The Jack Morton team in the US are currently putting the finishing touches to a new White Paper on the key trends that will be driving the brand experience industry in 2009. For my money, 2009 is going to be a year when a bunch of long-term trends collide with some very contemporary forces, with interesting and exciting results.
I think five long-term trends should remain top of mind for brand builders in 2009...
Old problem one [Fragmentation] --- Society today is broken up into so many different groups and niches, and the days when everyone watched the same few TV shows and did the same few things are long gone.
Old solution one [Targeted, personal, passionate] --- The fragmented world means that mass communications, generic messages, and big ads just don't work for many brands and many audiences. Instead, more and more brands are looking to create targeted, personal connections with people. And, also because of that fragmented world, they’re looking to focus on engaging the most influential people in every group, the people most likely to be most influential over others. Who are they? Well they might be influential consumers, or they might be retailers, or they might be employees. The point is that, increasingly, marketing is going to be about engaging the right people, the most influential people, and creating passionate people who can drive brands forward.
Old problem two [Clutter] --- There’s so much bullshit in the world, and we’re surrounded at all times by so much noise and advertising and so many demands for our time and attention that even people with something powerful to say are having trouble cutting through.
Old solution two [What you do, not what you say] --- In such a cluttered world, targeted communication is not going to be enough. Because it’s not just about communication. It’s going to be about action, about experience, about engagement. It’s going to be about the real stuff that stands out from the noise. It’s going to be about entertaining people and inspiring them. It’s going to be about using the power of real, value-adding, world-enhancing experiences to cut through.
Old problem three [User-control] --- Through a combination of cultural and technological change, people today expect to control their lives far more than past generations ever did...what they do; where they go; what they watch, listen to, and read; what they participate in. It’s now a world of TIVO, of user-generated content, of real consumer empowerment.
Old solution three [Engagement, permission] --- There’s plenty of so-called experiential marketing out there which is really no more than live advertising. It’s obtrusive and aggressive and not at all in keeping with the way the world is moving. I believe in something different --- I believe in permission, in engagement, in creating two-way relationships between brands and people.
Old problem four [Connectedness] --- This is another technology-driven force, and it means that the time and distance between people and between communities (and between debut and sucecss/failure) has been dramatically shortened. It’s about the rise of social media and peer-to-peer communications.
Old problem four [WOM, recommendation] --- In this connected world, recommendations by people to people, make strong brands even stronger. So the most powerful thing anyone can do is create brilliant experiences that send audiences away engaged and excited and telling their own stories about brands with real conviction. Plus there's a great opportunity for brands to tap into existing online communities and bring them together in the live space.
Old problem five [Cynicism] --- In a world that’s so fragmented, consumers believe generic messages are unlikely to be relevant to them. And in a world where they are surrounded by bullshit, nothing and no one is to be trusted. And in a world where they're all connected and in control, they don’t have to take the word of marketers...they can make their own minds up.
Old solution five [Authentic, real, committed] --- Stuff works today because it’s real, it’s authentic. Because it brings a brands to life for real, or to help it behave better and actually improve its reality. In a cynical world, the focus is on making brands do better things not just tell better lies.
What will be really interesting is how those five long-term trends are going to connect and combine with five 2009 trends...
New problem one [Gloominess] --- There’s going to be a lot of downbeat sentiment around next year. Enough said.
New solution one [Entertain, be playful, have fun] --- In a gloomy world, the companies that can inspire and entertain will stand out most. Experiences can arguably help them do that far more powerfully and efficiently than advertising, bringing them to life and putting smiles back on their audiences’ faces..whether they are employees, partners, or consumers.
New problem two [Trading down but trading up] --- Consumers and businesses alike will be lowering their sights for a while...painting rather than renovating, renovating rather than moving, eating in rather than going out, staying at home rather than going on holiday. But that can also mean a bit of trading up. So maybe a family that chooses to stay at home for the holidays might buy a PlayStation3 to entertain them. Maybe a family that chooses not to move buys a smart new kitchen. Maybe a company that cancels a number of individual briefs consolidates that activities into one giant all-audience camapign.
New solution two [Do less, better] --- In a trading-down world, experiences are far more targeted and far less wasteful than traditional mass communications...doing exciting things on far smaller budgets than traditional advertising, and focusing on highly-influential audiences (often hitting more than one audience with the same experience or campaign infrastructure).
New problem three [Value-seeking] --- It's widely assumed that 2009 will be a year of price cuts and discounts. But it's not just about price...it's also about value...and everyone from consumers to businesses will be seeking more of it this year.
New solution three [Add value through experiences] --- In a value-seeking world, experiences can help brands add value to their consumers ...helping them fight back against a price-slashing discount culture. Equally, experiences can help drive employee or partner loyalty and morale...helping brands deal with job losses and wage/bonus freezes.
New problem four [Glocality] ---Some stuff is going to happen in 2009 that will be very globally-driven. Stuff that local people and businesses just can't influence. But other things will happen on a far more local level. So a company might pull back on a big new global ad, but might still choose to back some key product categories here in Australia.
New solution four [Bring local flavour to life] --- Most companies will want to express their own local flavour and vision, to their employees, their partners, and their consumers...especially at a time of global downturn and instability. And events and experiences are more than ever going to be the most powerful and cost effective way to do it.
New problem five [The two effs] --- Efficiency and effectiveness. The need to do less and get more from it. A mandatory in 2009.
New solution five [Opportunism] --- The idea that the best time to get ahead is when all your competitors have put their heads down and are just trying to survive. The idea that any recession is a time of dynamic change, and the that strongest companies of the future are already gearing up right now. The idea of using the two effs as drivers to break down the boundaries...between audiences, between brand and retail activity, between marketing and product/service design. Being stimulated by the need to think more and spend less, and as a consequence, spending better and achieving more.
In summary, I can see 5+5+5+5 trends combining in 2009... five long-term problems and solutions combining with five current problems and solutions to create some fascinating dynamics and opportunities.
Fragementation, clutter, user-control, connectedness, and cynicism are going to continue to create a move towards targeted experiences, brand behaviour, permission-based engagement, word of mouth, and authenticity.
Gloominess, trading down, value seeking, glocality, and the two effs are going to start driving a move towards brand entertainment, doing less better, experiential value-add, local flavour, and opportunism.
All in all, it adds up to some exciting times ahead. Especially for the new, growing, progressive, exciting brands of the future. They are the companies that are going to grow during the coming 12-24 months of downturn and opportunity. They are the ones that are going to lead.
