Clean eating profoundly impacts food production as consumers worldwide gravitate toward healthier, cleaner foods.
In 2022, the global health and wellness food market was valued at USD 841 billion and is projected to increase to one trillion U.S. dollars by 2026.
What is clean eating?
Clean eating might have various interpretations for consumers, but it generally refers to eating whole foods as close to their natural state. Consumers that opt for clean eating usually prefer making their meals from scratch. For food and beverage companies, this means using suppliers who cultivate high-quality ingredients and organic farming. These typically come from smaller productions, which means higher prices for consumers.
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Consumers want to eat healthily, but the price is an obstacle.
The pandemic has put health at the forefront and changed our relationship with food. Consumers want to eat healthier, and this has been the most significant lifestyle change in recent years, followed by working out more often.
With the impending recession and high inflation rates, spending less money is also a priority.
Consumers are looking for “farm-to-table” foods, and the buzzwords are healthy foods that are accessible. These consumers want to know what is in their food and where it comes from.
Health and wellness factor heavily in purchasing decisions, and food production brands adapt to the trend. Protein-rich foods and superfoods with high antioxidant values are foods that more health-conscious consumers prefer today.
Superfoods refer to nutritionally dense foods or foods that are exceptionally high in vital nutrients. Some commonly regarded superfoods are salmon, kale, blueberries, chia seeds, acai, and quinoa.
Statista states that between 2016 and 2017, retail sales of quinoa grew by 15.6 percent in the United States as its health benefits became more well-known. Chia seeds witnessed a 14.7 percent increase in retail sales during the same time.
Consumers are discerning what foods they put in their bodies with increasing awareness about the harmful effects of preservatives and rampant chronic diseases. While there was already a slow rise in this awareness, the pandemic accelerated the shift. For today’s consumers, it is also essential to trace where the product is from. In terms of dairy, vegetables, meat, and fruits, “locally grown or sourced” is gaining significance.
According to a survey, in 2022, 52 percent of respondents surveyed reported following a specific diet, a sharp increase from 39 percent in the previous year. Amongst those who followed a diet or plan, clean eating (16 percent) was the most popular, followed closely by mindful eating (being intentional and aware when eating) and calorie counting.
Superior quality, organic foods, and ethical farming practices
From farm-raised over wild-caught seafood to cage-free eggs and non-GMO grass-fed beef, consumers are looking for high-quality ingredients and slowly moving away from pesticide-ridden, low-quality GMO foods.
The global sales of organic food have risen between 2000 and 2020. In 2020, organic food sales amounted to about USD 120.65 billion, up from nearly USD 18 billion in 2000.
Organic food can vary wildly depending on the nation and certifying agency, but it frequently means crops grown without genetic modifications, artificial pesticides, or harmful fertilizers. Organic meat, dairy, and eggs require animals to be provided organic feed, given sufficient time outdoors, and not be fed growth hormones or fillers.
In 2019, organic food sales amounted to USD 106 billion, up from nearly USD 15 billion in 1999. The United States accounts for over 40 percent of the retail sales of organic food worldwide, followed by Germany.
According to the same report, in 2019, there were approximately 72 million hectares of organic farmland worldwide. There were more than one million organic food producers in India, which amounts to at least five times more producers than in any other country.
Ethical farming, manufacturing/ production, and distribution practices are essential to purchase considerations for many buyers. Slave trade, animal cruelty, and environmentally safe farming practices are encouraged. Many consumers won’t buy products that they know follow these inhumane and anti-environment practices.
All this comes at a high cost, and most consumers won’t pay the higher prices for organic foods, even though they would like to.
Plant-based foods
While veganism, a diet that eliminates all meat and animal-derived foods, is still a lifestyle followed by very few consumers, there is continued demand for plant-based foods worldwide.
Plant-based meat alternatives include food products from vegetarian or vegan sources, such as soy, vegetables, seitan, tempeh, or pea proteins.
The percentage of vegans differs by country. With a 9 percent vegan population, India is the leading nation by share of vegans. In the U.K., their percentage is less than 2 percent, but in the U.S., it is closer to 6 percent.
In 2021, Beyond Meat was the leading company producing alternative protein products, such as plant-based meat, with an estimated market value of USD 9 billion. The company offers burger patties, among other alternative meat products. Impossible Foods, which ranks second, is a direct competitor in this market. Brands with plant proteins, dairy alternatives, and meat and seafood substitutes attract Venture Capitalists and are amongst the most funded start-ups in many markets.
According to a report, in 2020, the global market value of plant-based meat was estimated to be around USD 6.7 billion. The market is expected to continue its growth and will reach about USD 16.7 billion in 2026. With a share of 44 percent, North America, has the largest market share in the plant-based meat market, followed by Europe, at about 34 percent.
