AdNews asked industry leaders their perspective on the year that was and the prospects for the road ahead:
Media, marketing and advertising industry analyst Alice Almeida, founder, Almeida Insights.
Whilst 2020 (and likely most of 2021) has been all about COVID, I'm going to avoid that. We all know its impacted everyone, we know industries are struggling, we know jobs have been lost and we know revenue is down. What I would like to talk about is the huge shift in consumer control, in particular where data is concerned. The discussion around online data, in particular on social media, has moved out of industry forums and publications and now saturates mainstream media. Think The Social Dilemma documentary, Brexit - The Uncivil War movie and the numerous articles around the alleged data sharing between Tik Tok and the Chinese Government. These have all brought awareness of what goes on with user data into the average Australian household. Consumers are now demanding more be done to protect their data and governments are starting to listen.
In fact, in California we recently saw the CRPA (California Rights Privacy Act) come through in November, giving significant control back to the consumer, limiting what data can be collected, shared and how it can be used by organisations. This will have a significant impact on media and advertising organisations within the US and something that I predict will continue to grow globally. The CRPA isn't the first. GDPR was implemented in 2018, admittedly not as controlled as CRPA but heading down the same path. This will come to Australia. 2020 was the building block of this discussion and 2021 will see it build momentum and possibly be implemented down under.
Which sectors will shine? Fade?
In my opinion, it's not about sectors. It’s about those who are brave and innovate by speaking to their consumers, those who monitor the market and those who then pivot to deliver on both of the needs of the consumer and market.
A great example of this is Qantas. Obviously being in one of the hardest hit industries, they had to think outside the box. They knew Australians wanted to fly so they launched joy flights within Australia, which sold out in minutes. They designed branded products such as hoodies, they sold wine carts full of alcohol, and first and business class gift sets. The revenue from selling these products is obviously nowhere near what they would make, but in this current climate every single dollar counts. It kept the brand alive in the minds of Australians, you can't put money on that.
As simple as it would be to throw out the "traditional media will fade" line here, Nine has proven that traditional isn't going anywhere, it's just changed and quickly. Although data is going to be under the microscope in 2021, Nine and their cross-media audience profile and targeting ability will continue to shine big time. Nine did a great job of reading the sector demand such as SVOD a few years ago and monitored viewing habits and changes which has put it in an incredible position for success in 2021. (no affiliation!)
Those who fade, if they managed to survive 2020, are the organisations that failed to innovate or pivot in 2020. The biggest failure in my opinion are brands who don't monitor their consumer base. Consumers attitudes and behaviours shift dramatically over time (and especially during a global health pandemic) so what has worked in the past, won't work now. Speak to your consumers, understand what they want and need and then do something about it.
Is this a start of a renaissance, the changes from COVID spurring creativity?
This is a vital turning point for so many. It's going to be a huge separation of those who will be here in 20 years and those who will fade away in the next few years. So many organisations promote how 'innovative' they are, but this will be the true test. COVID in a way has weeded out the stagnant brands and opened the door for new and exciting opportunities. One of the only positives (besides increased family time) was the surge in new ideas and businesses that came or are coming from lockdown in 2020.
I noticed through the work that I do that there was a significant jump in those who wanted to run concept testing on ideas they had, and incredible ideas too. Out of the five I ran, two are already live and the rest have a launch date in 2021. COVID gave people back some time, which then allowed them to focus on that great idea they had.
2021 will be an exciting year for new businesses and these businesses will shake up traditional industries that failed to innovate or pivot when needed.
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.