What new trends for the companies - owners of the largest brands did you notice as a result of studying this research? Creation of the narrative is a new trend for the companies-owners of the largest brands. Name, logo, original packaging and voice are the essential attributes of a brand today. Nowadays brands do not sell only the product. They sell emotions, style of life, and the sense of belonging. That’s why manufacturing authenticity for upstart brands has become a thriving industry. The second trend for the companies and the largest brands is having a good social or ecological purpose. Brands understand that promoting and supporting urgent global issues is the only way to be respected by the consumers. That is why practically all big companies develop initiatives and try to make an impact on solving global problems. What new trends in consumer behavior did you notice after studying this material? Nowadays consumers increasingly care about the brand's purpose. People do pay attention to socially and ecologically friendly activities of the brands. Consumers make buying decisions based on a brand’s stand on social issues. That is why companies try to promote different environmentally friendly activities, and usually take part in charity. What are the prospects for competition between old global brands and new startups, and how do startups & young brands win? The prospects for competition between old global brands and new startups are mixed. As it presented in the case startups can gain market share by successful branding, leveraging technology, and appealing to consumers' desire for simplicity, authenticity, and social responsibility. To win, startups need to continue leveraging technology, focus on building a strong brand identity and story, and offer unique value propositions that resonate with consumers. What are the advantages and disadvantages of both in the eyes of consumers? In the eyes of consumers, the advantages of established global brands include brand recognition, consumer trust built over many years, and often larger marketing budgets that allow for widespread advertising. Consumers may perceive established brands as more reliable and trustworthy due to their long-standing presence in the market. On the other hand, startups and young brands often appeal to consumers through their emphasis on simplicity, authenticity, and social responsibility. They may be seen as more innovative, agile, and responsive to changing consumer preferences. Startups also often offer competitive pricing due to their ability to bypass traditional retail channels. However, some consumers may be hesitant to trust new brands or may perceive them as less reliable compared to established brands. Overall, consumer perceptions of advantages and disadvantages may vary depending on individual preferences and the specific industry or product being considered. How have consumer views been changed over last 20 years and is this affecting global brands overall and how? Over the past 20 years, consumer views have shifted towards valuing purpose-driven brands that align with their social and environmental values. This change in consumer sentiment is impacting global brands, as they now need to demonstrate authenticity, social responsibility, and transparency to maintain relevance and loyalty. Companies are appealing to consumers' desire for brands with a clear purpose and a commitment to social and environmental causes. For example, Equal Parts, donate a percentage of revenue to good causes. Warby Parker, a spectacles- maker, gives products away to poor people. Additionally, companies are leveraging the power of storytelling and branding to differentiate themselves in the market. They focus on creating narratives that resonate with consumers and establish emotional connections. Furthermore, consumers are increasingly influenced by the brand's stance on social issues. They are more likely to support brands that align with their values, and are even willing to switch loyalty if they disagree with a brand's position on divisive topics like immigration, gun control, and gay rights. For example, the Pepsi commercial was not treated well among consumers of Pepsi product, so they had to withdraw it. What characteristics of consumer behavior do companies appeal to? ● ● ● ● ● Convenience: Companies leverage technology and globalized commerce to provide convenient access to products and services. This includes online shopping platforms, easy payment methods, and direct-to-consumer models. Brand Trust and Authenticity: Consumers value trustworthiness and authenticity in brands. They look for provenance and consistent quality, which helps build trust and encourages repeat business. Social Responsibility: Modern consumers are increasingly concerned about social and environmental issues. Brands that demonstrate a commitment to positive causes and donate a percentage of revenue to good causes appeal to this sense of purpose. Storytelling and Branding: Companies recognize the power of storytelling in differentiating themselves. They focus on creating narratives that resonate with consumers and establish emotional connections Customer Experience: Companies aim to sell not just products, but also a lifestyle. They focus on providing a positive overall customer experience, which includes factors like simplicity in purchasing, good vibes, and a sense of comfort and intuition.
