According to a report by MarketsandMarkets, the wearable technology market is expected to reach $54 billion by 2023. Understanding consumer behaviour related to wearable technology is more important than ever. Analyzing consumer behaviour can provide valuable insights for product marketing managers and research executives, enabling them to design products that meet different consumer segments’ needs and preferences and develop effective marketing and pricing strategies.

This blog will examine the various facets of consumer behaviour related to wearable technology, including purchasing habits, usage patterns, and perceptions of the technology. Through this analysis, we can better understand the needs and preferences of different consumer segments and how companies can cater to these needs to stay competitive in this growing industry.

Wearable technology refers to electronic devices worn on the body, typically as accessories or clothing items. These devices are designed to track or collect data related to the wearer’s health, fitness, and daily activities, among other things. Examples of wearable technology products include smartwatches, fitness trackers, and augmented reality glasses.

The benefits of wearable technology from a consumer perspective are numerous. Wearable devices can help individuals track their fitness goals, monitor their health metrics, and stay connected to their digital lives on the go. A recent study by Grand View Research estimated that the global wearable technology market size is expected to reach $104.39 billion by 2027, with the health and fitness segment being the largest market.

However, there are also drawbacks to wearable technology that should be considered. One concern is the potential invasion of privacy, as these devices collect and transmit data about the wearer’s personal life. Another drawback is the potential for distraction and over-reliance on technology, as wearers may become too focused on their devices instead of their surroundings.

As wearable technology continues to evolve, so do its benefits and drawbacks. The late fashion designer Karl Lagerfeld once said, “Technology has to be invisible. Wearable technology must be beautiful.” This sentiment reflects the desire of consumers for devices that not only function well but also look good and feel comfortable to wear.

Despite the potential drawbacks, wearable technology is poised to continue its growth in popularity as more consumers seek to integrate technology into their daily lives. As the benefits of these devices become more widely recognised and as technology continues to advance, wearable technology is likely to play an increasingly important role in the future of consumer technology.

Wearable Technology Timeline

1975: The first wearable computer, the “Wearable Computer for Computerised Conference Control,” is created by Edward Thorp and Claude Shannon.
1994: Seiko releases the first smartwatch, called the Seiko MessageWatch.
1999: The first Bluetooth headset, developed by Ericsson, is released.
2008: Fitbit releases its first fitness tracker, the Fitbit Classic.
2010: The first generation of the Apple Watch is released, marking Apple’s entry into the wearable technology market.
2012: Google releases Google Glass, a pair of smart glasses that use augmented reality technology.
2014: The first Android Wear smartwatches, including the LG G Watch and the Samsung Gear Live, are released.
2015: The Apple Watch Series 1 is released, which includes features such as heart rate monitoring and fitness tracking.
2016: Pokemon Go, an augmented reality mobile game, becomes a worldwide sensation and brings attention to the potential of augmented reality technology in wearable devices.
2017: Fitbit acquires Pebble, a popular smartwatch brand.
2018: Apple releases the Apple Watch Series 4, which includes advanced health features such as an ECG monitor and fall detection.
2019: The global wearable technology market is valued at $32.63 billion, according to a report by Grand View Research.
2020: The COVID-19 pandemic increases demand for wearable technology that can monitor health metrics, such as temperature and oxygen levels.
2021: Wearable devices continue to gain popularity, with features such as sleep tracking, stress monitoring, and more advanced fitness tracking capabilities.

Wearable Tech Consumer Purchasing Habits

Consumer purchasing habits play a crucial role in the wearable technology industry, directly influencing product design, marketing, and pricing strategies.

Here are some of the main factors that influence consumers’ decisions to purchase wearable technology:

Health and Fitness Goals: Consumers who prioritise health and fitness are more likely to purchase wearable technology devices, such as fitness trackers and smartwatches, that can help them monitor their activity levels, sleep patterns, and overall health metrics. According to a 2021 survey by Statista, 53% of wearable technology users in the United States use their devices to track fitness and health.
Fashion and Style: Wearable technology designed to be stylish and aesthetically pleasing can appeal to fashion-conscious consumers. For example, luxury watch brands such as TAG Heuer and Fossil have introduced smartwatches that combine fashion and technology to cater to this market.
Compatibility with Other Devices: Consumers who already own other devices, such as smartphones or laptops, may be more likely to purchase wearable technology compatible with their existing technology. This can include devices that use the same operating system, such as Apple’s ecosystem of products, or devices that integrate with popular apps and services.
Price: The cost of wearable technology devices is important for many consumers. According to a 2021 report by PwC, price was the most important consideration for 60% of respondents considering purchasing a wearable device.

Consumer purchasing habits also vary depending on the demographic and psychographic characteristics of different consumer segments. For example, younger consumers may be more likely to purchase wearable technology as they are more likely to be early adopters of new technology. Similarly, consumers with higher incomes may be more likely to buy luxury wearable devices, while consumers who prioritise environmental sustainability may be more likely to purchase eco-friendly wearable technology.

According to a 2020 report by IDC, the top five wearable technology vendors in market share are Apple, Xiaomi, Samsung, Huawei, and Fitbit. These companies cater to different market segments and offer a range of products at different price points. For example, Apple’s high-end smartwatches and earbuds appeal to consumers who prioritise technology and style, while Fitbit’s fitness trackers cater to consumers who prioritise health and fitness.

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Wearable Technology Usage Patterns

Wearable technology has a wide range of applications and features that make it appealing to consumers. Here are some of the ways that consumers use wearable technology and the features and functionalities that are most important to them:

Fitness Tracking: Wearable technology is popular for fitness tracking, with features like step tracking, heart rate monitoring, and calorie tracking. According to a 2021 survey by Statista, 57% of wearable technology users in the United States use their devices for fitness and exercise.
Health Monitoring: Wearable technology can also be used for health monitoring, with features like blood pressure monitoring, sleep tracking, and medication reminders. This is especially important for ageing populations or individuals with chronic health conditions.
Communication and Connectivity: Wearable technology can be used for communication and connectivity, with features like phone calls, messaging, and social media integration. This is particularly useful for busy professionals or individuals always on the go.
Entertainment and Gaming: Wearable technology can be used for entertainment and gaming, with features like music streaming, video playback, and augmented reality games. This is popular among younger consumers who prioritise entertainment and technology.
Workplace Applications: Wearable technology can be used in workplace applications, such as industrial settings where workers need to be hands-free or in retail environments where workers need to access inventory and customer data quickly.

The features and functionalities that are most important to consumers vary depending on the device’s intended use. For fitness trackers and smartwatches, consumers prioritise features such as battery life, accuracy, and ease of use. For workplace wearables, consumers prioritise durability, connectivity, and compatibility with existing systems.

Usage patterns also vary among different consumer segments. For example, according to a 2021 survey by YouGov, men are more likely than women to use wearable technology for fitness and exercise purposes, while women are more likely to use wearables for health monitoring. Similarly, younger consumers are more likely to use wearable technology for entertainment and gaming, while older consumers prioritise health and fitness tracking.

Brands that have successfully tapped into different usage patterns and consumer segments include Fitbit, Apple, and Samsung. Fitbit’s range of fitness trackers and smartwatches cater to consumers who prioritise health and fitness, while Apple’s high-end smartwatches appeal to consumers who prioritise technology and style. Samsung offers a range of smartwatches with features such as cellular connectivity and long battery life, which appeal to consumers who prioritise connectivity and convenience.

Overall, wearable technology is a versatile and multi-functional technology that appeals to a wide range of consumers. Understanding the different usage patterns and preferences of different consumer segments will be critical for companies in this industry to continue innovating and meeting the evolving needs of consumers.

Perceptions of Wearable Technology

Consumer perceptions of wearable technology play a significant role in the success of these devices in the market. Here are some of the attitudes and beliefs that consumers may have about wearable technology:

Convenience: Many consumers perceive wearable technology as convenient, allowing them to access information and stay connected without pulling out their smartphones.
Health and Fitness Benefits: Consumers who prioritise health and fitness perceive wearable technology as a tool for improving their overall health and fitness goals by tracking their activity levels, sleep patterns, and other health metrics.
Fashion and Style: Consumers who prioritise fashion and style may perceive wearable technology as an accessory that complements their personal style and reflects their personality.
Privacy and Security Concerns: Some consumers are concerned about wearable technology’s privacy and security implications, as these devices can collect and transmit sensitive data about the wearer’s personal life.
Stigma and Social Acceptance: Some consumers may perceive wearable technology as stigmatised or socially unacceptable, especially if the devices are bulky, unattractive, or otherwise conspicuous.
Limited Battery Life: Many wearable devices have limited battery life, which can be a source of frustration for consumers who need to use them throughout the day.

