The Ignition Trend Report: Fall 2019 by BrandJuice

IGNITION THE

F u tu r e flu ence T M T rend R e por t Fall

2 019

T a ppi n g Foresi ght For I n s ight

T h e Season for Shape - Shif tin g As consumer behavior, regulatory environments, business climates, and retail markets change color as quickly as autumnâ&#x20AC;&#x2122;s changing leaves, brands are finding ways to shed the old and make way for the new. Adapting to the evolving landscape is requiring brands to become ecosystems, advocates, civic leaders and therapists in order to drive systemic change from the top down. This edition examines everything from social mediaâ&#x20AC;&#x2122;s impact on the perception of value, to the emerging notions of connection and building a community-centric world, to the redefinition of category conventions and self-expression. By leveraging the importance of foresight for insight, brands can take action to future-proof for the decade ahead.

Lif e s tyl e

WHAT THE FOLLOWING LIFESTYLE TRENDS ARE INDICATING, AND WHAT YOU CAN DO TO STAY RELEVANT. Winning brands are using the equities of younger generations to reach older generations »» Perform in-context market research to gain actionable insight into the nuanced characteristics of the baby boomer cohort Shifting social landscape will require careful navigation as the digital world advances »» Establish an integrated digital marketing, social media and influencer strategy that embodies your brand’s core purpose and values Traditional target audience traits and cravings being radically redefined »» Revisit your target audiences by creating new customer personas that emphasize deeper attitudinal and emotional behaviors

BOOMERS ARE BACK + While Millennials and Gen Z cohorts have been under the marketing microscope in recent years, we’re realizing that as 10,000 baby boomers turn 65 in the US every day, their desired lifestyles and brand affinities aren’t so different from younger generations. Age Tech At the intersection of longevity and technology, lies a rapidly growing market specifically designed with aging baby boomers in mind. Several companies have joined in on the golden years gold rush by leveraging the benefits of voice technology. Aiva Health, an LA startup, uses Google Home, Amazon Echo and smart speakers to support a mobile app for assisted living while ElliQ, “the sidekick for happier aging”, is a robotic voice-enabled assistant designed to make it easier to make video calls, set medication reminders and arrange doctor appointments. The Boomer Experience Baby boomers are just as thirsty to stay engaged as any other age group, and their appetite for experience and story-based brands is coming to the forefront. Quaker Oats recently partnered with Thrive Global to host the Quaker Rise & Thrive wellness festival that unites a community of baby boomers whose shared interests lie in nutrition, fitness, mindfulness and more. Mature Cannabis Consumption Recent studies have shown that ages 55 and older now represent one of the fastest growing consumer segments in the cannabis industry. While boomers are more likely to consume cannabis for medical reasons,

L if e s tyl e

many enjoy using it recreationally. And as some of the highest monthly spenders on cannabis products with strong loyalty, they represent an untapped opportunity for brands.

W h y I t M a tt ers

By 2035, the number of Americans 65 years and older will outnumber children for the first time in US history. The market for baby boomer-centric products and services is booming as brands are increasingly finding modern ways to capture the attention of the aging generation.

Ta k e A c ti o n

Leveraging existing equity among younger generations to capture an expanded audience requires a thoughtful approach to market research, which is critical in gaining actionable insights for the nuanced characteristics of baby boomers.

TECHNICAL GETS ETHICAL + Social media use is undergoing a transformation. As consumers display growing cynicism toward perceived inauthenticity on their feeds, more personal spaces for fostering closer connections and improving mental health are replacing likes and follower counts. Losing Likes In July 2019, Instagram began trialing a “hidden likes” feature designed to encourage users to preoccupy themselves less with popularity, and focus more on substance. The change, which is intended to relieve some pressure from the perfectionist culture platforms like Instagram, is now being implemented in seven countries with rumors that Facebook and others are next in line for a similar feature. This small shift indicates a larger trend towards social sharing that’s less competitive and more personal. Social Safe Havens With “likes” anticipated to disappear in more markets, Instagram has also just launched a new messaging app, Threads, designed for constant sharing of location, status and other intimate information with only your closest friends. In an effort to create a more personal and private user experience, Instagram joined WeChat in navigating a decline in personal updates to public newsfeeds—taking note from platforms like Snapchat and TikTok that have gained popularity for creating safe spaces where users can be less performative and more authentic with a closer-knit community on social media.

