Pricing psychology is more essential than ever to position your business for success in the marketplace. In fact, its use dates back at least to the late 19th century, as newspapers battled for readership supremacy. Nowadays, consumers are inundated with sales offers at every turn, and while today’s technology makes it easier than ever to reach prospective customers, it also means that your message is more likely to get lost in the shuffle. Yet, the key to distinguishing your product or service from your competitors lies in how well you grasp the conscious and subconscious thought processes that governs the decision-making of your target customer base. Continue reading “Pricing Psychology Tricks: How and Why They Work”
The ephemeral global apparel business is a challenge to stay in and adapt to. The size of the global apparel business is growing exponentially and is expected to generate double digit growth between now and 2020, much of it coming from developing markets.
In a world so saturated with choices, retailers and manufacturers are having to change their ideas about fashion with the speed of light, or perish!
As a Data Analytics Lab, specializing in retail, with a deep and intuitive understanding of the apparel- retail industry, we at IntelligenceNODE have been studying consumers of fashion for quite some time. And our observations have been very interesting, especially from a retailer’s perspective.
We discovered 3 main types of fashion consumers:
These days, whenever one looks at the huge store front of the Vero Moda store, Mumbai, there is, almost always, a sale going on. With so many offers, discounts and an amazingly intuitive collection, Vero Moda offers affordable style to the modern Indian woman.
There are many international brands in the Indian retail market today- and yet, Vero Moda is one of the few that has queues outside on sale weekends, beginning from early in the morning- hours before the store actually opens. The atmosphere is like the entry to an elite club, complete with bouncers allowing one person inside at a time.
Mobile is becoming the integrated platform to get almost everything done today. And retailers are very aware of this fact. A lot of know- how, reports and miscellaneous facts exist online and offline about mobile platforms.
This knowledge is now becoming a healthy return on investment for many businesses. Consumers are now using mobile devices to shop, exchange ideas and create personal histories. Ecommerce websites and etailers are cashing in on this deluge.
It is not just a passing fad though; it is a way of life. According to forecasts, worldwide business-to-consumer e-commerce spending increased by 20 percent in 2014, reaching $1.5 trillion in sales. Ecommerce has clearly outpaced many other industries today. It has in fact become a medium for most industries to increase their customer base.
Mobile commerce is, for most intents and purposes, user centric. It focuses on the consumer. Everything from aesthetics to ease of use that you might wish for, as the consumer you get it! In fact, after taking years to build an online presence, retailers are only now beginning to cash in on all that hard work.
E-Tail has become a booming business all over the world. While online retail contributed just about 0.4% of the overall retail market in 2014 (India), it is expected to reach 3 per cent of the total retail at $32 billion by 2020, according to a Technopak study.
This is supported by the mobile internet traffic statistics as well. Mobile data traffic in India is projected to grow 24-fold between 2013 and 2018 at a CAGR of 88 per cent. Clearly, an indication of the way the winds blow.
But as amazing as the ecommerce numbers sound, there is an aspect of e-Tail that we all have not given much thought to. Ever wondered what happens to those products that we order online, maybe try out, and send back to the e-Tailer?
2015 has brought with it a revolution, when it comes to disruptive technologies and innovative methods of utilizing the same. One of the most popular trends to grace the world today is the Internet of Things(IoT). Actually calling it a trend would be counterproductive.
IoT is not really a trend- because it is definitely here to stay and spin the world in new directions. IoT has already made itself indispensable. From smart cars to smart homes, IoT exists in the grey area between accepted technologies and awesome new gizmos that rule the market today.
The surprise though, is that in spite of IoT being a buzz word, it has not become as mainstream as, say the internet or the mobile, or even virtual. Not everyone everywhere is aware of the huge implications that IoT already has and will have in their lives.
This is largely because IoT is not retail ready. Of course there are many new gadgets coming up every day that are collectively termed as IoT. But can you really imagine one person wearing or using 50 different objects to harness the power of the Internet of Things?