Factors influencing consumers’ perceptions of wearable technology include product design, marketing messaging, and media coverage. For example, Apple’s sleek and stylish smartwatches have helped to rebrand wearable technology as a fashion accessory. In contrast, Fitbit’s focus on health and fitness has helped to position wearable technology as a tool for self-improvement.

In terms of concerns and misconceptions, wearable technology companies have worked to address issues such as privacy and security by implementing data encryption and user consent measures. For example, Fitbit’s privacy policy states that user data is encrypted and anonymous and that users can choose whether or not to share their data with third-party apps and services.

Media coverage and public perception also play a role in shaping consumer attitudes toward wearable technology. For example, the Google Glass project was ultimately discontinued in 2015 due to negative media coverage and privacy concerns. However, other products, such as smartwatches and fitness trackers, have continued to gain popularity as consumers become more comfortable with the technology and its benefits.

Overall, understanding consumer attitudes and perceptions towards wearable technology is crucial for companies in this industry to design products that meet consumers’ needs and preferences and address concerns and misconceptions that may impact adoption rates. As wearable technology continues to evolve and become more integrated into daily life, consumer perceptions and attitudes will be key factors in its success.

Understanding consumer behaviour related to wearable technology can provide valuable insights for product marketing managers and marketing executives. Here are some recommendations and implications for these professionals based on the analysis of consumer behaviour:

Design products that meet the needs and preferences of different consumer segments: Consumer behaviour analysis can help brands identify the segments of consumers likely to purchase wearable technology, as well as the features and functionalities that are most important to them. This information can be used to design products that meet these segments’ specific needs and preferences.
Address privacy and security concerns: Privacy and security concerns are among consumers’ top concerns about wearable technology. Brands should address these concerns, such as implementing data encryption and user consent measures and communicating these measures clearly to consumers.
Emphasise the benefits of wearable technology: Consumers are more likely to purchase when they understand its benefits. Brands should emphasise the convenience, health, and fitness benefits, and other features that make wearable technology a valuable addition to consumers’ lives.
Innovate with new features and functionality: As wearable technology continues to evolve, brands should look for new features and functionality that can enhance the value and appeal of these devices. For example, advances in biometric technology and augmented reality has the potential to open up new possibilities for wearable technology.
Use pricing strategies that cater to different consumer segments: Consumer behaviour analysis can also help product marketing managers and executives to identify the different pricing strategies that are most effective for different consumer segments. For example, luxury smartwatch brands may be able to charge higher prices for their products, while budget fitness tracker brands may need to compete on price to attract price-sensitive consumers.

According to a report by MarketsandMarkets, the wearable technology market is expected to grow at a CAGR of 15.5% from 2021 to 2026, highlighting the importance of developing effective strategies to stay competitive in this growing industry. By considering these recommendations, companies can develop effective product design, marketing, and pricing strategies that cater to the needs and preferences of different consumer segments.

As technology continues to evolve, so will the world of wearable technology. As Steve Mann, a pioneer in wearable computing, once said: “Wearable computing is the next stage in the digital revolution. Combining technology with fashion can make our devices more personalised and integrated into our lives.”

Understanding consumer behaviour towards wearable technology is crucial for brands to design products that meet the needs and preferences of different consumer segments and to develop effective marketing and pricing strategies.

As the wearable technology market continues to grow, companies in this industry will need to stay vigilant and continue to innovate to meet the evolving needs of consumers.

By analyzing consumer behaviour, addressing concerns and misconceptions, and emphasising the benefits of wearable technology, companies can position themselves for success in this dynamic and rapidly-growing industry. As wearable technology becomes more integrated into daily life, the potential for innovation and growth in this field is limitless.

Learn more about the wearable technology industry in our comprehensive trend report Feeling Good: Powering the Next Gen of Fitness and Medtech. Download here.

Move over Millennials; there’s a new kid in town – Gen Z. By 2026, this demographic will account for over a quarter of the world’s population and become the largest consumer group globally, with a purchasing power of over $44 billion. As a marketer, understanding the unique characteristics of this generation is crucial in creating impactful and effective marketing strategies. As the famous quote goes, ‘The future belongs to those who prepare for it today.’ So, let’s dive in and gain insights into the newest consumer market – Gen Z.

Gen Z Demographic Profile

Gen Z, also known as the iGeneration or Post-Millennials, includes individuals born between 1997 and 2012. As of 2023, the oldest members of this generation are 26 years old, and the youngest are just 11 years old.

Gen Z is a highly diverse generation with members from different cultural, social, and economic backgrounds. They are the first generation to be truly digital natives, growing up in a world that has always been connected by technology.

Gen Z is also a socially conscious generation with a strong emphasis on diversity, inclusion, and sustainability. In a global study by The Center for Generational Kinetics, 70% of Gen Z respondents said they believe in equal rights, regardless of race, gender, or sexual orientation. Furthermore, a survey found that 66% of Gen Z respondents in the United States prefer to buy products from companies that prioritise sustainability.

Gen Z Around the World

North America

In North America, the demographic profile of Gen Z varies significantly by country. According to a study by the US Census Bureau, the percentage of the population aged 15-24 in the United States is 13.6%, while in Canada, it is 12.9%. The ethnic composition of Gen Z in North America also varies, with the United States having a higher proportion of non-white populations compared to Canada. Gen Z in North America is highly diverse, with a growing number of individuals identifying as multiracial or belonging to minority groups.

Gen Z in North America is highly educated, with a more significant percentage pursuing higher education than any previous generation. According to a report by the National Center for Education Statistics, 59% of high school graduates in the United States enrolled in college in 2019, which is projected to continue to rise. A similar trend is seen in Canada, with 56% of high school graduates enrolling in college or university in 2018.

Overall, marketers targeting Gen Z in North America need to be aware of this generation’s demographic diversity and high levels of education. By understanding the unique characteristics of this generation, marketers can create impactful campaigns that resonate with Gen Z and build long-term brand loyalty.

In the UK, Gen Z constitutes roughly 16% of the total population, with an estimated 11.2 million individuals in this age group. According to a report by Kantar, the ethnic diversity of Gen Z in the UK is higher than in any previous generation. Approximately 54% of Gen Z in the UK come from non-white backgrounds, with 18% identifying as Asian, 16% as Black, 11% as mixed, and 9% as other ethnic groups. Regarding gender, Gen Z in the UK is evenly split between males and females.

Europe

In Europe, the demographic profile of Gen Z varies significantly by country. According to the statistical office of the European Union, the percentage of the population aged 15-24 ranges from 8.8% in Italy to 18.9% in Cyprus. The ethnic composition of Gen Z in Europe also varies, with countries such as France, Germany, and the Netherlands having a higher proportion of non-white populations compared to countries such as Hungary, Poland, and Romania. Gen Z in Europe is generally highly educated, with a greater percentage pursuing higher education than any previous generation.

India

Gen Z represents the largest demographic group in India, with an estimated 472 million individuals aged 24 and below. The demographic profile of Gen Z in India is highly diverse, with a variety of languages, religions, and cultures represented. Gen Z in India are bilingual, with English and Hindi being the most commonly spoken languages. Regarding gender, there are slightly more males than females in this age group.

Southeast Asia

In Southeast Asian countries such as Indonesia, Malaysia, and the Philippines, Gen Z constitutes a significant portion of the population. According to the Asian Development Bank, the percentage of the population aged 15-24 in Southeast Asia ranges from 14% in Thailand to 22% in the Philippines. The ethnic composition of Gen Z in these countries is diverse, with a variety of ethnic groups and languages represented. Regarding gender, there are slightly more females than males in this age group in some countries, such as the Philippines.

Gen Z Behavioural Trends

Gen Z has grown up in a world where digital technology is ubiquitous. As a result, they have a strong preference for digital communication channels, such as social media, messaging apps, and video conferencing.

According to a report by Snapchat, Gen Z spends an average of 3.4 hours per day on social media, and 63% of this generation prefers to interact with businesses through social media channels. This trend presents an excellent opportunity for marketers to reach Gen Z effectively by creating engaging content for social media platforms.

Another major behavioural trend among Gen Z is their interest in social and environmental issues. Gen Z is more socially and environmentally conscious than any previous generation, and they expect businesses to take a stand on issues that are important to them. According to research, 62% of Gen Z respondents worldwide believe that companies have a responsibility to take a stand on social and environmental issues. This trend presents an opportunity for marketers to align their brands with causes that matter to Gen Z and to communicate their social and environmental impact effectively.

Gen Z also values personalisation and authenticity. They expect businesses to tailor their products and services to their individual needs and preferences, and they respond positively to authentic and transparent brands. A survey found that 53% of Gen Z respondents in the United States are more likely to buy from brands that provide personalised recommendations, and 72% are more likely to buy from brands that are transparent about their business practices.

