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The age of the rebellious consumer

March 24, 2005

Mintel, the UK research company has just published a fascinating report on British Lifestyles.
The report identifies a new class of consumers that Mintel is calling the “Rebellious Consumer”. These are consumers who aren’t happy with the way business is treating them and are looking for alternatives.

“We are rebelling against the pressure to buy the so-called “must-have” gadgets. We are taking a more traditional approach to grocery shopping by supporting local traders and markets rather than always heading to the nearest large supermarket. We are also demanding good quality, fresh and natural ingredients to cook with. In health, many of us are looking for a more natural alternative to conventional medication. And finally, when it comes to travel we are rejecting the big travel agencies and are going it alone for a more individual holidaying experience.”

Mintel provides some evidence to substantiate its claim:

Banking

- 52% of consumers find call centers infuriating
- Only 22% would be comfortable doing online banking

Technology

- 33% believe that society relies too much on technology

Health

- 32% are prepared to look into alternative treatments

Grocery Shopping

- Only 52% do all their grocery shopping at their local grocery chain
- 21% prefer to shop in local stores

There seem to be a number of factors behind this that could parallel the US market; the push to outsourcing of call centers and remote access, if not done correctly, could impact brand relationships, a one great example is consumers relationship with wireless carriers. Banks are currently protected by “switching inertia” from consumers, but this could easily change. With technology, for many consumers, there must be a problem with the rapid obsolescence that is keeping many on the sidelines. In health, the recent issues with VIOXX, etc, have dented consumers confidence in the prescription with consumers are looking for stricter safety standards. Grocery shopping might be different, as price and convenience are key, but there are trends like the resurgence of local stores in urban centers and the growth of farmers’ markets, that indicate US consumers are looking for alternatives here.

One difference, appears to be in media, where US consumers have a higher level of distrust than their European counterparts

In short, consumers in the UK and USA have more power than ever to make choices and there will always be huge opportunities for brands and companies that can exploit the inadequacies of incumbents who grow fat and lazy, believing that mass distribution alone will lock the customer into their franchise. Those days are over and the consequences can be seen in the recent spate of mergers, the crisis with the airlines and the the demise of AT&T Wireless.

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Influx Insights is the blog of BSSP's Influx Strategic Consulting Division. Up and running since 2004, the blog covers branding and the related areas of trends and technology.

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