Page 68 - The Five Forces of Everything

OBSERVATIONS

Extreme Competition
People must reluctantly accept that
governments cannot fully support In China, competitiveness is about to explode. By 2020, China’s
them into old age. Not least because integrated social credit system will issue everyone with a Citizen
the population is aging dramatically in Score. The score will be calculated from what an individual consumes,
most developed countries. This reality where they shop, where they travel, who they are friends with,
is pushing people to take more control whether they pay their bills on time. It is thought that a lower score
over their lives – asserting greater might result in a lower ranking on dating sites, restricted access to
self-suffi ciency and self-care. restaurants and even travel bans. A higher score could activate VIP
check-ins, discounts at hotels or insurance policies.
In terms of sheer numbers, the United
Nations estimates that the human race This prospect may alarm many people in the West, but status is very
will be 9.8 billion strong by 2050 – 2.2 important to Chinese people who already account for 33% of global
billion more than today. Not just more luxury purchasing*, so this new system is likely to be welcomed by
pressure on infrastructure, but also on many as a way to proudly display their social standing.
individuals with an increasing need to
stand out from the crowd. Power and Control
For product development, consider
The impact on consumer sentiment is nicely captured by one U.K. shopper: how you can help someone shine.
“Everything is about being the best you can be, so when you see something In India, where the young workforce
that is the best, that’s the one you want.” is particularly competitive, one man
told us that he would not hesitate
For healthy eating, it’s no longer about to “defeat” his friends in a work
restriction. People want products that environment. This is exactly why
talk about what’s included in them. AXE advertizes its deodorant under
The protein trend has been a very the heading ‘Don’t Fade Away’,
visible example of this. and why laundry brands promise Danone is helping people to activate, balance
and recharge.
brighter, whiter shirts.
For personal care, it means that
‘anti-aging’ is shifting towards So, consider innovation platforms that help people feel more powerful
‘youthful aging’, as more young and in control of their destiny. Platforms around mental alertness,
people adopt preventative aging physical resilience and skin radiance are a few of the endless possibilities.
strategies. It’s a narrative that extends
category appeal to Generation Z, who We predict an increase in product launches in this space and urge
are eager to preserve their ‘visual manufacturers to consider unlocking the sensory power packaging and
High protein yogurt. Creating superheroes.
assets’ across social media. products to drive home the perceived effi cacy of the proposition.

*Observed by Bain Consulting 2018
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FORCE #5 OBSERVATIONS | IMPLICATIONS | ILLUSTRATIONS