C3 Trends
Trends refer to the patterns of a range of factors in the environment in which a business operates. It is essential for a business to observe, understand and respond to these trends to remain competitive. They can be categorised into:
Economic trends
Market trends
Social trends
Economic Trends
Economic trends are the patterns and changes in the availability and flow of money in an economy. They indicate how a country is doing financially. This can have an impact on inflation, costs and the disposable income of customers and potential customers. Economic trends may include;
Exchange rates
Monetary policy
Fiscal policy
Supply-side policy
Stage in the economic cycle
Inflation
Unemployment
Balance of payments
Market Trends
Market trends are the changes in consumer preferences, behaviors and expectations as well as the actions of competitors in a marketplace. Businesses must continually monitor and analyse these changes as they can have a direct impact on the demand for their goods and services. Market trends may include:
Shifts in consumer preferences to more sustainable products
More diversity in communities opening up opportunities for segmentation.
Competitor actions putting pressure on firms to innovate
Developments in technology changing customer expectations in terms of e-commerce.
Google Trends may be a good starting point to explore
Social Trends
Social trends relate to the way in which people live their lives. This can have an impact on the products and services they buy or stop buying.
Social trends may include;
Attitudes towards saving and debt.
Attitudes towards social responsibility
Consumer tastes, trends and fashions.
Consumer buying habits
Population demographic changes such as birth rates and migration.
Career attitudes
Work-life balance
Google Trends may be a good starting point to explore.
