The Cultural Creatives by Paul H' Ray

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The Cultural Creativesby Paul H. Ray

• Based on 15 years of research
• 150,000 (cum.) people surveyed
• 500 focus groups
• 60 in-depth, 4-8 hour interviews on life
  histories

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THE CULTURAL CREATIVES50 million in United
States 26 of U.S. Adults80-90 million in
European Union 30-35 of E.U. Adults
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THE CULTURAL CREATIVES Total Disposable Income
(After Taxes) 1.2 TrillionUnited States
Population, Year 2000
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What About the Future?CCs Past Growth Rate
1-2 per Year for 40 Years.

• IF they develop a collective identity...
• IF their values beliefs publicly visible
• THEN, many Moderns would join up, and CC growth
  would accelerate
• Cultural Creatives could be half the U.S. in 10
  years.

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THE CULTURAL CREATIVES Driving customer force
of the LOHAS IndustriesLifestyles of Health
and SustainabilityUS LOHAS Sales2005 est
480BWorldwide Sales2005 est 800B
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THE CULTURAL CREATIVES

• US LOHAS Industries in Year 2000
• 1. Ecological Lifestyles 81.2B
• 2. Sustainable Economy 76.5B
• 3. Alternative Healthcare 30.7B
• 4. Healthy Lifestyles 27.8B
• 5. Personal Development 10.6B
• Total 226.8B
• Source Natural Business Communications

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ValueGraphics

• Values and Lifestyles Segments from Cultural
  differences
• NOT Psychographics or individual differences
• Cultural Creatives an emerging subculture, with
  all psychological types smart/dumb,
  inward/outer, good/bad, enlightened/regressive.
• As distinctive as French Canadians in Quebec

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ValueGraphics

• A Subculture has different
• Values Most important priorities
• Worldview How Life works. Whats real.
  What Life is all about
• Lifestyle What to buy. How to live

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The Culture Wars 50 Years Ago
50TRADITIONALS
50 MODERNS

Secular, materialist

Conservative, pious

The big city

Small town, country

Hip, up to date

Square, out of date

Style efficiency

Character, reliability

Cary Grant

Jimmy Stewart

Lauren
Bacall

June Allyson
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There are 3 Subcultures Today

Traditionals
24.5

Moderns
49.4

Cultural
Creatives
26.1
Total
100
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Three Preferred Cognitive Styles

• Traditionals Fend off a bad, complex,
  ill-understood world. Black-and-white,
  good-and-evil, simple categories.
• Moderns Tightly focused attention on what
  succeeds. Ignore side effects. No
  distractions. Linear analysis.
• Cultural Creatives Synthesize, take in from a
  wide range of sources. See the whole system.
  Inner experience is valid.

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Cultural Creatives Values

• Ecology, beyond environmentalism
• Planetary awareness
• Social Responsibility Concerns
• Authenticity
• Relationships, Helping others
• Personal Growth, Spirituality
• Feminism

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Demographics Are Almost UselessValues Go Deeper

• CCs a bit more upscale, overall wide range of
  income, educ, occup.
• Close to national averages on age, race,
  ethnicity, region
• BUT 60 women overall
• Core group (opinion leaders) are 67 women, or
  21 womenmen
• Where are all the good men?

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Best Applications of Cultural Creatives Marketing
Ideas

• Highly Targeted Niche Marketing For
• Values and symbolically-loaded messages are
  strategically important
• Values-loaded products and services
• Lifestyle-marker goods and services
• Complex consumer durable goods
• Green business
• Socially responsible business

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The Cultural Creatives Story

• Its about floods of new information world-wide
  over last 40 years
• Planetary environment/ecology
• Health beyond catastrophic medicine
• Organic food vs. environmental-poisons
• Spiritual traditions from everywhere
• Nuclear, infotech, biotech, nanotech - all go
  from promise to threats

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The Cultural Creatives Story

• Its about womens values and concerns going
  public for the first time in recorded history
• Its about the role of the new social movements
  and consciousness movements in educating the
  Western world over the past 40 years

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Origins ALL the new social movements of past 40
years

• Civil Rights, Social Justice
• Peace (1960 to 1990, and Now, again)
• Womens (to Eco-Fem, Fem-Spiritual)
• Environmental, becoming Ecology
• Planetary Anti-globalization, Hunger
• Personal growth New spirituality
• Alternative Health Care
• Organic Food Natural Everything

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Cultural Creatives Lifestyles

• They drive the markets for
• Natural and Organic Products / Foods
• Alternative / Holistic Health Care
• Eco-Travel
• Socially Responsible Investments
• Education and Workshops
• Arts and Culture
• Personalization of Home
• Psychotherapy and Counseling

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Cultural Creatives Lifestyles

• Want to Buy, But Have Barriers
• Ecologically Sustainable Products
• Green, Safe, Low to Mid-Price Car
• Good Education for Their Children
• Media That Respects Their Values
• Solar Home in Master-Plan Community
• Complementary Health Care Insurance
• More Idealism/Spiritual Depth in the Arts

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Cultural Creatives Lifestyles

• Theyre Foodies
• Talk about food a lot, eat out a lot
• Innovate, experiment, buy equipment
• Enjoy cooking with friends
• Buy any and all organic/natural foods
• Healthy cuisine, but not self-denial
• Try functional foods
• Healthy natural gourmet ethnic

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Cultural Creatives Lifestyles

• Media Habits
• Watch Half as Much TV (Dont waste )
• Read Twice as Many Books
• Listen to More Radio
• Read More General Market AND More Lifestyle
  Targeted Magazines
• Just Now Catching Up on Internet Use
• Very Critical of the News Media

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Whole Foods 2005

• Gross sales 4,7 bln
• Number of stores 175
• Average weekly sales per store 537,000
• Comparable stores sales growth 12.8

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We are Gaining Market Share

• Our focus on high quality perishables appeals to
  a broad customer base
• Conventional supermarkets offering natural and
  organic products serve as a gateway experience
• 9 Historical comparable store sales growth

WFM Customer Lifestyles
Vegetarian 10
Environmental 13
Foodie 32
Healthy Family 13
Sports Fitness 16
Organic 16
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Lots of Venues

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Constant Experimentation

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Strategic Platform Acquisition

• Fresh Wild UK provides
• a strong team member base
• a management team with knowledge of the UK market
  
• access to a loyal and growing customer base
• established relationships with local suppliers
• an infrastructure capable of supporting expansion
• Strategy is to open large format Whole Foods
  stores