Happiness isn’t
consuming more,
it’s consuming
better
The rise of the co-sumer
Viewpoint from Uniform
At Uniform we’re fascinated by the
relationship between consumer and
brand. In an ever evolving economy,
we are constantly monitoring
patterns of consumer behaviour and
brand activity; and through insight
we define how brands can create,
strengthen and maintain meaningful
relationships with their audiences.
The rise of the co-sumer published February 2015.
© Uniform
ISBN: 978-0-9576868-3-0
Contents
04
06
10
12
15
19
From a push
to a pull
economy
Today’s reality:
value has
a different
meaning
Consumers
expect
more
Contents
The shift in
consumption
Consumers
deserve
more credit
We don’t see
consumers; we
see co-sumers
3
From a push
to a pull
economy
4
From a push to a pull economy
Foreword
The journey of how we consume goods
is changing. Post-war mass production
brought about a radical change in how
manufacturers connect to consumers.
This gave rise to brands as we know them
today, and our collective relationship to
producers became the mainstay of
consumer culture that has remained
largely unchanged since the 1950s.
Through a direct relationship to the
people who produce things, we now
have tailored products, services and
experiences that we pull into our lives,
the way we want them. 9-5 is now 24-7.
‘Daily’ news programmes have become
live Twitter feeds. Trend magazines have
become Pinterest boards. The consumer
is evolving into something new.
Manufacturers have, for the last 60
years, built up a sophisticated set of
tools to bring their products to market.
Advertising, marketing, branding and
loyalty schemes have pushed a way of
doing things through our high streets, our
TVs, our radios, newspapers, magazines
and letterboxes. Yet something has
changed. Our high streets are in decline,
newspapers are struggling to engage
us, magazines have become niche, the
broadcasters are not quite as broad or
influential as they once were.
Web 2.0 brought about highly informed
professional consumers who were able
to customise the products and services
they wanted. This ‘prosumer’ gave brands
a new type of person to identify with. But
will it stop here? We don’t think so. The
pull economy created by Web 2.0 is
giving rise to the co-creative and
co-producing consumer.
There is one common root cause to the
change. The internet.
Professor Jon Rogers
Non-executive Director, Uniform
From a push to a pull economy
What we are seeing is the rise of
the ‘co-sumer.’
5
The shift in
consumption
The word consumer
is old fashioned and
almost demeaning.
It assumes complacency,
lethargy and a one-way
top down means
of communication.
A subservient relationship
from producer to buyer.
(Hegarty, J, 2011)
6
The shift in consumption
Drivers
There has been a rapid shift in consumer
behaviour in the UK. People are still consuming,
but the way they’re consuming has changed
– moving towards quality, experience and
purpose beyond price.
We believe there are four drivers creating
the shift in consumption. As a result of these
drivers, it’s more difficult to steer consumers
in a certain direction. People are demanding
authenticity, quality, and the opportunity to
shape the products they buy. So, how did we
get here?
1
2
3
4
Scandals
Tesco’s accountancy scandal…
bankers’ bonuses… corporate
tax avoidance. Numerous
scandals have shaken people’s
trust, leading them to question
brands’ morals and motives.
As a result, brands need to look
past misleading promotions
and focus on offers that build
consumer trust.
Austerity
After the slow recovery from
the recession in the West,
people are growing tired of
over-consumption and throwaway culture. Low quality
‘innovations’ are being replaced
by fewer and more considered
purchases. Economists suggest
that we have reached our utility
threshold, gaining less pleasure
from every purchase.
The shift in consumption
Technology
Technology has enabled people
to get involved in the creation of
new brands and products, from
personalised designs to crowdfunded projects. This shift has
fuelled the pull economy, giving
consumers more power.
Environment
With headline issues such as
global warming and the shortage
of natural resources, it’s no
surprise that environmentallyfriendly packaging isn’t a plus
point anymore – it’s a basic
requirement. Brands which
appear wasteful will quickly be
rejected by consumers in favour
of a sustainable alternative.
7
Actions speak louder
Talk isn’t enough, brands need to take action.
Because for every brand which falls short of
consumers’ expectations, there’s another
working as ethically, honestly and collaboratively
as possible. Ignore consumers’ needs and you
could see your market disappear overnight:
• Kodak missed digital
• Hoover missed cyclone technology
• Blockbuster missed streaming
• Habitat missed affordability
8
The shift in consumption
(Take away)
The pull economy is here,
fuelled by more
enlightened consumers.
