By Aparna Bharadwaj, managing director and partner, BCG, and Lauren Taylor, managing director and partner, BCG
Likewise, the vast majority of consumers — whether they live in Germany, Japan, or the US — will tell you they are "value-conscious." Yet when asked to name their most important needs when buying anything from a snack or beverage to a PC, value for money often fails to appear among the top three.Why are there these differences between what consumers profess and what they actually do? It's not that they don't care about the environment or value for money.
One key finding was that demographics and attitudes, while certainly important, don't satisfactorily explain choice. Companies must also consider how context influences the trade-offs consumers make during the moment of purchase or consumption. Otherwise, they risk leaving serious money on the table in target markets.
Context also influences how much they're willing to pay. Consumers were found to be more price-conscious when dining with children than when alone, for example. They tended to select higher-priced venues on a Saturday than on a Tuesday. This suggests dining brands should pay at least as much attention to the moment of consumption as to their customers' personalities.
BCG Yes & BCG! We put together this overview of 'The Context Problem' as it pertains to video here: