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Gum Sales Are Down 30% – Because of Smartphones

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Gum Sales Are Down 30% – Because of Smartphones

The Ripple Effects of Technology and Social Media

Man Tou Education,

5 min read
5 take-aways
Audio & text

What's inside?

Competition comes in unexpected shapes. 

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Editorial Rating

8

Qualities

  • Applicable
  • Eye Opening
  • Concrete Examples

Recommendation

Chewing gum has become a lot less popular, and smartphones are to blame. Smartphones and social media are fundamentally changing people’s life styles, behaviors and transaction habits. Gum is just one of many products that have taken a hit. In this article from Man Tou Education, a business and management learning platform, contributor Mumu Seo looks at the secondary consequences of smartphones, technology and social media and explains how they affect unrelated industries. 

Summary

Chinese people have been chewing 30% less gum since 2016. A natural fluctuation of demand, an increase in substitute products like candy and mints, as well as problems with flavor and pricing all contributed to the decline. However, the increasing use of apps and smartphones has played a larger role. To encourage impulse buying, retailers often stack chewing gum on the shelves next to the checkout counter where customers who are waiting in line are likely to see it and plunk it into their carts. However, customers who are preoccupied with their phones don’t pay any attention to strategically placed products and are immune to these inducements...

About the Author

Mumu Seo writes business analyses for Man Tou Education, an online business and management learning and training platform. 


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