Vegan and plant-based foods are becoming popular with the meat-eating population as well. Non-vegans regularly consume many types of meat and dairy substitutes. Impossible Foods is one of the world’s most prominent alternative protein companies. The global vegan market is valued at USD 15.8 billion, and the global plant-based food market is valued at USD 35.6 billion. The milk substitute market alone is valued at USD 19.5 billion. China and the U.S. are the largest milk alternatives markets and together account for USD 12 billion of the total global revenue.
The global plant-based food market will reach USD 77.8 billion in 2025, and the forecast projects that by 2030 the market will have more than doubled.
Contribution to a greener, more sustainable world
Consumers are looking to make more significant contributions toward a sustainable and green future, especially for younger generations, like Millennials and Zoomers.
Today’s consumers are more conscious of how they consume products and are more aware of enterprises’ impact on the ecosystem. Many consumers will stop using brands that are not environmentally friendly and will favour those that are and move their loyalty toward them. Sustainability is not restricted to just the environment and includes ethical practices and humane conditions. Packaging and reducing carbon emissions are a huge part of sustainability.
Numerous big brands have incorporated sustainability into their corporate social responsibility frameworks. Many large fast-food chains have joined the climate movement, and Chipotle Mexican Grill, a US-based fast-casual chain, is an excellent example. Besides introducing eco-friendly packaging and measures to reduce waste, the brand went a step ahead. It launched a ‘sustainability tracker’ to provide data on the environmental impact of all its ingredients. Chipotle diners now receive data on five environmental metrics on their order confirmation screen, showing carbon in the atmosphere, gallons of water saved, improved soil health, organic land supported, and antibiotics avoided.
For sustainability to happen, technology is a critical piece that can allow companies to forecast, monitor quality, and improve processes and packaging, to name a few. Factors like natural resources, labour, climate, and air quality are also important.
With this new wave of the conscious shopper, many brands need to rethink their business operations for a complete rehaul.
It is worth noting that it is a challenging change as brands grapple with offering better, cleaner foods at affordable prices.
While consumers are more aware now, can they eat as healthy as they would like, given the inflation rate and higher prices for organic, clean foods?
With the current inflation rates, consumers find even regular food choices expensive. So everything comes down to value for the consumers. If your brand fails to show the consumer enough value, they will move to a less expensive option. So brands must be proactive in delivering value to the consumers to retain them. The good news is that even though we are in a supply-driven inflationary market, employment levels remain healthy. Currently, consumers absorb rising prices by reallocating their budgets toward priority areas. However, the imminent recession will impact purchasing power, so brands need to think ahead.
A Summary of our latest report —Feeling Good: Powering the Next Generation of Fitness and Medtech.
Today’s consumer is spending less on acquiring things and more on doing things, and this trend is making its way into the fitness and medical industries.
Research shows that when consumers feel good about their fitness regimen, they are more likely to continue the program. In short, the outcome consumers are looking for is not just looking good; but also feeling good.
So what do consumers want from their fitness routines? And what do they want from their gym experience?
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This report examines the top technology trends in the health, fitness, and medical industries. Download the complete report here.
Trend 1: Wearing your heart on your sleeve
You will see wearable fitness devices on professional marathon runners, casual gym-goers, and even those attempting to become more active.
The simple steps tracker has evolved into our trusted health advisor, dietician, and fitness trainer.
It is no wonder, then, that worldwide shipments of wearable devices from 2020-2021 showed an increase of 27.2 percent.
The increased use of the Internet, 5G technologies, and constant innovations have made North America the dominant market, with a 38.6 percent market share. The Asia Pacific is the fastest-growing market.
Consumers are taking charge of their well-being with wearable technology.
Rising health awareness, a sedentary and hectic lifestyle, increasing healthcare costs, the growing prevalence of chronic diseases like diabetes and obesity, and the increasing popularity of the Internet of Things (IoT) are driving the market. As health and fitness took centre stage during the pandemic, it accelerated the adoption of wearable fitness trackers.
Trend 2: The growing application of wearable technology in the medical device Industry
The healthcare industry has seen the growing popularity of wearables significantly impacting the prevention and treatment of many chronic diseases.
The pandemic has changed our relationship with sleep and its therapeutic benefits. Consumers are more aware of the health benefits of quality sleep and are using sleep-tracking technology to understand their sleep patterns better.
Initially, North America led the world with the highest share of wearable device sales; however, the Asia Pacific region has recently grown leaps and bounds, becoming the fastest-growing region.
Trend 4: Fitness apps and AI-powered personal trainers
The lockdown forced people to shift from physical gyms and fitness studios to virtual fitness classes, which led to a considerable number of apps being downloaded, giving an impetus to the fitness app market.
The increased prevalence of chronic diseases or diseases that prevail over the long term, like diabetes and obstructive pulmonary disease, is driving the growth of fitness and nutrition apps.
In 2020, we saw an uptick in downloads of mental wellness apps, as the pandemic and its repercussions propelled this growth. Developers of apps are delivering on market demand, as 20,000 mental apps are available for download today.
