The pending EU Referendum is causing uncertainty for businesses and consumers as they await the outcome of the UK’s EU Referendum on 23rd June 2016 which will determine whether the UK leaves or remains in the EU.
No matter what happens in the Referendum, hospitality managers need to understand the shifting consumer landscape. A recent report from Euromonitor International analysed global consumer trends and reports on the New Consumerism. According to Euromonitor, there has been a shift in consumers’ priorities. The report identifies eight priorities in the New Consumerism including the sharing economy, sustainability and the importance of experiences.
Consumers of all ages appear to be taking their cues from Millennials and reassessing what really matters in their lives. These lifestyle choices mean changes in consumer spending habits that will have a significant impact across industries. Two of the most obvious industries to be affected are the hospitality and travel sectors where the sharing economy has disrupted old ways of doing business through the likes of AirBnB, Uber, and OneFineStay. However, shakeouts are common for hospitality businesses and start-ups. Despite their apparent popularity, a number of food service businesses built on sharing economy principles have folded recently – some due to a lack of adequate investment – including Spoonrocket, Dinner Lab, Kitchensurfing, and Kitchit.
If you want to better understand your business’s customers and ensure your offer is what today’s customers are seeking, then read about the New Consumerism. It can provide some insights into how your hospitality business – as a part of the experience economy – can meet New Consumers’ needs for ‘doing, seeing and feeling over having more “stuff” ‘.