Date: 23 January 2008
Time: 2:00 PM - 4:00 PM
Venue: SGV Caseroom, Asian Institute of Management
Connecting with the New 360° Consumer
For the first installment of the year to the Globalization Lecture Series (GLS), the Asian Institute of Management Policy Center (AIM Policy Center) its institutional partner, the Konrad Adenauer Foundation (KAF) featured “Connecting with the New 360° Consumer” presented by Junie del Mundo, managing director of EON, The Stakeholder Relations Firm.
The presentation began with the question, “who is this creature we call the 360° consumer?” According to del Mundo, first, we have to understand the communication landscape of today. The profession of marketing is evolving to a very complex discipline in the face of an ever-changing technological environment. It goes beyond the 4P’s, product, pricing, promotion and place. Now, we are entering the “YOU” era, where each consumer has a say in all aspects, from product development to promotion.
The center of the “YOU” era in particular is what del Mundo calls the millennial generation (youth born during the 1980’s-1990’s). This consumer generation lives a busy lifestyle and is touched by the traditional (advertisements) and the modern (online) media. This consumer is exposed and is happily exploring the wonders and conveniences that the new media brings. They consider mobile phones, music players, the computer and other gadgets as necessities. And more importantly, although young and still at the starting stages of their careers, this category has a spending power worth Php 37 billion, del Mundo reports.
Del Mundo goes deeper into describing the five characteristics of a “360.” The “360,” first and foremost, demands for personalization. Obtaining a certain product is just not enough. It’s about having one that is customized too. The classic example, according to del Mundo, is the mobile phone. It is a representation of one’s personality and style thanks to accessories available to tailor it according to one’s preference.
Next, the “360” wants to belong, share and be heard and that is the reason why online social networking sites such as friendster has become a hit among the millennial generation. Live journals and blogs are also becoming the main medium in promotions with citizen journalists rating everything from products to restaurants to countries. This category is trust-suspicious and would rather believe testimonies of people like them instead of the typical celebrity or experts as endorsers. Also, a lot of brands now are delving into creating associations or clubs among their patrons, making them feel exclusively belonging.
Third, the “360” is a lot smarter and more aware than the past generation. They desire to improve themselves because they know that it is possible with the new technologies that are accessible.
Fourth, consumers are helping shape what brands and products are about and how they are communicated. They want to participate and feel that they are a part of a certain brand. An example today would be the Pringles U Pop music video-making contest wherein an ordinary consumer can make an entry by uploading his amateur video online. It becomes a celebration of the brand as well as the patron.
Last, because as mentioned, the ‘360” is more aware, but not only with his inner self, but also with contemporary issues in his surroundings. Thus, he opts to buy products with proceeds going to foundations or charities. He expects that products have a purpose beyond its use because that is what his “global social conscience” is saying. This is manifested throughout the marketplace, like cosmetic companies supporting breast cancer charities and cloth bags in support of the environment.
In summation, del Mundo uses top PR agency executive Richard Edelman’s 3D model wherein the consumer and your ideas and not the product is at the heart of it. Next to the core is credibility-building “to differentiate your products and services and build trust.” Next, use advocacy-building tactics “to spur evangelism and word-of-mouth by consumers and influential audiences around your brand.” Then comes relationship-building tactics “to foster consumer involvement, sustainability and to build brand loyalty.” Last is the use of experience and presence tactics “to build awareness and stimulate action.”
For his synthesis, Dr. Federico Macaranas, executive director of the AIM Policy Center, left some points to remember. First, he leaves a challenge to the marketing practitioners. The 360° consumer might not only be the millennial generation. They could be the gray market too, as Leslie Stokes from the audience mentioned, are new retirees with plenty of time and money, eager to enjoy life after years of hard working. Or they could be the recently educated who are longing to connect.
Finally, we continue to reinvent concepts to keep up with the modern times. However, there is a lag in regulations by the government. Because there is no clear-cut jurisdiction in cyberspace yet, many will abuse their freedom. As Dr. Macaranas mentioned, technology is both a boon and a bane.
Connecting with the New 360 Degrees Consumer Presentation (.pdf)
Mr. Junie del Mundo, EON