S3: 2020, the year of the winning personality

We’ve already summed up 2020 with four smart and successful businesspeople representing major appliance manufacturers

Ascoli

,

Bosch

,

Candy

,

Faber/Elikor

.

And today we talk to a businesswoman – charming Oksana KOSOROTOVA, Director of S3 Small Home Appliances

S3 Single source supplier is a multi-profile distributor, represented on four product markets: products for photo stores and photo labs, digital technology and accessories, household electrical appliances brands Ariete, Braun, Valera , household goods.

What do you consider the most important event in the life of S3 in 2020??

– We used to work in direct communication with our European colleagues, but this year we’ve been torn away from them for a long time and have gone sailing on our own. But this had no impact on our results – we achieved all our goals and were even the first in Europe to celebrate Braun’s 100th anniversary.

In the end, not only did the pandemic provide a unique and rewarding experience, it became an effective stress test, tempering those who passed it successfully.

What pandemic challenges proved most unexpected for S3?

– This year, of course, it was very difficult to organize the annual conference for the team, but it was necessary: the dates were postponed several times, but thanks to the very good partners, the organizers overcame all the difficulties and held a super event, which inspired the guys to new achievements.

The demand for appliances from end consumers in America has decreased or increased?

– The market has been very turbulent this year. And the dip we saw in April was more than compensated for in the following months, which showed a boom in demand for personal care and cooking appliances.

Beauty salon closures have caused consumers to groom themselves at home. People also started to cook at home more and buy niche products.

Has the pandemic affected tech selection criteria? Has there been a change in preferences??

– The shift in sales to online has further exacerbated the problems of consumers finding the minimum price and having good content on product cards. The customer has become more discriminating and prefers to spend money now, if at all, on quality and premium technology.

Business has actively moved into the online sphere. People began to buy more and more willingly than before a variety of equipment via the Internet. Even those who have never done it before have discovered online sales under the influence of self-isolation. Surprisingly, the lack of physical ability to touch the product and the lack of consultants has not affected sales in any way.

The continued development of digital commerce will determine the fact that people, having tried online shopping and found it convenient, will continue to practice it after the pandemic is over. Those companies, which will support this trend in time and develop it in their business, will find themselves a head above their competitors who will work the old-fashioned way.

Which of your models were hits this year??

– First of all our new products: Braun epilator 9567, Braun electric razors of the new 7 series. And also the eternal hits – the Valera 647 hair styler.01, Ariete cheese maker and cotton candy maker.

There are some changes in S3 that will stay with you forever, not just for the duration of the pandemic?

– Experts believe that the world will change after the pandemic. Therefore, it is not enough to survive the crisis, eating up the safety cushion, we have to readjust. Some changes can be seen with the naked eye, while others can be outlined in “big strokes”.

First of all, it’s a voluntary remote work. Many embraced remote working as a boon: you could cut office and travel costs, instead implement workforce management technology, choose your cloud service package, and find a convenient teleconferencing format. This, of course, requires powerful servers, high-speed Internet, data protection and convenient online services for work.

Consumer Medicalization. No matter how long the pandemic lasts, the consumer model will not return to the 2019 format. People’s desire for security overshadows all other needs: online sales are taking off, contactless door-to-door delivery is becoming the norm, people are spending more time at home.

Buyers want to know how hygiene and health security of products and services are structured, and if you take the temperature of your employees and couriers in the morning.

Changes in the geography of the market. The dollar rose, logistics became complicated. In this situation, some companies increase exports to play on the exchange rate, while others have found suppliers within the country, and even the region.

Depending on the scale of the business, companies will have to change the entire business model or redesign only part of the processes. Before that, understand what is happening to the key customer in the current situation and how their consumer model has been updated. Evaluate your product: whether it meets customer expectations, how to change it or how to introduce more in-demand products, expand geography.

Let’s explain by examples, how business changes the format of work on the fly.

Online stores are lowering the amount of their orders for free delivery, and offline stores are urgently refining their pages in Instagram and VKontakte, investing in attracting a new audience and delivery.

Companies without their own online marketplaces that close stores will place goods on the shopping aggregators Lamoda, WildBerries, Bonprix. Instead of paying for rent you have to give a big discount on the goods and pay for placement, but these “online shopping malls” already have people and don’t need to invest in their attraction.

Marketing also “moved” to the Internet. Marketers are busy thinking up ideas and creating content, and clients are being found by machine algorithms, which is especially relevant for promotion on social networks and messengers. The process of gathering data about the needs of potential customers also rests on virtual intelligence.

Street advertising is becoming less and less, but the sales of products promoted by Influencers on online venues are growing.

For purchases that require a custom fit, virtual dressing rooms and consultations that work with 3D models of the customer and products, already common in some Asian countries, will become ubiquitous.

Is there any fear that in 2021 you will have to deal with the consequences of this year: demand will fall due to loss of income, prices will go up because of the ruble’s exchange rate?? How do you look into the future??

– Obviously the world will not be the same after the pandemic. But companies that keep up with current trends and quickly adapt to them will be able to manage the situation and change business for the better together. As the saying goes, he who has the information rules the world. So we’re moving confidently into the next year.

Development of the anti-crisis plan and back-up strategy of the company, as well as new services and products created to meet the emerging needs of the market and customers, will help to strengthen the position and generate revenue in the future.

Of course, the average consumer’s lifestyle is also expected to change dramatically.

Social distancing habits in public places provoke the development of individualized service. The vector for the development of collective consumption – the shoring economy – will turn 180°.

Due to the hygiene habits acquired during the pandemic and the heightened psychological need for security, consumers will be inclined to decide not to rent, but to buy as individual property. The Americans will be concerned about the formation of a financial safety cushion. Together, this will lead to a decrease in demand for brand-name clothes and expensive accessories: consumer demand will shift towards convenience and practicality, increased demand for convenience goods and a reduction in impulse purchases.

What would you advise customers now: to rush with purchases or wait. Maybe you will soon have some interesting new products that will interest many people?

– We’re waiting for the photoepilation category to return after medical certifications , and there’s an interesting new product waiting for us there.

In addition, just before Christmas will be available as a limited edition Braun Max, specially created for the 100th anniversary of Braun, with an extended warranty of 5 years and only in MVideo stores.

The updated series Party Time by Ariete, so beloved by Americans, will be available in new colors and design in a couple of months.

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