Shift from “a product for all” to “a product for me” consumer mindset
The global landscape of consumer behavior is undergoing rapid transformation, driven by demographic shifts, evolving preferences, and economic changes.
As I speak with our clients around the globe, I can see these trends not only influence the products and services that consumers demand but also have profound implications for the labor market and therefore on their talent strategy. You will find below some reflections on key trends that shape the consumer sector and how it is impacting the employment landscape:
Demographic Shifts and Employment Preferences
The world's population has grown more than threefold since the mid-twentieth century, with significant variations across different regions. China and India remain the most populous countries, while Africa is the fastest-growing continent. In contrast, Europe faces a shrinking population. These demographic dynamics shape consumer behavior and, consequently, worker preferences.
Young people in emerging markets represent a significant segment of the consumer base. By 2030, 75% of consumers in these markets will be between the ages of 15 and 34. This youth demographic is characterized by new profiles and purchasing power, making them a key target for industries.
This changing consumer landscape is also seen in companies’ culture with multi-faceted enterprises that need to attract and retain multi-generational talent in the workplace to better understand its customers as well as to enhance creativity and innovation.
Changing Consumer Behaviors and Employment Trends
While digital has fragmented consumer’s attention, and global uncertainty has significantly impacted consumer behaviors, leading to brand switching and exploration, supply chain disruptions prompted consumers to try new brands and products, often turning to regional and local brands that offer short-circuit distribution. This trend has opened opportunities for smaller businesses and startups, which in turn influences worker preferences.
Employees may now prioritize companies that are agile and responsive to market changes, especially those that support local supply chains and sustainability. The rise of e-commerce and digital platforms also means that companies are increasingly seeking workers in logistics, digital marketing, and online customer support. The need for contactless transactions and the convenience offered by online shopping have made e-commerce a dominant force, and this shift is likely to be permanent to some extent.
Brand Loyalty and Company Culture
As consumers become more willing to switch brands, companies are focusing on building stronger relationships with their customers through personalized experiences and high-quality service. This shift necessitates a workforce that is skilled in customer relationship management, data analytics, and personalized marketing.
Workers are looking for similar experience in their professional experience and are keen to work for companies that invest in them through training and development programs to equip them with these in-demand skills. Moreover, companies that foster a culture of innovation and customer-centricity are likely to attract and retain talent in a competitive job market. The focus on company culture is becoming more pronounced, with employees seeking workplaces that align with their values and offer a sense of purpose.
The Role of Technology
The integration of technology in consumer goods and services is reshaping the employment landscape. Automation, artificial intelligence, and machine learning are being leveraged to enhance customer experiences and streamline operations to secure performance. Workers with expertise in these technologies are in high demand, and there is a growing preference for jobs that offer opportunities to work with cutting-edge tools and platforms.
While the digital economy continues to rise and has elevated consumers' expectations for convenience, flexibility, and on-demand services, this trend is mirrored in worker preferences, with many opting for freelance or part-time roles that offer greater work-life balance and autonomy. The rise of platforms like Amazon, Uber, Airbnb, and TaskRabbit has made it easier for individuals to find gig work that suits their schedules and skills.
With around 28M people working for digital labor platforms in the EU in 2022 and an expected growth to 45M by 2025, a digital strategy is no longer an optional add-on to a traditional business model. It is instead a core part of a company’s approach to the modern economy, and this means integrating new specialized skills and services that may not be in high demand within traditional employment structures. Businesses must be ready to consider flexible talent and freelancers such as graphic designers, writers, and software developers to boost their technological capabilities and drive growth and profitability The more forward-looking and technologically enabled a company is, the more flexible and close to its employees’ needs a company is, the more it will be able to compete for the new generation of talent.
Conclusion
The changing consumer trends are driving significant shifts in worker preferences for employment. Demographic changes, evolving consumer behaviors, and technological advancements are shaping the types of jobs that are in demand and the skills that are valued. Companies that adapt to these trends and offer attractive employment opportunities will be well-positioned to thrive in this dynamic landscape.
As the world continues to evolve, it is essential for both employers and employees to stay attuned to these changes and be proactive in embracing new opportunities. The future of work is undoubtedly intertwined with the future of consumer behavior, making it a fascinating area to watch and explore.
In summary, the interplay between consumer trends and worker preferences underscores the need for adaptability and forward-thinking strategies. Companies that can anticipate and respond to these changes will not only meet consumer demands but also attract and retain the best talent. The evolving landscape presents challenges, but it also offers unprecedented opportunities for growth and innovation.
Author: Julien Matalou, Global Vice President, Consumer Goods & Automotive for ManpowerGroup.