Until recently, the sexual products category was led by manufacturers and distributors pushing product to retailers and customers, rather than by customer demand and pull, as is more typical of developed consumer markets. Now, with significantly increased awareness and acceptance of our industry by mass media, retailers and consumers, a new dynamic is beginning to take hold. This shift will have significant implications for all of us in the years to come—and, if properly managed, can mark the beginning of a new win/win dynamic between our industry and the public that will fuel our expansion.
Admittedly, for those of us in the sex products industry much of what follows may be considered Vibrator 101. Nevertheless, it’s worthwhile to contemplate some of the basic forces at work in the evolution of our category—and to follow them to their logical conclusions.
Over the past several years, we’ve seen the rapid sales growth of many of the more approachable products in our category, as well as the frequent introduction of new models from both new and well-established manufacturers alike. (By “approachable,” I mean products that through their appearance, functionality and presentation are less likely to cause those new to the category to blush.)
At least part of the success of these products can be attributed to the fact that they’re inherently more “discussable”; hence, both consumers and the press are more likely to reference them than their more explicit cousins. As an obvious example, vibrators with abstract designs now appear with some regularity in major publications like Marie Claire, Glamour and Cosmopolitan, whereas anatomically representational ones do not.
Inevitably, as the discussion around sexuality and its enhancement progresses, the public at large becomes more knowledgeable about both the products and the brands that offer them. With this increased knowledge, potential customers are better equipped to make informed purchasing decisions. Employing this new information, they begin to comparison shop—product vs. product, brand vs. brand, and retailer vs. retailer. Take a look at the packaging on products today compared to five years ago and you’ll see just how many new specifications (read: bases for comparison) are now highlighted—material specifications, safety information, sound levels, battery life, warranty coverage, third-party certifications, and more.
What these potential customers soon discover is that there are more flavors of vibrator than there are models of cars on the road. (A quick search for vibrators on Amazon.com presents more than 17,000 results.) As they comparison shop to narrow their options to a final decision, new expectations emerge—“Is this vibrator phthalate-free?” “Does this one come with a warranty?”—and the standards required for success in the market are raised.
Now more than ever, customers are empowered to demand a closer correlation between their expectations and the actual performance of the goods they purchase. In our new, better-informed and more open atmosphere, customers are also less likely to keep their opinions to themselves. Those who are pleased will multiply the sales of good products with positive reviews and personal referrals, whereas those who are dissatisfied will dissuade others from repeating their mistake. (Compounding this effect, conventional wisdom tells us that a customer who has a good experience will tell one person, whereas a customer who has a bad one will tell 10.)
The impact of the customer experience doesn’t stop there. Through their experiences and conversations, customers begin to develop both positive and negative associations with the brands they encounter. They build loyalties to some, and become wary of others. Increasingly, brands are being judged by their product offerings, retailers are being judged by their merchandise, and all are being judged for their responsiveness to customer feedback—particularly complaints. A new emphasis on accountability is emerging.
All of this adds up to a new market environment that, though still familiar, is in the midst of massive and permanent change. Similar to other market shifts, the immediate effects of this change may seem subtle, and initially difficult to measure. Then one day we wake up to discover that Apple has surpassed Microsoft in market capitalization, and we look back to try to understand when we actually turned the corner.
Fortunately for us, our own market is evolving in a direction that directly benefits the most crucial part of our ecosystem—our customers. With their growing knowledge and expectations guiding their purchases, it’s up to us as an industry to rise to their challenge, or fall by the wayside.
For those looking to lead in the evolving sexual wellbeing market, here are a few important considerations to factor into your strategic planning.
The customer is king (or queen). If you want to create a hit product or a competitive brand, you need to exceed your target customers’ expectations at every turn. Their collective voice, more than any other, will determine your success.
Innovation is oxygen. The vibrator market has already been restyled, and aesthetics won’t offer a lasting competitive advantage. Innovate to deliver an exceptional experience, and your customers will handle your marketing for you.
Fewer is more. Any company, no matter how large, has finite resources. Reduce the number of development projects and you’ll multiply your capacity to innovate—and exceed expectations.
Top dollar demands top quality. Develop and price your products according to the segment of the market you want to address. There will always be audiences for low, middle, and premium price points, but now that they’re becoming better informed and more vocal, customers will no longer pay top dollar for inexpensive products sold at excessive mark-ups.
Adult novelty or sexual wellbeing—choose one. Decide which market you’re in; each has its advantages, but increasingly they will require distinctly different approaches. In broad strokes, novelty businesses need to be structured to compete on price, newness (novelty) and shelf presence. Wellbeing businesses, on the other hand, need to prioritize efficacy, customer referrals, and repeat purchases through brand loyalty.
Ethan Imboden is the founder and chief creative of Jimmyjane (Jimmyjane.com). This article originally appeared in the August 2010 issue of AVN.
