media update’s Aisling McCarthy attended the event on Thursday, 1 June, at the Munro Boutique Hotel, in Houghton.

Who is ‘the new consumer’?

‘The new consumer’ is the name Kagiso Media and research company, KLA, have given to the new workforce, aged 24 to 35. This group is particularly troublesome for marketers, said group CEO of Kagiso Media, Mark Harris.

“When we look at consumers, and specifically the youth, they are more difficult to advertise to. They are flooded with options when it comes to content to consume.”

This means that marketers need to become more focussed on developing their strategies in order to survive, and Harris says it is imperative that we ensure brands are being built which connect to the next generations coming through.

A new approach to advertising

The keynote speaker, Pete Case, CCO of Ogilvy&Mather, said that consumers are moving at a fast pace and new products are constantly being launched, making consumers less loyal. He believes it is time the marketing world steps up and makes a change.

“We shouldn’t be looking for incremental change – we should be going for radical change.”

Case highlighted the fact that at home, consumers are in a multi-screen space, so they don’t only see brands through a single channel anymore. Thanks to the numerous platforms brands are available on, consumers now have various touch points through which they can engage the brand.

He pointed out that new technology and social media platforms have made it tough for businesses to connect with consumers.

“These people that we are trying to connect with can very quickly disconnect from what we’re saying. They can shut you down, opt out, block you, and they can switch – and worst of all, they can comment.”

No longer does only one person in a call center hear a ranting call, but now a picture is taken, a tweet is sent, and suddenly a whole peer group knows about it and gets involved. Businesses have had to work towards an ‘always on’ approach so that people are able to deal with concerns and complaints before they go viral on social media.

However, Case believes that the marketing industry is trying to move forwards and adapt to the new consumers, but adds that it isn’t easy.

“It’s time we start marketing at the speed of culture, with relevant content, conversation, and experiences (not ads) that consumers opt to engage with.”

He says the way forwards for brands is not to disrupt people’s lives, but to create content which they want to opt into and tell their friends about.

“Content that makes you want to tell people about it – that’s what we’re aiming for.”

Habits of ‘the new consumer’

KLA surveyed 478 ‘new consumers’ – aged 24-35 years old, employed full time, and earning over R8 000 per month. The questions covered what is important to these “new consumers” and what drives them.

KLA’s MD, Stephanie Matterson, said that the study uncovered that priorities, progress, and development are of high importance, but that is nothing new. What is new is what signals progress and development.

Years ago, assets were a signifier of progress and adverts only needed to include a fancy car and a big watch to attract consumers. Now, however, consumers feel like they are progressing through new experiences, as well as wealth accumulation.

“The older you are, the more you veer towards wealth. The younger group tend to veer towards experience being more important than wealth.” Matterson said.

The survey asked consumers which media types they used less, the same, and more than they did a year ago, and the results showed that these ‘new consumers’ do not use any media less, but all types of media more. Matterson said that there was an increase in all media relevant to these consumers, such as social media and online platforms.

Matterson said the study also revealed that consumers consider their needs, values, and emotions when purchasing products, but that a brand which best suited their needs would always be chosen first.

“Brands have to talk to this eco-system. They can’t ignore anything, but need to understand how all three work together.”

For more information, visit Kagisomedia.co.za 

Interested in learning more about consumer trends? Read more in our article, Consumers are attracted to brands that reflect themselves.