The Future State Of Savings & Discounts

Are Businesses Driving Consumerism? Or Are They Failing Themselves With Discounts

  
0:00
-50:38

Welcome back to The Future State Podcast.

Nick and I return with a Black Friday Recording Special.

This week’s podcast we channel our inner Martin Lewis 👀 breaking down savings, discounts & the numerous savings days.

We dive into the world of discounts and savings and the bigger crisis we might be facing, from a green environmental POV and a business POV.

🎧 Listen Now 🎧

The episode is now live, click to listen above on Apple, Spotify, Amazon, Anchor and across all major podcast players. Go listen or read on for a teaser.


A Quick 5 Second Favour

Please do rate and review the podcast, it takes 5 seconds and it helps the podcast to spread to more people and make more people informed.

Rate On Apple // Rate on Spotify.


The Podcast TLDR:

The Good

  • General savings for consumers

  • Often makes expensive seasonal gifts more affordable

The Bad

  • The strain it places on logistics

  • The work environment in many businesses becomes more stressful, creates more issues with internal teams and many businesses actually lose money rather the traditional Black Friday where businesses started to make money

The Ugly

  • Consumerism crisis

  • The cost of delivery on the environment

  • Material gifts at Xmas


Important Elements To Savings We Discuss

  • Black Friday has been undone in the UK - The biggest retailers are all doing it differently. It’s causing confusion and chaos for consumers

    • We saw ‘fake Black Friday’ a week early (19th) in the U.K. - devaluing what Black Friday and Cyber Monday was designed for

    • Many are pushing Black Friday week and Black Friday month.

    • We have seen huge year on year growth of sales for Black Friday

  • Singles Day

    • The West has adopted Single Day, which is traditionally an unoffical Chinese singles holiday. Singles Day in the UK is actually in March

  • Amazon’s Influence

    • Prime Day - The day(s) where Amazon drives savings across the marketplace - the biggest brands can drive attention and savings to their customers as part of their brand moat

    • Amazon are reportedly planning to open 260+ stores over the next few years aka they truly know UK are hybrid shoppers 80% in store - 20% online so shopping in the U.K. has to be considered to have retail presence + online.

    • We now have Prime expectations, subscription enables us to have: fair prices, quick delivery, free returns.

  • Brands using biases against us: Cashless Effect, Social Proof,

  • Brands that don’t discount might actually win the long game, brands include - Apple, Peloton, Chanel, LV, Tiffany & Co, Lululemon

  • Unsung Heroes - Forums and groups

    • Many saving related forums are super popular

    • Thousands of Facebook groups dedicated to it

    • The science behind why Aldi and Lidl surprise aisle

    • Many groups dedicated to how to gain an extra saving, use certain points schemes, leverage the best deals

Watch the Decarbonising The Art World Video Nick mentions.

The Future State Of Savings And Discounts

  1. Personalised savings - generic savings will be phased out

  2. Investors looking to change the way they invest and invest in environmentally positive and forward thinking startups, as well into hugely profitable companies

  3. Brands going against the grain and not building huge savings campaigns - they create value and affinity to their customers, rewarding in smarter ways

  4. Bigger shifts online - less IRL shopping and more online shopping (hopefully with greener delivery options)

  5. Repackaging Science. We will see brands turn to positioning and rethinking sizes and quantities to influence our purchases
    - Examples:

    1. Nespresso comparing against your coffee priced at £3.

    2. Red Bull positioning themselves vs Coffee vs Coke. How did they do this? Smaller cans higher price. Status in a can.

  6. Mass savings being reduced down slowly, brands need to control their sales prices and their partners will be educated that their brand price is their brand price.

  7. Many businesses will look to offer multi level discounts across the year vs big events and days

  8. We see ride hailing, food delivery constantly discounting to drive usage - we are going to see some brands have to loss lead to get any traction in the noise of big saving days and events

Let us know what you think…

@dannydenhard and @nickwalter23

Or connect with us:

Danny on LinkedIn // Nick On LinkedIn 

Loading more posts…