1st bit of MACRO.

This is the first bit of Macro Trends:

Been having to look up loads of stuff & looking at journals so will carry on with the second part now. This is a "Society and Culture" section to macro trends, split it up so easier to read and make sense of. next bit is news and media.

Just a little intro:

As we are aiming to increase Shu Uemura’s marketshare within the L’Oreal group, it is vitally important to analyse trends in the social and retail market that will directly affect the brand in the future, to ensure we remain ahead of other brands in terms of innovation and service.

We have therefore split the following section into Micro and Macro trends, and focused on the key future happenings from our trends research that will benefit Shu Uemura.

Macro Trends:

SOCIETY AND CULTURE.

1. Anxiety:

With the UK going into recession earlier this year, consumers have started to become more anxious when buying into brands. This will further drive an interest in safety, security and permanence, as “People are no longer in the mood to experiment, and therefore we can expect the return of simplicity, no frills, back to basics”. (nowandnext.com:online,2009) This consumer uncertainty will benefit Shu in terms of its simple and clear brand identity, and its status as a luxury cosmetics brand combining Science, Nature and Art. This strapline will ensure the consumer feels as though the product has been through a process of being experimented with, and will therefore be more likely to trust the product, however, to increase it’s market share, Shu Uemura needs an innovative way of marketing that stands out from other cosmetics brands, to ensure they increase brand awareness and brand loyalty in this difficult economic crisis. To achieve this, Shu Uemura could offer products and services that offer a sense of security, or reduce stress as part of a daily cleansing routine. Instead of just a product, reassurance could be provided by service in store, as “generally it’s reassurance with a human face attached that people

are after” (nowandnext.com:online,2009) These nostalgic products and experiences that offer the belief that we once lived in less anxious times will work well to ensure the consumer feels a vital part of the brand.

2. Ageing:

“According to the UN’s latest biennial population forecast, the median age for all countries is due to rise from 29 now to 38 by 2050.” (economist.com:online,2009)

Currently, the world’s societies are ageing at a rapid pace, as people are now living for much longer than what they used to, “In 1900, average life expectancy globally was 30. The figure now is 67.” (economist.com:online,2009) Although less children are being born, and therefore less could-be consumers for Shu Uemura, now is a time when it is vital to gain and retain consumers at an early age, to ensure they stay with the brand when society is ageing. Shu Uemura is an innovative brand in terms of its beauty process, rather than a fixed focus on one type of cosmetics, and this appeals to all ages of consumer, as we have found from our primary research. This is a benefit for the Shu Uemura, as if they introduce the process of cleansing and being made up to particularly a younger audience, consumers will be more likely to be loyal to the brand and trust enough to stay with it in the future.

Bit of a rough copy. Blah.

Jo.T