‘They pay your salary’ – How can brands embrace a squeezed middle class?

The UK class system is a funny thing. Defining ourselves by splitting people into social divisions doesn’t really help anyone – and with more people defining themselves as working class than in the 1980s, there’s a large question mark hanging over why we still do it.

The middle classes are loosely defined as a social group that consists of well-educated people who have good jobs and a good standard of living. They are not poor, but – crucially – they are also not rich.

During the cost-of-living crisis, much of the focus has been on ensuring the working classes stay out of poverty, while the lifestyles of the super-rich have remained largely unaffected. So what about everyone who falls in between?

It’s these middle classes that keep the nation’s economy ticking along. They “earn” their way, as Saatchi & Saatchi’s chief strategy officer Richard Huntington highlighted earlier this week.

Introducing part two of the agency’s wide-ranging ethnographic study ‘What the f*ck is going on?’, Huntington explained that the definition of middle class lies within the income bracket of £30,000 and £125,000 a year. So yes, they’re definitely paying their taxes.

Last year’s iteration of the study highlighted just how hard the very poorest in our society are being hit by the cost-of-living crisis. It was bleak but important. This year – and on the cusp of a general election the study’s revelations provide food for thought about the worries of a group often overlooked as they are widely assumed to be ‘comfortable’.

However, according to the findings, 73% of those who identify as middle class feel they are in a worse position than they would have been ten years ago. Even more jarringly, only 42% believe that going to university will lead to better opportunities in later life.

So what the f*ck is going on, and what can brands do about it?


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Side-hustles: How the middle class are managing

At first glance, it might appear brands need to prepare for the pinch – but ultimately it may not be as doom and gloom as all that. Huntington said his research (which included a mix of qualitative findings from speaking to people from right across the UK and quantitative data), revealed that actually the middle classes are developing “resilience”.

More people than ever are carrying out side hustles (73%) such as selling on Depop and Vinted, with others seeking out discount vouchers and money-off codes as they count every penny just to get by.

Also speaking at the launch were British Heart Foundation CMO Claire Sadler and cultural commentator, journalist and author Otegha Uwagba, who concurred with Huntington’s findings.

Uwagba said that “everyone has felt the pinch” including herself, as she revealed she “can’t afford the same lifestyle with the same amount of money”. Meanwhile, Sadler added that equally, the middle classes are experiencing things like the “demise of the NHS” because they need it and can’t “absent” themselves from it.

Huntington put it more vocally: “If I were to do anything socially it would be to start a class war between the middle classes and the upper classes.”

“It’s very clear what the upper classes are doing to the working class, but it’s less clear what they’re doing to the middle class.”

His anger is in part directed at brands like Mulberry, which he pointed out has upped its prices and abandoned the UK markets as it instead targets a more lucrative Chinese clientele.

Luxury needs: ‘When times are hard lipstick sales go up’

Nevertheless, all brands must aware that things are tough.

“It’s not enough for us to desire, or for our customers to desire of us, it has to be able to be afforded by them as well,” Huntington said.

Uwagba highlights that, even in the luxury space, people are cutting back on purchases like “that Gucci bag as a treat for a promotion.”

But Huntington noted that there are things the middle classes won’t cut back on – quality food for example. Grocery is fairing well as people are dining in more, often upgrading to premium lines to compensate for eating out less. Meanwhile Sadler highlighted the classic lipstick trope – which remains as true today as it ever was – and Uwagba exemplified this, referencing higher-end purchases being justified as “the blazer you won’t need to buy again”.

All three panellists agreed that the key is be savvy and make items feel like the one joy consumers need.

Finally, Huntington reiterated that he is “bored of the cultural cringe” and wariness about being perceived as middle class, imploring brands to change their attitudes towards this.

“It’s a bit disrespectful of a group of people who are going to get you out of a hole. They pay your salary. They’re the only hope of growth for your business.”

AgenciesBrandsMarketing StrategyNewsResearch and Data

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