Many of these apps emphasise mindfulness and meditation and go beyond providing support from a traditional therapist. Mental health apps also offer professional online therapy sessions on the go.
While the number of app downloads is a good metric, returning users is the fundamental metric for an app’s success.
Companies are creating immersive fitness experiences by partnering with premium gaming and fitness brands.
This is bringing about a trend in fitness gamification, a new generation of immersive exercises and workouts using music, visuals, wearables, and instructors to offer users an exciting, immersive experience.
Data security risks are one of the biggest challenges we face as we move mountains in the fitness tech industry. These trackers can allow hackers to intercept personal data, and if the data is not adequately protected, it can make us vulnerable to unauthorised users accessing our information.
}The future of wearable technologies is in the health and medical sectors. Although some companies, like Apple, have tight privacy controls for users, there is not enough research on wearable tech for digital health technologies’ security, data rights, and ethics.
The ubiquitous use of the Internet and smartphones and the shifting tendency toward healthier lifestyles and increased wellbeing have sparked significant growthin the global fitness and medical device technologies market.
The beauty and personal care market is one of the fastest-growing consumer markets, particularly in the cosmetics and skincare categories.
About Face: Emerging Global Trends in the Beauty and Cosmetics Industries is an in-depth, 65-page guide providing insights into key trends shaping the beauty industry in the U.S., U.K., Singapore, Japan, Indonesia, China, Thailand, Vietnam, the Philippines, with examples and case studies from leading global brands.
The beauty and personal care industry includes makeup, skincare, hair care, fragrance, grooming, beauty services, and cosmetic surgery.
Beauty and personal care worldwide market size
Revenue in the beauty and personal care market amounts to USD 564.40 billion as of 2022 and is expected to grow annually by 4.76 percent (CAGR 2022-2026). The market’s largest segment is personal care, with a market volume of US$254.00bn in 2022.
At USD 87.99 billion in 2022, the United States generates the most revenue in the beauty and personal care market. China is the second-largest beauty and personal care market in revenue and consumption.
Millennials are often considered the main drivers of the meteoric growth of the beauty segment. Purpose-driven, digitally savvy, clinically-backed, and affordable clean products and brands will most likely thrive in the near future.
Here are the major beauty trends shaping the beauty and personal care industry globally.
Read the full report for deeper insights into these beauty and cosmetics industry trends, along with detailed case studies.
1. Facing the online world of e-commerce: The changing face of the beauty market.
While many brands were moving online even before the pandemic, the coronavirus accelerated the shift to online sales as stores worldwide shut down. Many beauty products moved online, and e-commerce sales, shoppable social media links, brand websites, and online marketplaces continued to thrive.
Social media-driven brands have successfully captured market share via social channels and utilised influencers or Key Opinion Leaders, also known as KOLs (Influencers with a more targeted following and parallel careers), to build multimillion-dollar companies. This has also helped brands develop valuable content that continues to grow their market share and profits.
Read the full report to discover how brands build expertise, authority, and trustworthiness through product reviews, beauty expert ratings, videos, and blogs.
2. Beauty with Brains —Technology is giving beauty a facelift both online and offline.
In an online setting, technologies like Artificial Intelligence (A.I.), Augmented Reality (A.R.), and Virtual Reality (V.R.) are necessary to create interactions between brands and consumers. Beauty tech is not only helping with personalization but also has an entertainment factor. Brands are using innovative approaches to engage with consumers.
Discover how brands use A.I. for personalization, V.R., and A.R. for product trials, and smart beauty devices as diagnostic tools providing a wealth of information in the full report.
3. A new generation of direct-to-consumer(D2C) brands is disrupting the market.
Direct to Consumer (D2C) brands do it all —they build, market, sell, and ship their products directly to their consumers using e-commerce platforms, such as brand websites and shoppable social media links.
With an online-first approach, learn how D2C companies build their brands on social platforms, gain a deeper understanding of the customer, lower costs, and stay competitive.
Also, read the full report to find out how Glossier skyrocketed into a billion-dollar brand from a social media handle.
4. Beauty in a box: The rise of beauty subscription boxes.
With the advent of the beauty subscription box, subscribers can now try curated samples of new products every month and spend less than they would on a full-size product. After testing these samples, they can purchase only the products they love.
Co-founders Katia Beauchamp and Hayley Barna launched Birchbox and positioned it as a personal beauty editor who could help everyone find the best beauty products online.
Read the complete case study to discover how Ipsy scaled its influencer-driven content marketing strategy to become an 800 million dollar company.
5. Diversity and inclusion in the beauty industry.
Consumers, especially younger generations —Millennials and Gen Zers are moving away from conventional beauty standards and expect brands to take note.
In 2004, American personal care brand Dove created a disruptive photography exhibit titled “Beyond Compare: Women photographers on Real Beauty.” The commercial was based on a three-year creative, strategic research effort, which resulted in a new consumer-centric, inclusive approach.
Most recently, Google announced its Monk Skin Tone (M.S.T.) scale, designed to represent various skin tones and be more inclusive.
