The era of the ultra-rational consumer: Google shows new paths and opportunities

In recent years, consumer behavior has changed. Impulsivity and haste give way to wiser choices or priorities, and technology plays an important role in this process. This data is revealed from a Think with Google reports which shows that with the advancement of technology, consumers are starting to research prices, compare options, look for reviews and watch videos with content about a product.

In the document, Google shows that the key is not only to attract consumers initially, but to win them over and keep them loyal longer. The company demonstrates three concepts that explain the emergence of this rationality: digital maturity, marketing maturity and multiple offers. Check!

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digital maturity

Latest data from IBGE show that 90% of households in the country have internet access, 6% more than in 2019. In addition, last year, Brazil became the world record holder in app usage: the The 100 largest service apps in the country have a total of nearly 1.5 billion active accounts, a 91% growth compared to the pre-covid-19 period.

HI Think with Google shows that the expansion of the internet in Brazilians’ lives is driving the transformation that is already taking place in the way people consume. That The consumer now has more choices and is becoming smarter: instead of the cheapest, he wants the best.

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The report states that for brands, this means needing to deal with other concepts of value: quality, service and relationshipsFor example, Enter the account along with the price when a customer searches for a product. And though brand investment not directly felt in the sales results, they are the antidote messy middle ground.

Reports say that digitally mature companies come firstbecause they can deliver relevant content to consumers at every point of the buying journey. This solution, however, has not been assimilated by everyone. One Boston Consulting Group Research shows that at this time only 9% of companies are highly digitally capable and 66% are in the transitional stage, i.e., they can benefit greatly from digital transformation.

The first step on this path, according to the document, is to do a Digital Ratings, to get a diagnosis of your company with respect to digital maturity. And Youtube way This is a step-by-step guide to creating more relevant ads by considering creative intent, brand goals and consumer needs.

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market maturity

Report Think with Google shows that digital maturity produces market maturity. According to the document, the challenge is no longer to attract new consumers, but to compete with those who are already in the market.

However, the report states that it is important to know consumers, something that is part of the reality of some businesses: 70% of large advertisers can benefit from more accurate data about their customers. In other words, most companies spend more than they should on low-value customers and don’t spend enough to acquire high-value customers. However, when you treat everyone the same, operations become inefficient.

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The document shows that putting the customer at the center of the business requires a shift from product-centric industry management to digital leadership that shares the same goals: the entire team works to create relevance and generate value for consumers. Therefore, instead of thinking only about a product or service portfolio, it is important to focus more on the consumer portfolio. They have to say what they are looking for and how the brand can help them.

In this sense, the report says that measurement also needs to be different. HI Lifespan Value (LTV) — which is the amount spent by consumers when the relationship with the brand is active — rises to prominence. As well as Return on Creative Investment (ROCI), which measures the creative efficiency of business outcomes. Adopting new parameters is adopting the thinking that creativity can do benefit from input derived from data and a test-and-learn mindset.

HI Think with Google revealed that such advanced tools Brand Enhancement e Google Analytics 4other than platforms GMP, can be very useful in analyzing results and monitoring campaigns. Business literacy and data programs that promote capacity building in key areas for Marketing Econometricssuch as creation, business, data, measurement and artificial intelligence, are also important in this process, as stated in the document.

some offers

Report Think with Google shows that offers have never been so plural, and this is reflected in searches. In recent years, according to the document, generic search has exploded in relation to brand search, indicating that there are rational, but also advisory intentions on the part of people. And they have a wealth of information to make wiser choices.

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One of more efficient way to work considerationsespecially with increasingly rational consumers, namely through Artificial Intelligence (AI).

According to Mckinsey, 50% of companies worldwide use AI for at least one role. Studies show that in marketing, Artificial Intelligence can assist both in media buying and in rethinking the creative process, bringing data to the heart of operations.

It remains to be pointed out that video is one of the most powerful platforms for accomplishing this task. According to a study by Deliver IBOPE Mediao Online video reach in Brazil reaches 61% per month by 2022. And the public uses this content on various devices: 54% do so via a connected TV and 37% via smartphone.

HI YouTube play a very important role in this context, after all they are more than 120 million Brazilians of 18 years who watch the platform every month.

moreover, 84% of viewers in Brazil agree that YouTube has exclusive content they can’t find anywhere else.

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a new reality

In recent years, the transformations experienced — digital maturity, marketing maturity, and multiple offerings — are paying off ultra-rational consumer. In this context, according to the consumption report from Think with Googlebrand building is becoming a more sophisticated job, the focus of which should be on customer relationship timing.

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That is, the documents indicate that to conquer ultra-rational consumer necessary to establish and maintain connections. However, to do this, you need to understand it in more detail to meet your needs. These scenarios require creativity, improvisation, and sophisticated processes to reach people — a path that demands new ways of understanding and using technology for business purposes.

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