By Valeria Ruiz, Opus Connect

In the current market, consumption trends have moved beyond simple ingredient labels, with younger demographics prioritizing wellness, performance, and functionality in their purchases. These shifts in consumer behavior influenced by social media and celebrity endorsements, are part of a broader movement toward results-driven consumption.

Yet, this increasing focus on product efficacy has come at the expense of brand loyalty. Consumers are more likely to experiment with new brands, especially if they perceive better value or performance, regardless of prior allegiance to any particular brand.

On Tuesday, September 24th Opus Connect’s Consumer Investors Roundtable, moderated by Robert Gorin, Managing Director at Getzler Henrich & Associates LLC, brought together some of the sharpest minds in the industry to examine major shifts in consumer behavior and the evolving consumer preferences driving these.

The discussion was as dynamic as the market being discussed. For instance, one of the shifts discussed was the growing emphasis on clean ingredients and sustainability. However, attendees pointed out that these qualities are now seen as standard, rather than as factors that elevate a product.

Here´s a look at some key insights on trends and patterns in consumer behavior, brand loyalty, and customer engagement from the experts at Opus Connect’s Consumer Investors Roundtable.

Wellness and functionality in focus

At this edition of the roundtable, the concept of premiumization —where products with slight variations are sold at higher prices based on perceived value—was a key topic of discussion. For instance, in sectors such as skin care, consumers are willing to pay more for products that promise visible results, even when the differences between those products are minimal.

An anecdote from the roundtable compared two nearly identical versions of a collectible card game. One was marketed at a premium price simply because it included the possibility of a rare card. Despite the limited real value difference, the premium version outsold the standard one, underscoring how perception can drive consumer spending.

This premiumization trend is pervasive, especially in industries where branding and perceived functionality—such as skincare or beverages—are key drivers of higher pricing strategies.

However, the roundtable cautioned, that the challenge for brands lies in maintaining this balance between perception and real product efficacy, especially as consumers become more discerning about value.

Technology to drive consumer perception and value

A major focus point was the role of technology in engaging modern consumers. AI and data-driven marketing are becoming crucial tools for companies to better understand their audience and target them effectively. Yet, many companies are still grappling with how to fully integrate these technologies into their marketing strategies to retain customers and increase customer loyalty.

With a wider range of options and more platforms for visibility and competitive pricing, customers are now spoiled for choice across the board. This has led to a decline in brand loyalty, as consumers tend to be more experimental in their choices, and are willing to experiment with new and niche brands.

The conversation emphasized the difficulty in aligning marketing choices with the customer preferences of the target audience, especially when relying on diverse platforms and influencers to build brand visibility.

This highlights the importance of selecting channels that resonate deeply with the intended customer base for better results in engagement and sales. Data-driven technology tools for better analyses of brand preferences and consumers’ shifting focus and interests are invaluable in formulating business strategies to create brand value.

Role of AI in modern consumer engagement

Artificial Intelligence (AI) has affected most industries and this is no exception. AI allows for more precise customer segmentation and can help brands tailor their messaging to specific groups. It can be an extremely effective tool in creating and executing marketing campaigns, drastically reducing timelines and streamlining processes.

But the strategy will still need to have a human element. Consumer preferences and trends are a constantly changing landscape and AI algorithms can only go a part of the way in predicting these.

Some roundtable participants shared their experiences with AI technology, noting both successes and false starts. In one case, a company’s marketing efforts spanned a wide range of channels, from country music to various celebrity endorsements, reflecting the challenge of identifying the most effective strategies for customer engagement.

Balancing innovation and shifts in consumer behavior

However, as the roundtable highlighted, the key to success lies in balancing tech-driven strategies with traditional marketing instincts. Companies must focus on genuine engagement to attract loyal customers rather than relying solely on metrics or gut instincts.

Ultimately, the discussion underscored the evolving nature of the consumer landscape. Brand loyalty is no longer a guarantee, and the key to maintaining consumer interest lies in providing real, measurable results. Whether it’s through premiumization, effective use of technology, or the delivery of authentic product performance, companies must adapt to meet changing consumer expectations.

The roundtable ended on the note that the future of consumer engagement depends on blending scientific results with intelligent marketing, ensuring that companies can offer more than just brand recognition. Authenticity, supported by real data and performance, will be the defining factor in sustaining consumer loyalty moving forward. 

Join us at our upcoming events to be part of these timely and engaging conversations with experts from the industry sharing their unique insights! Check out our calendar here or contact us for more information at valeria@opusconnect.com