Deloitte believes that consumers and consumer companies are
moving towards a more utopian future, despite the dystopian impacts that exist
today. Consumers are demanding reliable, safe, convenient, sustainable,
socially just, and personalized goods and services, and companies are
responding by leveraging technology to build more powerful and relevant
consumer connections while making commitments to a broader set of stakeholders.
Together, they are "buying into better," which means fusing profit
with purpose and addressing all of the things that are important, including
impacts on the environment and society.
Deloitte's approach to understanding the future of the consumer industry involved engaging
individuals and having over a thousand conversations to identify the market
shifts that will have consequences on businesses in the next five to ten years.
Instead of taking a crystal ball approach, they focused on the next five to ten
years and identified three primary business dimensions impacted by six forces
with nine implications. Deloitte recognizes that human centricity is critically
important, and that a lot of what's important to humans goes beyond the
products and services provided. The impact that companies make on the
environment and society is also important to consumers, who are looking to
place their dollars where they can have an impact on change.
The framework for thinking about the future across three business dimensions: markets, models, and
mechanics has been developed. The six forces impacting markets, models, and
mechanics are shifting and broadening consumer bases, diversifying life
journeys, exponential technology and AI, everything-as-a-service climate
change, and geopolitical turmoil. Models and mechanics serve the market by
delivering the unique customer experience or the unique product. The three Msms
have emerged as an easy way to engage client executives and identify
opportunities. The implications of the three business dimensions, buried
throughout the three dimensions, affect organizations. Mass-to-micro is an
example of how the three Msms are related.
The report emphasizes the
importance of organizations outsourcing parts of their business to increase
efficiency and meet demand. It also highlights the need for long-term strategic
plans as current business models may not work in the future. The six forces in
the marketplace are rapidly changing and converging, creating new risks and
opportunities for organizations. Digital goods and services are growing
exponentially, and organizations must be mindful of these changes to take
advantage of growth opportunities. The report suggests that organizations need
to focus on the markets, models, and mechanics of their business to respond
effectively to the changes in the marketplace.
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