Understanding the Local & Global Agritourism Forecast: 11 Things to know about globally competitive business & thriving local economy.
The world has changed. And will continue to. Over the last decade, technological advances, economic distress, political power, and environmental concerns have affected who buyers are and what drives their buying decisions. Here are 11 trends seen across several global markets that influence the economy in Hawaii as an international destination.
Buyers & Buying Culture:
- Baby Boomers & Millennials
Millennials are sometimes referred to as the “Back to the Future” Generation. As in– the movie Back to the Future (1985-1990). This reference is in relation to kids that were born in the 80s & 90s. Baby Boomers are their parents.
This is the simplest way to explain how these two groups affect buying.
In general, baby boomers still have more money. They were raised to work hard and save and build a sense of financial security. So they did.
Millennials were raised to go to college, have dreams and start their own businesses. Most of them did, and many entrepreneurs came out of this generation. They were also afforded more opportunities to travel and explore different forms of employment.
In short, baby boomer parents still have larger bank accounts (cause they saved, and probably still do) but want to “support” their millennial children (who likely have not saved as much) and therefore the millennials become a guiding force for buying.
Here’s an example. If baby boomer parents have gone to Hawaii with their families every year for the last 20 years, their children (Millennials) have likely traveled on their own elsewhere (for school or leisure) & will consider other locations that provide similar experiences (weather, culture, luxury, activity), comparative price points and opportunities to gain knowledge as a form of gaining status even in regards to planning a family trip. This is especially more predominant, if they have already been to Hawaii multiple times and the millennials have their own children. They might suggest the Caribbean, Costa Rica, or other locations that are accessible. If these millennials have their own children (as most do) this will influence the buying of their baby boomer parents because “grandma & grandpa” will want to go wherever the grandchildren go.
See where this going….
Therefore, understanding who your buyers are and what influences them to buy is imperative when making business and marketing decisions. This component is applicable across the board. It’s not just a global thinking. It is happening locally everyday as well and many of Hawaii’s millennials are looking at outbound destinations to travel.
2. The Power of Small Business ON THE RISE
We recently attended a meeting with the CEO of Hawaiian Airlines and this is what he said “the ambitions of travelers are changing”. “ Take Paris for example, the number one destination in Paris has always been the Eiffel Tower, yet in recent research we have found that travelers are not “searching” the Eiffel Tower first, they are searching for a small café bakery tucked away amongst the streets of Paris that makes a delicious family recipe croissant fresh every day.” “ This tells us that these small mom & pop venues are what people are looking for now and the culture of this change is growing and great for small businesses.”
3. Boutique before Big Box
Everyday another small business is born and everyday buyers are looking for exclusive, unique, limited edition things to purchase. This can be said for online sales, pop up shops & events and brick and mortar locations. Bulk is mostly used to buy basic and familiar items. Boutique businesses have also created demand by “running” small numbers of product that can only be purchased for a specific time frame or while supplies last. This allows the business to corner their market.
4. Travelers vs. Tourists
A traveler wants to immerse themselves in to the experience of the place they are visiting. Authenticity of activities, food, accommodation and culture are high priorities for them that they don’t mind investing in (time & money).
A tourist separates themselves from the true sense of the place and engages in mostly planned out commercial concepts when visiting a new place. The sense of place is less important to them.
Tourists can often be converted to travelers with the right influence though 😉
5. High Tech & High Touch
With so many technological advances, social media, smart phones & devices, virtual accessibility etc. the need (and desire) for actual true human interaction is essential to good service and brand building. However, understanding that technology is a leading vessel in which people learn and gather information is also vital to business standard and competitive marketing.
Movers & Shakers: Trends & Growing Industries:
These next trends and industries are things to look out for. They are making impacts both locally and globally. Understanding the curve when it comes to “what’s coming” will help you brain storm ideas and possibilities in the form of partnerships, collaborations and product development.
6. Cocktail Culture:
Much the way the “Celebrity Chef” what created, soon will be the “Celebrity Bartender/Mixologist” And just like how a good Chef has a good Farmer, so will a good bartender/mixologist. It’s the natural progression for the farm-to table movement. Cocktails are foremost in dining experiences and good cocktails are giving food & beverage purveyors’ new opportunities to set themselves apart. That “specialty dish” that people will travel near and far for has now become a “specialty craft cocktail”.
7. Food Hubs & Seasonal Eating:
This trend is growing stronger in our Local Hawaii and Domestic American Markets, as many Countries around the world have been doing this for generations. Our economy and health have been drastically affected by the food we grow, consume and buy and more than ever, communities are looking for ways to keep their little parts of the world fed, watered and healthy. Looking at natural ways to farm and to seasonally source food are principal concepts to keep locations sustainable.
8. Cannabis Culture:
Medicinal Use for Cannabis has made strides across the U.S and recreational legalization is growing swiftly. This industrious product has already carved out international destinations, such as Amsterdam, Jamaica and Costa Rica. Many places across the globe have already used cannabis culture to generate revenue, provide healing and comfort and to pioneer diversified business. Regardless of view point, this industry is gaining leverage and is forecasted to have a strong impact on the legalized commerce through value added products, services and education.
9. Collaborative Consumption:
Business models such as: Airbnb, Turo, Netflix, Smart Car etc. have positioned themselves ahead of the game in relation to how consumers consume and what types of services and experiences they want and are willing to pay for. Many corporate strongholds have tried numerously to kill and/or deflect consumers from going these routes of “collaborative consuming or shared economy” but market share research shows that numbers are only growing for these types of templates. If there was ever any doubt, just think about Blockbuster Movie Rental that was blindsided and eventually became irrelevant by the creation of Netflix. No business is safe from changing times and new technology.
10. New Apps added everyday:
Piggybacking on Collaborative Consumption, in this era of technological advancement, new apps for smart phones and devices are created every second. Ways to make buying and paying as easy as a swipe and tap. Understand how new apps affect the selling, marketing, and image of your product so that you are not taken by surprise when new things are introduced to the Cyber world.
11. Remote Work Opportunities:
There are so many new opportunities for diversified jobs. E-commerce, web development, social media are just a few example of how people can work “from home”. And “from home’ can mean “from anywhere”. Today, there is a flourishing generation etched out jobs that don’t require you to “be there” and working from “a far” is possible and preferred.
