screen Culture is a trend where Korea is truly leading the world.

“With the spread of smartphones, tablets, 3D or web-enabled TVs, consumers are going to experience more and more through screens. So really, everyone is looking to Korea for where this might end up,” he said.

“The example of Homeplus' subway store (http://www.youtube.com/watch?v=fGaVFRzTTP4) is a perfect measure of how innovations can spread globally very quickly,” he added. “We've now seen brands such as Net-a-Porter, Toys'R'Us and John Lewis do similar initiatives in the U.S. and UK.”

Mason said that the 12 consumer trends suggest that the online and offline worlds are coming together for shoppers.

“We're seeing a number of trends and innovations emerge in this space, such as Point and Know, which is all about consumers being able to find information, if not even buy products, simply by pointing their cell phones at them,” he said.

kjk@koreatimes.co.kr

1. RED CARPET



In 2012, department stores, airlines, hotels, theme parks, museums, if not entire cities and nations around the world, will roll out the red carpet for new emperors, showering Chinese visitors and customers with tailored services and perks. No wonder red carpets are being rolled out wherever Chinese politicians and CEOs set foot.

According to China’s Ministry of Public Security and Office of Travel and Tourism Industries, Chinese residents made over 30 million overseas trips in the first half of 2011 alone, up 20 percent since 2010. For comparison, U.S. citizens made only 37 million outbound air travel trips during the whole of 2010. The World Tourism Organization has estimated that the total number of outbound tourists from China will reach 100 million by 2020.

In July 2011, Hilton Hotels Worldwide created a service targeting Chinese travelers. Called "Hilton Huanying" (Mandarin for “welcome”), the program is available at 30 Hilton hotels across the world, and offers tailored assistance for Chinese guests, including check-in in their native language and in-room facilities such as Chinese tea and television channels, as well as slippers and a welcome letter in Mandarin.

2. DIY HEALTH



The Do It Yourself (DIY) goes “good for you” in 2012: novel apps and devices will increasingly let consumers discreetly track and manage their health by themselves. The DIY trend is not going to slow down in 2012.

Now, there are two kinds of DIY: the kind (most) consumers hate and the kind they love. For 2012, the latter category will show endless innovation driven by, what else, technology, which in turn feeds off a never-ending desire among consumers to be in control.

Countless new apps and devices are actively targeting consumers keen on preventing, examining, improving, monitoring and managing their health. In fact, Apple’s App Store currently offers 9,000 mobile health apps ― including nearly 1,500 cardio fitness apps, over 1,300 diet apps, over 1,000 stress and relaxation apps, and over 650 women’s health apps. By mid-2012, this number is expected reach 13,000, according to MobiHealthNews.

Other positive implications for consumers tracking their own state of health include less necessity for potentially intrusive and embarrassing trips to the doctor, or for those that do need medical attention and supervision, a much more convenient and accessible way for their doctor to keep a remote eye on any troublesome conditions or changes.

3. DEALER-CHIC

For consumers, securing the best deals is fast becoming a way of life, if not a source of pride and status. Deal-hunting has become an integral part of daily life for millions of consumers. There are many new and innovative ways in which brands are using promotions and offers, but consumer attitudes toward discounts and deals are what’s really changing.

Obviously, consumers have always loved getting good deals or exclusive rewards, but rather than having to hide one’s haggling, securing the best deal is now accepted, if not admired by one’s fellow consumers. In fact, it's now about more than just saving money: it’s the thrill, the pursuit, the control, and the perceived smartness, and thus a source of status too.

Just three reasons why DEALER-CHIC is set to get bigger and bigger in 2012: 1) More for less: While many people in developed economies may have less money to spend right now, consumers everywhere will forever look to experience more; 2) The medium is the motivation: consumers are now being alerted to, using, reusing and sharing offers and deals via new (and therefore infinitely more exciting and attractive) technologies, 3) Best of the best: with instant mobile or online access to not only deals but reviews as well, consumers can now be confident they’re getting the best price for the best product or service.

