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Report Transcript

The following report will traverse the digital realm of


marketing and the world we may be living in 10 years
from now. Utilising methods in trend forecasting,
world-building, identification of future challenges and
opportunities, in-depth analysis of critical areas
across the digital landscape, diagnosis of Habitat as
a brand and relevant data collection, a cohesive
understanding of the future will culminate to create an
effective and considered creative strategy for Habitat
to successfully execute.

Upon analysing the customer profile of Habitat, it's


evident that they have a large customer base and
don't fixate on a particular demographic they feel as
though it is more based around your "state of mind".
Knowing that Habitat's general consumer is either a
Seeker or Activator in terms of the VALS framework
(Maslow, 1954) helps us to gauge the fact that they
thrive on experimentation, individuality and
innovation, a very useful trait in a modern world that
is moving rapidly. Both of these VALs consumer
profiles coincide perfectly with a business plan that
involves a lot of digital innovation and forward-
thinking methodologies.

We now know that Habitat is seen as above average


so there is a level of expectancy from the consumer
that the brand continues to maintain these standards,
which ultimately points towards the fact that
adjusting to the modern era is vital to owning the
desired space in consumer's minds, otherwise there's
a chance that you will be overshadowed by a
business that thrives on innovation. This is
showcased perfectly by Amazon, “They’re never
satisfied, never standing still. They’re always asking
‘how can we do it better?’ They’re constantly driving
improvements in what they do and through that,
creating growth,” says Arabel Bailey, lead of
Accenture Digital UK.

The UK furniture market is highly saturated with 8,707


furniture UK manufacturers (British Furniture
Confederation, 2018). Calling for differentiation,
ensuring the brand remains vivid in the consumer's
mind. With a revenue of 43.4M GBP in 2019 (DueDil,
2019) in a homeware and furniture market worth
6,524M GBP (Statista, 2019). They have a market
share of 0.66%. Introducing innovative technology
will see that percentage rapidly rise. Brands like IKEA
and BoConcept are seeing the best years in their
companies history, the fact both brands thrive on
innovation and tech goes to show what is required to
continue growth.

Increasing the level of engagement with consumers


will make them feel more inclusive with the brand and
'heard'. 'How-to' and knowledge transfer content will
engage and cater to the needs and wants of the
customers, plus the utilisation of correct influencers
and ambassadors will add more viability and
exposure to Habitat, linking back to the idea of brand
positioning.

With the growing threat of new and innovative brands


swooping in and stealing customers, current brands
need to adapt, innovate and adjust to coincide with
the mutating market. One of the key catalysts to this
progression is technology, finding new ways to utilise
tech will prove to be pivotal to the growth potential
and futureproofing of Habitat. A study by PEW
Research found that "six in ten people (59%) feel that
technological advancements will lead to a future in
which people’s lives are mostly better" (PEW
Research, 2014) which goes to show that general
consumers can see the positive consequences of
tech.

Social media started as a platform to form


connections with like-minded users, creating friendly
communities built upon common interests and topics,
perfectly showcased by the humble beginnings of
Facebook. Fast-forward to today and everywhere you
look, there are sponsored ads by every company you
can imagine, an egocentric aura surrounding the
people that now use it. Customers now expect,
somewhat demand, an instantaneous experience full
of choice and convenience. To progress, Habitat must
provide the customer with an experience that has all
of these vital traits in mind, technology will ensure
these targets.

A common theme has formed from these results,


technology. When asked if they view Habitat as
innovative, 59% of people said no or that they didn't
know, technology and social media were the 2 main
responses for how to become a market leader and
the qualitative responses on their views of Habitat
that were negative, all suggested innovation. The
outcome of this is obvious, Habitat needs to
introduce innovation to progress efficiently.

The most influential and forward-thinking design


school in the 20th Century.

Founded by Walter Gropius in 1919, with the idea of


bringing all factions of creativity under one roof -
painting, architecture, furniture design, typography.

The bauhaus DNA lives on in modern-day design and


was revolution in the early 20th Century, Neuhaus will
be the revolution of the 21st Century utilising
modern-day technology.

The list of problems within the retail industry has


begun to raise a lot of questions amongst people in
and outside of the commercial stratosphere, with the
UK Government committing to achieving the UN’s
Sustainable Development Goals (SDGs) in 2015,
businesses need to adapt to receive support and
acclaim, as well as ultimately remaining successful.
The driving force for the 'Neuhaus' innovation is the
fact that 30% of online furniture is returned (Invespro,
2019), the opposite of a sustainable model for both
business and consumer alike, it takes a catastrophic
toll on carbon emissions, wastes time for everyone
involved and is a problem that can be resolved if the
power of technology is harnessed correctly.