Case Study: Nike

Nike’s “You Can’t Stop Us” campaign is an excellent example of a marketing campaign that successfully targeted Gen Z by addressing their behavioural trends. The campaign highlighted Nike’s commitment to social issues, including racial justice and gender equality, while emphasizing personalisation and authenticity.

As demonstrated through split-screen video edits, the campaign’s message of resilience and determination resonated well with Gen Z, resulting in increased engagement and brand loyalty.

Case Study: Greggs

Greggs is a UK-based bakery chain that successfully targeted Gen Z by aligning its brand with social and environmental issues. In 2019, Greggs launched its vegan sausage roll, which became a viral sensation on social media, with the hashtag #vegansausageroll trending on Twitter. The launch of the vegan sausage roll was part of Greggs’ broader strategy to appeal to Gen Z, who are more likely to follow a plant-based diet than any previous generation. The vegan sausage roll’s success helped Greggs increase its sales and improve its brand perception among Gen Z, who saw the company as innovative and socially responsible.

Case Study: Grab

Grab is a ride-hailing and food delivery company that successfully targeted Gen Z in Southeast Asia by focusing on personalisation and authenticity. Grab’s “Personalise Your Journey” campaign aimed to show Gen Z that the company understands its individual needs and preferences. The campaign involved a series of short videos highlighting how Grab’s services can be tailored to each user’s preferences, such as music and temperature settings in the car. The campaign increased engagement and loyalty among Gen Z users, who saw Grab as a brand that values their unique identity and preferences.

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Gen Z Consumption Habits

Gen Z has a unique set of consumption habits shaped by their digital upbringing, interest in social and environmental issues, and focus on personalisation and authenticity. Understanding these consumption habits is essential for marketers who want to engage effectively with this generation.

Preferred Shopping Channels

Gen Z prefers to shop online and is likelier to use their mobile devices than any other generation. According to a survey by Hootsuite, 54% of Gen Z respondents in the United States prefer to shop online, and 72% use their mobile devices to make purchases. This trend presents an opportunity for marketers to create mobile-optimised e-commerce websites and mobile apps that provide a seamless shopping experience for Gen Z.

In addition to online shopping, Gen Z also values physical stores that provide a unique and immersive experience. A survey found that 59% of Gen Z respondents in the United States prefer to shop in stores that offer an immersive experience, such as augmented reality or virtual reality. This trend allows marketers to create innovative, engaging in-store experiences that resonate with Gen Z.

Products They Buy

Gen Z has diverse interests and preferences regarding the products they buy. They are more likely to purchase products that align with their values and beliefs, such as social and environmental issues. A survey by NPD Group found that 83% of Gen Z respondents in the United States are more likely to buy products that support social and environmental causes. This trend allows marketers to create products and services that align with Gen Z’s values and beliefs.

Decision-Making Process

Social media and peer recommendations heavily influence Gen Z’s decision-making process. According to a survey by Common Sense Media, 43% of Gen Z respondents in the United States trust peer recommendations over advertising when making purchase decisions. This trend allows marketers to leverage influencer marketing and user-generated content to effectively reach and engage with Gen Z.

Case Study: Fabletics

Fabletics is a women’s activewear brand that has successfully targeted Gen Z in the US by aligning its brand with the consumption habits of this generation. Fabletics’ subscription model and personalised shopping experience have resonated well with Gen Z, who value convenience and personalisation.

Fabletics offers a monthly subscription service that provides members with personalised activewear outfits based on their style preferences, body shape, and fitness goals. The company also allows members to skip a month or cancel their subscription anytime, providing a flexible and convenient shopping experience that resonates well with Gen Z.

Fabletics’ focus on diversity and inclusivity has also resonated well with Gen Z. The company offers a wide range of sizes and styles, including a plus-size collection that promotes body positivity and inclusivity. Fabletics also partners with non-profit organisations that support women’s health and wellness, aligning the brand with social issues that matter to Gen Z.

Fabletics’ success with Gen Z is reflected in its highly engaged social media following, with over 2 million followers on Instagram and a highly active community of brand advocates. By aligning its brand with the consumption habits of this generation, Fabletics has become a popular choice for Gen Z women who value convenience, personalisation, and inclusivity.

Case Study: Zomato

Zomato is a food delivery and restaurant discovery platform that has successfully targeted Gen Z in India by aligning its brand with the consumption habits of this generation. Zomato’s user-friendly mobile app and website have resonated well with Gen Z, who value convenience and personalisation. In addition, Zomato’s focus on sustainability and ethical sourcing has appealed to Gen Z’s interest in social and environmental issues. Zomato’s success with Gen Z is reflected in its rapidly growing user base, with over 80 million monthly active users as of 2022.

Case Study: Depop

Depop is a fashion marketplace that has successfully targeted Gen Z in the UK by aligning its brand with the consumption habits of this generation. Depop’s mobile app allows users to buy and sell unique, vintage, and sustainable fashion items, which aligns with Gen Z’s interest in personalisation and sustainability. In addition, Depop’s focus on community building and peer-to-peer selling has appealed to Gen Z’s desire for authentic and transparent shopping experiences. Depop’s success with Gen Z is reflected in its rapidly growing user base, with over 30 million registered users as of 2022.

Understanding the consumption habits of Gen Z is crucial for marketers who want to engage this generation effectively. Gen Z prefers online shopping and values physical stores that provide an immersive experience. They are more likely to buy products that align with their values and beliefs, such as social and environmental issues. Social media and peer recommendations heavily influence their decision-making process. Marketers can create impactful campaigns that resonate with Gen Z by aligning their brands with these consumption habits.

Gen Z Marketing Strategies

Gen Z has a unique set of consumption habits, which requires marketers to use innovative and effective marketing strategies to reach and engage with this generation. Here are some of the most effective marketing strategies for targeting Gen Z:

Social Media Marketing

Social media marketing is one of the most effective strategies for reaching and engaging with Gen Z. This generation spends an average of 3.4 hours per day on social media, making it an excellent platform for marketers to reach them. To be successful, social media marketing needs to be personalised, engaging, and authentic. Marketers must create content that aligns with Gen Z’s interests and values, such as social and environmental issues, diversity, and inclusivity.

Influencer Marketing

Influencer marketing is another effective strategy for reaching and engaging with Gen Z. This generation trusts peer recommendations over advertising, making influencer marketing a powerful tool for marketers. Influencers are highly influential among Gen Z, and they can help brands reach this generation in an authentic and engaging way. However, working with influencers who align with the brand’s values and messaging is essential to avoid being inauthentic or disingenuous.

Experiential Marketing

Experiential marketing is a highly effective strategy for engaging with Gen Z, who value unique and immersive experiences. This strategy involves creating brand experiences that provide a tangible and memorable connection with the brand. For example, a pop-up store or event can create a powerful connection with Gen Z by delivering an immersive and engaging experience. This strategy can build brand awareness and loyalty among this generation.

Case Study: Taco Bell

Taco Bell is a fast-food chain that has successfully targeted Gen Z using innovative marketing strategies, including social media, influencer, and experiential marketing. Taco Bell’s highly engaged social media presence has helped it to connect with Gen Z, who value personalisation and authenticity.

The company has also leveraged influencer marketing to reach this generation in an authentic and engaging way. For example, in 2019, Taco Bell partnered with influencer David Dobrik to launch the “Belluminati” campaign, which generated over 3.4 billion impressions on social media.

Taco Bell has also used experiential marketing to create unique and immersive brand experiences that resonate with Gen Z. In 2019, the company opened a hotel in Palm Springs, California, which provided a highly immersive and engaging experience for fans of the brand. The hotel sold out in just two minutes, demonstrating the power of experiential marketing in engaging with this generation.

Marketers need to use innovative and effective marketing strategies to reach and engage with Gen Z. Social media marketing, influencer marketing, and experiential marketing are some of the most effective strategies for targeting this generation. By creating personalised, authentic, and engaging marketing campaigns, marketers can build brand awareness and loyalty among this highly influential generation.

Gen Z Campaigns from around the world

These examples demonstrate how successful marketing campaigns targeting Gen Z require creativity, authenticity, and a focus on emotions and experiences.

Using tactics such as social media challenges, short films, and humour, these brands engaged with Gen Z meaningfully and created strong connections with this generation. The outcomes achieved, such as increased sales and widespread media coverage, show the power of effective marketing in reaching and engaging with this highly influential generation.

India – Lays

Lays’ “Smile Deke Dekho” campaign targeted Gen Z in India by focusing on humour and creativity. The campaign involved a social media challenge that encouraged people to create and share their own funny videos using a Lays chip packet. The campaign was highly successful, with over 7 million views on YouTube and widespread social media engagement.

China – Pepsi

Pepsi’s “Bring Happiness Home” campaign targeted Gen Z in China by focusing on family and community. The campaign featured a short film that showed a young man using Pepsi to connect with his family and bring them together. The campaign also involved a social media challenge encouraging people to share their family stories and experiences. The campaign was highly successful, with over 10 million views on YouTube and widespread media coverage.

