GLOBAL TRENDS FOR 2021
The new global scenario created by the Covid-19 pandemic has brought major changes in all markets and in consumer behavior. The current crisis is unprecedented, but despite the extreme scenario it is important to understand market trends and make quick adjustments creating opportunities and minimizing impacts.
There is a need for strategic adaptations by companies and a lot of support by consumers to overcome this crisis. Understanding the mindset of today's consumer, their concerns and desires, is an excellent way for companies to deal with these challenges.
Euromonitor Internacional has just published its newest report - 10 GLOBAL CONSUMPTION TRENDS 2021. This report presented the main changes planned for this year, in terms of changes in values and consumption behavior. The report presents a persevering and positive view of the ways to deal with the global crisis.
The ten global trends presented in the report show an effective change in consumer behavior, all of which were created, influenced or accelerated by the pandemic. Below we highlight a brief summary of five of the ten trends described in the report and draw a parallel between them and the beauty market. We recommend reading the full report for a better understanding.
RECONSTRUCT BETTER - A second chance to create a better future
This trend highlights the new role of companies in society to contribute and create a better, fairer and more sustainable world. According to the report, the pandemic changed the urgency of companies for environmental changes to prioritize social changes.
There is an expectation that companies will have a more effective social role, having responsibilities in caring for the health of society, caring for their employees and caring for local communities.
Companies are expected to switch from a volume economy to a value economy; moreover, priority with profit should be replaced by priority with people. It is believed that better companies will provide a better world. According to this trend, concern for the planet will not be forgotten, but it will remain in the background now. Responsibility and purpose are the key to business success in this new moment.
In the beauty market, this trend is already being noticed and there has been a great concern among consumers with sustainability, respect for nature and a special attention to the ethical attitudes of companies.
DESIRE FOR CONVENIENCE - From full-time availability to planned experiences.
This trend addresses the loss, by consumers, of the patterns of convenience in consumption that they had before the pandemic. Now companies are challenged to improve their shopping experiences by overcoming these moment limitations. Scheduled visits, waiting lines, delayed deliveries and social distance are some of the challenges.
The shopping journey across all channels should be improved. In physical stores, new solutions for consumers' digital interaction with products or services, while waiting in line, are good alternatives. In digital, the activation of virtual interaction channels, for example, can rescue the comfort of the physical shopping experience in digital.
In the world of beauty, we observe several brands looking for alternatives to replace the fitting rooms and the emergence of electronic applications that help to make the choice of products easier and safer. Much can still be done to improve physical experiences in stores through digital devices.
OUTDOOR OASIS - Open spaces are havens for confined consumers.
The search for open air and safety is real, and that is the theme of this trend. Companies must pay attention to creating experiences that offer more security in open environments. In addition, the limitations and risks of the pandemic point to a greater intention of people to migrate from urban areas to more rural areas.
Thus there is an opportunity for companies to create urban experiences that seek to safely restore rural tranquility. The adaptation of previously closed to open spaces is already a reality. There has also been a growth in gardening products and services worldwide driven by this need to connect with nature.
We observed a greater growth in the beauty segment of products that help to create relaxation and ON and OFF rituals that help in connection and disconnection with work, for example. In this experience, we try to rescue the connection with nature in fragrances and textures, bringing a greater connection with the simple and natural.
FIGITAL REALITY - When the physical and digital worlds meet
This trend talks about the interaction of integrated digital and physical experiences. Digital tools have enabled consumers to have new experiences inside and outside their homes. The interaction through digital, such as videoconferences or virtual events, changed the connection forms that we had before the pandemic.
In the physical world, digital devices have propelled new solutions to minimize human interactions such as: the reservation system for purchases, QR codes for menu and contactless payment. New experiences are still emerging from these figital interactions such as travel experiences through VR virtual reality and also the use of AI - artificial intelligence for the production of cosmetic products, drinks and personalized items.
In the cosmetics market, we have seen the growth of gaming platforms with opportunities for brands to create their games, sell products and interact with consumers.
OPTIMIZING TIME - The new flexibility enhances the agenda
This trend speaks of the new reality of organizing personal time. With remote work and more time at home, there is greater flexibility in the agendas and a new management of personal time. With that comes the culture of 24-hour virtual services available for the client to use at the most appropriate time, such as class services and distance activities. Companies must position themselves as partners of customers, facilitating their adaptation to this new lifestyle.
In this trend we see a good opportunity for the cosmetic market as many consumers adapt their beauty routines to the new remote work routines. At home it became possible to use products and treatments, such as masks and hair moisturizers, for example, while carrying out their work tasks; without wasting time to get more beautiful.
The full report also contemplates bringing other trends such as RESTRICTIONS AND REBELS, OBSESSION FOR SAFETY, SHOCKED AND REFLECTIVE, THE ORDER IS TO BARGAIN and NEW WORK SPACES.
As a general conclusion, the report also suggests that companies should seek to generate added value for their products and services and offer multifunctional and more affordable solutions. These are challenging times but we must always use our adaptability and resilience to turn difficulties into opportunities.