Neuhaus will allow the customer to experience what


their new home would look and feel like, using cutting
edge holographic, AI and AR technology to ensure a
full comprehension of the new space, before
spending any money. Alleviating the need to return
unwanted products because, in theory, the customer
has already experienced the item in their space. A
sustainable business model that exerts a good
corporate image and positive brand positioning.

Mainstream media is stricken with warnings about the


environment and huge movements such as Extinction
Rebellion have taken centre stage, working to sway
the opinions and values of the general public. The
quote above perfectly outlines the changes that are
happening, eco-conscious consumers are becoming
the norm, and the same should go for businesses,
hence the innovation that needs to be introduced at
Habitat to coincide with the modern consumer.

The "number of homeowners carrying out home


improvements rather than moving increasing five-
fold" (Independent, 2018), making it evident that the
home improvement market is expanding and
consumers are crying out for a seamless experience
in doing so. The growth has led to a huge resurgence
of renovation, with multiple tv shows such as Sarah
Beeny's: Renovate don't Relocate and Grand
Designs being a massive hit in the UK.

Neuhaus comes into the market as a category 1st for


the factors on offer. This allows us to position the
brand where we want in the consumer's mind,
promoting differentiation and the multiple USPs;
professional standard of design for general
consumers, 3D immersive experience, AR, AI and VR
technology and sustainability-focused. Neuhaus for
Habitat dictates the new market.

This Framework intends to make sure all targets,


goals and innovation aligns with the top-line vision for
neuhaus to create a seamless experience, which
empowers the customer to browse, design, visualise,
asses and create, whilst promoting sustainability and
reducing waste. With quantifiable KPIs, customer
feedback and the progression of needs and wants of
the consumer in a given period is vital and also helps
to create a brand DNA that is strong throughout and
recognisable.

The demo below will give a snapshot insight on the


overall experience of the app. It has a community
function in the inspiration column to promote Peer-
To-Peer (P2P) advice from customers, a scan section
where you can reimagine your space using VR and a
design area where AI will suggest different products
based on colour, space, positioning, price range and
this list is not exhaustive.

Consumers won't be completely aware of the


capability and usability of VR, AR and AI, as well as
the software being a Category 1st, meaning initial
marketing will be catered to knowledge-transfer,
helping the consumer understand the viability of the
product and its 'ease of use'. Fulfilling consumers
with knowledge will, in turn, fill them with confidence
to buy into the product and generate a buzz and
excitement surrounding the brand.

A strong reference to this idea of Knowledge Transfer


in marketing is showcased perfectly by Patagonia,
who wanted to inform consumers about our
environmental repercussions. This will exercise to
consumers that Habitat as a brand is aware of the
environmental, economical and societal aspects of
the modern world and what can be done, resulting in
positive brand positioning and very strong CSR.

The high level of technology in 'neuhaus for Habitat'


is anticipated to put some consumers off. Having in-
store and trade show demonstrations of how easy
and seamless the product is, will put some
consumers at ease and give them confidence to try
the product.

Video content via the 4 strongest social media


platforms for Habitat; Facebook, Instagram, Pinterest
& Youtube - 62% UK Market Share - (Statista, 2019)
plus the Habitat blog. The videos will be a mix of
informational content, explaining the product and
how to use it, making the idea of using the product a
lot more digestible for consumers who are
apprehensive of new tech.

Focusing some knowledge transfer content on the


sustainability aspect of the brand will also be
beneficial for brand image and voice. Informing and
teaching the consumer about 30% returns of furniture
in the UK and the effect that wasted logistics can
have the world will do 2 things; Identify the problem
and provide a solution. The emphasis of these
problems will bode very well with the consumer of
2021, considering that the 2021 overview found that
'88% of consumers think that the top goal for brands
should be protecting the environment'. A company's
image is going to be strongly influenced by their
sustainable efforts, once again tying in with Habitat
needing to make deliberate efforts to improve their
CSR.

The top and most important part of the marketing


funnel is awareness; without anyone knowing who
you are, there is no market, which means no sales.
Being a Category 1st, not only gives the opportunity
of disrupting the homeware and interiors market, it
allows Neuhaus to dictate where the brand is
positioned in the consumer's mind, the desired image
is professionalism and reliability.

Partnering with TV series Grand Designs promotes


the idea of renovation instead of relocation, as well as
showing the consumer the process of neuhaus,
giving insights on the beginning, middle and end of
the entire process, portraying the 'ease of use'.
Moreover, having the software showcased on such an
exposed platform will increase brand interaction and
grow the customer base which, ceteris paribus, leads
to profits.

Coinciding with a PR Campaign to get the product


and brand into home, design, architecture and tech
magazines, online and offline, to reach all types of
consumer. Publications such as Architectural Digest,
Ideal Home, Country Home, Hypebeast and Dwell. A
network (Fig. 11) has been conceptualised using
Fashion Monitor for the most effective and relevant
publication contacts.

