First-up, this post has nothing to do with Harry and Meghan. You see, there was another high-profile royal event that occurred in 2018 (just not as photogenic) and it’s being hailed as the reason for a “patchy” Christmas retail period.
Last year’s Royal Commission into Banking has been blamed for a poor retail period over Christmas. The commission is thought to have led to a number of macro-economic slap downs… House prices are down across the country. Consumer confidence is down, with pessimistic consumers outweighing optimistic ones, according to the Westpac-Melbourne Institute Consumer Sentiment Index. And to top it off, footfall in shopping centres was down by a whopping 23%!
The repercussions of a tough Christmas will likely be felt throughout 2019 and the ripples may go beyond retail too. We’re not pessimistic and we’re certainly not about to make any economic predictions, but the reality is, no matter how 2019 plays out, many established businesses may need to deal with an uncomfortable reality: Get more revenue. From fewer customers. Who are spending less.
Yes, it sounds like an oxymoron, but it’s a wicked problem that will need some solutions. There will never be a silver bullet solution to this conundrum, but there will be a lot of tactics that, when unified under a clear strategy, will extract greater whole-of-shopper value. For our part, Sonder helps to extract value from a shopper’s eyeballs, or more precisely, their attention. You see brands pay for attention and (arguably) the best time to get a person’s attention, is the moment they’re making a decision that intersects with a brand. Which is why retailer owned media is often so powerful and such an undervalued connection point. Monetising owned media is about monetising your customers attention in a sensitive, respectful and sustainable way.
You don’t need a royal commission to understand the value of owned media and you don’t need Meghan Markle to make it look attractive. Owned media leverage is one way to extract more value from your customers, improve customer experience, drive your business and that of your suppliers. It’s one tactic in a strategy to extract greater whole-of-shopper value.