The following report will traverse the digital realm of
marketing and the world we may be living in 10 years from now. Utilising methods in trend forecasting, world-building, identification of future challenges and opportunities, in-depth analysis of critical areas across the digital landscape, diagnosis of Habitat as a brand and relevant data collection, a cohesive understanding of the future will culminate to create an effective and considered creative strategy for Habitat to successfully execute.
Upon analysing the customer profile of Habitat, it's
evident that they have a large customer base and don't fixate on a particular demographic they feel as though it is more based around your "state of mind". Knowing that Habitat's general consumer is either a Seeker or Activator in terms of the VALS framework (Maslow, 1954) helps us to gauge the fact that they thrive on experimentation, individuality and innovation, a very useful trait in a modern world that is moving rapidly. Both of these VALs consumer profiles coincide perfectly with a business plan that involves a lot of digital innovation and forward- thinking methodologies.
We now know that Habitat is seen as above average
so there is a level of expectancy from the consumer that the brand continues to maintain these standards, which ultimately points towards the fact that adjusting to the modern era is vital to owning the desired space in consumer's minds, otherwise there's a chance that you will be overshadowed by a business that thrives on innovation. This is showcased perfectly by Amazon, “They’re never satisfied, never standing still. They’re always asking ‘how can we do it better?’ They’re constantly driving improvements in what they do and through that, creating growth,” says Arabel Bailey, lead of Accenture Digital UK.
The UK furniture market is highly saturated with 8,707
furniture UK manufacturers (British Furniture Confederation, 2018). Calling for differentiation, ensuring the brand remains vivid in the consumer's mind. With a revenue of 43.4M GBP in 2019 (DueDil, 2019) in a homeware and furniture market worth 6,524M GBP (Statista, 2019). They have a market share of 0.66%. Introducing innovative technology will see that percentage rapidly rise. Brands like IKEA and BoConcept are seeing the best years in their companies history, the fact both brands thrive on innovation and tech goes to show what is required to continue growth.
Increasing the level of engagement with consumers
will make them feel more inclusive with the brand and 'heard'. 'How-to' and knowledge transfer content will engage and cater to the needs and wants of the customers, plus the utilisation of correct influencers and ambassadors will add more viability and exposure to Habitat, linking back to the idea of brand positioning.
With the growing threat of new and innovative brands
swooping in and stealing customers, current brands need to adapt, innovate and adjust to coincide with the mutating market. One of the key catalysts to this progression is technology, finding new ways to utilise tech will prove to be pivotal to the growth potential and futureproofing of Habitat. A study by PEW Research found that "six in ten people (59%) feel that technological advancements will lead to a future in which people’s lives are mostly better" (PEW Research, 2014) which goes to show that general consumers can see the positive consequences of tech.
Social media started as a platform to form
connections with like-minded users, creating friendly communities built upon common interests and topics, perfectly showcased by the humble beginnings of Facebook. Fast-forward to today and everywhere you look, there are sponsored ads by every company you can imagine, an egocentric aura surrounding the people that now use it. Customers now expect, somewhat demand, an instantaneous experience full of choice and convenience. To progress, Habitat must provide the customer with an experience that has all of these vital traits in mind, technology will ensure these targets.
A common theme has formed from these results,
technology. When asked if they view Habitat as innovative, 59% of people said no or that they didn't know, technology and social media were the 2 main responses for how to become a market leader and the qualitative responses on their views of Habitat that were negative, all suggested innovation. The outcome of this is obvious, Habitat needs to introduce innovation to progress efficiently.
The most influential and forward-thinking design
school in the 20th Century.
Founded by Walter Gropius in 1919, with the idea of
bringing all factions of creativity under one roof - painting, architecture, furniture design, typography.
The bauhaus DNA lives on in modern-day design and
was revolution in the early 20th Century, Neuhaus will be the revolution of the 21st Century utilising modern-day technology.
The list of problems within the retail industry has
begun to raise a lot of questions amongst people in and outside of the commercial stratosphere, with the UK Government committing to achieving the UN’s Sustainable Development Goals (SDGs) in 2015, businesses need to adapt to receive support and acclaim, as well as ultimately remaining successful. The driving force for the 'Neuhaus' innovation is the fact that 30% of online furniture is returned (Invespro, 2019), the opposite of a sustainable model for both business and consumer alike, it takes a catastrophic toll on carbon emissions, wastes time for everyone involved and is a problem that can be resolved if the power of technology is harnessed correctly.
