Established brands emerge with budget concepts to entice consumers
Implications - Big brands are aiming to woo discerning consumers with curated discount offerings presented under new budget brands. As consumers seek to make purchasing decisions that live up to their values and stay within their budget, they search for reasonable compromises that they can trust via the bigger brand's reputation. In addition to underlining new consumer priorities in a post-recession economy, this progression speaks to the shrinking middle market and the need to appeal to consumers based on values rather than traditional demographics.
Workshop Question - How can your brand leverage its reputation so that consumers would trust a less expensive offering?
Trend Themes
1. Curated Discount Offerings - Big brands are creating curated discount offerings under new budget brands to woo discerning consumers and live up to their values.
2. Brand Remodeling - Value-driven brands can revamp their design with a modern feel and incorporate a streamlined, hip, cool, technology-oriented store to target millennials and other cost-conscious consumers.
3. Inexpensive Grocery Stores - Inexpensive grocery stores, like easyFoodstore, are emerging to combat poverty by making basic food supplies affordable and accessible.
Industry Implications
1. Retail Industry - The retail industry can target cost-conscious consumers with dedicated discount product shops and more affordable prices through brand remodelling.
2. Food Industry - The food industry can offer affordable organic and healthy food to consumers through budget-friendly organic shops and airline grocery marts.
3. Beauty Industry - The beauty industry can collaborate with conscious brands to offer safer and environmentally friendly products to consumers at a lower cost.