Japan – McDonald’s

McDonald’s “Fry Thief” campaign targeted Gen Z in Japan by focusing on humour and creativity. The campaign featured a series of short films that showed people stealing fries from each other in various settings, from a park to a beach. The campaign also involved a social media challenge encouraging people to share their “fry thief” moments. The campaign was highly successful, with over 3 million views on YouTube and widespread social media engagement.

Understanding Gen Z as a consumer market is essential for marketers who want to engage with this highly influential generation effectively. By aligning their brands with the consumption habits and marketing preferences of Gen Z, marketers can create impactful campaigns that resonate with this generation and build long-term brand loyalty.

Are you ready to take your marketing to the next level by understanding Gen Z as a consumer market? Download “The Definitive Guide to Gen Z” This guide is packed with valuable insights and data to help you create effective marketing campaigns that resonate with Gen Z.

In market research, the collection and use of data raise several ethical considerations, such as obtaining informed consent, protecting the privacy and confidentiality of participants, avoiding deceptive practices, and ensuring data accuracy.

Ethical guidelines, such as the International Chamber of Commerce’s ICC/ESOMAR International Code on Market and Social Research, provide a framework for conducting market research responsibly and respectfully. Additionally, industry-specific regulations, such as the General Data Protection Regulation (GDPR) in the European Union, further regulate the collection and use of personal data. Brands and their market research teams must be aware of these ethical considerations and guidelines to ensure the validity and credibility of their research findings and maintain the trust of their participants.

The Importance of Ethical Data Collection

The ethics of data collection play a crucial role in the credibility and validity of market research findings. When data is collected ethically, participants can trust that their personal information is handled responsibly and securely.

This trust is essential for accurate research results, as participants are more likely to provide honest and complete answers when they feel their privacy and confidentiality are protected.

“The right to privacy is a fundamental human right, essential for the protection of human dignity and autonomy.” – Justice Michael Kirby.

Additionally, ethical data collection practices help to maintain the reputation and credibility of the market research industry. Deceptive or unethical practices can damage the reputation of both the individual researcher and the industry as a whole, leading to a loss of trust from participants, clients, and stakeholders.

It is also a legal obligation for researchers to adhere to ethical standards and regulations, such as the GDPR. Failing to comply with these regulations can result in significant fines and legal consequences, damaging the reputation of the research company and potentially impacting its ability to conduct research in the future.

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Data Privacy Laws Around the World

Data privacy laws vary by country, but here is an overview of some of the most notable data privacy laws in different regions worldwide.

It is important to note that these laws are subject to change and that organisations should stay informed about their regions’ latest data privacy laws and regulations.

UK: The General Data Protection Regulation (GDPR) applies to organisations operating in the EU, including the UK. The GDPR requires organisations to obtain explicit consent from individuals before collecting and processing their personal data.

Europe: The General Data Protection Regulation (GDPR) applies to organisations operating in the EU. It sets out strict rules for collecting and processing personal data, including the right to erasure and data portability.

USA: The United States does not have a comprehensive federal data privacy law, but some states have enacted their own privacy laws, such as the California Consumer Privacy Act.

Canada: The Personal Information Protection and Electronic Documents Act (PIPEDA) governs the collection, use, and disclosure of personal data in Canada. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

Thailand: The Personal Data Protection Act (PDPA) became effective in May 2020 and governed the collection, use, and disclosure of personal data in Thailand. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

Philippines: The Data Privacy Act of 2012 governs the collection, use, and disclosure of personal data in the Philippines. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

Japan: The Act on the Protection of Personal Information governs the collection, use, and disclosure of personal data in Japan. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

Indonesia: The Personal Data Protection Law governs the collection, use, and disclosure of personal data in Indonesia. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

China: The Cybersecurity Law of the People’s Republic of China governs the collection, use, and disclosure of personal data in China. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

Singapore: The Personal Data Protection Act (PDPA) governs the collection, use, and disclosure of personal data in Singapore. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

India: The Personal Data Protection Bill, 2019, governs the collection, use, and disclosure of personal data in India. The bill requires organisations to obtain explicit consent before collecting personal data and to protect the privacy of the data they collect.

Vietnam: The Personal Data Protection Law governs the collection, use, and disclosure of personal data in Vietnam. Organisations must obtain explicit consent before collecting personal data and must protect the privacy of the data they collect.

Examples of Brands Fined for Violating Data Privacy

These are just a few examples of the many brands that have faced fines for violating data privacy laws. It is essential for companies to take data privacy seriously and to comply with the relevant laws and regulations to avoid similar consequences.

Google was fined €50 million by the French data protection authority (CNIL) in January 2019 for violating the General Data Protection Regulation (GDPR).
Facebook was fined $5 billion by the Federal Trade Commission (FTC) in July 2019 for violating its users’ privacy rights.
Marriott International was fined £18.4 million by the Information Commissioner’s Office (ICO) in July 2019 for a data breach affecting approximately 339 million guests.
British Airways was fined £20 million by the ICO in July 2019 for a data breach affecting approximately 500,000 customers.
Equifax was fined £500,000 by the ICO in September 2018 for a data breach affecting approximately 15 million UK citizens.

The Ethics of Data Privacy

Data privacy is a critical aspect of ethical data collection in market research. The personal information of participants must be protected and kept confidential to maintain their trust in the research process and to prevent potential harm or abuse of their data.

One of the key ethical considerations in protecting consumer data privacy is obtaining informed consent. Participants must be fully informed about how their data will be collected, used, and stored, and they must give explicit consent for their information to be used in the research. This includes informing participants who will have access to their data, for what purposes it will be used, and for how long it will be stored.

“Data is the new oil, but privacy is the new gasoline.” – Unknown.

Another important consideration is data security. Market researchers must implement appropriate measures to secure the collected data, such as encryption and secure storage solutions, to prevent unauthorised access and to protect participants’ information from theft or breaches.

It is essential for market researchers to be transparent and honest about their data collection practices. Deceptive or misleading practices, such as collecting data without obtaining proper consent or using data for purposes outside of what was initially disclosed, can severely damage the trust of participants and harm the reputation of the market research industry.

The concept of data privacy has been a concern for individuals and organisations for many decades. Still, it has become increasingly relevant in recent years with the rapid growth of technology and the increasing amount of personal data collected and stored by organisations. Here is a timeline of some key events related to data privacy and notable data breaches by year:

1970s: The first privacy laws, such as the US Privacy Act of 1974, are enacted in response to government data collection and storage concerns.
1980s: The first computer viruses were discovered, and the threat of data breaches became more prominent.
1990s: The rise of the internet and the increasing use of personal computers leads to concerns about online data privacy.
2000s: The growth of social media and the increasing amount of personal data collected by organisations leads to increased privacy concerns.
2005: The first large-scale data breach, involving the theft of millions of credit card numbers by one of the largest credit card processors in the United States, CardSystems Solutions, is reported. The breach was one of the first large-scale data breaches to receive widespread media attention and raised concerns about the security of personal data stored by organisations. The breach resulted in the loss of credit card information for 40 million individuals and prompted a number of major credit card companies to reissue their customers’ credit cards. The breach also led to increased scrutiny of data security practices by organisations and a call for stronger data privacy laws to protect consumers.
2013: The first high-profile data breach involving the unauthorised access of personal data, such as names, addresses, and social security numbers, is reported. Hackers stole 40 million credit card numbers and 70 million other pieces of information, such as names, addresses, and phone numbers, from the retailer’s database. The breach was one of the largest data breaches to date and resulted in widespread media coverage and concern about the security of personal information stored by organisations. The breach also increased scrutiny of data security practices and calls for more robust data privacy laws to better protect consumers. This event highlighted the need for organisations to take data privacy and security seriously, implement strong security measures, and regularly review and update their practices to stay ahead of evolving threats.
2018: The European Union’s General Data Protection Regulation (GDPR) goes into effect, setting new standards for data privacy and security in Europe.
2019: The Capital One data breach, involving the theft of personal data of over 100 million individuals, is reported.
2020: The Zoom video conferencing platform becomes widely used due to the COVID-19 pandemic, leading to concerns about the security of personal data being transmitted over the platform.

The Ethics of Data Use

The use of collected data is just as important as the collection process in terms of ethical considerations. Market researchers are responsible for using the data they collect in a manner that is respectful, non-discriminatory, and in line with the initial purpose for which it was collected.

One key consideration is avoiding discriminatory practices. Market research data must not be used to make decisions that unfairly impact or discriminate against particular groups based on race, gender, religion, or sexual orientation. Researchers must also ensure that their findings are not used to perpetuate negative stereotypes or to support biased viewpoints.