Scandals, new technology,
austerity and environmental
awareness have taken
us to this point.
Brands need to take action
or risk losing their markets
as consumer needs change.
The shift in consumption
9
Today’s
reality:
value has
a different
meaning
10
Today’s reality: value has a different meaning
The key to happiness
isn’t consuming more,
it’s consuming better.
Sharing
Quality
Purpose
Creation
Consum
i
Better ng
Today’s reality: value has a different meaning
11
Consumers
deserve
more
credit
The term ‘consumer’ suggests passively
receiving a ready-made product or service,
but people want far more than that.
Technology has enabled people to interact
instantly with brands, from customisable
products to social media. We explore the
world from our smartphones, design our
own products and start challenger brands
from our living rooms. We’re no longer
limited by what’s currently available.
12
Consumers deserve more credit
i want
to share
A couple of years ago, the idea of sharing
your bedroom, car or pet with a neighbour
or stranger would have seemed odd to most
people. Now there’s an estimated 23 million
people actively engaged in the sharing
economy in the UK, with 37% of people
willing to rent personal assets*. Carpooling
is on the rise, Airbnb is replacing hotels
and pet sharing is available online. We
don’t automatically make a purchase –
we consider the alternatives.
Technology has helped to build trust
within this economy, with live peer-topeer reviews and greater transparency
of information. You can book someone’s
spare room in LA from your bedroom
in London, with access to reviews and
verified photographs, for less than the
cost of a hotel room.
* (Nielsen, 2014)
91% of consumers said they
wanted a hand in the design
and development process.
i want
to create
(Edelman, 2013)
Technology is central to the ‘create’
economy, with developments, such as
open-source 3D printing, providing a
solid alternative to buying someone else’s
products off the shelf. From Coke bottles
and trainers to custom lipstick shades.
These items have a value beyond price,
something that can’t be replicated
en masse.
On websites such as instructables.com
you can explore and share DIY projects
with access to free step-by-step guides,
making you the project owner and
manager from day one. People are also
supporting and funding new products and
businesses via crowdfunding platforms
such as Kickstarter and Indiegogo,
creating a culture of small, yet peoplefocused businesses. With less reliance
on ready-made products, people are
taking back the power.
Consumers deserve more credit
Nike was the first
brand to pioneer a
fully customisable
shoe. In 2009 the
NIKEiD co-creation
platform delivered
over $100 million in
revenue.
13
When Lego experienced massive
losses in 2003, it reached out to
the people who loved its product
best. Collaborative workshops
with consumers helped it to
reshape its business, leading to
sales of around $2 billion in the
first half of 2014*. Lego continues
to crowdsource its products,
demonstrating the importance
of brand-consumer collaboration.
* (Davidson, J, 2014)
14
Consumers deserve more credit
Consumers
expect
more
87%
Low price and quantity
used to be the main
drivers. Now, people
are pushing back against
the ‘throwaway’ culture –
with 87% of people
searching for brands
with purpose that goes
beyond price.
(World Federation of Advertisers, 2014)
Consumers expect more
15
i want
quality
‘Good value’ used to represent high
volume and huge discounts – the
traditional ‘pile ’em high, sell ’em cheap’
mentality. Now, consumers understand
the risks of buying a suspiciously cheap
product – from low quality and poor
conditions for workers, to planned
obsolescence.
Armed with this knowledge, people
are making fewer interactions, and
these interactions are with brands
they know and trust. We’re reassured
by companies with high levels of
craftsmanship, proven products and
a story to tell. Brands have to work
harder than ever to gain our respect.
69% of people think consuming
better means consuming products
of better quality and durability.
i want
purpose
(Havas Worldwide, 2014)
Consumers are more informed about work
ethics and product quality, driving a rapid
shift in their beliefs and expectations. For
many, it’s not a case of consuming less,
but consuming better.
Trust and ethics play a huge part in these
decisions, as consumers prefer to invest
their time in brands that are seen to be
doing good. Brands such as TOMS are
seen as authentic, honest and transparent –
offering a high quality product and a genuine
‘feel good factor’. Well-informed consumers
respect their ethics and like their products,
creating a robust business model.