Neuhaus will allow the customer to experience what
their new home would look and feel like, using cutting edge holographic, AI and AR technology to ensure a full comprehension of the new space, before spending any money. Alleviating the need to return unwanted products because, in theory, the customer has already experienced the item in their space. A sustainable business model that exerts a good corporate image and positive brand positioning.
Mainstream media is stricken with warnings about the
environment and huge movements such as Extinction Rebellion have taken centre stage, working to sway the opinions and values of the general public. The quote above perfectly outlines the changes that are happening, eco-conscious consumers are becoming the norm, and the same should go for businesses, hence the innovation that needs to be introduced at Habitat to coincide with the modern consumer.
The "number of homeowners carrying out home
improvements rather than moving increasing five- fold" (Independent, 2018), making it evident that the home improvement market is expanding and consumers are crying out for a seamless experience in doing so. The growth has led to a huge resurgence of renovation, with multiple tv shows such as Sarah Beeny's: Renovate don't Relocate and Grand Designs being a massive hit in the UK.
Neuhaus comes into the market as a category 1st for
the factors on offer. This allows us to position the brand where we want in the consumer's mind, promoting differentiation and the multiple USPs; professional standard of design for general consumers, 3D immersive experience, AR, AI and VR technology and sustainability-focused. Neuhaus for Habitat dictates the new market.
This Framework intends to make sure all targets,
goals and innovation aligns with the top-line vision for neuhaus to create a seamless experience, which empowers the customer to browse, design, visualise, asses and create, whilst promoting sustainability and reducing waste. With quantifiable KPIs, customer feedback and the progression of needs and wants of the consumer in a given period is vital and also helps to create a brand DNA that is strong throughout and recognisable.
The demo below will give a snapshot insight on the
overall experience of the app. It has a community function in the inspiration column to promote Peer- To-Peer (P2P) advice from customers, a scan section where you can reimagine your space using VR and a design area where AI will suggest different products based on colour, space, positioning, price range and this list is not exhaustive.
Consumers won't be completely aware of the
capability and usability of VR, AR and AI, as well as the software being a Category 1st, meaning initial marketing will be catered to knowledge-transfer, helping the consumer understand the viability of the product and its 'ease of use'. Fulfilling consumers with knowledge will, in turn, fill them with confidence to buy into the product and generate a buzz and excitement surrounding the brand.
A strong reference to this idea of Knowledge Transfer
in marketing is showcased perfectly by Patagonia, who wanted to inform consumers about our environmental repercussions. This will exercise to consumers that Habitat as a brand is aware of the environmental, economical and societal aspects of the modern world and what can be done, resulting in positive brand positioning and very strong CSR.
The high level of technology in 'neuhaus for Habitat'
is anticipated to put some consumers off. Having in- store and trade show demonstrations of how easy and seamless the product is, will put some consumers at ease and give them confidence to try the product.
Video content via the 4 strongest social media
platforms for Habitat; Facebook, Instagram, Pinterest & Youtube - 62% UK Market Share - (Statista, 2019) plus the Habitat blog. The videos will be a mix of informational content, explaining the product and how to use it, making the idea of using the product a lot more digestible for consumers who are apprehensive of new tech.
Focusing some knowledge transfer content on the
sustainability aspect of the brand will also be beneficial for brand image and voice. Informing and teaching the consumer about 30% returns of furniture in the UK and the effect that wasted logistics can have the world will do 2 things; Identify the problem and provide a solution. The emphasis of these problems will bode very well with the consumer of 2021, considering that the 2021 overview found that '88% of consumers think that the top goal for brands should be protecting the environment'. A company's image is going to be strongly influenced by their sustainable efforts, once again tying in with Habitat needing to make deliberate efforts to improve their CSR.
The top and most important part of the marketing
funnel is awareness; without anyone knowing who you are, there is no market, which means no sales. Being a Category 1st, not only gives the opportunity of disrupting the homeware and interiors market, it allows Neuhaus to dictate where the brand is positioned in the consumer's mind, the desired image is professionalism and reliability.
Partnering with TV series Grand Designs promotes
the idea of renovation instead of relocation, as well as showing the consumer the process of neuhaus, giving insights on the beginning, middle and end of the entire process, portraying the 'ease of use'. Moreover, having the software showcased on such an exposed platform will increase brand interaction and grow the customer base which, ceteris paribus, leads to profits.
Coinciding with a PR Campaign to get the product
and brand into home, design, architecture and tech magazines, online and offline, to reach all types of consumer. Publications such as Architectural Digest, Ideal Home, Country Home, Hypebeast and Dwell. A network (Fig. 11) has been conceptualised using Fashion Monitor for the most effective and relevant publication contacts.
