Monday, April 21, 2008

Nouveau Niche is the New Black


Today’s consumer has evolved from a consumer who is happy with the same product as everyone else. We now want to be an individual more than ever. We want products which are customised from a company or organisation which is transparent, products which cater to our needs and overall a product which is not for the masses (Trendwatching). Even I no longer want something that every single person has, although I must admit I have bought mass products like the iPod. However it is possible to customise the iPod and it is encouraged to do so. You can customise the songs in the library, have it engraved by the Apple Store or buy covers which range from clear all the way through to being studded with diamantes. You could cover it with stickers if you wanted to. We are a group which wants ‘mass by choice, not mass by scarcity’ (Trendwatching). That is why most products have at least one way of changing them to suit your needs and now we expect no less.


There has been a noticeably shift from mass to niche. This is nothing new (Trendwatching). However now there is the technology to tap into the thousands of niche markets out there (The Long Tail). Through the evolution of internet technology, these markets are becoming easier to break into. The internet has revolutionised media and how we consume things (Flew, 2005). Many opportunities have opened up and both consumers and producers are taking advantage of them. Producers can more easily communicate with customers through email or comments. Consumers are now savvier and more demanding in what they want – the internet has just emphasised these traits and has given the consumer a voice among the noise. We want the products we care about to reflect what we represent, whether it is by showing an association to a certain group or just expressing ourselves creatively. The mass marketing concept now only works for products which are not important, the everyday items which we consume without thinking (Trendwatching). We just do not want to be one of the masses anymore.


Next time you are out on the streets, take a look at the people walking past you. More than likely you will see a sea of consumers with products which have been customised, if not by the company but by themselves wanting to be more individual than perhaps the generations before them. From a pair of Chuck Taylors with Nikko scrawled across the canvas to a t-shirt with a home made iron on transfer to jeans which have been ripped and painted on – the reality of it all is that the mass market has disappeared and in its place are millions of niche markets just waiting to be catered. When I think about it, I wouldn’t have it any other way. We are turning into individuals and the organisations are recognising this – why would we ever go back to being one of the many?

Flew, T. (2005) New Media: An Introduction. South Melbourne: Oxford UP

4 comments:

Tash said...

I find myself agreeing with your entry overall in retrospect to culture beginning to shift towards niche interests instead of mass produced goods. I believe that this has partly been encouraged by the freedom of the internet, allowing us to access more content than what was previously available to us. Chris Anderson notes this in another article stating that the music industry has changed substantially since the 90s. Previously, record companies were able to tailor their audiences towards artists who produced ‘blockbuster hits’, however since many use internet software to find new and less known music, hits are no longer interest the public as much as before.

You also mentioned that people now prefer to customize their items, which is known as mass customization and personalization. There are now many customization websites which allow members to create their own content for clothing and other items. There are also considered to be many leaders in this field, who offer customization of numerous products for their users.

However, there are those who do not succeed from mass customization of their products. Cannondale, a bike company, offered millions of frame and colour variations for people to choose from, however this apparently did not aid the company which fell into bankruptcy later on.

Nevertheless, the niche culture that is emerging is growing continually and it will be interesting to see how other companies who have yet to harness this will adapt in order to appeal to the mass audiences.

ntl.mtchll said...

I also agree, not only are producers understanding the importance of a niche market, society is finally embracing individualism! I would just like to add that the advertising industry has also noted this trend
and are catering their campaigns to target the niche markets. Chris Anderson first started to explore niche markets with “The Long Tail” (Anderson, 2004). With 78 per cent of Australians connected to the internet (Internet World Statistics, 2007), online advertising has become a largely influential medium. Advertising agencies are encouraging clients to advertise online, specifically targeting niche markets. Websites are inherently niche; it is assumed people visiting surfingaustralia.com are interested in surfing.

Ideally, people would not see an advertisement which isn’t directly targeted at them. This is what niche advertising hopes to achieve; convergence has helped to make this ideal situation achievable. According to Bill Gates, in five years online advertising will generate $30 billion in revenues (Samuel, 2005, 10). Clearly, by investing time and research into ensuring the correct market is targeted advertisers can also benefit from nouveau niche.

References

Anderson, C. 2004. The Long Tail. Wired. http://www.wired.com/wired/archive/12.10/tail.html?pg=5&topic=tail&topic_set= (Accessed April 1, 2008)

Internet World Statistics. 2007. http://www.internetworldstats.com/pacific.htm (accessed April 19, 2008).

Samuel, G., 2005. Media convergence and the changing face of media regulation. http://www.accc.gov.au/content/item.phtml?itemId=684901&nodeId=0212f46ad15b025ea7430a1b127a988d&fn=20050519%20Henry%20Mayer.pdf (Accessed March 13, 2008)

Bianca said...

I definitely do agree with in that consumers are wanting their goods not to be mass produced – and if they are mass produced, to have the ability to be able to personalise it, like the ipod or the Chuck Taylor Converse. However, I do agree with Tash’s comment. She gives the example of the bikes that offered all different styles and colours, but the idea didn’t take off. Not every product can avoid mass marketing, and I suppose it would only be trial and error to see which survive.

I’d like to point you in the direction of this article (http://www.abc.net.au/catapult/indepth/s1468647.htm). It’s not really anything you don’t know, but another interesting article (not by Anderson, for once) about the nouveau niche.

Kat P said...

Cassie, I found your blogg a very interesting read pointing out many of the key elements which centralize the transition of society into a niche market. As you effectively point out in your blogg, it is evolution of the internet which makes these previously hard to reach paths so much more accessible. I myself, have first hand experience of this shift to the tailored market, through my evolving taste in music. Without the tools of the internet there is no way I would have the same interest in music as I do today. The way I have discovered most of favorite bands is through a process. I would hear songs through sites such as Myspace, enjoy the sound, and then looked further into their band for other songs as well as similar bands/artists. This online transparency prominent in the virtual world (Trendwatching, 2005) has exposed me to a new realm of artists and bands I had never heard of before, simply because they weren’t products of commercialization.

I also agree strongly with the points you made about the markets tailoring to the individual needs of consumers. You effectively describe the shift throughout the markets, with even mass products subject to individualization. Ipods, Myspace sites, Nokia handsets and Mini Coopers all provide options to be customized and personalized. (Trendwatching, 2005)

It is also interesting to note the point that Anderson makes in his article, The Long Tail, which discusses “many of our assumptions about popular taste are actually artifacts of poor supply-and- demand matching – a market response to inefficient distribution.”(2006) Now that we control what we can access through online sites, we are no longer products of mass distribution. We have the power.

Reference:
Anderson, C. 2004. The Long Tail. Wired. http://www.wired.com/wired/archive/12.10/tail.html?pg=5&topic=tail&topic_set= (Accessed April 2, 2008)

Trendwatching. 2005. Nouveau Niche. http://www.trendwatching.com/trends/NOUVEAU_NICHE.htm (Accessed April 2, 2008)