Neuhaus will continue to innovate throughout the


entire 10 prospective years - requiring knowledge
transfer to be in full force - but the general idea and
regularity of technology by 2025 (Deloitte, 2019) will
ultimately mean a higher percentage of consumers
will be able to 'digest' the idea of Neuhaus, hence
Neuhaus now being positioned within the Late
Majority section.

With a smartphone market share of 48.5%


(Investopedia, 2019), Apple are on the borderline of
having a monopoly of the market. One of the main
reasons for this, their effervescent remodelling and
updating of their product, which shows that they're
ahead of the curve and innovative, generating
excitement for what's next and remaining relevant,
neuhaus will do the same.

Virtual influencers and assistants will be adopted by


the mainstream by 2025 (Gartner's Hype Cycle),
teaming up with the likes of 'Lil Miquela' is innovation
in its own sense. Being able to render virtual
influencers in digital Neuhaus environments will
showcase both the design capabilities of Neuhaus, as
well as keeping up with the latest digital trends, this
will be released as video content on social media and
the Habitat website, to maximise engagement.

Marketing will have the capacity to be a lot more


immersive, instead of viewing and consuming
marketing, future technologies will allow you to
experience marketing (Statista, 2020). Neuhaus will
create an immersive digital environment in which
consumers can socialise, view products, attain
inspiration and experience the new digital age. P2P
aspects can also be incorporated into this
environment, allowing customers to 'welcome' peers
to view their digitally rendered space and gauge
inspiration or advice, adhering to the needs and
wants of the 2025 customer (Fig 12).

New tech from Neuhaus in 2025 will allow the


consumer to scan walls for pipes and wires (Gartner's
Hype Cycle). This will mean consumers are more
protected when recreating their space.

Marketing will be a 2 step process. Identifying the


problem: BRITS PAY £34bn A YEAR TO FIX THEIR
DIY MISTAKES - which shows that neuhaus is aware
of societal, economic and environmental problems -
followed by marketing the new problem-solving
software in the form of video content on social media
and the website, as well as digitally rendered tutorials
in the neuhaus digital space.

The projected burst of innovation in 2030 (Gartner's


Hype Cycle) means consumer understanding of
technology would have done a full circle, referring to
the theory of the Technology Adoption Life Cycle
(Bohlen, Beal and Rogers, 1957), meaning that
knowledge transfer is yet again essential.

Loneliness is predicted to be at the level of a


pandemic in 2030. Being in a personalised, safe and
revitalised home environment can help someone
lonely to feel more secured, as well as comfortable.

The innovation and regularity of 'phygital' retail,


loneliness could be combatted by the augmented
social environments. Allowing the consumer to
interact with 'digital twins' and also draw inspiration
from other people's digital space (P2P Advice) could
work very effectively as a healer for loneliness. Having
people immersed in a digital environment, where they
can invite friends and socialise is an entirely new form
of marketing.

Neuhaus could act as a catalyst for a new era of


augmented and palpable social media.

Considering their level of charity, they average a


revenue of around $67.7M a year (Owler, 2020),
showing you can be ethical, sustainable as well as a
successful business and they constantly receive good
press, which is free marketing in itself. This is
something Neuhaus could tap into, considering the
top-line vision revolves around sustainability.

Denser populations means people and organisations


will have to look to be more efficient and effective
with the space that they have.

Neuspace will work on the same premise as Tom's


One for One scheme. For every full re-design sale
made using the Neuhaus software, the Neuhaus team
will create a design for a social space (vertical farm,
community space, local-agricultural space, hostel,
etc...) for free as well as all the furniture being bought
a heavily discounted price.

This scheme doesn't just mean Neuhaus for Habitat


is giving back to communities and making the UK a
more sustainable place, it also helps with brand
positioning and image, placing Neuhaus much higher
up on the sustainability chain than before.

The amount of good press that Neuhaus would


receive is immense, which is a form of marketing in
itself, making the slightly slimmer profits made for all
these projects worthwhile in an economical sense, as
well as a social sense. This scheme aligns with future
challenges as well as epitomising the top-line vision
of Neuhaus for Habitat.

In summary of my findings, it is plain to see that we


are living within turbulent and somewhat
unprecedented times, with the marketing landscape
being completely turned on its head since the recent
introduction and innovation of both social media and
technology, proving to have the potential to work in
unison, creating a new stratosphere of marketing and
consumer experience, most notably, the innovation of
PHYGITAL spaces and the capabilities of 'Digital
Twins', blurring the line between reality and digital.
For Habitat to remain relevant and successful in these
effervescent times is the continual development of
products and marketing, accompanied by continued
knowledge transfer and informing the consumer of
the benefits they have on both them and the world
they live in, a topic that is going to be on the lips of
nearly every consumer as we near 2030. Innovation is
key to success for Habitat.

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