The global men’s personal care market was valued at USD 30.8 billion in 2021 and is expected to expand at a compound annual growth rate (CAGR) of 9.1 percent from 2022 to 2030. Men demand gender-specific products: shampoos, conditioners, moisturizers, face washes, masks, and peels. E-commerce is further fueling this growth.
7. Beauty for all: The advent of genderless beauty brands.
While not an entirely new trend, genderless beauty took a giant step forward in 2020. Japanese brand Shiseido announced trans model and actor Hunter Schafer as one of its global brand ambassadors. American rapper Pharrell Williams launched his new genderless skincare range, Humanrace.
8. Riding the Korean Beauty skincare wave.
Korean Beauty, or K-beauty, as it is widely known, popularised the concept of investing money, strategy, and time into a ten-step daily skincare routine.
K-Beauty has made bizarre ingredients, like donkey milk, snail slime, bee venom, pig collagen, and even placenta, mainstream.
The extensive 10-step skincare regime might be overwhelming for some Western consumers, but Asian consumers are happy to adapt it to their skincare regime.
9. Cannabis Beauty: A market full of opportunity but fraught with regulatory challenges.
CBD oil-based products have anti-inflammatory, antioxidant, and skin-soothing properties. These remarkable properties in one single blend make CBD oil an effective product in the beauty and personal care segment.
Given the legalization of recreational marijuana in 38 states, the U.S. is at the centre of cannabis beauty and self-care. North America is anticipated to lead the CBD skincare market share during the forecast period. The Asia-Pacific is projected to exhibit exponential growth throughout 2026.
Read the full reportto learn more about the opportunities and challenges American CBD brands face for international expansion.
10. You are what you eat: Ingestible skincare.
While supplements for promoting skin health and hair and nail growth have been around for a long time, ingestible beauty products are more like edible skincare.
11. Beauty with a conscience: The era of sustainable brands.
Today’s environmentally-conscious consumer is looking for brands incorporating eco-friendly and sustainable practices into every step, from production and packaging to distribution and sales. It’s about sustainably sourced ingredients, ethical manufacturing, clean formulations, and eco-friendly and biodegradable packaging.
Learn how Forests Essentials, from India, created a luxury Ayurvedic beauty brand from the ground up.
12. The eternal quest for youth and the anti-ageing market.
The cosmetics industry is constantly innovating to help customers regain their lost youth and preserve it for as long as possible.
13. Beauty services and cosmetic procedures are becoming commonplace.
Men and women increasingly turn to salons and spas to rejuvenate and destress. Busy lifestyles, urbanization, higher disposable incomes, and an inclination toward self-care drive growth in this sector. North America is projected to lead the global spa and beauty salon market during the forecast period.
14. The hair care market is booming, with headroom to grow further.
In the global hair care products segment, the U.S.A, Canada, Japan, China, and Europe will drive the 4.6 percent CAGR estimated for this segment. China will remain among the fastest-growing in these regional markets.
Second, only to the U.S., China is the second-largest market for hair care products worldwide and holds the largest market share in the Asia-Pacific region. It will further increase the demand for hair care products in the area, making Asia-Pacific one of the largest markets for hair care products over the next five to ten years.
The beauty industry is a beast.
Beauty and personal care are among the fastest-growing consumer markets, driven by the cosmetics and skin care segments. Consumers know retinol from retinoids and are highly knowledgeable and aware of beauty ingredients. Social responsibility and sustainability are essential to purchase considerations. And the younger generations are mainly driving the trends detailed in this report.
Consumer interest in Connected Technology is rising due to the accelerated digital shift to “at-home” trends during the pandemic. With an increasing number of people working, learning, shopping, exercising, and even monitoring their health from the comfort of their homes, the connected technology market is rife with opportunities for brands in a multitude of sectors.
From AI-enabled voice assistants that can be summoned on command to watches that have gone beyond telling time and have converted our wrists into smartphone holders and health monitoring devices, connected technologies are transforming the way we live, work, and play.
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Market research and product testing are paramount for the successful launch of connected technology products.
With an increasing number of consumers and households jumping on the connected technology bandwagon, we are collecting more information and data than ever before, which has positive and negative implications for the market research industry.
Market research companies provide product testing services in various industries as they conduct research studies for a range of products before they are launched and help guide new product development. These companies put the products in the hands of the consumers who will be using the technology.
Product testing is a research methodology that allows brands to gather quantitative and qualitative information about a user’s potential behaviour, reactions, and preferences, like the taste, feel, and smell. For connected technology, often, a prototype is tested in the market before it goes into development.
What is connected technology?
Connected technology is products with built-in or embedded technology comprising sensors and processors to connect with their environment and other products.
Connected technology is tied with the Internet of Things (IoT). Watches are no longer used only to tell time; their function has extended to enable text messaging, phone calls, and fitness monitoring. Our homes are getting smarter; our cars go the extra mile to deliver convenience; our offices thrive remotely using real-life collaboration and project management tools.
