Your customers themselves define your enterprise, almost as much as your product line defines your enterprise. One-on-one, you may have thought about your ideal customer, what she's looking for and how she prefers to shop; and, although this knowledge gives you a way to focus your business identity and market niche, considering your client base on a broad scale creates a better opportunity for success.
Social factors consider your market as a group, how consumers are likely to behave en mass. Even though the sales transaction may remain a direct interaction with a single customer, the sequence of events that leads to that person's buying decision starts from a much broader scope.
Particularly in a retail world that is changing rapidly and bounding with new technology, social factors continue to affect your current and future success.
Defining Social Factors Social factors are influences that affect and define lifestyle, elements such as family, community, socio-economic status and religion. For a retail business, it's a perspective that goes beyond demographics, because it helps identify not only the people who comprise your client base, but also how they live, and how these factors may influence your relationship with them.
Social factors may influence business decisions such as what stock to carry, where to locate brick and mortar shops and how aggressively you pursue online selling options.
Increasingly prominent in today's internet economy, the role of influencers continues to grow. An update to the concept of word-of-mouth, these are the people to whom your client turns for reference. Primary influencers may be friends, family and co-workers, while secondary influencers can include clubs, religious organizations or sports teams, people with whom your clients see less often.
An influencer may or may not be a client of your business, and every client is a potential influencer. Since influencers can be online anywhere in the world, your market may be subject to social factors that are international in scope. Examples of Social Factors There's no standard list of social factors in general, let alone a specific list toward which a retail business can turn.
Your discretion dictates which social factors may be that most influential for your sales success. Even within a single company, social factors may vary between locations, such as affluent customers who visit suburban malls versus those who walk by downtown storefronts.
Even your web design may be influenced by social factors, as you strive to attract and appeal to the market segment that represents your ideal client base. Some examples of social factors that affect retail businesses include: Acceptance of internet commerce.I have added some examples of how renowned companies use the analysis.
Read below to see how social changes affect Pepsi Co and Nokia. Social factors which impact Pepsi Co. Analysis shows that social factors impact the beverage company greatly. The key reason behind this is perhaps that Pepsi is a non-alcoholic beverage.
It has to maintain . Do you think trends are important to us, or in our life? Do you think trends affect society today? question #3 Response "Yes, trends are important in our life. I think trends affect society because they give us new ideas. Nike is the #1 athletic store worldwide, and I think we are considered to be trendsetters.
Learning how these major factors shape trends over the long term can provide insight into how future trends may occur. Here are the four major factors: If government spending increases or. Jun 26, · Every business is influenced by social factors, a critical market analysis and strategy influence.
Retail businesses have a unique perspective on how social factors affect operations. Watch video · How social media influences food trends. She also emphasises the importance of companies factoring in social media at the very root of the supply chain to better understand what consumers want.
#4: Facebook Is Still Dominant. Despite all of the changes that continue to take place on Facebook such as Graph Search and hashtags, the number of users on Facebook is rising, giving marketers opportunities to interact with audiences in innovative ways..
Despite constant changes to the platform, Facebook remains top dog among social networks.