by Michael Sansolo
“Demography is destiny” – French philosopher Auguste Comte
We all have the tendency to pay attention to the problems and challenges in front of us. Sometimes, though, it is by casting our eyes beyond the obvious – especially focusing on demographic trends that are being dictated by and are affecting our customers and employees – that we can create opportunities for our businesses.
For example, the New York Times had a story over the weekend about how Gen Z is embracing what is called “treat culture,” described as “the habit of indulging in small luxuries, like a $12 jumbo-size coffee, a $5 baked dessert or a $30 key-ring doll called the Labubu, to reward themselves or practice self-care, even if the treats are outside their budgets. Although many Gen Z-ers do not feel financially secure, more than half say they buy themselves a small treat at least once a week, according to a new survey of nearly 1,000 Gen Z adults from Bank of America’s Better Money Habits team … What sets Gen Z-ers apart from generations before them is how they have built an online community around the tradition, promoting it on their social feeds as a way to care for their mental health during uncertain times. On TikTok, they have shared their latest ‘little treat’ hauls after failing an exam or doing chores, or just to show off conspicuous consumption.”
Now, Gen Z is a big group – they range in age from 12 to 28, and so it is impossible to market to all of them the same way. This “treat culture” trend, though, may be something that covers the gamut of the generation, reflecting both a sense of self-indulgence and perhaps a desire to exert some control in a world where many are feeling powerless.
For our purposes, it is a trend to which food retailers can and should pay attention. After all, a good food retailer is in the business of encouraging customers to indulge their appetites. Gen Z – not yet the center of the traditional food marketing target, but in some cases just a few years away – may be perfectly positioned to be catered to by such retailers.
There are lots of ways in which retailers should be paying attention to demographics, shopper trends – and trends that could affect your employees.
For example, recent reports say that fewer teen-agers are getting their driver’s licenses these days, a drastic change from the days when turning 16 meant nagging mom for a trip to the DMV. For countless reasons, teens simply aren’t pushing for what once was a coveted rite of passage.
And again, this has implications for retailers. Think about your younger employees, certainly a demographic group that retailers have long relied upon to fill numerous basic and low paying tasks. The new reality is those same teens, if they want a job, may have no ability to get to your store especially if you operate in a rural area where mass transit isn’t an option.
Certainly there are new ways to address that problem, possibly by offering discounts for Uber rides or getting a bike share station at your parking lot, but the simple truth again is that you’ve got an entirely new problem to solve thanks to the shifting needs and abilities of a new generation.
These kinds of problems aren’t impossible to solve. Far from it. In many ways, they just require paying attention to things happening outside your stores and beyond your shelves, cases and coolers.
That’s the price of doing business these days. You have a choice, and I think it makes a lot more sense to make your own destiny than to be a victim of it.
Michael Sansolo can be reached via email at [email protected].
His book, “THE BIG PICTURE: Essential Business Lessons From The Movies,” co-authored with Kevin Coupe, is available here.
And, his book “Business Rules!” is available from Amazon here.
The post Sansolo Speaks: Beyond Shelves, Cases and Coolers appeared first on MNB.
View Original Article
