Deep Motivators & Consumer Roles in Russia

Deep Motivators & Consumer

Roles in Russia

Prepared by Higher School of Marketing and Business Development, National Research University – Higher School of Economics www.marketing.hse.ru

8 Consumer Roles for the Future

It’s all about the path

of least resistance Brand as a source of self-

awareness

Need for product quality

awareness

Aspiration for a solution to

express feelings towards

family

Aspiration for feeling

comfortable

Life is about ‘doing’

rather than ‘having’ Looking for advanced

solutions for active life

Careful mother and wife Curious buyer Brand lovers

Trend follower Experiential engagers Modern active person (live wire)

Impulse followers

Value chasers

Give me the best value

at the best price

Original infographics design by Soren Kaplan, www.Innovation-Point.com

http://www.innovation-point.com/




Careful mother and wife

Curious buyer

Brand lovers

Trend follower

A Russian woman's gender role is always connected with care of children, family protection, desire to feed family members and make sure that they are healthy. Being a wife and a mother, like in other cultures, a woman carries traditions. For a Russian woman it was always important to make her family members satisfied, which procured piece and stability at home. By being careful, a woman expects appreciation from her family members, which makes her confident that she is doing right. However, modern Russian women care about their authority and value. They understand that their health and appearance also add to a strong and stable family.

Desire to understand the ways a product can address a problem; a buyer tends to independently analyze product characteristics or obtain an expert advice. In fact, a consumer studies a product and defines the level of its value. It is great when a company supports such desire and provides the consumer with all required information about product quality and services. Comfortable communication and openness of the company - these are the key values for consumers.

A consumer's desire to follow market trends regulated by fashion became habitual for people in Russia. We wear clothes of fashionable colors and styles, buy furniture and select design for our apartments. The consumer's requirements to comprehensive quality services in on-line and off-line retail has become a trend since 2010. Consumers treat comprehensive services as a value they can get as loyal clients. The consumer's slogan "It should be convenient" results from consumer education by the best Russian companies in the industry markets.

The consumers' strive to follow ideas and products of favorite trend brands make them feel involved in the desired group. Virtually, owners of one brand products represent a brand family, which makes them confident since they share the brand values. Images and emotions they feel create positive mood and festive atmosphere.


Convenience, time saving, on-line and off-line availability of goods, emotion - these are the goals pursued by consumers. They prefer buying brands and products recognized by them or their friends, or getting advice thus they do not have to spend time analyzing products.

Thinking, demanding, curious consumers, who frequently have experience of shopping abroad. They understand that the advertising is aimed at making emotional anchors, but emotions are not longer enough for them. They are interested in something new and/or opportunities to get quality and long-lasting goods. They are ready to spend time surveying products and when selecting a brand they feel like getting a full range of such brand values.

Looking for a better solution at best price is a behavioral driver of these consumers. From 2008, Russian consumers understand that a good product can be available at low price, while special prices and promotions do not mean sale of damaged goods. With the acquired experience, this group also comprises a lot of consumers since the Russian consumers' values comprise savings on purchases and opportunity to once again persuade their family members that they care about their well-being and "scrimp and save".

This role unities several consumer groups with shared activity and health drivers. These may be professional sportsmen and parents willing their children to be sportsmen. All of them are ready to pay a lot for quality products. These are young people who follow a trend of active life, spend they weekend on bicycles, rollers, scooters posting their pictures in social networks. These are families, middle age and older couples choosing active leisure time depending on season.

Experiential engagers

Modern active person (live wire)

Impulse followers

Value chasers

Deep Motivators (Value Propositions) for the Future



Safety & Recognition Quality & Education

Communication & Best choice

Appeal & Self-expression

Activity & Health

Fashion & Confidence

Impulse followers

Value chasers

Value rewards

Convenience time

It’s all about the path

of least resistance Brand as a source of self-

awareness

Need for product quality

awareness

Aspiration for a solution to

express feelings towards

family

Aspiration for feeling

comfortable

Life is about ‘doing’

rather than ‘having’ Looking for advanced

solutions for active life

Deep Motivators (Value Propositions) for the Future



Safety & Recognition Quality & Education

Communication & Best choice

Appeal & Self-expression

Activity & Health


Impulse followers

Value chasers

Give me the best value

at the best price

Value rewards

Convenience time

Business Implications & Opportunities

Here are 7 examples of trends that highlight how leading-edge

companies are tapping into some of the deep motivators to innovate their

way to future success. As you review these, consider:

1. How might these trends apply in my markets and for my customers?

2. Which trends, roles, and deep motivators are most relevant for what we do

today?