Let’s look at some of the main areas where connected technology is unfurling, what the future has in store for consumers, and how brands can match this rapid growth.
How are people currently using connected technology?
Connected technology has seamlessly integrated into our daily lives and shows no signs of slowing down, and for good reason. The demand for connected technology that provides convenience, comfort, accessibility, and automation is at a historic high.
To understand the benefits and use of connected tech, let’s look at the main areas we use connected technology in our daily lives.
There’s no place like a smart home.
Smart homes are redefining our living spaces and becoming more innovative. According to Statista, the global smart home market is worth more than US$126 billion.
Consumers increasingly demand home automation when they purchase a home —and for a good reason. Home automation provides convenience, functionality, security, entertainment, and energy savings. The possibilities are endless.
For instance, lighting control network systems allow you to control the whole home or building remotely by your smartphone. Sensors turn lights on and off as we enter and exit rooms. Automated window treatments allow you to control a room’s ambient lighting and other aspects remotely. Smart homes also allow for remote access.
Smart appliances are making life easier for households. Smart Appliances as a segment includes all kinds of connected household appliances. Surveillance cameras and home security systems are getting more advanced. Baby and pet monitors allow people to monitor their babies and pets.
Consumers in Asia adopt devices more quickly than in North America and Europe, and South Korea leads the way with a 27 percent household penetration rate in 2022.
Smart homes are not just nice to have anymore. Homeowners are increasingly expecting smart home features, and builders and technology companies are taking note.
Smart homes are getting smarter and now go beyond just thermostats and light dimmers. Technology is becoming much more affordable and accessible, and some smart homes will make your jaw drop.
Consumers are much savvier and increasingly demand technology built into their homes. Even the lower to mid-range new home buyers expect certain smart home features to be part of the build. Therefore, every construction company needs to include these home features or risk falling behind their competitors.
How does the demand for Smart Homes impact brands in the market?
This new trend has many implications for the market. Builders will need to consider privacy and cybersecurity, adjust agreements, make sure devices can “talk” to each other, and have the ability to offer flexibility as new technologies are added in the future.
With the average household using 25 connected devices, there is considerable pressure to provide a connectivity network far beyond what a regular service provider can deliver.
The pandemic has also created a new generation of germophobes, and KB Homes, a home builder in the U.S., has launched MERV-13-rated air filters in their communities. Compared to lower-rated air filters, these high-grade residential air filters eliminate dust, pollen, mould, and certain bacteria and viruses for improved air quality.
Home appliance brands are not only thinking of innovations but also a way to upgrade features into existing smart products. The CES 2022 show in Las Vegas saw AI-powered laundry machines, hands-free faucets, healthier microwaves, next-level smart blinds, and smart bathing technology.
Connected technology is driving the automobile industry.
Connected technology is designed to connect to a smartphone to do more than play music or route phone calls through the car’s speaker. For instance, you can turn a connected vehicle on or off using a smartphone. It can allow the owner to use an app to control the car or share diagnostic data to remind you when an oil change is due, and so on.
Connected vehicles on the road connect to a network so all types and sizes of cars can “talk” to each other as they share vital information on safety, road conditions, traffic, and mobility.
These are just a few instances that barely scratch the surface of what connected vehicles can do.
A Statista report estimates the size of the global connected car fleet to increase more than threefold in the coming years. In 2021, there were about 84 million connected cars in the United States, and it is projected to exceed 305 million in 2035, making the United States the biggest market for connected vehicles.
Europe currently accounts for around 30 percent of the global connected car fleet. The E.U. is one of the regions with significant potential for connected services.
As of 2019, about half of the motorists in Europe said they were willing to switch car brands to access new connectivity features and services.
According to 1Mordor’s 2020 report: “The connected medical device market is expected to register a CAGR of 18.92% over the forecast period from 2022 to 2027.” The same report showed the Asia Pacific as the fastest growing market and North America as the largest market.
Connected tech in healthcare is also referred to as Connected Care. It may be defined as the real-time, electronic communication between a patient and a medical provider, using digital tools such as remote patient monitors, telehealth, wearable technology, secure messaging, and mobile apps, to name a few.
It is estimated that remote monitoring for healthcare could be worth USD 1.1 trillion by 2025.
Wearable technologies hold a significant share of this market, providing real-time data so health care providers can help patients remotely. They provide convenience and cost-effectiveness by reducing multiple visits to the doctor’s office. With cardiac-related devices expected to be worth USD 800 billion by 2030, there is a massive opportunity for healthcare brands in the cardiac segment for wearables.
These medical devices can be vulnerable to security breaches, impacting their safety and effectiveness because they are computer systems.
While there are data security risks involved, wearables can detect cardiac arrhythmia conditions causing stroke and allow neurologists to diagnose seizures remotely; the benefits of these products far outweigh any risks.
Connected tech encompasses your fur babies.