Neuhaus will continue to innovate throughout the
entire 10 prospective years - requiring knowledge transfer to be in full force - but the general idea and regularity of technology by 2025 (Deloitte, 2019) will ultimately mean a higher percentage of consumers will be able to 'digest' the idea of Neuhaus, hence Neuhaus now being positioned within the Late Majority section.
With a smartphone market share of 48.5%
(Investopedia, 2019), Apple are on the borderline of having a monopoly of the market. One of the main reasons for this, their effervescent remodelling and updating of their product, which shows that they're ahead of the curve and innovative, generating excitement for what's next and remaining relevant, neuhaus will do the same.
Virtual influencers and assistants will be adopted by
the mainstream by 2025 (Gartner's Hype Cycle), teaming up with the likes of 'Lil Miquela' is innovation in its own sense. Being able to render virtual influencers in digital Neuhaus environments will showcase both the design capabilities of Neuhaus, as well as keeping up with the latest digital trends, this will be released as video content on social media and the Habitat website, to maximise engagement.
Marketing will have the capacity to be a lot more
immersive, instead of viewing and consuming marketing, future technologies will allow you to experience marketing (Statista, 2020). Neuhaus will create an immersive digital environment in which consumers can socialise, view products, attain inspiration and experience the new digital age. P2P aspects can also be incorporated into this environment, allowing customers to 'welcome' peers to view their digitally rendered space and gauge inspiration or advice, adhering to the needs and wants of the 2025 customer (Fig 12).
New tech from Neuhaus in 2025 will allow the
consumer to scan walls for pipes and wires (Gartner's Hype Cycle). This will mean consumers are more protected when recreating their space.
Marketing will be a 2 step process. Identifying the
problem: BRITS PAY £34bn A YEAR TO FIX THEIR DIY MISTAKES - which shows that neuhaus is aware of societal, economic and environmental problems - followed by marketing the new problem-solving software in the form of video content on social media and the website, as well as digitally rendered tutorials in the neuhaus digital space.
The projected burst of innovation in 2030 (Gartner's
Hype Cycle) means consumer understanding of technology would have done a full circle, referring to the theory of the Technology Adoption Life Cycle (Bohlen, Beal and Rogers, 1957), meaning that knowledge transfer is yet again essential.
Loneliness is predicted to be at the level of a
pandemic in 2030. Being in a personalised, safe and revitalised home environment can help someone lonely to feel more secured, as well as comfortable.
The innovation and regularity of 'phygital' retail,
loneliness could be combatted by the augmented social environments. Allowing the consumer to interact with 'digital twins' and also draw inspiration from other people's digital space (P2P Advice) could work very effectively as a healer for loneliness. Having people immersed in a digital environment, where they can invite friends and socialise is an entirely new form of marketing.
Neuhaus could act as a catalyst for a new era of
augmented and palpable social media.
Considering their level of charity, they average a
revenue of around $67.7M a year (Owler, 2020), showing you can be ethical, sustainable as well as a successful business and they constantly receive good press, which is free marketing in itself. This is something Neuhaus could tap into, considering the top-line vision revolves around sustainability.
Denser populations means people and organisations
will have to look to be more efficient and effective with the space that they have.
Neuspace will work on the same premise as Tom's
One for One scheme. For every full re-design sale made using the Neuhaus software, the Neuhaus team will create a design for a social space (vertical farm, community space, local-agricultural space, hostel, etc...) for free as well as all the furniture being bought a heavily discounted price.
This scheme doesn't just mean Neuhaus for Habitat
is giving back to communities and making the UK a more sustainable place, it also helps with brand positioning and image, placing Neuhaus much higher up on the sustainability chain than before.
The amount of good press that Neuhaus would
receive is immense, which is a form of marketing in itself, making the slightly slimmer profits made for all these projects worthwhile in an economical sense, as well as a social sense. This scheme aligns with future challenges as well as epitomising the top-line vision of Neuhaus for Habitat.
In summary of my findings, it is plain to see that we
are living within turbulent and somewhat unprecedented times, with the marketing landscape being completely turned on its head since the recent introduction and innovation of both social media and technology, proving to have the potential to work in unison, creating a new stratosphere of marketing and consumer experience, most notably, the innovation of PHYGITAL spaces and the capabilities of 'Digital Twins', blurring the line between reality and digital. For Habitat to remain relevant and successful in these effervescent times is the continual development of products and marketing, accompanied by continued knowledge transfer and informing the consumer of the benefits they have on both them and the world they live in, a topic that is going to be on the lips of nearly every consumer as we near 2030. Innovation is key to success for Habitat.