Category: consumer behaviour | 消費者行為 | 소비자 행동

Consumer behaviour is central to my role as an account planner and about how I look at the world.

Being from an Irish household growing up in the North West of England, everything was alien. I felt that I was interloping observer who was eternally curious.

The same traits stand today, I just get paid for them. Consumer behaviour and its interactions with the environment and societal structures are fascinating to me.

The hive mind of Wikipedia defines it as

‘the study of individuals, groups, or organizations and all the activities associated with the purchase, use and disposal of goods and services.’

It is considered to consist of how the consumer’s emotions, attitudes and preferences affect buying behaviour. Consumer behaviour emerged in the 1940–1950s as a distinct sub-discipline of marketing, but has become an interdisciplinary social science that blends elements from psychology, sociology, social anthropology, anthropology, ethnography, marketing and economics (especially behavioural economics or nudge theory as its often known).

I tend to store a mix of third party insights and links to research papers here. If you were to read one thing on this blog about consumer behaviour, I would recommend this post I wrote on generations. This points out different ways that consumer behaviour can be misattributed, missed or misinterpreted.

Often the devil is in the context, which goes back to the wide ranging nature of this blog hinted at by the ‘renaissance’ in renaissance chambara. Back then I knew that I needed to have wide interests but hadn’t worked on defining the ‘why’ of having spread such a wide net in terms of subject matter.

  • Working class

    I was prompted to think about the working class thanks to an interesting opinion piece The Great Divide by James Delingpole in the Sunday Times Style magazine (February 5, 2006) about a division in the middle classes between the haves and the have-nots. The haves stay in Tuscany and go on ski-ing holidays.

    My own thoughts on this is that the working class haven’t gone away, they just slave away with a phone, the laptop and the Blackberry. The have-nots referred to in the article are the normal working class folk of yore. They are the infantry of the knowledge economy. In place of soot-covered waste coats or donkey-jackets it’s suits-and-ties or media casual.

    I have no problem calling myself working-class. I learned my trade as a PR person by working with great people in the same way that I served my time as an apprentice in the chemical industry in my early 20s.

    They have the same fears as the working class of past decades with the fear of their jobs being exported to India or China rather than seeing their factory closed down by foreign competition. Self-service online and IT-driven business process management in banks has replaced robots and automation on the factory floor.

    I found it particularly interesting that Delingpole assigned education and politeness with middle class society. The working class neighbourhood I grew up in was not full of cavemen: respect for yourself and others was something that was drilled into me. Indeed, I still occasionally have that uniquely Irish refrain from my mother asking me ‘not to disgrace the family-name’ ringing in my ears.I worked in many jobs from managing a tightly knit production team, to working on a factory line, being a cleaner, being part of a call-centre hive, banking and working in PR. It was in the middle-class environs of the PR agency life where I saw the most morally repugnant mistreatment of fellow colleagues and peers practiced.

    With regards education, there has been a long tradition of a well-read working class, indeed some of the ‘new’ universities sprang out of mechanics institutes and other places of working-class education. The things that stood me in good stead for working in the knowledge economy were:

    • The wide range of reading that I did whilst working shifts in the oil industry and have carried on since
    • The work ethic that my gaffer taught me as an apprentice
    • A practical approach to problem solving that I picked up working in the chemical industry
    • The typing tutor software on the mini-computers that we used in the oil refinery and other places that I worked at

    My university degree just got me in the door at my first ‘graduate’ roles. The under-class of today are the dispossessed bypassed by the knowledge economy, rather like the farm workers left by land reforms and the industrial age. The working-class education is now a combination of the state education system, public libraries and the worldwide web were institutions like MIT Open Courseware and Wikipedia which equate to the mechanics institute of today. It will be interesting to see if or how these new working-classes get organised. If you would like to read more consumer behaviour related content, you can find it here

  • Hallyu, Mociology & Microchunk

    Hallyu – The rise of Korea as a cultural hotbed (what’s called the Korean wave in some quarters) in Asia: from the sexiest mobile phones, or well written and produced cinema to K-pop (the Korean equivalent of J-pop: sugar-coated Japanese pop music that carries well in other Asian markets and performed by young performers so physically perfect, you wonder if Sony hasn’t a secret laboratory protected by ninjas inside of Mount Fuji to manufacture J-pop artists).
    Interestingly the Korean wave has not yet impacted on Japan in the same way as its neighbours, which was an interesting aside that came out of Richard Edelman’s keynote at the London presentation of his agency’s global trust barometer survey. Kudos to the New York Times Online (registration required).
    Expect to see more of hallyu: the mix of professional product perfection and the conservative nature of Korean culture produces a product that travels better around the world than much US culture.

    Mociology – The study of how mobile technology impacts with sociology from purchasing concert tickets to organising political rallies, raves and flash mobs. (Derived from mobile and sociology).

