Let’s cut to the chase. Brands and consumers have been thrown an unprecedented curveball that resulted in a massive impact, globally. Consumers have worked hard to adapt to the new way of life, so too has the market, causing businesses of all sizes to pivot or reinvent to meet the changing needs. We created bold predictions at the beginning of 2020. The biggest one we missed was the pandemic, obviously. But we didn’t miss the need for brands and businesses to continually stay relevant in the minds of their consumers and channel.
As we reflect on the year, we’re taking a look back at our bold predictions for 2020 (created pre-COVID-19) and assessing the accuracy of them, the level of impact from the pandemic, as well as providing an outlook for the remainder of the year.
Our Prediction: CMOs and CIOs will team up and spend more time optimizing their MarTech platforms than installing them.
Still accurate? Yes.
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Optimizing for impact is how brands are surviving through 2020. The focus on identifying, nurturing, and retaining customers is at an all-time high. The pandemic has changed consumer behavior, as shown by the fact that texting is up 37%, online shopping 23%, email open rates 20%, and app usage time 20%. Making marketing personal at scale is contingent upon having optimized platforms, and executive suites are teaming up to ensure it happens.
Our Prediction: The AI buzz will shift from Artificial Intelligence to About Individuals.
Still accurate? Yes.
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Artificial intelligence is all about using data points and behaviors to predict the future. With the onset of COVID-19, and many social justice uprisings, this has become difficult to do. “The software, it turns out, had never been trained with data reflecting a drastic upheaval in consumer behavior caused by the virus and therefore couldn’t adjust to the new reality.” Now, it is even more important to understand the individual nature, and human aspect of what the world and our communities are dealing with. Brands that can develop a personal connection with their customers and express empathy will come out ahead. Now is the time for companies to capture a more open-minded customer: 62% of consumers are expected to change their brand preferences before the end of the pandemic. Scaling back on the transaction-only communications and expressing more about health, safety, diversity and inclusion—while also showing your human side—may just sway them your way.
Our Prediction: Loyalty program technology platforms will see a decline similar to brand advertising.
Still accurate? Somewhere in between.
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Okay, we’re making a case for somewhere between Yes and No. Does that make it right? 🙂 When we predicted this we should have classified “platforms” better, as they are being looked at differently. “Light weight” appliances and more self-serve platforms are growing in strength, whereas more “heavy,” fully-outsourced platforms are seeing a decline. Brands want flexibility, easy integrations, and some control through self-service to engage, track and serve their loyal customers. They don’t want more infrastructure or rigidity in their customer interactions.
Our Prediction: B2B companies will get personal.
Still accurate? Yes.
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Even more today than ever before, companies are looking for solutions to their specific business challenges. But they don’t have time to shop around and compare. There is too much to consider in the current environment, including an uncertain economic future, changing service models, rigorous operational guidelines, and significant shifts in end consumer behavior, just to name a few. They are looking for partners who understand their business and can proactively recommend solutions that solve their challenges.
Our Prediction: Competitors are going to stop building walls and start building bridges.
Still accurate? No.
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Right now many companies are focused on simply surviving. With so much uncertainty in so many areas—from companies closing their doors to supply chain challenges to extensive changes in consumer behavior, leaders in the short-term are going to reassess before entering into new relationships. Rather, we expect companies to concentrate on what is core to them to ensure their business is secure and operating as efficiently as possible.
Our Prediction: Consumers will pay more to remove advertising than brands are going to spend on advertising.
Still accurate? Yes.
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Ad-free subscription services have entrenched as the new norm, bolstered by the stay-at-home economy created by the pandemic. Spotify Premium subscriptions are up 30% and ad-free streaming heavy hitters like Netflix and Amazon Prime have surged in viewership. In contrast, Hulu (with ads) has seen a 2.9% decline. The at-home theatre has taken the place of the movie theatre, with the Mulan live-action movie release driving a 68% jump in Disney+ downloads, despite the extra $29 charge to watch the movie. And while ad blockers are free, that 40% of all internet users have an ad blocker installed certainly speaks to the growing fatigue consumers have with brand advertising. The consumer is in control. And saying no thanks to commercials.
Our Prediction: Citizen developers will become the most in-demand skillset for companies looking to improve customer engagement.
Still accurate? Yes
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
The demand for, and value found in, the Citizen Developer has increased dramatically in 2020. The pandemic has accelerated the growth of this role, and the introduction of new low/no code tools as businesses are being faced to be increasingly nimble with constrained resources. Since June, Google, Microsoft and Amazon have either launched new low/no code platforms or expanded existing solutions significantly. To illustrate the increasing power of the low/no-code movement and its impact, the City of Los Angeles leveraged low-code tools to develop the portal that supports COVID-19 drive-through testing centers. They were able to build the solution in less than 48 hours and the platform served over 50,000 bookings and millions of users in the first couple of weeks. The Citizen Developer movement is here to stay and is creating even more opportunities for businesses.
Our Prediction: Influencers will grow at the micro level.
Still accurate? Yes
Level of impact from COVID-19:
What’s the outlook for the rest of 2020?
Business continues to boom for influencers in 2020, and the rapid growth in the nano and micro-influencer area doesn’t appear to be slowing down. Micro-influencer campaigns alone have increased by 300% over the last 4 years, and engagement rates and influence that these influencers have over their audiences makes them a sweet spot for major brands. With the lines between platforms starting to blur and more content being repurposed for use across platforms, the focus is less on quality of video production and more on the original storyteller in front of the phone. Throughout the rest of the year, and especially going into the election and holiday season, micro-influencers’ reach will continue to grow.
Closing Thoughts On 2020 From Our Founder and CEO
One thing we did predict when we launched Bold Orange 4 years ago, and is our purpose for being, is that authentic human connections are the single most important driver of business and societal progress. If this pandemic has taught us one thing, it’s that we need real connection with real humans for survival. Zoom meetings and social distancing must be our way of life in the short-term, but long-term we look forward to getting back to high-fives, hugs, and happy hours.
Stay well, stay bold, we can do this!
