Convergence Economy

THE CONVERGENCE ECONOMY

What?

When brands blur their lines between different lifestyle industries, forms of art and entertainment. It is the brand behaviour as oppose to the brand itself, whereby the brand is becoming more playful and not traditional with less constrictions.

Who?

The convergence economy targets as many consumers as possible by creating a diverse market. Stores are responding by specialising, not only in specific kinds of merchandise, but in all aspects of certain niche lifestyles.

Where?

Stores such as: 

• Topshop Oxford St. with hair dressing, coffee shops etc
• Marks & Spencers
• Dover Street Market already home to many eclectic brands and spaces all under one roof, recently invited the Institute of Contemporary Arts to integrate imagery from its archives into the store’s merchandising on all six floors
• H&M introduces a DJ and live music in stores as industries are running together to create a better shopping experience

When?

In 2007, the average US consumer would visit 5 stores on their shopping trip, compared to 3 nowadays – it correlates with internet shopping. 

Why?

High street is slowly dying; people want to stay at home and shop online as technology expands. With convergence economy, customers are encouraged to visit stores to have a variety of different experiences within that store, such as, getting their hair and nails done.

Other example: brands are finding new and innovative ways to blend the senses in the Convergence Economy. THe following video is created by Schwartz, The Sound of Taste, a cinematic exploration of the visual palette of spices, to promote its Flavour Shots.