The pet humanization trend and growing concern amongst pet owners about the health and safety of their pets continues to drive the pet industry’s growth at a CAGR of 6.1 percent. You can now dress your pet in a Banana Republic sweater, insure them with MetLife, and get CBD supplements to calm them down.
This trend is now dovetailing into the pet wearable devices market. According to a recent global market research study, the global market for pet wearables is expected to reach USD 2,5 billion by 2024. Pets can wear these devices to help identify, track, control, and even for medical diagnosis and treatment. Furbo is one such pet wearable in the market that aids anxiety in dogs. A remote pet camera that alerts you when your dog is barking can take dog selfies, and owners can toss treats, all from their smartphones.
Connected technology is reshaping the fitness industry.
One of the first industries impacted adversely by the pandemic was gyms and fitness centres when they were forced to close their doors due to fears of spreading COVID-19. Stuck at home and with more time on hand than ever before, consumers made a beeline for at-home gym equipment. Peloton was at the forefront of this revolution and later bought Lululemon’s Mirror.
Peloton’s stock has reached highs and has plummeted in what seems like a roller coaster ride. When gyms closed during the pandemic, Peloton’s stock price and product sales were at an all-time high, increasing more than eightfold from March to December 2020.
An Atlantic article revealed the company had 2.3 million users paying about $40 a month to take classes on its “connected fitness” products by August 2021.
Google trends show a similar picture.
At-home Fitness Trends during the Pandemic
The global home-fitness equipment market will grow to $15.13 billion in 2022 at a compound annual growth rate (CAGR) of 9.6%. The at-home fitness market is expected to reach $21.84 billion by 2026.
What does this mean for fitness brands —both in-person gyms and online fitness platforms?
Brands providing fitness solutions inside and outside the home will need to commit to the new normal and an approach that fits consumers’ lifestyles.
Brands that want to become a part of their consumer’s fitness regimen will have to consider a hybrid approach. On-site fitness studios and solutions should utilize a more hybrid approach to keep consumers physically and digitally engaged and connected. They can do this by complimenting their in-person services with a mobile application. At the same time, brands with at-home gym equipment and tools should make data security a priority.
The intersection of retail and technology elevates the shopping experience —both in-store and online.
Not all businesses survived the pandemic and the recent, rapid shifts in consumer habits, but the ones that did are thriving. These retailers have been able to master the in-store shopping experience.
Retail technology provides an exciting opportunity to both consumers and retail brands. Connected technology is taking the shopping experience up several notches. While people still shop in these stores, a brand’s physical location is considered one of the many channels. Consumers interact with these stores digitally and will come to expect this from every brand.
From using virtual mirrors to try on clothes to pointing a piece of furniture on your cell phone and placing it in your home, Augmented Reality (A.R.) is changing how we shop and try products. Car shoppers can go into dealerships and customize cars with different colours or styles using their tablets or phones. They can use A.R. to try sunglasses from the comfort of their home.
Grocery stores may look the same as many years ago, but the experience has completely transformed. The distinction between online and offline has little relevance today in the grocery space. This is because today’s consumers do not want their shopping experience to be held back by the limitations of a single touchpoint. Today’s connected consumers expect an omnichannel shopping experience, including online ordering, curbside pickup, delivery, self-checkout, scan-and-go, and contactless payment options.
Supermarket brands need to have an omnichannel approach to meet customer expectations, including convenience, speed, and efficiency. For instance, while a customer is exploring store aisles physically, they should have the option to interact with the store digitally and even complete the transaction using the store’s mobile app.
Consumers’ data is recorded and stored to provide a personalized experience with product recommendations and deals. When consumers create an online account, their purchasing habits are used to tailor relevant deals, ads, and offers. In the absence of an online account, consumer data is tied to a loyalty card.
Technology also allows retailers to alert customers when stocks of the items they regularly purchase are low or when an item is back in stock. Alexa, Amazon’s voice assistant, will notify you based on your ordering history if you are running low on a particular product, tell you how much it is, and ask you if you would like it added to your cart.
Grocery delivery services became popular during the pandemic. Now that we can go back to a physical store, many consumers have become accustomed to using delivery apps like Instacart for their convenience, speed, and seamless service. You can also watch your groceries transported to your doorstep with the app’s live map view.
Sustainability is also coming into the picture with an increasing number of younger generations that prefer buying from eco-friendly companies. Zero, a Los Angeles-based startup, is an example of an eco-friendly brand that delivers groceries in sustainable packaging.
The future of retail is hybrid with an Omni-channel approach and connected experiences across touch-points.
As customers jump across several channels when they shop, retailers need to engage with where their customers are via digital channels.
Leveraging shopping behaviours, personalisation, user experience (UX), and integration will be critical for retail success. This will help retailers engage with their customers at various touchpoints —physical stores, sites, apps, and significantly improve the shopping experience.
Retailers also need to factor in social media networks, messaging apps, voice assistants, mobile devices, and other new channels to capture their customers’ attention and engage with them. Consumers expect incredibly personalized and relevant content.
