Do you need to know the latest consumer spending behavior in Indonesia, Pakistan and Nigeria?

Probably not a lot of those addresses on your donor list … nor on any mailing list!

But as it happens, by 2025 these three countries will be among the top ten countries on the planet that are home to ‘connected consumers’, joining the more expected likes of the US, Germany and Japan, the only ‘mature’ economies that will remain in the top ten.

What’s a ‘connected consumer’ and why should you care?

‘Connected consumers’ exhibit all five of these characteristics:

• They have access to the internet.
• They have a significant amount of discretionary income.
• They willing to spend a lot of their discretionary income.
• They prefer premium goods and services when they can afford them.
• They seek to be on the cutting edge of consumer trends.

According to this Harvard Business Review article, this is the group that will power consumer spending growth over the next decade — rising from 19% of the global population to 37% by 2025 and accounting for over half the world’s consumer spending by then.

Perhaps surprisingly, in the US, where internet access is almost 90%, only 36% presently meet the criteria of ‘connected consumer’.

The HBR point is … these are the wallets that will fuel the preponderance of consumer spending going forward. And this is a consumer segment that revolves entirely around digital. Says HBR, ‘connected consumers’ are the “early adopters of new ways to buy in any category. In financial services, for instance, these ways are the newest cashless payment methods or mobile banking products.”

The message for marketers — including fundraisers — is simple: make e-commerce as easy, fluid and flawless as possible, and learn how to target effectively with online and mobile messaging.

That’s why I think it’s important to appreciate ‘macro’ trends in consumer behavior.

Fundraisers — all of us together — are barely a tiny dinghy bobbing along on an ocean of consumerism. We’re not going to influence the currents or tides; we’re just along for the ride. And we must trim our sails accordingly.

So think about how much — or how little — of your donations today arrive online, through EFTs, via mobile etc. Are you measuring that? Do you have goals for growth? Do you have a specialist (or access to one) who understands the tools and technologies and how to use them optimally in the fundraising context? Are you committed — I mean tangibly — to learning and investing in this area? How well is your digital outreach and messaging integrated into the rest of your organization’s communications?

Your organization’s digital literacy and prowess will increasingly define your fundraising success, whether you raise money in Los Angeles, London or Lagos.

Tom

P.S. Were you hoping for something more practical? OK, sticking with today’s theme, check out Angie Moore’s The Importance of Online Giving Options.