“Ethics is knowing the difference between what you have a right to do and what is right to do.” – Potter Stewart.

Another important consideration is maintaining the confidentiality of participants’ information. Researchers must not use collected data in a manner that violates participants’ privacy, such as by sharing it with third parties without proper consent. The data must be used only for the purposes for which it was collected and must be kept confidential to the extent required by law or ethical guidelines.

The Importance of Consent

Obtaining informed consent from consumers is crucial to ethical data collection in market research. It is essential for market researchers to respect the privacy rights of participants and to ensure that they fully understand how their data will be used and what they agree to when they provide it.

Informed consent means that participants clearly understand the purpose of the research, how their data will be collected, used, and stored, and the consequences of participating or not participating in the research. Participants must also be allowed to opt-out of the research or withdraw their consent at any time.

When participants provide their informed consent, it demonstrates their trust in the market research process and their willingness to participate. This trust is essential for accurate research results, as participants are more likely to provide honest and complete answers when they feel their privacy and confidentiality are protected.

However, obtaining informed consent also protects the rights of participants and ensures that their data is not being collected or used without their knowledge or permission. Market researchers must be transparent and honest about data collection and use practices to build trust and credibility with their participants.

Data Security and Protection

Data security and protection are crucial components of ethical data collection in market research. Market researchers are responsible for implementing appropriate measures to secure the collected data and prevent unauthorised access, theft, or breaches.

One key consideration is using secure storage solutions, such as encrypted databases, to store collected data. This helps to prevent unauthorised access to the data and to ensure that it is protected from potential breaches.

Another critical consideration is controlling access to the collected data. Market researchers must limit access to the data to only those who need it. They must have appropriate security measures, such as password protection, to prevent unauthorised access.

Additionally, market researchers must have procedures in place to detect and respond to data breaches if they occur. This includes regular monitoring of the security of collected data and having a plan to quickly address any breaches and take appropriate action to prevent future violations.

The Role of Industry Regulations

Industry regulations play a significant role in shaping the ethics of data collection in market research. Regulations such as the General Data Protection Regulation (GDPR) in the European Union and similar laws in other regions set standards for the collection, use, and storage of personal data and provide guidelines for protecting the privacy rights of individuals.

Market researchers must comply with these regulations and follow the established guidelines to ensure that their data collection practices are ethical and in line with the law. This includes obtaining informed consent from participants, protecting the privacy of collected data, and ensuring that data is not used in a discriminatory manner.

Industry regulations also set data security and protection standards, requiring market researchers to implement appropriate measures to secure collected data and prevent breaches. These regulations also give individuals the right to access their personal data and to request that it be deleted or corrected if it is inaccurate.

Ethical Considerations in the Use of Big Data

The use of big data in market research presents several ethical considerations, including data bias and algorithmic transparency. Market researchers must be aware of these considerations and take steps to ensure that their use of big data is ethical and in line with industry regulations.

Data bias refers to the inherent biases that exist in data sets, which can result in inaccurate or skewed results if not properly addressed. For example, suppose a data set used in market research predominantly consists of data from one demographic group. In that case, it may not accurately represent the experiences or opinions of other groups.

To address data bias, market researchers must be aware of their data sources and take steps to ensure that their data sets are representative and diverse. This may include sourcing data from multiple sources and using techniques such as oversampling to increase the representation of underrepresented groups.

Algorithmic transparency is another important consideration in using big data in market research. Algorithms used to analyze data can contain biases and make decisions that are not transparent or easily understood. To address this issue, market researchers must ensure that the algorithms they use are transparent and can be audited and that the decisions made by algorithms are easily explainable and free from bias.

Best Practices for Ethical Data Collection

Best practices for ethical data collection in market research include:

Having a clear privacy policy.
Obtaining informed consent.
Implementing appropriate data security measures.

By following these best practices, market researchers can ensure that their data collection practices are ethical, respectful of participants’ privacy rights, and in line with industry regulations.

Having a clear privacy policy is essential for ethical data collection. This policy should outline the type of data that will be collected, how it will be used, and who will have access to it. Participants should be able to understand the privacy policy easily and have the option to opt-out of data collection if they choose.

Obtaining informed consent is another key best practice for ethical data collection. Market researchers must inform participants about the data that will be collected and how it will be used and obtain their explicit consent before collecting any data. Participants should also have the option to withdraw their consent at any time.

Data security is also essential for ethical data collection. Market researchers must implement appropriate measures to secure collected data, such as encryption and secure storage, and take steps to prevent breaches and unauthorised access.

Checklist of Best Practices for Ethical Data Collection

By following this checklist of best practices for ethical data collection, market researchers can ensure that their data collection practices are responsible, honest, and in line with industry standards.

Develop a clear privacy policy: Outline the data collection type, how it will be used, and who will have access to it.
Obtain informed consent: Inform participants about the data that will be collected and how it will be used, and obtain their explicit consent before collecting any data.
Implement data security measures: Encrypt collected data and store it securely to prevent breaches and unauthorised access.
Respect the right to privacy: Allow participants to opt-out of data collection and allow them to withdraw their consent at any time.
Avoid discriminatory practices: Ensure that collected data is used ethically and avoid discriminatory practices.
Comply with industry regulations: Stay informed about industry regulations, such as GDPR, and ensure that your data collection practices align with these regulations.
Consider the ethics of big data: Be aware of ethical considerations related to the use of big data, such as data bias and algorithmic transparency.
Maintain transparency: Be transparent about your data collection practices and clearly communicate your privacy policy to participants.
Conduct regular review: Regularly review your data collection practices to ensure that they are ethical and in line with industry standards.
Educate yourself and your team: Stay informed about best practices for ethical data collection and educate yourself and your team on the importance of responsible data practices.

Using Market Research Agencies and Ethical Data Collection

By outsourcing market research to a trusted third-party firm, brands can have peace of mind knowing that experts in the field are handling their data collection practices and that appropriate measures are in place to protect consumer privacy.

However, it is still crucial for brands to thoroughly vet and monitor the practices of their market research partners to ensure they meet their privacy and security standards.

Using a third-party market research firm can provide several benefits for brands regarding data privacy in market research. Some of these benefits include:

Expertise: Market research firms often have specialised knowledge and experience in data privacy and security, which can help ensure that data collection and storage practices comply with applicable laws and regulations.
Resources: Market research firms often have the resources and technology to implement robust security measures and respond to data breaches.
Independence: Using a third-party market research firm can provide a level of independence and objectivity in data collection and analysis, which can help mitigate concerns about bias and privacy violations.
Reputation: Market research firms have a reputation to maintain and are motivated to ensure that data privacy and security practices are of the highest standard.

Summary

The ethics of data collection in market research is an important and complex topic that must be carefully considered. By understanding the importance of ethical data collection, market researchers can ensure that they are protecting consumer data privacy, using collected data in an ethical manner, obtaining informed consent, and implementing appropriate data security measures.

The ethics of data collection is not only a matter of legal compliance but also a matter of maintaining the integrity of market research and respecting the rights of consumers.

By following best practices for ethical data collection and staying informed about industry regulations and trends, market researchers can ensure that their data collection practices are responsible, honest, and in line with industry standards.

In summary, understanding the ethics of data collection in market research is essential for protecting consumer data privacy, maintaining the integrity of market research, and ensuring responsible data practices. Market researchers must be aware of the importance of ethical data collection and ensure that their data collection practices align with industry standards and best practices.

Emerging Trends in the Global Beverage Industry is an in-depth guide providing insights into key trends shaping the alcoholic beverage category in the U.S., U.K., Singapore, Japan, Indonesia, China, Thailand, Vietnam, and the Philippines, with examples and case studies from leading global brands.

This report is for beverage brands, retailers, distributors, investors, bars, restaurants, and anyone in the business of quenching a consumer’s thirst for innovative beverages.

This is a summary of all five emerging trends in the report and how brands globally keep up with dramatic shifts in consumer tastes and preferences and the stiff competition in the beverage industry.

Trend 1: Booze without the buzz.
The rise of no-to-low alcohol

As younger generations shun alcohol or reduce consumption, the low-to-no-alcohol (LNA) trend is here to stay.

Moderation, health, wellness, and a thirst for innovative flavours drive growth in this sub-category, and consumers are willing to pay for high-end innovative, non-alcoholic spirits.

Download the full report to find out how much the millennial share of alcohol drinkers has dropped in just one year.

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Apart from big brands, the global market is deluged with new, independent entrants. Read the full report to discover the brands in the LNA category and how they are responding to the sober curious movement.

Also, read the case study of a brand that sowed the seeds for the LNA category.

Trend 2: Spirit-based ready-to-drink beverages.
RTDs create a stir in the beverage industry

The demand for RTDs continues to grow, especially among younger consumers.