4. ECO-CYCOLOGY



Brands will increasingly take back all of their products for recycling (sometimes forced by new legislation), and recycle them responsibly and innovatively.

While in times of recession, economic interests tend to overrule eco-causes, and the quest for a more sustainable lifestyle will remain a most pressing issue for years to come. We picked one “green” trend (out of many) for this 2012 list ― the phenomenon of brands helping consumers recycle by taking back all old items from customers, and then actually doing something constructive with them.

Consumers are increasingly aware not only of the financial value in their past purchases, but their material and ecological value as well. Insert your own eco or generous angle [here]. This all-encompassing recycling on steroids is dubbed “ECO-CYCOLOGY.” Sometimes prompted by new legislation, sometimes by brands seeing the light, these programs leave consumers with no excuse to not recycle in 2012.

ECO-CYCOLOGY mentality is more than a just brand-led phenomenon; realizing its importance, various cities or states in the U.S. ― San Diego, Seattle and San Francisco to name a few ― have enacted their own mandatory recycling laws. Likewise, the European Parliament has voted for tougher regulations on the disposal of electronic trash, requiring each country to collect 4 kilos of e-waste per citizen by 2012, and to process 85 percent of all its electronic waste by 2016

5. CASH-LESS



Will coins and notes completely disappear in 2012? No. But a cashless future is finally upon us, as major players such as MasterCard and Google work to build a whole new eco-system of payments, rewards and offers around new mobile technologies.

The cashless society has been popping-up in every trend list since 2005. And while 2012 is not going to be the year that consumers en masse will forego coins and notes and just swipe their smartphones, it is going to be the year that major players like Google and MasterCard will actively roll out their cashless initiatives around the world. For consumers, the initial lure will be convenience, but eventually mobile payments will create an entirely new data-driven eco-system of rewards, purchase history, deals and so on.

Many of these initiatives incorporate NFC (Near Field Communication), which allows for encrypted data exchange between two devices in close proximity ("near field"). For instance: a reader located next to a retail cash register. Shoppers who have their credit card information stored in their NFC smartphones can pay for purchases by waving their smartphones near or tapping them on the reader, rather than using an actual credit card.

6. BOTTOM OF URBAN PYRAMID

The majority of consumers live in cities, yet in much of the world city life is chaotic, cramped and often none too pleasant. At the same time, however, the creativity and vibrancy of these aspiring consumers mean that global opportunities for brands which cater to the hundreds of millions of lower-income “CITYSUMERS” are unprecedented.

Driven by extreme urbanization on a global scale that will not slow down in 2012, expect more bottom-of-the-urban-pyramid consumers than ever to demand innovation tailored to their unique circumstances, from health issues to lack of space to the need for durability. For example, PepsiCo India is test-marketing two products ― Lehar Gluco Plus, a beverage with electrolytes and glucose, and Lehar Iron Chusti, a fortified iron snack. Both are aimed at consumers at the bottom of the pyramid in urban (and rural) areas (according to Economic Times published in June, 2011).

7. IDLE SOURCING

Anything that makes it downright simple ― if not completely effortless ― for consumers to contribute to something will be more popular than ever in 2012. Unlocked by the spread of ever smarter sensors in mobile phones, people will not only be able but increasingly willing, to broadcast information about where and what they are doing, to help improve products and services.

In 2012, count on the ”crowdsourcing” trend to continue to shake up business processes and spawn endless innovations. After all, being given a chance to contribute, or to be a part of something bigger than themselves, will be forever popular with people.

Just one development unlocking new possibilities: the ubiquity of always-on, GPS and accelerometer-enabled smartphones in 2012, means that consumers themselves can and will increasingly broadcast data about where and what they are doing.

