Araneta City, JAAF explore 2024 retail trends in seminar for lessees
Araneta City, in partnership with the J. Amado Araneta Foundation (JAAF) and the Department of Trade and Industry (DTI), presented valuable insights into the retail landscape of 2024 in a seminar for lessees on January 26 at Gateway Cineplex 18 of the New Gateway Mall 2.
Jenny Wieneke, a Go Negosyo Mentor and Chief Marketing Officer of Tokyo Tempura, took the stage as speaker. During her engaging session, she shed light on various pivotal aspects, including the role of social media in retail, how consumers buy, and how consumer preferences differ across different generations.
Onsite vs online shopping
One of the topics that Wieneke tackled during the session was how people nowadays buy, saying that social media is now the future of shopping, where the discovery of brands can happen naturally. She also said that people no longer search online for products to buy, but it can still be used for finding new ideas and inspiration on what products to buy.
Wieneke cited Tiktok as the leading social media platform in the country as of April 2023, and called the platform a key driver of the growing trend she called "inspiration-led shopping," where brands can attract more customers by providing entertainment value and tying it with their products. She then shared a few examples of brands partnering with influencers and affiliates on the platform to promote their products.
"What's happening right now is Tiktok has evolved from just being entertainment into 'retail-tainment,' so, if you're not yet on Tiktok and you're not involved in doing retail on the platform, please do or you might be left out."
She also said that while consumers prefer to buy familiar commodities online, 77 percent of them still prefer discovering and evaluating unfamiliar commodities on-site due to the sensory appeal and experience this provides. In addition, more people are going back to buying commodities in-store due to the instant gratification provided by receiving goods upon purchase.
Wineke identified six in-store strategies to help brands bring in more customers to their stores, and in turn, more sales:
- personalization, which is about making each customer feel uniquely valued;
- experiential retail, which revolves around creating memorable and immersive experiences within the store;
- seamless check-out, which means reducing wait times and offering multiple payment options upon check-out;
- buy online, pickup in-store (BOPIS), which can bridge the gap between online and physical retail;
- interactive technology such as interactive kiosks, mobile apps, and augmented reality for virtual try-ons; and
- community engagement, where brands can connect with their local communities by featuring local artisanal products and hosting events, which can help strengthen their store's community ties.
Another trend that Wieneke tackled during the session was the "Joy-conomy." With 2023 ending on a more positive note, consumers are now more confident and optimistic, and are also yearning for re-enchantment. Customers are also more likely to patronize a brand if it brings them joy, surprises and delights them, and helps them relieve stress.
Wieneke also talked about the two types of consumers that brands should take note of right now: the "Value Hackers," who are all about finding the best deals and maximizing their budgets without sacrificing quality; and the "Wellness Pragmatists," who want to look and feel their best through convenient solutions that deliver immediate results.
She also listed down three retail food trends that brands should also consider. First, consumers are now looking more closely at ingredients, nutritional information, and methods used to produce commodities. Second, consumers, especially the Gen X who are currently in their mid-40s to late 50s, are also now looking into commodities that promote healthy aging. Third, as technology streamlines meal planning, shopping, and cooking, a new era of convenience will emerge, in which eating is optimized.
The last part of Wieneke's presentation was about understanding customers across different generations: Gen Z, Millennials, Gen X, and Gen Alpha. She underscored the importance of knowing exactly who the customers are, knowing their needs and pain points, and knowing how to reach them since each generation has a preferred channel for engaging with brands.
"You actually have to address their needs and you need to know what their problem is and what solutions you can offer, so you have to be where they are. Don't wait for them to come to you. Be available to them, be accessible to them, provide convenience, and add value."
Wieneke ended her presentation by encouraging the participants to embrace change as it will help them keep up with the ever-changing needs of customers. "Make small changes in your life and watch big transformations happen," Wieneke concluded.
The seminar was the latest in a series of learning sessions organized by Araneta City to empower businesses in the City of Firsts and provide them with invaluable knowledge that will help them grow.