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W h y I t M a tt ers

After years of focusing on quantity when it comes to digital engagement, players in the social media sphere are realizing that people are prioritizing their personal and mental wellbeing more and more, and as a result, are seeking to interact with brands and platforms that create a safe haven in which to share and connect with others. The next wave of social media consumption will largely be defined by cultivating more meaningfulâ&#x20AC;&#x201D;rather than manyâ&#x20AC;&#x201D;connections.

Ta k e A c ti o n

Establish an integrated digital marketing, social media and influencer strategy that embodies your brandâ&#x20AC;&#x2122;s core purpose and closely aligns with its values, in order to cultivate a loyal following of customers online and in real life.

THE FUTURE IS FLUID + Non-binary, gender nonconformity has been slowly seeping into societal consciousness as the concept of male vs. female is becoming increasingly antiquated and irrelevant. And it’s reshaping how we perceive the world and those around us. Outside Gender Lines From gender-neutral skincare to male makeup products, the beauty industry has been undergoing a non-binary transformation for some time, and other industries are taking note. 81% percent of Gen Z-ers believe that a person shouldn’t be defined by gender, and generation Alpha is showing just as strong of sentiments. Several companies—like Mattel, who just released the world’s first gender-neutral doll—are discovering that the male vs. female separation is less important to young consumers who don’t want to be boxed in. Proper Pronouns In a push to include gender expansive pronouns such as “they, them and theirs” in addition to “he, him, she, her”, professional settings are evolving personnel data systems to reduce misgendered instances. Workday, the human resources platform, recently made it possible to update profiles with pronouns and gender identity, while 20 universities now give students the ability to enter their pronouns into campus data systems.

L if e s tyl e

New Masculinity In an effort to consciously adapt the portrayal of masculinity that is undeniably flawed and under scrutiny by today’s consumers, a collective called Menmade was launched for men who do not identify themselves in negative, one-sided pop-culture narratives. It joins other trailblazing brands such as Harry’s, Hims, Bonobos and Axe who are all working towards presenting a more multifaceted view of masculinity in marketing.

W h y I t M a tt ers

As people are increasingly living outside of gendered constraints, what we think of today as “targeted marketing” by gender will soon become irrelevant at best, exclusionary at worst. Brands need to understand this emerging direction of consumer culture to sustain their viability, with mounting expectations from consumers to stake a claim in the culture wars.

Ta k e A c ti o n

This shift means your brand will have to revisit how it defines and categorizes its target audience, creating new customer personas that go beyond surface-level demographics and emphasize deeper attitudinal and emotional dimensions.

H ealt h & We l l ne s s

WHAT THE FOLLOWING HEALTH AND WELLNESS TRENDS ARE INDICATING, AND WHAT YOU CAN DO TO STAY RELEVANT. Wellness is becoming a facet of every industry and brand offering »» Conduct an out-of-category competitive audit to inspire new perspectives and differentiation Healthcare innovation is coming from unexpected sources »» Develop innovation roadmaps to drive expansion within your category and explore disruptive opportunities in parallel industries In this new era of connection, community is more critical than ever »» Implement experiential research and touchpoint mapping to uncover ways that will authentically incorporate social spaces into the brand offering