    Microchunk – A product or service sold traditionally as a package broken down into its constituent parts so buyers can purchase a la carte for consumer electronics to news feeds. Think sachet marketing for the digital world. People like 37signals have successfully built ‘microchunk’ applications and services (like Backpack) that do one thing extremely well and compete against other much larger software companies that take a bundled approach leveraging an effective desktop monopoly (mentioning no names). Kudos for mociology and microchunk to Wired Magazine. More related content here

  • Loose connected networks

    In order to tell you about loose connected networks, I wanted to tell you about my friend Heather. During the dot com era when I started my agency career, Heather and I were pod (as in cubicle) neighbours at the same agency for 2 1/2 years.

    The last time we worked together was almost five years ago. However we have managed to keep in touch over the past five years via email on an irregular basis, the occasional phone call and kept up to speed with the happenings in each others lives.

    Heather is a classic example of a loose connected networks within my professional life.One which would not have been realistically possible without the benefit of email. This network maintenance with people who I have known through different phases of my life is a key example of how the Internet has altered our social fabric and social networks such as LinkedIn, SoFlow and Orkut have tried to codify this process.

    The value of loose connected networks to me is very tangible. I went on a business trip to Silicon Valley whilst at Yahoo!. Heather met me at San Francisco airport, gave me a tour of Silicon Valley and on my one night off, took me to the Sunnyvale town market and custom car show.

    Being in a strange place and being able to kick back with a friend who is a local, but at the same time gets where you are coming from was priceless. Being able to find a bar with a proper Irish fry up with black and white pudding makes her even more valuable!.

    I got to see a more human personal Silicon Valley than some of my peers who dismiss the place as being dull.

    Certainly Sunnyvale felt small, but then why wouldn’t it when most of the major employers provide most of lifes requirements on giant campuses and you can buy everything else at the out-of-town Walmart or Target store. Being a European I was reminded of the small town mythology perpertrated in US films like American Grafitti, Back the Future and ET. Having been to Sunnyvale it all made sense. More ideas related content here.

  • Breakfast clubs

    Its easy having worked in the media to lose touch with what happens in society. When I read in the FT on Saturday about Greggs the Bakers’ school breakfast clubs I was impressed and disturbed at the same time.

    Firstly the disturbed bit, I went to school in a hardship hit area where many kids queued to get free school meals, I managed to avoid it myself as my Dad managed to keep working. The recession hit 80s I thought were long gone, its a lot easier to get work now. The breakfast clubs reminded me that the child poverty one associated with my parents day and before; despite family credit and new deal schemes designed to alleviate real poverty. It seemed like something one would have expected when there were the dark satanic mills and dank industrial landscapes portrayed in LS Lowry paintings and sketches where working-class people toiled on the edge of existence and children were at risk of catching rickets and got their shoes from a ‘boot club’. Instead of the dark satanic mills, there are now warehouses with zero hour contract employees. This isn’t even the old day wages suffered by construction workers and stevedores working day rates pre-containerisation on the docks. 

    If this carries on the political centre won’t hold with this level of poverty.

    I was impressed by the way Greggs have taken positive steps to help communities deal with this by funding the food and equipment like toasters and having their own staff train volunteers who cater for the breakfast clubs. Breakfasts improve punctuality and help the children concentrate on their morning lessons, since many of them would not have eaten until lunch time. The campaign seems to be a text-book case of corporate and social responsibility activity. Apparently the scheme costs them in the region of 250,000GBP per annum and puts to shame the Big Food companies who have far more resources at their disposal and are in desperate need of far more goodwill. What do you think? More related posts here.

  • Duracell toy trends

    Battery supremos Duracell have conducted a Europe-wide survey on the most popular toys this Christmas. Full details can be found here. The report is available as a PDF, the most interesting part of the report is the survey insights section which highlighted some cultural trends amongst children and the differences across Europe. I have summarised Duracell toy trends below:

    • Action is the strongest draw for boys with radio controlled cars and race tracks. This goes against everything that we’re told about ‘generation playstation’ and the move to mobile and online entertainment
    • Fashion and beauty is the big draw for girls – the Smoby Star Party CD which allowed girls to become a singer a la Pop Idol or Fame Academy was a winner in this category

    Both of these findings in the Duracell toy trends research

    UK:USA

    • The UK was considered to have consumption patterns closer to the US than Europe
    • More toys were bought and more money spent in the UK than other European countries

    Northern versus Southern Europe

    • Northern European children prefer being outdoors taking part in sport
    • Southern European children prefer to play indoors with computer games and watching television. I was surprised by this given the football culture and better weather
    • Southern European children receive a higher amount of pocket money than Northern European children. But Northern European children start receiving pocket money at a younger age
    • Northern European children discover new toys through multiple channels: word of mouth, television, magazines, print advertisements, retail displays and catalogues
    • Southern European children primarily discover new toys through television
    • Southern European parents put a greater emphasis on educational value when purchasing toys