8. FLAWSOME

Showing some flaws: Brands that behave more humanly, including exposing their flaws, will be awesome. While many trends are all about the new, it's always worth remembering that success in business in the end is more about being aligned with consumer culture than just being aware of new techniques and technologies.

While 2011 saw new levels of consumer disgust at too many businesses' self-serving and often downright immoral actions, stories of companies doing good remind consumers that personality and profit can be compatible. In fact, in 2012 consumers won't expect brands to be flawless; they will even embrace brands that are “FLAWSOME,” and at large (or at least somewhat) human. Brands that are honest about their flaws, that show some empathy, generosity, humility, flexibility, maturity, humor and humanity.

For now, just one nice FLAWSOME example: In July 2011, U.S.-based fast food retailer Domino’s launched a month-long promotional campaign in New York. Hiring out a huge billboard space in Times Square, the brand live-streamed (good and bad) customer feedback given via Twitter onto digital hoarding.

9. SCREEN CULTURE



Thanks to the continued explosion of touchscreen smartphones, tablets, and the “cloud,” 2012 will see a SCREEN CULTURE that is not only more pervasive, but more personal, more immersive and more interactive than ever.

SCREEN CULTURE is less of a trend in itself, but more the medium through which so many trends in this trend briefing will manifest themselves. The year 2012 will see three mega-tech currents converge ― screens will be even more ubiquitous/mobile/cheap/always on; interactive and intuitive (via touchscreens, tablets and so on); an interface to everything and anything that lies beyond the screen (via the mobile web and, increasingly and finally mainstream in 2012, “the cloud”). In fact, the future for most devices will be a world where consumers will care less about them and just about the screen, or rather what’s being accessed through it.

10. RECOMMERCE

It’s never been easier for savvy consumers to resell or trade in past purchases, and unlock the value in their current possessions. In 2012, “trading in” is the new buying

Consumers have always resold large, durable goods like cars and houses; but in 2012, almost anything is ripe for resale, from electronics to clothes, and even experiences. Novel brand buy-backs, exchange schemes, online platforms and mobile marketplaces offer smart and convenient options for consumers keen to “trade in to trade up,” alleviate financial strains and/or quell environmental and ethical concerns.

Three drivers behind the RECOMMERCE phenomenon are: 1) NEXTISM: Consumers will forever crave new and exciting experiences promised by the next; 2) STATUSPHERE: The growing status boost that comes from being savvy and shopping (environmentally) responsibly; and 3) EXCUSUMPTION: Cash-strapped, recession-stricken consumers embracing creative solutions to spend less and still enjoy as many experiences and purchases as possible.

11. EMERGING MATURIALISM



While cultural differences will continue to shape consumer desires, middle-class and/or younger consumers in almost every market will embrace brands that push the boundaries. Expect frank, risque or non-corporate products, services and campaigns from emerging markets to be on the rise in 2012.

This mainly applied to consumers in mature societies, but in 2012 we will see more and more MATURIALISTIC manifestations in emerging markets too. Why? For all the many cultural differences that may exist, the global consumer class is remarkably alike in its needs and wants, not to mention more urban too. So if you’re the Chinese or Indian or Turkish brand, or you’re the Western brand selling to emerging markets, 2012 is the year that you can push things a bit further

12. POINT & KNOW

Consumers are used to being able to find out just about anything that’s online or text-based, but 2012 will see instant visual information gratification brought into the real and visual world with objects and even people.

With textual search and textual information now being available to most people most of the time, the race is on to add a (useful) real world element ― the world of objects and people.

And like some other trends, it’s the rise of the smartphone that will fuel full-blown POINT & KNOW in the next 12 months. After all, the need and expectation for instant information and instant access to everything one wants to know, is already deeply ingrained in the See-Hear-Buy consumer.

Source: www.trendwatching.com. One of the world's leading trend firms, trendwatching.com sends out its free, monthly Trend Briefings to more than 160,000 subscribers worldwide in nine languages.