ENGINEERED ENVIRONMENTS + A World Health Organization study found that 80-90% of health outcomes are tied to where and how we live. As consumers are more conscious of their health, they are turning a keen eye to their living environment. A Healthier Home As Americans spend approximately 90% of their time indoors, architects are designing “healthier” homes. Wellness real estate and technology company, Delos, has partnered with the Mayo Clinic to pioneer healthy home design, developing a Home Wellness Intelligence Network that optimizes healthy home environments in addition to creating the “healthiest” condo in New York City. The space features amenities like anti-microbial surfaces, Vitamin C-filtered showers, in-duct aromatherapy and individually-calibrated circadian lighting systems—all targeted at helping inhabitants lead healthier lives. Wellness Communities Despite a trend towards urbanization, people crave feeling part of a tight-knit community. And as healthy living means happy living, wellness communities are becoming a multibillion-dollar real estate trend. In June, Ikea launched the Urban Village Project, a subscription-based living model that combines private with shared spaces and communal services like daycare, urban farming and transportation. While wellness communities still have a way to go in terms of wider adoption, expect more people to consider them as a way to live in a way that’s more communal, affordable and sustainable.

H ea l th & We l l ne s s

W h y I t M a tters

With the wellness economy showing no signs of slowing, healthy living is poised to experience rapid expansion. More and more architects, interior designers and engineers are joining forces with scientists and wellness gurus to imagine healthy living for the futureâ&#x20AC;&#x201D;catering to the expanding notion of health in every aspect of living.

T a k e A c ti o n

An out-of-category competitive landscape audit is critical for brands looking to inspire new perspective and apply parallel learnings that can better support a wholistic wellness mindset for customers and the environments they live in.

EXPANDING CHRONIC CARE + Aging populations and the rise of chronic diseases are demanding more effective and efficient approaches to healthcare. In response, unexpected methods for long-term care are emerging to tackle prolonged and preventative care on a deeper level. Subscribing to Health Roughly 70% of diseases in the U.S. are chronic and lifestyle-driven, with nearly 50% suffering from one or more simultaneously. In an effort to reduce that number, Parsley Health joined providers like Oak Street and CareMore in nurturing closer, longer-term patient-physician relationships at the primary care level. Transforming 15-minute visits into 75-minute sessions with a subscription-based model, both parties can address underlying health causes and be more proactive in preventing future conditions. Nature Scripts Ecotherapy is fast becoming a way to manage stress and anxiety, with doctors and studies increasingly backing nature immersion as the new preferred treatment prescribed by for patients suffering from anxiety, depression and high blood pressure. In the United States, 63 healthcare providers in Washington state and 12 in Oregon have already started to “prescribe parks” in an effort to get more people to put down the meds and pick up their walking shoes.

H ea l th & We l l ne s s

Counting Sleep According to the CDC, more than one-third of American adults don’t get enough sleep—and it’s becoming a public health epidemic associated with cognitive and mental health problems. Beyond sleep trackers and smart pillows, innovations such as Equinox’s new “sleep coach” program and Nightfood’s new line of sleep cycle ice cream are emerging players from both in and outside the healthcare industry, with the expectation that more categories are soon likely to contribute to the sleep care cause.

W h y I t M a tt ers

Brands across industries are taking on healthcare, seeking to come up with creative solutions for long-time care. Those that are successful will contribute to healing a hurting healthcare system, while bringing about societal and systemic change in the approach for chronic care.

Ta k e A c ti o n

Develop offering innovation roadmaps that consider not only expansion within your category, but also how you can be part of bringing disruptive value to parallel industries.

SOCIAL WELLNESS + Millennials are fascinated by self-actualization, selfimprovement, and community—and in finding spaces that enable them to experience all of those things, together. Co-Working & Co-Wellness With the latest development in one-stop wellness, a place to plug in laptops now doubles as a place to sweat and alleviate stress. From WorkStrive and Werklab’s co-working spaces that offer meditation zones, gyms and beauty bars to WeWork’s expansion into social fitness with Rise—brands are working to house a holistically healthy life under one roof. Providing consumers the opportunity to interact with wellness in a much more seamless and social way. Sweat Together, Stay Together The ever-growing rise and relevance of digital innovation has given way to a fitness culture that is more tribal and sharable than ever before. From cult diets, to active and athleisure wear, to boutique fitness classes—a sense of social identity is being derived through a unifying ethos that extends beyond exercise to communal experiences. Peloton is one brand that has mastered the art of building loyalty through likeminded community, nurturing a “ride-or-die” tribal mindset with the power to unite consumers from virtual classes to out in the real world.