3. Which trends, roles, and deep motivators represent opportunities for future

innovation – to tap into new customer segments or as the basis for new

products, services, processes, experiences, or business models?

4. What other trends in your own industry tap into the deep motivators, and

how can you use them as a source of innovation?

Health & Safety Key Targets: Careful mother and wife, Curious buyer

Health is 20 % driven by environment. Against the background of increased industrial and environmental risks, people are willing to protect themselves and their families. Every person has the right for healthcare benefits, safe labor conditions and living in an eco-friendly environment. The consumers' desire to independently control and establish healthy environment for their families and procure healthcare provokes active search for products and services in the market.

Health & Safety Mother and Child

Consumers appreciate reliable and high-quality

medical services; they orientate themselves well in

the market. When it comes to health, safety and

comfort are extremely important in Russia.

Physicians' qualification is highly appreciated,

innovative equipment is important. 'Expert and

Patient' model is a framework of the company's

communication strategy. To support this role

healthcare webinars with patients are held,

appointments are made. Also, patients see that the

company holds webinars for physicians, which

supports the company's expert position.

Mother & Child is a recognized leader in the

Russian market, offering private medical services

in the field of women’s and children’s health.

http://www.mcclinics.ru/about/markets/

Health & Safety Knauf

Proximity to customers, commitment to long-

term cooperation, education and consulting

services, professional services, accompanying

materials, products and systems to address the

customers' needs – that is the communication

model chosen by the company. A visual

customer communication channel comprising

video, play lists and forums, new development

conferences, training and consulting services for

professionals add to the customer education.

http://knauf.ru/

Health & Safety Avangard Professional and Outdoor Equipment

Safe and comfortable special-purpose

clothing for confident professionals. To

communicate this idea the company has set

up an Academy for free training of their

potential clients' buyers. The coachers are the

company's business line managers. A training

opportunity, varied program and multiple

events motivate potential clients. Such

interaction promotes communication of

product benefits and cooperation terms. And

the most important thing is that it builds up

confidence.

Avangard Professional and Outdoor

Equipment is a producer of special-purpose

footwear and personal protective clothing. http://www.avangard-sp.ru/

Natural Products Key Targets: Careful mother and wife, Experiential

engagers

Safety of consumed products is a long-lasting concern for consumers. This covers ingredients and GM products. This concern made consumers prefer the farm products, where animals are bred in natural environment and plants are free from chemical treatment. Being natural became vital not only for food, but for everything around people (construction and furnishing materials, appliances). In fact, this is a new established product segment with higher value.

Natural Products Setun

A focus on the woman's gender role - a husband

and children need to be well fed and happy - is a

usual marketing tool. The company supports a

woman in playing this role by offering meat ready-to-

cook products and new recipes. It is typical for

Russian families to spend time outdoors with friends

making barbecue, therefore an Outdoor Food

Festival is held to demonstrate meat products and

their quality. Meat producers also use incentive

programs (loyalty cards, discounts) offering rational

benefits to customers.

http://www.setun.com/

Natural Products Splat

No advertising is a particularity of the brand

promotion strategy. Brand consumers are

thinking, demanding, intellectual, cheerful

and curious people. To support

communication with such consumers the

company's head writes personal letters to

its clients. These letters are enclosed in

every product pack. During the entire

period, 84 letters were written. The letters

are of confident nature and clients respond

to them by sharing their ideas on the

company's web-site and in social networks.