Unilever launched Project
Sunlight to create a better
future for children around the
world. The project is based
around thousands of acts of
kindness or ‘sunlight’, creating
a global movement of support
and charity – helping to elevate
the Unilever brand in the mind
of the consumer.
Consumers are demanding transparency
from brands. For the third year in a row,
people are losing trust in brands, with 60%
of consumers mistrusting most brand
messages*.
And purpose is the driving factor in building
relationships – creating a purpose beyond
price – helping consumers to feel good
rather than guilty.
* (Deloitte, 2014)
16
Consumers expect more
Warby Parker was founded with a
brave objective: to offer designer
eyewear at an affordable price,
whilst leading the way for socially
conscious business. The eyewear
industry is dominated by artificially
high prices, but by breaking the
mould, Warby Parker has become
extremely successful. Offering a
transparent one-for-one business
model, consumers are delighted to
invest in its brand and products.
Consumers expect more
17
(Take away)
In addition to purchasing,
we’re sharing, renting and creating.
Websites such as instructables.com
are putting the power back into
consumers’ hands.
Environmental and social awareness
means consumers would rather
invest in authentic, quality products
that make them feel good, not guilty.
Brands need a purpose beyond price
to satisfy consumers’ needs.
18
Consumers expect more
Viewpoint
We don’t see
consumers;
we see
co-sumers
We don’t see consumers; we see co-sumers
19
Who are they?
Co-sumers believe that things are
made the way they want them. That the
brands they buy from will deliver personal,
tailored products and services. They will
do this in-store through face-to-face cocreation conversations and online using
bespoke co-design tools.
You’ll currently find co-sumers customising
products around their needs, creating
tailored experiences, and sharing their
interests, experiences and knowledge
online. They want goods and services
to come to them through a conversation
rather than through a checkout.
The co-sumer isn’t a faceless group of
people, passively consuming a readymade brand or product. But a collection
of individuals, investing in the brands and
products they buy, expecting honest and
meaningful relationships. As consumer
needs change, brands need to take action
or risk losing their market.
20
We don’t see consumers; we see co-sumers
How do they think?
I want products
that last
Sometimes I’d rather
make my own
I’m conscious of the global
impact of waste, and I want
products that are purposeful.
I want items that suit me well,
and it’s important for me to get
my money’s worth. I want quality,
and for the purchases I make
to be worthwhile.
I don’t want the same as
everyone else. I want to be seen
as an individual. Customising
my products allows me to do
that, but still keep up with trends.
With downloadables, videos and
ever-growing online communities,
it’s easier than ever to learn
how, and I always end up with
something unique – and it’s
usually cheaper too.
I WA
NT
CTS THAT LAS
U
D
T
O
PR
SOMETIMES
I’D RATHER I WANT
MAKE MY TO FEEL
WH
OWN
YB
UY W
GUILTY
HEN
I COU
LD SHA
RE?
Why buy when
I could share?
I want to feel
good, not guilty
For me, it’s about the balance
between value and experience.
Services like Zipcar enable me
to regularly use a car, without the
hassle or expense of owning one.
Or with Airbnb, I get a new and
totally authentic experience, rather
than staying in a hotel that looks
the same in every city. I’m in control
of my experiences.
I’m aware of the impact my
purchases have on people,
and the wider world, and it’s
important for me to know who
I’m buying from. I want to buy
ethically, and from companies
with emphasis on more than
profit. Yes I want good products,
but I don’t want to feel guilty
about it – that’s not a trade
I’m willing to make.
We don’t see consumers; we see co-sumers
21
We believe in a better future.
We see co-creativity and co-production at the
centre of our way of thinking, enabling people
to innovate and produce the things in the way
that the cloud-based, social media-driven,
pull economy demands. We can help brands
to develop the approach they need to connect
to people in this way.
22
Uniform
Bibliography
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UK: Thames & Hudson
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[Accessed: 05 January 2015]
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[Accessed: 06 January 2015]
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Available at: http://time.com/money/3268065/lego-largest-toy-company-mattel/
[Accessed: 22 January 2015]
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[Accessed: 06 January 2015]
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[Accessed: 20 January 2015]
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About-Deloitte/ce-top500-2014.pdf
[Accessed: 20 January 2015]
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+44 151 709 9055
www.uniform.net