H ea l th & We l l ne s s

W h y I t M a tt ers

Consumers are seeking ways to integrate health and wellness into their work and personal lives, in a way that complements, rather than conflicts. And as the definition of health continues to expand, and the hunger for wellness brands grows, crafting the right consumer experiences will play a large role in longevity and loyalty.

Ta k e A c ti o n

To create a sense of social value and belonging, your brand should conduct experiential and exploratory research with consumer groups to uncover how you can authentically incorporate social spacesâ&#x20AC;&#x201D;literal or figurativeâ&#x20AC;&#x201D;into your brandâ&#x20AC;&#x2122;s experiences in a way that fosters a sense of consumer community.

B u s ine s s

20 | ÂŠ2019 B R A N D J U I C E

WHAT THE FOLLOWING BUSINESS TRENDS ARE INDICATING, AND WHAT YOU CAN DO TO STAY RELEVANT. Brands are emerging from proverbial offering boxes into new experiential territories »» Revitalize your core positioning strategy and explore where your brand sits in the hearts and minds of customers with a messaging deployment strategy Winning brands not only talk the talk, but walk the walk with customers »» Incorporate future scenario planning to anticipate and prepare for changing external forces Customer engagement is evolving to become more interactive and rewarding than ever »» Define your customer’s path-to-purchase to understand new opportunities for engagement and tactics that reward at critical touchpoints along their journey

CROSSING CHANNELS + Forced to be cleverly nimble in an ever-evolving landscape, brands are sidestepping the constructs of conventional verticals to develop new, unexpected formats for engaging audiences beyond their traditional offerings. The 5 Senses of Branding In an effort to be a brand that customers can see, hear, feel—and now, taste—MasterCard is amplifying its multi-sensory experiences. From debuting its sonic logo back in February, launching restaurants in NYC and Rome, unveiling a campaign that introduces customized “brand flavors” to dropping its own record next year, the financial giant is crossing industry lines to redefine customer experience expectations. Brand-Breaking Boundaries As consumption adapts to the digital age, brand touchpoints and mainstream media formats are diversifying as brands across categories develop new forms of original entertainment content. Publications like Glamour and New York Times are evolving into entertainment brands with personalized television, video and podcasts, while e-commerce brands like Shopify are expanding into TV and film production. New Models for Marketing In a massive move to display its commitment to “putting social good at the center of its business model” P&G announced an unexpected partnership with National Geographic to launch a six-part documentary called Activate, focused on inspiring global activism. Instead of a promotional sales ploy, P&G is viewing the opportunity as a way to action the company’s ethos outside of retail. Activate is anticipated to become a model for other brands looking to move away from traditional marketing efforts in favor of initiatives with greater impact. 22 | ©2019 B R A N D J U I C E

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W h y I t M a tt ers

Traditional approaches to capturing and engaging consumers are no longer enough in our experience-as-a-service era. In order to appeal to customersâ&#x20AC;&#x2122; senses and sensibilities, companies are expanding their boundaries and brand DNA to develop new formats that entice, inspire and experientially engage customers from every angle.

Ta k e A c ti o n

Expand what your brand stands for by revitalizing your core positioning strategy to solidify where your brand can exist in the hearts and minds of customers, then deploy your brand message over new channels and formats to create a multidimensional experience.