Challenges in the connected technology space and how brands can use these as opportunities to grow
During the pandemic, the older, less tech-savvy generations also adapted to connected technology and enjoyed the benefits of staying connected with friends and family. Brands should no longer ignore this segment’s needs and may need to provide more in-depth onboarding help and tech support.
Now that people are back to in-person, they will continue using these devices and technologies in and out of the home, in the new normal. There will be a need for interconnectivity across the house, car, and mobile devices will be critical moving forward.
The industry faces many challenges, including data security, privacy concerns, continuous innovation and iteration, a massive load on the network and wifi issues, theft, loss, and damage.
Here are ways in which brands can overcome such challenges:
Provide extended warranty
Put customers first
Provide multiple customer-service options
Insurance against theft, loss, and damage
Provide on-demand tech support
Help with digital identity protection
Allow trade-in offers to swap your old device for a new one at a discount
Continuously upgrade technology
What does the future hold for connected technology?
In a digital-first world, physical fitness studios and stores are still appealing. Physical stores that embraced this reality are thriving. They have gone above and beyond to offer a hybrid approach and have elevated the in-store experience. There is also a preference for in-store shopping in older generations versus younger ones.
The pandemic played a massive role in speeding up the adoption of digital-first behaviors. Now that we know consumers expect a hybrid world where digital meets offline, brands can play a role in pushing innovation and further improving customer experiences across touchpoints and channels. With a goldmine of integrated customer data, they can offer a personalized and relevant experience in a hyper-connected consumer world.
How market research can aid brands in the connected technology space
For brands aiming to disrupt the market with the next “new” thing in connected technology, it is vital to know how consumers will respond to it before going to market. Market research can provide the valuable data, and insights brands need to take action.
Brands have several critical decisions regarding target markets and audiences, price, distribution channels, promotion, and product features. How can brands bring new product lines to market without proper knowledge? The good news is market research provides unique methodologies tailor-made to capture purposeful information to inform those decisions.
Market research allows brands to collect relevant information about market needs and customer preferences, impacting every aspect of the business, product, and brand. Backed by this information, brands understand the choices and behaviors of their potential customers. Therefore, their products can meet their customers’ needs and reduce the risk of an experience gap between the company and its products or services. The experience gap is essentially the gap between what the customers expect/ want and what the companies give them.
Market research is used for product testing and development. Effective market research uses a diverse population to test a given product and ensures it works for everyone in the target market. Brands also use market research for brand name testing, concept testing, messaging and campaign testing, branding, and logo testing, and pricing testing, to name a few.
For brands in the connected technology space that are often under high pressure to quickly produce and iterate high-quality products with an enhanced customer experience in a competitive market, the importance of market research cannot be overstated.
Brands in connected technology need to utilize a comprehensive testing strategy beyond traditional product and messaging testing. Market research can study the preferences and User Experience (UX) throughout all touchpoints within the customer journey.
For instance, connected technology brands can use market research to ensure customers are surveyed on current technologies and UX and online shopping cart abandonment. Likewise, the data from connected tech can (with permission) provide a goldmine of information about specific market segments, which can inform better decisions based on hard facts rather than gut feelings or assumptions.
For smart product companies, it is also essential to make sure all their products connect seamlessly to make their customers’ lives easier and more comfortable. Therefore, market research is utilized to make sure the product works and connects with other smart products to enhance the customer’s life.
Connected technology became popular before the pandemic. The pandemic only accelerated its adoption. The rise of connected consumers across the globe has led to connected technology trends across industries. As brands navigate the challenges of wifi capabilities and data privacy, they are continually innovating and iterating smart, connected products that are relevant and user-friendly.
We don’t need a crystal ball to make this prediction: the future belongs to a connected world.
Learn more about how Kadence International’s Marketing Research is driving growth for leading technology companies here.
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For some, 2021 is a year best forgotten. But from a marketers and researchers perspective 2021 certainly revealed some interesting insight into changing consumer behaviours and demands.
Here we have compiled the best of our trend reports and guides from 2021 all in one convenient place.
Consumer Trends in Asia 2021
This report is specially designed for companies looking to grow their presence in Asia and is based on the analysis of local experts across Kadence International’s eight Asian offices.
This guide covers when to consider entering a new market, how best to approach the research you’ll need to support you as well as practical information on the different market entry strategies available to you.
The pandemic has caused people’s behaviours, wants and needs to change. Segmentation is an important tool to understand your target better, but also to help identify new or emerging expectations from brands.
In this groundbreaking package testing research, we partnered with Asahi and their signature brand Fuller’s London Pride using augmented reality to garner feedback on new product labeling. This innovative approach resulted in great data, a satisfied client and numerous awards within the research industry.
LEARN more about the test and watch the video here
Health and Wellness Trends
If there was ever a year when health and wellness was at the forefront of consumers minds, 2021 was it. We looked at some key global trends that are emerging, and the behaviours and expectations fueling these trends.
