It took fifty years from the inception of the gas car before most of the world adopted it ultimately. While electricity was developed in the 19th century, it also took over fifty years to understand its implications in manufacturing and other uses, hospitals, education, and consumer products. Still today, one-tenth of the world's population does not have electricity, and they are predominantly in Africa. The commercial Internet that we use today was introduced in 1995. By the early 2000s, it was widely adopted in under a decade. Of course, 30% of the world still needs reliable Internet. Social media was introduced in the early 2000s, and by mid-2006, we were hooked. In 1993, 20% of households had a computer. By 2000, it was under 50%; in 2023, thirty years later, 93% of households had a computer at home, and about 89% had more than one computer device. Smartphones, Apple and Android came along in 2007 and 2008, respectively. The adoption of Apple accelerated by 2011, just four years after its introduction. Nine out of ten consumers, according to McKinsey, use digital payments. ChatGPT reached 100 million users within two short months of opening public access.
Where is all this heading, and who will benefit from it?
Consumers get what they want, and it's not bent by presentations trying to justify why they shop or what they want in a shopping experience.
Research is often a snapshot in time, and consumer preferences shift constantly. It is difficult to say that someone living in Florida will want all the same things as a person in Calgary in the summer. There are many variables influencing consumer behavior. Unfortunately, many of the presentations shared on customer needs and preferences tend to use the same sources, and the shared data is not always theirs. It creates homogeneity and can be so overused that ideas about customer preferences and their desire for experiences tend to be repetitive. So, if you wonder why some ideas don't fly, it's for that reason. We can all argue that it is valuable data; however, that all depends on how current it is. In addition, all brands have different visions, values, missions, cultures, products, or experiences, and only one will be number one and lead the category. They use their data to retain it, and AI can provide them with real-time information.
First, you must think like an entrepreneur, not a strategist, researcher, or marketer.
The AI Consumer Generation has been shaped by rapid technological advancements and an ever-increasing desire for greater productivity, performance, and gain in personal time for human leisure. Integrating artificial intelligence into daily life will have distinct expectations and demands on this technology. This AI generation will likely prioritize the following aspects of AI applications and services based on their development, needs, and ability to deliver those expectations proficiently.
We should look at this list first. It is not exhaustive, and secondly, look at it as an opportunity that many developers and business operators will be pursuing to find an advantage.
Personalization and Customization
Tailored Experiences: Consumers will expect AI to deliver highly personalized content, products, and services that align with their preferences, habits, and needs. This could range from customized news feeds and shopping recommendations to personalized health, fitness plans, and fashion consulting.
Efficiency and Convenience
Streamlined Interactions: The AI Consumer Generation will value AI solutions that streamline complex processes, simplify decision-making, and save time. This includes efficient customer service through AI-driven chatbots, smart home devices anticipating needs, and AI Personal Assistants managing daily tasks and schedules.
Real-time Assistance and Support
Privacy and Security
Data Protection: With increasing awareness of data privacy issues, consumers will demand robust security measures to protect their personal information. Transparent data usage policies and secure AI interactions will be critical.
Ethical and Responsible AI
Ethical Considerations: There will be a strong focus on ethical AI development, including concerns about bias, fairness, and accountability. Consumers will expect AI systems to be designed and operated in a manner that is legally, ethically, and socially responsible.
Accessibility and Inclusivity
Universal Access: AI solutions that are accessible and inclusive, catering to a wide range of abilities, languages, and cultural contexts, will be essential. This includes AI that can adapt to different learning styles and accessibility needs.
Engagement and Entertainment
Immersive Experiences: The AI Consumer Generation will seek out AI that enhances entertainment and leisure activities, from gaming and virtual reality to personalized media consumption. Therefore, keep thinking about augmented reality and the META verse. It got a little ahead of itself.
Continuous Learning and Improvement
Adaptive AI: Consumers will expect AI systems to learn from their interactions and adapt over time, offering improved and more relevant experiences without constant manual adjustments. Consumers will only accept services that meet these expectations.
Interoperability and Integration
Seamless Integration: AI that can seamlessly integrate with a wide range of devices, platforms, and services, ensuring a cohesive and uninterrupted user experience across different aspects of their digital lives.
Transparency and Control
Understanding AI Decisions: Consumers will want the ability to understand and, if necessary, challenge decisions made by AI systems. This includes transparency in how AI algorithms work and how data is used to make decisions.
Work and Opportunities
Artificial Intelligence and Robotics are not coming for your job. New jobs are always being created to support new initiatives. The task ahead for workers is to learn new skill sets that will be valuable. The competition will come from those with the necessary skills that companies seek. And to continuously upgrade those skills.
These represent just a sample of the many business opportunities and areas that will be identified and explored by startups and existing businesses to add new services and innovations to enhance customer experiences. And yes, AI will help organizations identify these opportunities more efficiently and effectively. Dealing with this unprecedented level of change will be something few can ignore.
As AI technologies evolve, so will the expectations and demands of the AI Consumer Generation. Companies and developers that focus on these areas will be well-positioned to meet the needs of this emerging consumer demographic, offering AI-powered products and services that align with their values, enhance their daily lives, and address their specific requirements.
George Minakakis advises organizations, their senior leaders, and board directors. He is a keynote speaker. A thought leader in creating stronger value propositions, leading change, the transformative power of artificial intelligence, and winning in foreign markets.
He is also a former senior executive with Luxottica and Pepsico, having been Country Manager and CEO in Canada, the USA, and China. He is also a trained board director and holds the chair position within an electric utility.
For inquiries, on his newest presentation "The Great Leap Forward" George can be reached at gminakakis@inceptionretailgroup.com