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Perhaps it’s difficult to comprehend, but the COVID lockdown’s fourth anniversary is almost approaching. Of course, the exact date may vary depending on where you live and when you consider the lockdown to have started, but in New York City, for me, it began at the closing of the museums, libraries, restaurants, and bars. That was in the middle of March 2020.
I research this ancient history—old by marketing technology standards, anyhow—after being offended by a presentation that the management consulting firm Winterberry Group presented last month. While it takes its time going over the depressing details of 2023, “Outlook for Advertising, Marketing and Data 2024: A Market in Transformation” (registration required) also looks ahead to macro-trends for 2024.
There are some characteristics among such trends, thus it’s important to consider their origins.
Important developments for 2024
These are the several macrotrends that Winterberry noted that particularly piqued my interest:
- Connected business will grow faster.
- There will be video everywhere.
- Spending on content will not stop rising.
- Adoption of creative intelligence will rise.
- B2B marketing is going to keep becoming more consumer-focused.
- The challenges to marketing attribution will be more serious.
Yes, Winterberry does identify the primary macrotrend for the upcoming year as generative AI. That should come as no surprise. However, that gives marketers quickly evolving tools to navigate the current landscape. I want to look at the environment itself.
Turn to face the physical
The Australian firm Momentum Worldwide is credited with creating the term “phygital,” a neologism that deftly combines the two classic Latin-derived concepts, “physical” and “digital.” Whatever your thoughts on the phrase, COVID-induced changes have sped up the transition into physical reality, which has been happening for some time now.
Consider all the well-reported alterations that lockdowns have brought about, even in our already technologically connected society.
We had previously grown accustomed to ordering certain products online; now, we ordered everything—down to the daily perishable groceries—online and had it delivered or picked up in-store. It was also more difficult to turn off the never-ending barrage of digital and social media advertisements, promotional emails and texts, and eager advances from influencers when you spent the most of the day online.
Nowadays, a lot of us operate remotely as well, which can involve switching between devices and channels as well as smoothly switching between professional and personal affairs. The majority of human contact took place remotely, including meetings.
You probably already know all of this; I’m just pointing out how much of the majority of us—if not all of us—found ourselves “in the digital.” But eventually, the tangible returned, albeit in a different form.
Although we were able to peruse a greater selection of products online or through apps, we had grown accustomed to perusing through physical establishments. Our goal was for physical establishments to serve as a link between the virtual and actual worlds of shopping. We desired to engage with in-store advertising digitally, possibly using QR codes. We desired to receive offers and discounts that were relevant to our actual location, with our approval.
Let’s not forget about payment either. To be requested for cash payment in a store has become unusual. We tap and move (we also do that on public transportation in New York City). You simply walk out of an Amazon Go store while the company deducts money from your digital wallet; you don’t even do that.
The real world is transforming into a digital one very quickly. I apologize, but this is phygital.
A digital native world (and phygital one)
The Internet of Things was something we used to discuss. Naturally, that includes super-connected cars and connected refrigerators here. But I think it’s time to let go of stuff and consider a connected environment instead. AR headsets are still cumbersome, and Google Glass failed to gain traction. However, as we travel the world, we’ll be interacting both physically and digitally once the hardware is resolved.
That implies the emergence of a new generation of digital natives. Let us take a moment to examine digital natives, particularly those in the business-to-business (B2B) space. According to Winterberry, at least 50% of B2B customers do their research online before making purchases (which we already knew), search social media for information, access content on mobile devices more frequently, and are more likely to engage with brands that provide high-quality, tailored content. Of course, this refers to digital content rather than customized direct mail.
According to Winterberry, “it’s the elevation of digital natives into B2B decision making roles—it’s not just the consumerization of B2B.” Yes, the enforced remoteness of COVID is one of the reasons why B2B buyers are behaving like consumers. Await the sight of the virtual indigenous. Please let us know if you attend any marketing conferences this year that aren’t physically present (via apps, smart badges, and interactive screens).