This summary of the report, “The Asian Consumer: 4 Key Trends for the Next Normal,” examines the purchasing trends, consumer characteristics, and brand preferences of major Asian markets that embody a unique national and cultural identity.
If you want to grow your company’s presence in Asia, make sure you read the full report here.
This report is based on the analysis of local experts across Kadence International’s eight Asian offices: China, India, Singapore, Thailand, Vietnam, Indonesia, the Philippines, and Japan.
In this summary, let’s look at how four driving forces are changing the consumer landscape in major Asian markets.
Read the full report to determine what drives consumer interest and engagement in individual countries in the region.
Trend One: Changes in food and shopping patterns
Since the beginning of 2020, wet markets have taken a hit in popularity and accessibility throughout the Asia Pacific region, just like the rest of the world. This trend is unlikely to change substantially in the coming years, and therefore, Asian consumers are starting to look for food and grocery alternatives.
Read the full report to learn more about the impact of COVID19 on wet markets across major South Asian countries, including China, India, the Philippines, Vietnam, Singapore, and Indonesia.
There is a burgeoning demand for meal kits and prepared foods. Asian consumers are lured toward meal kits not only due to their convenience and simplicity but also the healthy food options and the high-quality food products included in these popular “Next Gen TV Dinners.”
Read the full report to discover the key players in the Meal Kits market in China.
While most industry experts don’t predict the demise of wet markets and wildlife trade any time soon, changes in Asian consumer behaviors and preferences in what food they eat and how they purchase it continue to evolve.
Adopt a Cow, a new entrant in dairy within China, capitalized on these changes to capture the dairy market that two leading Chinese dairy brands previously dominated. Adopt a Cow connected with China’s consumers in a way that spoke to their evolving tastes and behaviors.
Read this intriguing case study to discover how this new dairy brand broke into the market and faced its competition head-on, ultimately becoming the leading dairy company in China.
Trend Two: In the age of Zoom, work from home has altered how we work and live at home.
The WFH employment trend is destined to stay in some form well into 2022 and beyond. Even after the pandemic, the Asian workforce will continue working 80% from home in some hybrid form. For Asian consumers, this translates into not just the way they work, but even more so, a new relationship with the space in which they now both live and work.
Unlike workers in both China and Japan, employees in India prefer video conferences rather than in-person meetings. It is also interesting that companies in Asia do not embrace remote working options for their employees as readily as businesses in the West.
Japan has some of the lowest WFH employees in all of Asia. Like many households throughout the region, Japanese remote workers deal with small, overcrowded home environments and cramped spaces that are less conducive to productivity. In many parts of Japan, space has always been tight and comes at a premium.
Savvy homebuilders in Japan knew it was time to rethink the Tiny House model into Tiny Home Office structures.
Read the case study to learn how a real estate company found a market among those struggling to work in tight spaces at home with Tiny Home Office.
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Trend Three: Gen Z and the demand for customizable consumer goods.
Gen Z is poised to set market trends for many years to come.
According to McKinsey & Company, Asia’s consumerism is rapidly growing and expected to reach 3 billion by 2030, a 50 percent increase from today’s consuming class.
Discover how the convergence of personalization and social media influencers drives consumer engagement for Gen Z Asian consumers in the full report here.
To build a personal brand on TikTok, Gen Z Asian consumers feel the need to create a unique personal online identity. This is why they gravitate toward products that allow room for personalization, customization, and exclusivity.
While many major luxury brands have jumped on the customization trend, the best example of the popularity of personalization comes from a rubber shoe company.
Learn how Crocs exploded in the Asian Marketplace through customization and celebrity influencers.
India is among the top five nations globally in beauty and cosmetics manufacturing and distribution. Mass beauty in India possesses a market value of more than $11 billion, with an additional $3 billion if you add hair care and personal hygiene products. There is also a growing market for customizable beauty products.
Discover the exceptional opportunities for industry innovators entering the Indian beauty market in the case study when you download the full report here.
Trend Four: The rise of Electric Vehicles.
China is the global leader in electromobility, with a 5.75 percent market share of electric cars in the Asia Pacific region.
Even though September 2021 car sales in China took a 17 percent dip year over year, electric automobile sales in the country trended up with a jaw-dropping 355,000 registered electric vehicles that month. The year-over-year growth rate was more than 170 percent, and these Chinese consumer buying trends are expected to continue to grow well into the future.
Japan is lagging in this category with a 0.64% market share. India follows Japan occupying the seventh position with a relatively low 0.06% market share.
On the other hand, Singaporean consumers welcome the onset of the age of electric cars.
Sales of Teslas in Singapore have also substantially increased throughout 2021, rising from just 30 cars sold in the first six months of the year to nearly 500 in Q3 alone, even though these cars cost more than three times the cost of the US sticker price.
Read the full report to discover EV trends and consumer demand in all major countries in the region.
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