8 reasons why the experience economy is an opportunity for brands
So, what does it mean for product marketing? Perhaps you haven’t taken much notice of the experience economy, considering it largely irrelevant to your purpose. Well, we’re here to tell you that’s not the case. In fact, failing to position your product brand in the experience economy could be your biggest marketing mistake.
Here are 8 reasons why:
1. Modern consumers would rather buy experiences than material things
2. Experiences make people happier than material things
It goes without saying that making customers happy over time, thus increasing positive brand associations and benefitting from the halo effect, is the goal of any smart marketer. By creating experiences around your product you can escape the curse of adaptation and embed your product in your customers’ social currency.
3. Great service isn’t enough to give your brand the edge
In fact, the only companies that will exist 10 years from now, believes co-founder and CEO of AnyRoad Jonathan Yaffe, “are those that create and nurture human experiences. This learning and growth will come from maximizing opportunities, including the reinvention of retail spaces, new models of engagement, and an understanding of experiences as perhaps the most important form of marketing.”
4. Consumers want brands to offer inspiration and meaning
5. Framing your product experientially makes your value proposition clearer
Taking the time to consider what inspiration and meaning your customers seek, as well as conceptualizing experiences that weave your product into that narrative, forces product marketers to be crystal clear on your value proposition. What do you really sell? A product… Or the lifestyle and opportunities it offers?
6. Experiences increase anticipation and offer an added reason to buy
7. Experiences lower barriers to purchase and reduce buyer remorse
8. Experiences trigger word-of mouth marketing
Digging deeper into the subject of regret, it turns out we’re more likely to regret the things we have purchased, whereas we’re more likely to regret the experiences we haven’t had. Framing your product experientially not only weakens a potential barrier (anticipated regret of a material purchase), but also contributes another reason to buy (avoiding regret of an experience missed out on).