SPLAT is a Russian developer and

producer of innovative professional oral

care products. http://www.splat.ru/

Digital: freedom & experience building Key Targets: Brand Lovers, Trend follower

An advanced Russian consumer has run a path from mobile phones in the early 1990s to the ecosystem of gadgets with a unified standard. Some consumers replace their push-button phones with smartphones only now, others live in a digital ecosystem, while experience and independent choice are crucial for everybody. Omni-channel for communication and retail is being actively developed in Russia. The companies approach consumers using any media from mobile Internet devices, PCs, television and radio to direct mail and catalog deliveries.

Digital: freedom & experience building Sela

Look books of clients wearing SELA clothes with

comments on the brand this is the framework of the

company' client communication strategy. A photo

session from the brand and an opportunity to show

off in branded clothes these are the goals many

people pursue. They share their pictures on-line

thus increasing the brand audience. But the brand

itself feels like being useful and communicates with

consumers holding social network discussions of

ideas for individual image creation using their

branded products.

http:// www.sela.biz

Digital: freedom & experience building MTS-retail

Consumers visit stores to get a certain type of

service; they are more and more service oriented.

Communication with clients to search for additional

service elements significant for clients allows the

company to stimulate consumers' migration from

mobile phones to smart phones. Thus, to retain

valuable information stored in phones the company

offers information copying with special software

directly in store and free of charge.

The company is focused on creating convenient

conditions for its customer and expects to convert

services into sales. Satisfied consumers can easily

part with outdated equipment – that’s what the MTC

Company advocates. It’s no wonder their slogan is –

«Always one step ahead!» http://www.mts.ru/

Digital: freedom & experience building KupiVip

Offering high standards of service and delivery,

cost reduction, a wide assortment, and genuine

brands - no fakes for fashionistas! On-line

Shopping club, where a membership required

an invitation from a friend, has quickly become

the most popular in Russia. Clothes, footwear

and accessories of well-known brands at

special prices attract women. A key driver is a

brand new service for consumers: branded

cars, qualified specialists delivering orders

convince clients that they are valuable for the

company.

http://www.kupivip.ru

Expert position Key Targets: Curious buyer, Impulse followers

Comparable products available in the market motivate consumers to thoroughly study offers. In many cases, buyers thoroughly study products prior to visiting shops. The customer experience in mature countries defines consumers' requirements to quality services. With the customer satisfaction index companies can drive their product preference.

Expert position Cordiant

The company’s objective is to train end consumers in

analyzing products on the quality threshold basis, that is, the

products being INFERIOR to that threshold, and the

SUPERIOR ones. The consumers need to understand that

they may still choose among these products, and below that

threshold it is not worth trying as the quality of the second

group is unacceptably low. By promoting the safety driver the

company may attract end consumers to the company's web-

site and social networks where they can get advice and see

the tire production process. Social networks, YouTube

expand the borders of traditional advertising and create the

brand scope. The company believes that investments in the

consumer education create a loyal customer. This issue is

addressed by Cordiant, Russian tire manufacturer.

http://www.cordiant.ru/

Expert position 36.6 Pharmacy Chain

36.6 Pharmacy Chain is well-known since it

was among the pioneers of service standard

development: qualified pharmacists,

convenient free product selection format and

nice atmosphere have created a loyal client

pool. Today, to acquire consumers the chain

maintains service standards offering special

prices, goods of the day, promotions and

other wide range of tools applied by product

supermarkets. http://pharmacychain366.ru/company/

Enjoy Key Targets: Brand lovers, Experiential engagers,

Impulse followers, Value chasers

A desire to enjoy life is essential. Customers are keen on enjoying not only use and consumption of products, but services and communication as well. It would be fair for customers to believe that producers are focused on making them happy and satisfied.

Enjoy Bacardi

Attraction of new young consumers with almost no beverage

experience to alcohol brands is the company's objective in

Russia. The whole range of consumer marketing

communications is applied to address the objective. Martini is a

trend brand among young women, therefore the brand line may

be extended. Global positioning of Martini 'Luck is an attitude' is

focused on self-sufficient young people for whom confidence

does matter. Martitni video is full of special atmosphere, drive

and a kind of not Russian. 'There is no any luck, there is the one

who creates it. Wait? Life is too short. I do not feel like waiting. I

am acting. Trying. Feeling. Discovering. Loving. Risking. Living!