Every culture in the world comes with a set of norms and rules. And the way one should dress happens to be one of those unspoken norms that govern popular conscious. Society decides what is appropriate and what is not for various gender, ethnic groups, etc.
Although these days dress has become mainstream everywhere, there are still groups of people that adhere to traditions. And ethnic wear is one of those long standing traditions that have gripped the imaginations of designers everywhere.
Which is why, the ethnic wear industry in India today comprises 75% of the total women’s wear market, at USD 10.82 billion. This is a huge number, considering the fact that the Indian Apparel market is presently valued at USD 39 billion and expected to grow at a CAGR of 9.5% to reach USD 60 billion by 2017.
With more than 10 million women joining the workforce, the apparel industry is expected to gain a potential 35 million consumers by 2020, according to a Technopak report. These numbers are clear indicators that modern and comfort based dressing will not erase centuries of traditional ideals.
Ethnic wear, especially in India today, is most popular during the wedding (read winter) season in India. Weddings see a variety of ethnic and traditional dress styles coming together. The challenge for most designers and retailers, though, lies in deciding what will earn those profits as well as brand recognition.
You wish to buy new boots; you have been looking for a good design sometime now. You trawl various online marketplaces, looking for options, prices and ideas. You select a few popular brands; add them to your wish list on many of your favorite websites. You narrow down you list to three possible choices.
Now you are sure that you will buy one of the three pairs this weekend. Why weekend? Because that is when you can go to the mall of course! You can go to your favorite shop, try out a few other pairs just for fun, and finally get that coveted pair of boots too! And the trip to the mall means checking out all the new stuff, in person and even splurging a little more than you initially intended. All in all, a good day, then.
If you have done this, you will be pleased to know, you are not alone. There are many who check out products online, but end up buying at brick and mortar stores. The marketers have a new buzz word for what you are doing. They call it ‘webrooming.’
It’s Christmas Eve. The whole world is waiting with bated breath to welcome ‘the messiah.’ All the lines have been erased to witness the birth of Christ- the savior. This in itself is a miracle. Even before he arrives, he brings with him joy and peace.
Jesus lived centuries ago. And still his words, his very presence lingers in the hearts of people all over the world. And in this atmosphere of hope and happiness is the reason that Christmas is such an amazing time for us.
Businesses start preparations months in advance to cash in on Christmas. But we believe differently. We believe us and by extension most business owners are engaged in spreading the currency of love and joy.
Most businesses that survive in the long term end up adapting to their own changing sets of consumers. But with ecommerce becoming almost mainstream, and the huge amount of choices they provide, it has become necessary to find newer ways to retain customer attention.
Grabbing eyeballs may be easy even, but getting them curious enough to actually continue to look at a particular product or service is the real challenge. The virtual world is like a quagmire of options- it entices your consumers, yes; but it distracts at the same time.
With IoT proliferating and growing, it is becoming too easy to gather data. But converting that data into actionable insights is another challenge. Until now, we have had to rely on surveys and other statistical but human methods to get to the bottom of problems.
The F here stands for FMCG and E for eCommerce…
FMCG, this term is being bandied about relentlessly these days. Fast Moving Consumer Goods or FMCG, as they are known by business insiders, are an imperative part of any industry all over the world. These are products that are sold quickly and at a relatively low cost.
Though the absolute profit made on FMCG products is relatively small, they generally sell in large quantities, so the cumulative profit on such products is very large.
Examples of FMCG generally include a wide range of frequently purchased consumer products such as toiletries, soap, cosmetics, teeth cleaning products, shaving products and detergents, as well as other non-durables such as glassware, light bulbs, batteries, paper products and plastic goods. The very basic goods that are required in our day to day life, for good hygiene and survival are all a part of the FMCG industry.
These products are in used daily and are in demand constantly. Some of the companies that sell FMCGs include Unilever, Procter and Gamble, Coca-Cola, Nestle, Colgate-Palmolive, etc.