Variety, taste, and convenience are driving demand. The category includes hard seltzers, canned wines, ready-to-drink cocktails, hard coffee, hard tea, kombucha, wine spritzers, and coolers.

Download the report to discover why RTDs cater to the millennial lifestyle and how brands are delivering. Also, learn how Suntory is combatting low beer sales in Japan.

In our case study, we look closely at what made the US-based hard seltzer White Claw become a pop culture icon.

Trend 3: The Shift to drinking smart.
Low-cal, plant-based, and gluten-free options

Low-calorie or zero-carb drinks may cater to a different target audience than the no-to-low-alcohol beverage category.

These consumers are mindful of their caloric intake but may not be as concerned with the amount of alcohol they drink.

In response to the health-conscious consumer, a leading beer brand added transparency by adding a nutrition label on its pack. Also, explore a soy-based alcoholic brand, how it uses a nutritious by-product to create an innovative drink, and how Skinnygirl catapulted into a leading RTD brand.

Trend 4: Unlocking Craft Alcohol.
The popularity of mall-batch wine, spirits, and beer

This trend toward premiumization is a hot trend we will see well into the future.

In most industries, the major growth areas have been for premium products catering to niche consumer segments. The alcoholic beverage segment is no exception, and brands are catering to evolving tastes by improving their beverages through better craftsmanship and innovative flavours.

The growing demand for craft spirits is expected to be the primary trend in the future, even as we move into a downturn.

Also, discover how countries like Thailand and India are growing their wines. And if you have heard about the hype behind George Clooney’s famous tequila brand, read the case study to learn about Clooney’s journey into small-batch premium alcohol.

Trend 5: The future of packaging.
Innovative, sustainable, and inclusive design

The package material, shape, design, logo, colours, and messaging are all critical elements that help a brand tell its story.

So how do brands in the alcoholic beverage category balance it all? Download the case study to find out.

While brands focus on creating sustainable production methods, they also need to rethink packaging and distribution, just like the innovative flat wine bottles that fit through a mail slot. Read the complete case study in the report.

As people worldwide drink less, brands are working hard to quench their thirst and keep up with their changing tastes using market research insights and constant innovation.

To get an in-depth view of the emerging trends in the global alcoholic beverage industry, download the complete report today.

As 2022 comes to an end, we see the rise of the cautious consumer in an inflationary economy fraught with rising costs of living and uncertainty. Today’s consumers have adopted new behaviours worldwide, wanting hybrid experiences and engaging with sustainable and purpose-driven brands.

Here we have compiled our best trend reports and guides that look at 2022 and beyond in one convenient place.

Speed Bumps on the road to change in 2022.

Automotive trends for 2022

To help brands navigate the shifts, we developed an exhaustive report exploring five key trends influencing automotive purchases for 2022 and beyond, focusing on the post-pandemic recovery, the E.V. revolution, the impact of A.I. and connected vehicles, and generational perception changes in major global markets.

DOWNLOAD the TREND report here

Digital Payments and E-Wallet Usage and Behaviour in Indonesia.

This regional report reveals the perceptions and usage of common e-wallet providers across different Indonesian markets and regions, focusing on shifting consumer behaviour and how brands respond to these shifts.

READ the full report here

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Food and Beverage trends to watch in 2022 and beyond.

It can be challenging for food and beverage executives to stay abreast of these consumer trends in an industry influenced by ever-changing consumer behaviours and changing tastes.

This report has compiled four notable changes in consumer wants and needs globally.

DOWNLOAD the full report here.

The Asian Consumer: 4 Key Trends for the Next Normal.

While many emerging regional trends have been in the pipe long before the pandemic, almost all indicate an active and involved Asian consumer looking to the future for smart alternatives to ageing market norms.

This report is designed for companies looking to grow their presence in Asia. It 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.

DOWNLOAD the trend report here

The Definitive Guide to Gen-Z.

Now making up one-third of the world’s population, Generation Z or Zoomers are quickly entering the consuming class.

Being true digital natives, Generation Z presents a unique set of challenges for brands looking for loyalty.

This 50+ page guide delves deeper into the wants, needs, and demands this generation is looking for from brands and how leading brands in ten countries respond to them.

DOWNLOAD the complete guide here

About Face: Emerging global trends in the beauty and cosmetics industries.

The beauty, personal care, and cosmetics industry is thriving.

Thanks to an increased “on camera” world, people of all ages want to look their best.

This report looks at the industry from around the world, highlighting trends from Asia, Europe, and the Americas.

DOWNLOAD the complete trend report here

Feeling Good: Powering the Next Gen of Fitness and MedTech.

As people prioritise their health and wellness worldwide, technological advancements in these industries are helping consumers monitor their health much more quickly.

This report looks at the health, wellness, fitness, and MedTech industries from around the globe, showcasing some of the world’s leading brands in the space.

DOWNLOAD the complete trend report here

The Future of Online Shopping.

Digitisation has reset the online shopping game, and the pandemic has accelerated technology adoption by both brands and consumers.

Today, the most successful retailers have adopted technology at warp speeds. With breakthrough technology complementing every step of the retail process, where are we headed?

This report examines online shopping, where it’s at, and what the future holds.

DOWNLOAD the complete trend report here

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If you want a crocheted sweater or a bespoke engraved cutting board but need help finding an artisan, you might turn to platforms like Etsy that connect buyers with artisans on their eCommerce platforms.

The last decade has brought a massive consumer shift in mindset. Consumers today care about where their products come from, who produced them, and under what conditions they were made. They care about the impact of everything they purchase —on the workers and the environment.

Many trends are responsible for the maturation of the artisan economy around the globe, such as the rise of e-commerce, a growing interest in the environment and sustainability, the demand for rare, unique, personalised items, and a desire to support the local economy and small businesses.

Consumers care about sustainability, ethical consumption, and small-batch production and are looking for unique pieces with a story to add to their lives.

There has been a massive demand for handmade products globally. Handmade or artisanal products are high quality and unique, making them desirable for people looking for one-of-a-kind products with a strong narrative.

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The need for personalization and the recent movements supporting local businesses and artisans have also helped promote bespoke brands or handmade products.

Unlike mass-produced goods, handmade products have certain deviations, and no two products will be the same, adding to the uniqueness consumers seek in the products they purchase.

When consumers purchase a handmade product, they are also buying into the story and history behind it and building a deep connection with the artisan making the product while supporting craftsmanship and local businesses. Consumers are avoiding off-the-shelf pieces, and artisan goods are becoming a staple.

According to a U.K. Crafts Council report, 73 percent of U.K. adults had bought a craft in 2019 —which amounts to almost 25 million handmade items. About 32 percent of today’s buyers are under 35 years of age, making the younger populations of Millennials and Gen Z the biggest craft shoppers today. There are 11,620 craft businesses in the U.K., with over 43,000 employees.

Consumers often save crafts and techniques that face extinction and erasure by purchasing artisanal goods. And now, many big brands want to add a piece of the traditional method to their products. For instance, independent watchmaker Daizoh Makihara decided to use the traditional Japanese glass-cutting technique called Edo-kiriko for the dial of his first watch. He found eight companies that specialised in the method, but only one agreed to do it. This was Kyosuke Hayashi, the president of Mitsuwa Glass Kogei.

In English, Edo-kiriko means “cut glass from Edo”: Edo is an old name for Tokyo, and kiriko is the name of the cutting technique. This partnership gave birth to the first edo-kiriko watch in the world in 2018.

The weavers and artisans work hard to keep the rich Indian arts and crafts heritage alive. According to IBEF, the total handicraft exports from India reached $3.5 billion in FY20. With over 200 million artisans, India’s handicraft sector is the second largest employer after agriculture.

While fast fashion is pressuring the environment with its heavy carbon emissions, water waste, and poor working conditions and treatment of workers, consumers are hungry for a better model that offers trendy essentials and accessories without harmful environmental and socio-economic impact.

eCommerce has enabled many skilled artisans and hobbyists to profit from their passion and talent.

Consumer obsession and interest in handmade products have also seeped into reality T.V., and craft reality T.V. shows have become quite the rage.

British reality show Handmade: Britain’s Best Woodworker is a furniture-making competition similar to a cooking contest that has captured the hearts of audiences worldwide. Every major network and various streaming platforms are in on the trend. Other similar shows include BBC’s All that Glitters, Netflix’s Blown Away, NBC’s Making It, HBO Max’s Craftopia, ITV’s Bling, and Channel 4’s The Great Pottery Throwdown.

The pandemic spurred the demand for handmade goods. Online platforms have fuelled much of this growth: in December 2018, Etsy, a U.S.-based online platform for artisans to buy and sell handmade goods, reported that there were 220,000 active sellers in the U.K. with a further 9,000 makers on Folksy, a U.K.-based online platform to purchase handcrafted gifts and original artwork, sold directly by the artists and designers who have created them.