What will I be? Where will I be? Who will be with me? I create

my own world. I create my own luck. The video launched the

consumer education program on on-line and off-line channels.

Sharing ideas, comments and pictures in social networks,

consumers' videos in video hosting and competition promoted

attraction of new consumers to the brand.

Bacardi, a global multi-brand company. http://www.bmrussia.ru/splash/

Enjoy Dikaya Orkhideya

Providing self-confidence to a woman who is

still young at heart (no age restrictions), a

woman who is both energetic and charming.

The network's slogan: "Dictate your own rules"

is applied by the chain offering trend premium

lingerie. The selfie is the trend used by the

company for promotion in social networks.

Comments and pictures posted by female client

support their desire to impress people. The

company also offers bonuses and special

prices for its regular clients.

http://www.wildorchid.ru

Enjoy ‘Krasny Kub’ (Red Cube)

A ready present ides on every occasion

and interior design solutions are the key

values offered by the company. Collection

of present ideas, joint creative activity with

Internet resource visitors allow the store to

create good mood, bright, highlight images,

interest and joy. Special on-line

competitions and personal presents for

children support the buyers' intention to be

regular customer club members and

participate in crowd sourcing projects. http://www.redcube.ru

Enjoy Rive Gauche

Convenient location and layout of stores, Internet

shop service attract consumers. On-line and off-line

product selection recommendations and

professional services in Rive Gauche beauty salons

provide for giving supported responses and

moderating professional forums. Testing of such

promotion tools as prizes for reposts in social

networks, advertising and others are focused on

improvement of on-line sales. Discount program

availability should persuade consumers to become

the company's clients. Rive Gauche chain is

focused on emotions.

http://www.rivegauche.ru/

Enjoy EDMINS

Propitiatory company's developments, products

made at the Russian factory following the

European standards, all these make the

company's products appealing for the Russian

consumers. Fashion products accounting for

trends, friendly shop assistants, shop design,

atmosphere, loyalty cards, promotions and

special prices, all these stimulate regular

purchases. And advertising again and again.

The company offers quality products at good

price and in modern package.

Promotions and special prices, all these

stimulate regular purchases. And advertising

again and again. http://www.edmins.ru/

Health living Key Targets: Careful mother and wife, Modern active

person (live wire)

Health is 50–55 % driven by life style. The relevance of healthy living is driven by the aggravated and modified environment people face as a result of more complicated social life and psychological types provoking negative health movements. Aspiration for health and keeping a family healthy motivates consumers to search for suitable food and activity solutions.

Health living Wimm-Bill-Dann ‘Traditional Mothers’ – a caring wife and mother represents

the heart of the home, bringing together all the members of

the family, creating comfort and a pleasant atmosphere at

home while going about her daily chores.

Wimm-Bill-Dann (PepsiCo Group) highlights identity and

naturality of its products thus turning to behavioral patterns

of Russian women. The focus is on a safety driver:

freshness and benefits of products, digestion and immune

system improvement, health friendly snacks. To launch the

driver the company applies a wide range of consumer

marketing communication tools, advertising, competitions

and quizzes, for example Chudo Yougurt promotional

campaign with the motto “Collect Chudo scores and get

presents”, forum discussions, etc. Buying these products,

women can be sure that they could win recognition from

their family members' whose health will be safe and sound. http://wbd.ru/

Health living Sportmaster

Behavioral features based on each person’s

or family’s lifestyle can be distinguished in

such elements as personal commitment, self-

assertion, the need to be protected, to control

life situations, to enjoy life, and to feel

acknowledged by your entourage. The

company helps consumers in caring about

their family members and get emotional

satisfaction. The knowledge library, advice,

ready solutions enable the company to get

client insights on- and communicate with

consumers on-line. During sports events for

all family members the company

communicates the brand spirit and supports

regular clients in their goal to be healthy and

active.

One of the company's slogans is

«Sportmaster makes sport accessible!» http://www.sportmaster.ru/

Traditions Key Targets: Careful mother and wife, Value chasers

Keeping a warm family environment is essential for women. A good family tradition to maintain mutual interest in efforts and success of every family member is underpinned by continuous sharing of professional matters, gained experience and important events. Today, the family hearth function is supported information and communication technologies.

