Consumer experience and expectations
SUSTAINABILITY has become a critical focus for businesses worldwide in today’s rapidly evolving business landscape. A sustainable business goes beyond merely adhering to ESG regulations; it involves a comprehensive understanding of consumer behaviour.
This shift in consumer behaviour has inspired businesses to innovate and embrace more environmentally and consumer friendly approaches.
Many businesses which prioritise sustainability are discovering that it not only improves their environmental and social impact but also strengthens their brand recognition and overall profitability.
As Malaysia continues to grow and develop, incorporating sustainable practices will be critical to ensuring a resilient and prosperous future for both businesses and society. Think B-I-C-C for a sustainable business.
B — Businesses that Exhibit Corporate Social Responsibility
Modern consumers are increasingly concerned about social and environmental issues. Businesses that exhibit care for human life and the environment earn greater consumer trust and loyalty.
Tupperware bottles are a favourite choice among consumers in Malaysia because they are made from BPA-free plastic. Tupperware avoids using BPA for hardening its products, ensuring that their bottles are toxin-free and safe to use.
Additionally, Tupperware believes in saving Mother Earth from further pollution and committed to environmental sustainability, producing eco-friendly bottles designed for long-term use that help reduce waste pollution.
This commitment to social responsibility and the protection of human life enhances consumer trust and drives business success.
Another obvious example, the increasing demand for EVs around the world illustrates how consumers respond positively to products and services that prioritise the wellbeing of people and the environment by helping to reduce carbon emissions.
I — Innovation to Meet Consumer Expectations
Businesses must embrace new technologies and innovations to remain competitive and satisfy evolving consumer expectations. The phasing out of Kodak and Nokia, which failed to respond to rapid market changes, underscores the necessity of innovation.
In contrast, the emergence of the iPhone revolutionised the market by integrating communication, work and entertainment into a single device, setting a new benchmark for consumer convenience and technological integration.
With the widespread use of smartphones today, it is evident that advertisements are shifting from traditional television to digital social media platforms such as TikTok, Instagram and WeChat.
These platforms utilise big data and AI to cater to younger consumers who value personalisation and digital engagement.
By adopting eco-friendly digital practices and maintaining constant engagement through digital channels, businesses can build loyalty and trust, ensuring long-term success in a competitive market.
C — Consumer Experience
One of the crucial factors in business sustainability is the ability to embrace and meet consumer expectations. In Malaysia, this has become increasingly evident as consumers seek more accessible and efficient shopping options.
While large hypermarkets continue to thrive, the rise of mini marts such as Speed 99, Family Mart, KK Mart and Mr D.I.Y. demonstrates the importance of convenience in consumer purchasing behaviour.
These mini marts cater to consumers’ need for easy access to daily necessities, providing conveniences including ready-to-eat meals.
Family Mart has grown in popularity in Malaysia by offering not just groceries but also a variety of quick food options, making shopping more convenient for busy consumers.
This approach is similar to 7-11’s long standing popularity in Taiwan, where the brand is renowned for its extensive food offerings and convenient store experience.
Consumer experience is important; it’s not just about the brand, but also how consumers feel and experience with it.
For instance, Hai Di Lao steamboat has gained popularity in China and Taiwan, and more recently, Malaysia due to its high-quality services, providing an exceptional dining experience that customers appreciate deeply. This focus on the consumer experience is a key driver of brand loyalty and satisfaction.
Another example is Starbucks, which is believed by many as offering a comfortable working environment rather than a coffee-selling cafe.
A sustainable business must be agile in responding to consumer behaviour and expectations, continuously innovating to suit their needs and improve their experience.
Businesses that prioritise convenience and excellent consumer interactions can foster long-term relationships with their customers.
C — Collaborative Strategies for Enhanced Convenience
In addition to innovation, strategic collaborations between businesses can significantly enhance customer experience and convenience.
In Malaysia, collaborations between petrol stations and food and beverage business such as Dunkin’ Donuts, Starbucks, Tealive and many others have resulted in a mutually beneficial partnership.
These partnerships offer consumers with a convenient rest and shopping atmosphere, which has been well received in the market. It draws not only drivers but also coffee and food lovers, increasing overall foot traffic and sales.
Besides, partnering with established brands can enhance the market visibility of a business and achieve an effective cost sharing with diversified revenue streams, making the business model more sustainable.
That is also one of the main reasons traditional or classic convenience stores are phasing out mainly due to their inability to adapt to market trends and consumer preferences.
For instance, Grab’s stake in Jaya Grocer aligns with the growing demand for online grocery shopping, ensuring the business stays relevant.
Think B-I-C-C. A sustainable business truly understands consumer behaviour, especially the increased emphasis on social and environmental concerns.
Such businesses strive to reduce their negative environmental impact while prioritising the well-being of people.
They are aware of and respond rapidly to market developments by offering innovative and high-quality goods and services.
Automated goods and services may be a forward-thinking trend and way forward that exceeds and increases consumer experience.
Hence, businesses must stay resilient to rapidly changing market conditions and always be alert of shifts in consumer expectations while addressing environmental and social obligations.
These factors serve as the foundation of a brand’s value proposition and a sustainable business strategy. Even though many other factors might have an impact on business sustainability, addressing consumer needs and expectations is always crucial for traverse uncertainties and achieving long-term business success.
● Tan Wae Leng (Managing Partner, Chengco Plt – Chartered Accountants) HDR Candidate, Swinburne University of Technology Sarawak Campus
The views expressed here are those of the writer and do not necessarily represent the views of the Sarawak Tribune.