Top handmade product categories on Etsy

According to a report, the top handmade product category on Etsy in 2020 was home and living, with a 25 percent seller share, followed by art and collectables (21 percent), jewellery (15 percent), clothing (11 percent), accessories (8 percent), bath and beauty (6 percent), toys and games (4 percent), bags and purses (3 percent), weddings (2 percent), and books, movies and music (2 percent).

Etsy has three main sections in its online marketplace: Handmade, Vintage, and Supplies. Handmade represents 85 percent of sellers, Vintage represents 6 percent, and Supplies represent 12 percent of sellers.

Etsy, founded in 2005, now has more than 1.4 million sellers and 19.8 million buyers. Etsy focuses on handmade and vintage items and features over 5.4 million craft supply items.

Handmade gifts provide a personal touch and make the gift unique and personalised. This unique factor has driven platforms and brands that offer handmade products as popular choices during the Holidays.

There has been an 80 percent jump in searches on the creator-driven platform Etsy for Holiday gifts in the past three months compared to last year. In 2020, CNBC reported that Etsy saw a 156 percent increase in search traffic during three months compared to the year prior for custom gifts.

Case Study: How Etsy carved a niche for the handmade sector using an e-commerce platform

The Overview

Based in Brooklyn, New York, Etsy is the largest online marketplace globally, connecting buyers to sellers of handmade and vintage goods and craft supplies. Etsy is built on a smart revenue model: it charges sellers a listing fee and a commission and upsells advertising services to push a seller’s products to boost reach. The company expanded through acquisitions, including Blackbird Tech for USD 32.5 million, Reverb in 2019 for USD 275 million, and the fashion resell marketplace, Depop in 2021 for USD 1.63 billion.

The company has competitors like Amazon Handmade, Big Cartel, Folksy, iCraft, and eBay.

The Approach

Etsy took the value creation approach and narrowed its product offering to handmade or artisan-made products. While it has created a community of buyers and sellers, it moved its focus to buyers as the core market when eBay vet Josh Silverman took over Etsy’s reins. A year after hitting an all-time low in 2017, Etsy’s stock rebounded and grew; today, it stands at USD 119.74 a share. Defining and focusing on its key audience helped the brand grow.

Once the brand identified its core audience, the buyers, it hiked the fees it charged its sellers from 5 percent to 6.5 percent. Even though 20,000 of its sellers went on strike, the company did not budge, and the results showed in the most recent third-quarter earnings in 2022, reporting a revenue bump of 11.7 percent over the same quarter of 2021, to USD 594.5 million.

Etsy is also attracting more buyers to its platform via the mobile app. In 2021 alone, the brand reported a 45 percent increase in app downloads bringing 5.7 million new shoppers to download the app. The brand also leverages targeted, compelling email offers based on items favourited or shops browsed. The brand funded discounts and sent them to 18 million shoppers in 2021, and also provided discount technology allowing shoppers to discount goods from their shops. The brand also encourages buyers to follow more shops through sweepstakes and contests.

The brand also offers multiple additional services to facilitate communication with sellers, on-platform transactions, and access to ratings and reviews.

Etsy allows its sellers to voice their concerns with congress members and local and federal governments. And lastly, the brand continuously invests in retail technologies like machine learning via acquisitions. The brand has designed convenient distribution channels, upgraded buying and selling software and merchant services, and improved its social media presence to boost brand awareness. This month, Etsy rolled out a new image search feature to allow shoppers to find an object faster than with a keyword search. Users on iOS can now tap the camera icon and search for images by uploading a picture. Etsy then scours its platform to find products visually similar to the ones the user is searching for. Etsy plans to expand image search to Android app users soon.

The Results

Etsy’s impact on the artisan economy is robust. The most recent quarterly earnings report disclosed revenues had risen to USD 198 million, a 31.64 percent increase year over year. Etsy currently holds a market cap of just under USD 5.5 billion – quite a climb from its USD 1.1 billion market cap back in March 2017. The brand attracted 6.3 million shoppers in the third quarter of 2022, ending with 88.3 million active buyers on the Etsy marketplace.

In most developing nations, the handicraft industry is fragmented, lacking legal Intellectual Property laws surrounding its products, and artisans not getting fair compensation for their craft.

In most countries, handcrafts are highly valued because of the high skill level and talent required and are sold in luxury stores at premium prices. However, although India has a rich culture and many categories of handicrafts, they still need to be given their deserved value and place. Ramesh Menon founded Save the Loom, a nonprofit community group to revive, restore, and restructure the handloom industry in India.

Many other such organizations are helping artisans overcome the many challenges they face. However, online platforms and eCommerce websites like Etsy, Folksy, Amazon Handmade, and others have helped create a viable worldwide path forward for the handmade industry.

While not every product fits the artisan-made model, the lessons from this growing trend apply to all categories. Consumers want to feel connected to the story behind the product, how a product is made, and the feel-good impact on the environment and people after purchase.

For more insights into the shifting trends in online shopping and consumer behaviour around the globe, download our complete report, “The Future of Online Shopping.”

The situation surrounding EVs is changing rapidly.
This time, our local team member Pom from Kadence Thailand interviewed three EV owners in Thailand to reveal the local consumer thoughts. Let’s catch up by watching the recordings below!

Watch the session in Thai

Watch the session in Japanese

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Back in the day, Qualitative research was all about understanding the person behind the responses by watching his actions, behaviour, mood, tonality, and other giveaways while talking about specific products and services. We still do it (some of it) but with less dependency on human competence and more reliance on the tools believed to be fast, precise, and less intruding.

In Qual research, most of these tools are used for analyzing data, app testing, and emotion decoding through Artificial Intelligence (A.I.), which can address multiple research studies like UI/UX testing, NPD, product/concept test, etc. While these tools help capture the required details without bias, they still have some limitations.

Typical Qual research is done to understand:

Human behaviour and interaction with various categories (brands/ services/products)
Trends and impact
Product and concept evaluation
Segmentation (Pen portraits)
U&A

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Researchers apply various approaches to meet the objectives depending on the overall scope of the research project. However, basic principles like the need to be an open-ended, free-flowing discussion to gain in-depth knowledge and reasons for a particular behaviour or response and generate actionable insights stay the same.

These days, technology is helping make research much more accessible and cost-effective for brands, but it is yet to be seen if it serves the intended purpose.

Before the pandemic, online interactions were not a preferred research methodology for most brands as they offered a different experience than face-to-face interaction and were considered an ‘optional methodology.’

However, the pandemic changed that as there was no option other than doing online research and gradually posting using an online methodology for various research activities. Brands found it to be both cost and time effective. With this began the race for offering/ innovating several tech/ tools to enable Qual research to deliver insights irrespective of situational limitations. There are hundreds of ‘tech research agencies/boutiques’ currently offering various tech solutions like UI/UX, Neuro, A.I.-enabled analysis (from transcriptions/ recording), and emotion decoding tools, and a considerable amount of R&D is already happening in this area.

These tools are certainly helpful in today’s era when not just research but the overall ecosystem is evolving, and tech has become the backbone of any new venture. There are so many start-ups today, and India has emerged as one of the growing ecosystems for start-ups; currently ranked third globally with over 77,000 start-ups, this number is growing yearly.

Most start-ups are tech-based and have apps for better user experience, easy access to data, and increasing adoption rate of new services and products.

Most of these start-ups utilise research to get feedback on UI/UX and check what can be improved to provide a better experience and increased engagement. A few years back, researchers typically carried out these research activities at a CLT set-up with a couple of cameras. Still, now this can be done on mobile phones using another platform (app) for decoding user interaction with the app to be evaluated.

Tech has helped explore new avenues and reshape old methodologies like G.D.s, Ethnos, and diary placements. Now, online methods are used widely, and it is still to be seen whether this phenomenon will stay.

While online methods have certain limitations, like missing the human connection —one of the basics of any Qual research, there are certain aspects wherein technology is not as helpful or hasn’t yet been developed to cater to those needs in terms of tech evolution / AI.

But there are certain spheres wherein technology has worked brilliantly for multiple reasons.

India is extremely tech-friendly.

Most of the brains in the tech world are from India, and we indeed take pride in saying that. People in India are curious and open to using new technology in every sphere of their life —be it a smartwatch, smart T.V., payment apps, food ordering apps, health trackers, cab booking apps, or high-end technology like smart homes or A.I. technology. With a growing number of start-ups, a young workforce, and evolving technology, end users prefer new tools and products for better, unbiased, and faster results. However, cost efficiency is still a grey area that will also be addressed as time goes by.

Learn more about how to develop a market entry strategy for India here.

It helps understand the customer.

Marketers want to know their customers better to increase sales and saliency through precise and tailored communications.

Brands track data to get a complete understanding of their potential customer and offer relevant products/services. This helps close the “say-do” gap, and layering this with specific Qual interactions helps in a deeper understanding of this behaviour.