Traditions Domashniy TV channel

'Domashny' 'Always for Women" is the first thematic

TV channel and Internet resource for women in Russia

- talk shows, TV series, actual discussion - everything a

modern TV channel can offer. The key company's idea

- involvement and communication. To involve female

consumers in communication the company applies the

full range of comprehensive drivers: social aspect,

investigation, excellence, safety. The services are

focused on communication. The services - dating,

Internet shop, forums, files, tests and many others. The

women get recommendations from TV and forums on a

variety of issues they can face (home and summer

cottages, food, entertainment, beauty and health). With

these insights women can show their family how caring

they are and win some recognition.

In fact, Domashniy today is an information and

communication resource for women of different age

and with different interests. http://tv.domashniy.ru/

Traditions Gracia

With the best price/quality ratio and continuous

product expansion, Gracia tights are among

leaders of the Russian market. Advertising

informs consumers of new collections, Internet

shop offers a wide product mix, and attractive

prices have set up a pool of satisfied clients

regularly using the company's products.

Traditional approach to product promotion

among traditionalist buyers approximating 40%

in Russia.

http://www.gracia.ru/

Consumers

roles

Motivators Opportunities Trends

Careful mother and wife

Safety & Recognition

• What can a woman do to show the care for her family and get recognition?

• What can she do to make her family safe and safety?

Health & Safety Natural Products

Health living Traditions

Curious buyer

Quality &

Education

• Change of values and priorities The company's responses to these changes in the consumer behavior / How does the company respond to these changes in the consumer behavior?

• Accelerated release of new products. The company's approach to educate consumers on the product and service quality standards / How does the company educate its consumers on the product and service quality standards?

Health & Safety Expert position

Consumers roles, Motivators , Opportunities and Trends


Consumers

roles


Brand lovers


• Focus on positive emotions and images demonstrated by consumers drives loyalty to brand

• How can changes in behavior of brand consumers be used in a digital environment?

Enjoy

Digital: freedom & experience

building

Trend follower

Communication & Best

choice

• How is consumer aspiration for

comprehensive services used? • What is a value proposition for

those who choose time-saving online shopping?

Digital:

freedom & experience

building

Consumers

roles


Experiential engagers

Appeal & Self-

expression

• How can consumer interest in innovative unrivaled products be used?

• What values can be proposed to modern consumers?

Enjoy Natural Products

Modern active

person (live wire)

Activity & Health

• How can consumer aspiration for

active living be used? • What is a value proposition for

consumers ready to use modern fitness gadgets?

Health living


Consumers

roles


Impulse followers

Convenience &

Time

• How can you make your offering the easiest to find, fastest to purchase, and quickest to get?

• How can you save the customer the most time throughout their entire experience with your product or service?

Enjoy Expert position

Value chasers

Value & Rewards

• What can you deliver that’s the

best value (benefits versus cost) compared to the competition?

Enjoy

Traditions


References

1. http://www.slideshare.net/futurewatch/team-finland-future-watch-what-makes-us-buy-and-why

2. http://www.mcclinics.ru/about/markets/ 3. http://knauf.ru/ 4. http://www.avangard-sp.ru/ 5. http://www.setun.com/ 6. http://www.splat.ru/ 7. http:// www.sela.biz 8. http://www.mts.ru/ 9. http://www.kupivip.ru 10. http://www.cordiant.ru/ 11. http://pharmacychain366.ru/company/ 12. http://www.bmrussia.ru/splash/ 13. http://www.wildorchid.ru 14. http://www.redcube.ru 15. http://www.rivegauche.ru/ 16. http://www.edmins.ru/ 17. http://wbd.ru/ 18. http://www.sportmaster.ru/ 19. http://tv.domashniy.ru/ 20. http://www.gracia.ru/

Research led and report prepared by: Higher School of Marketing and Business Development, National Research University – Higher School of Economics

[email protected]

www.marketing.hse.ru

Moscow - Russia

Icon by Prepared by Soren Kaplan www.innovation-point.com

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Deep Motivators & Consumer Roles in Russia