THE CLIMATE OF CLIMATE CHANGE + The arguments for climate change are hard to ignore. Brands that have been behind the environmental curve can no longer drown out the overwhelming consumer demand for companies to invest in solutions that are not only environmentally conscious, but actively benefit our planet. Conscious Tourism Travelyst, launched by Prince Harry, is educating people about sustainable travel and overtourism. And everyone from airlines and cruises to restaurants and hotels are grappling with how to be more sustainable. Marriott International is aiming to cut food waste 50% by 2025, while others are exploring on-site hydroponic farms. And, as Booking.com found that 71% of global travelers think travel companies should offer more conscious choices, we can expect sustainable travel to be on everyone’s bucket list. Impacting Bottom Lines Meat suppliers will struggle to stay afloat with the new wave of plantbased diet preferences, manufacturers will face disrupted supply chains from extreme weather conditions, and energy corporations will lose resource value due to stricter regulations. Many of the world’s largest companies are grappling with how minimize the bottom line impact the changing climate may cause.

Bus ine s s

Positive Packaging Companies are responding to the growing sense of environmental urgency and demand for solutions that make consumers feel good, not guilty, about the effects of their purchases. By finding inventive packaging solutions, some brands are replacing non-recyclable plastics with paper and hemp while others, such as Haekels that uses packaging made from mushrooms, are even experimenting with biodegradable alternatives that contribute positively to the environment.

W h y I t M a tt ers

Corporate action often lags behind consumer sentiment with environmental issues. But in 2019â&#x20AC;&#x2122;s post-plastic landscape, brands looking to retain loyalty will need to move beyond simply passing the post-purchase responsibility on to the consumer, by embracing systemic change throughout the business.

Ta k e A c ti o n

Companies have an opportunity to boost customer loyalty and drive purchasing preference if theyâ&#x20AC;&#x2122;re prepared for whatâ&#x20AC;&#x2122;s coming. Explore future scenario planning which can provide the tools to anticipate and prepare your brand for changing external forces in the years ahead.

THE REVIEW & REWARD CULTURE + The digital world has created a society built on social approval in the form of likes and follows, and business credibility in the form of review ratings. Consumers are becoming accustomed to having their actions either publically judged or applauded, and sharing their personal life and experiences in exchange for the reward of social currency. Rewarded Action Piggy-backing off of the reward culture consumers are immersed in on social media, brands are increasingly encouraging customers to participate in various tasks and experiences before they are granted access to, or “rewarded” with, the products and services being featured. In a recent buzz-worthy stunt, Popeyes set up a literal 12-hour drive thru that promised the reward of free chicken—that is, if people were willing to order their meal in Fort Stockton, Texas and then drive a full 12 hours to the brand’s flagship store in New Orleans. Social Credit Scores While society is well-versed in the perks and pitfalls of review culture, the ramifications are intensifying. Uber is imposing stricter consequences for both drivers and riders with low ratings. But much bigger than ridesharing, the Chinese government has begun enforcing social reviews of its citizens. The Social Credit System, to be rolled out in 2020, uses a combination of commercial and state-run systems to monitor behavior and ascribe corresponding ratings. In order to improve

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governance and stamp out disorder and fraud, good deeds gain points and bad deeds lose them, with perks and hardships attachedâ&#x20AC;&#x201D;impacting everything from employment and education, to purchasing freedom and finances.

W h y I t M a tt ers

Our digital review culture is spilling over into real life, and it brings with it an end to the age of anonymity. Reputation and reward are being commoditized, and it poses social, political and economic implications for our perceptions of tangible versus intangible value.

Ta k e A c ti o n

To ensure loyal longevity moving forward, your brand may need to reinvent your customerâ&#x20AC;&#x2122;s path to purchase, understanding the opportunities for engagement and infusing tactics that reward at critical touchpoints along their journey, without sacrificing their trust.

Lo o k i n g To T he Fut u re

At BrandJuice, we’re always thinking about what’s next, with FuturefluenceTM strategies to fuel innovation, and insights to make it actionable. How can you alter your course, and trace back to the origins of your customer’s wants and needs? We can help connect the dots, powering purposeful strategy, uncommon innovation and artful creation.

Le t’ s T a l k

Andrea Stone

M a na ging D irec to r

andrea.stone@brandjuice.com

b ra ndj uic e. c o m