It is cost-effective.

Though using technology for online interactions, mobile or digital diaries, and online communities is more economical than face-to-face interactions, other dimensions like UI/UX tools and analysis tools are still expensive, and only a few agencies offer integrated solutions. This area will undoubtedly see many innovative solutions that address issues cost-effectively in the coming years.

It removes bias and is more credible and faster.

Using apps/ tools/ tech for capturing and analyzing data adds credibility and saves time. Respondents can upload pictures/ videos in real-time and share their stories with a broader group or in a one-to-one setting. Less human intervention removes bias, and data output can be visualised in multiple ways per the client’s requirement.

Though there is nothing wrong with moving ahead with time, there are pros and cons of using technology for Qual research. It remains to see what else tech can add to understand human beings better, as Qual research is not just about evaluation but also about understanding the subject more deeply. Face-to-face interactions help form a temporary bond and comfort level wherein respondents share much information about themselves, their family, occupation, finances, and buying behaviour, which is a shortfall when it comes to online interactions or using any tool/tech.

Tech can be an enabler but not a tool to understand human emotions through superficial levels. We can decode a few things like facial emotions and System I/II responses, but a deep and detailed understanding of a particular human being would always require human intervention. It is yet to be seen how much more we can do with ever-evolving technology and how it can impact the market research ecosystem. But one thing is certain: traditional Qual is here to stay as no amount of technology can completely replace human-to-human interaction and understanding, at least not in the near future.

The fitness industry is rife with technology trends that have recently transformed the industry. One of the most significant digital fitness trends worldwide is the rise of fitness apps. A fitness app is an application related to health or fitness that users can download on smart devices, such as laptops, phones, and tablets. It may be accessible on the Android and iPhone operating systems. Fitness apps use artificial intelligence, machine learning, and other technologies to give users customised workout plans.

Fitness users see tremendous value in online training because it is entertaining, provides many new opportunities and workouts, and allows them to share their experiences or compete with other app users.

Another reason for the rapid adoption of these fitness apps, which give users instructions on exercise routines, diet and nutritional programs, physical activity tracking, and other fitness and well-being-related topics, is convenience.

Apart from that, these apps provide access to real-time data, which allows users to track progress over time. Most apps provide users with an opportunity to win new training milestones. They can be used with other devices, such as a heart monitor, to offer workouts and levels and motivate users to perform just like a trainer or coach would in a live class.

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The global fitness app market was valued at USD 1.21 billion in 2021 and is projected to reach USD 5.41 billion by 2030, registering a CAGR of 18.1 percent from 2022 to 2030.

According to the online public health resource, more than 97,000 fitness and health apps are on tablets and mobile devices (Health Works Collective). Additionally, roughly 15 percent of smartphone users between 18 and 29 have installed health apps, and approximately 52 percent access health-related information through their devices.

According to a survey of users in the United States conducted during the third quarter of 2022, awareness of mobile fitness tracking apps reached 86 percent of respondents in the last measured quarter. Also, 34 percent of respondents actively used apps in this category.

Despite the many benefits and the convenience of working from anywhere, not everyone will transition entirely to online training. Current trends show that most people are looking for a hybrid approach and will take a class or go to the gym while also working out using a fitness app.

Let’s examine the Sweat fitness app case study to understand what drives the fitness app market.

Case Study: Sweat

From personal trainer to managing the biggest fitness community in the world, Sweat is a fitness app that built a community to succeed in the highly competitive fitness app market.

The Big Idea behind Sweat

Kayla Itsines, an Australian personal trainer, started a fitness business at 18 from her home in Adelaide. She soon discovered the mobile device as the perfect tool to help her clients achieve their fitness goals. She joined hands with two other personal trainers and launched Sweat: Kayla Itsines Fitness app. This resulted in a complete fitness program, the Bikini Body Guide, with two options for home and gym.

The program SELF-Post: Pregnancy with Kelsey Wells focused on new mothers and Yoga lessons with Sjana Elise Earp for a healthy body and mind. In this manner, Kayla ensured users wouldn’t sway toward other apps if Sweat could become their go-to for total body and mind well-being.

Let’s look closely at the main strategies used to acquire valuable users and turn the app into a multi-million dollar brand.

The idea behind the app was not how you look but how you feel. The app was built on a “try-before-buy” concept. Like many other apps, the app offers users a free trial for a week. At the end of the seven-day trial period, users must subscribe and pay a monthly fee of $19.99. Therefore, if they see results in the first seven days and feel it is a worthwhile investment, it is easy to hook them in with the free trial period.

The app is hyper-focused on its target audience, primarily women —the branding, content, and style are all targeted toward women.

Sharing results with before and after pictures

The app uses before and after pictures to demonstrate its effectiveness. This is what helped grow subscribers and kept bringing them back. As Kayla shared her clients’ results, she managed to retain and grow her subscriber base. By adding the other two programs to the app with Elise and Kelsey, she ensured they stayed consistent with other apps.

Becoming an Influencer

From not knowing much about the social media landscape to make the list of most appreciated fitness trainers on Forbes, Kayla leveraged her following to grow the app organically. Her YouTube channel has a sleuth of videos that women can follow worldwide, and she currently has 412,000 subscribers. She leveraged social media to grow her subscriber base by using organic techniques to acquire new users.

Building a community

Kayla tapped into the power of community to reach millions of women worldwide.

Since its inception, the Sweat app has been downloaded more than 30 million times. In 2020, the app generated USD 99.5 million in revenue. Sweat’s success lies in its community-first approach, as users share before and after pictures and success stories. This, in turn, keeps other users motivated as they can see the results and believe that it can happen to them, too, if they stick with the program.

In 2021, Kayla sold Sweat, their popular workout platform, to fitness-tech company iFit for a reported USD400 million.

By increasing engagement, fitness apps have proved to be an excellent solution for users worldwide. These apps are also perfect for studio owners looking to supplement their regular brick-and-mortar service.

Technology is progressively making a place for itself in fitness routines and monitoring and treating many chronic diseases.

How do you ensure your brand has its finger on the pulse of this dynamic market and constantly changing consumer preferences?

Download our full report, “Feeling Good: Powering the Next Generation of Fitness and Medtech,” report and find out how brands like Peloton, ŌURA, Noom, Headspace, and others are navigating a fiercely competitive market.

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Wearable Technology Usage Patterns

Perceptions of Wearable Technology

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Gen Z Demographic Profile

Gen Z Around the World

Gen Z Behavioural Trends

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Gen Z Consumption Habits

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The Importance of Ethical Data Collection

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Data Privacy Laws Around the World

Examples of Brands Fined for Violating Data Privacy

The Ethics of Data Privacy

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Data Security and Protection

The Role of Industry Regulations

Ethical Considerations in the Use of Big Data

Best Practices for Ethical Data Collection

Checklist of Best Practices for Ethical Data Collection

Using Market Research Agencies and Ethical Data Collection

Summary

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Trend 2: Spirit-based ready-to-drink beverages.RTDs create a stir in the beverage industry

Trend 3: The Shift to drinking smart. Low-cal, plant-based, and gluten-free options

Trend 4: Unlocking Craft Alcohol.The popularity of mall-batch wine, spirits, and beer

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Many trends are responsible for the maturation of the artisan economy around the globe, such as the rise of e-commerce, a growing interest in the environment and sustainability, the demand for rare, unique, personalised items, and a desire to support the local economy and small businesses.

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The weavers and artisans work hard to keep the rich Indian arts and crafts heritage alive. According to IBEF, the total handicraft exports from India reached $3.5 billion in FY20. With over 200 million artisans, India’s handicraft sector is the second largest employer after agriculture.

Etsy, founded in 2005, now has more than 1.4 million sellers and 19.8 million buyers. Etsy focuses on handmade and vintage items and features over 5.4 million craft supply items.

Case Study: How Etsy carved a niche for the handmade sector using an e-commerce platform

The Overview

The Approach

The Results

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Watch the session in Thai

Watch the session in Japanese

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Typical Qual research is done to understand:

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India is extremely tech-friendly.

It is cost-effective.

It removes bias and is more credible and faster.

Share

Get regular insights

Case Study: Sweat

The Big Idea behind Sweat

Sharing results with before and after pictures

Becoming an Influencer

Building a community

Share

Helping brands uncover valuable insights

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Trend 1: Booze without the buzz.
The rise of no-to-low alcohol

Trend 2: Spirit-based ready-to-drink beverages.
RTDs create a stir in the beverage industry

Trend 3: The Shift to drinking smart.
Low-cal, plant-based, and gluten-free options

Trend 4: Unlocking Craft Alcohol.
The popularity of mall-batch wine, spirits, and beer

Trend 5: The future of packaging.
Innovative, sustainable, and inclusive design