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CULTURE VULTURE 2018
In our seventh annual deep dive into
the big trends pervading U.S. culture,
we explore the current angst plaguing
Americans,thenewdefinitionofsuburbia,
today’s modern parenting struggles,
and how shopping is becoming more
polarized (along with other interesting
things, like breaking down the allure of
shiny new things).
TOP
CULTURAL
TRENDS
1
THE GREAT
AMERICAN CRISIS(?)
02
SAFE
HAVENS
03
THE
MIDDLEBURBS
05
GEN NICE:
COMING OF AGE
06
EXTREME
EXCHANGES
07
GREAT
EXPECTATIONS
08
RETURN TO THE
LONG TERM
09
RISE OF THE
ASIAN ECONOMY
10
SHINY NEW
OBJECTS
04
CHILDHOOD,
REIMAGINED
3
On the surface, Americans are doing well.
People have more disposable income and
can afford things they couldn’t in the past.
Despite this, there’s an angst that pervades
consumers’ outlook.
Although 67% of consumers say
“I’m very happy with my life as is,”
59% believe that this is the lowest
point in our nation’s history that
they can remember. We have a
natural aversion to the feeling of
getting less than others, and with
rising income inequality and more
perceived injustice, that’s exactly
how some consumers feel. Sixty
five percent say society grants an
unfair advantage to some groups.
This is magnified by social media;
nearly two-thirds say “social media
has made people more envious of
each other.”
The angst of feeling trapped in a
stagnant position while everyone
else seems to be benefiting is
amplified by our tribal natures. As
we gravitate toward groups with
common values and motivations,
it becomes easier to suppress
dissenting perspectives.
No wonder many groups feel
left behind — nearly half of white
working-class Americans say
“things have changed so much
that I often feel like a stranger
in my own country.” Younger
generations are experiencing this
fragmentation too, leaving them
feeling less connected to the
5THE GREAT AMERICAN CRISIS(?) 2018 TREND REPORT
01
02
03
IMPLICATIONS
Figure out where your brand should and
shouldn’t play on the continuum of social
concerns.
If getting involved in a cause, test involve-
ment against current and potential custom-
ers.
Keep up with the cultural zeitgeist (e.g. sub-
scribe to your weekly Culture Briefings).
country as a whole. Millennials are
half as likely as Baby Boomers to
say that the U.S. best represents
who they are — they relate to state
and online communities instead.
Brands have the difficult task of
responding to this angst without
isolating valuable consumer
segments. Companies like Target,
Jim Beam, and Papa John’s have
faced backlash over statements
supporting and opposing certain
causes,causingPRnightmaresand
affectingbottomlines.Additionally,
only 36% of consumers believe
companies should comment on
social and political situations — so
brands must choose wisely when
getting involved.
WE HAVE A NATURAL AVERSION
TO GETTING LESS—NOT TO
INEQUITY.
PAUL BLOOM
PSYCHOLOGIST AT YALE UNIVERSITY
”
6THE GREAT AMERICAN CRISIS(?) 2018 TREND REPORT
“
Sources: American Psychological Association, Mindshare’s Pool, PRRI, Simmons
IT’S ONLY AMONG HUMANS
THAT YOU FIND VERY LARGE
GROUPS WHO ARE ABLE TO CO-
OPERATE. BUT IN THIS CASE, IT’S
GROUPS UNITED TO FIGHT OTH-
ER GROUPS, PROBABLY COMING
FROM OUR LONG HISTORY OF
TRIBAL LIVING.
JONATHAN HAIDT
PROFESSOR AT NYU
“
”
7THE GREAT AMERICAN CRISIS(?) 2018 TREND REPORT
31
18
16
13 12 12 13 14
7
3 3
6
8
4 4
9
22
15
The country I
live in
The state I
live in
My local
community
The
communities
that I’m a part
of online
The sports
teams I root
for
The school I
went/go to
Which of the following best represents who you are and your values?
(%)
Millennials Gen X Baby Boomers
8
In 2005, the average person owned 156
CDs. Today, we have instant access to
over two billion Spotify playlists. With
seemingly endless content options, the
world seems more complex than ever.
Consumers are feeling the effects,
with 67% saying they “find the
world to be increasingly complex”
(up from 56% in 2012). And having
too many options takes a toll on
decision-making. Many people
feel paralyzed by choice — nearly
half say they sometimes “spend
more time trying to decide what
to watch than actually watching
something.” Others fall back on
safe bets: over half of consumers
admit to watching an entire TV
series multiple times.
Whatever content they choose, for
many consumers, it’s an escape
from the anxiety of everyday life.
Nearly two-thirds say they “use
content to take my mind off of
negative things going on in the
world.” One surprising stress-
relieving genre? Horror — 2017
was the largest box office year for
horror films, with hits like It and
Get Out providing safe havens
for viewers to replace real-life
fear with fiction and experience
negative emotions in manageable
environments.
As shows and movies play a
bigger role in one’s identity,
escapism goes beyond a solo
pursuit. From Meetup groups
hosting Game of Thrones watch
9SAFE HAVENS 2018 TREND REPORT
01
02
03
IMPLICATIONS
How can your product or brand create or
align to a “safe haven” for consumers?
Find ways to simplify messaging or block
out noise in the age of complexity.
Does your 2018 tentpole strategy align with
consumers’ changing behaviors?
parties to conventions like Comic
Con and RTX, content lovers are
herding together to form collective
escapism.
Some brands go a step further.
Netflix’s Bed ‘N’ Binge room
allows people to binge shows
in themed rooms. And Disney
recently announced plans for a
Star Wars luxury hotel, complete
with costumes and customized
storylines for guests — proving
that escapism goes beyond the
screen.
63%AGREE: “I USE CONTENT AND
ENTERTAINMENT TO TAKE MY
MIND OFF OF NEGATIVE THINGS
GOING ON IN THE WORLD”
10SAFE HAVENS 2018 TREND REPORT
WHEN FANS LISTEN TO A
BACHELOR OR BACHELORETTE
PODCAST, THEY’RE ENTERING
THE SHARED COMMUNITY OF
FANS THE SAME WAY FANS OF
A FANTASY EPIC (OR AN NHL
FRANCHISE) MIGHT.
PASTE MAGAZINE
Sources: ICM, Mindshare’s Mindreader, Mindshare’s Pool
“
”
11SAFE HAVENS 2018 TREND REPORT
Agree “I find the world to be increasingly complex”
(%)
67%66%64%
61%
58%56%
2012 2014 20162013 2015 2017
12
The great urban revival is relocating — to
suburbia. And these aren’t your mother’s
suburbs. Communities sitting on the edges
of urban centers are developing unique
economic and cultural identities.
That’s leaving today’s boom
looking rather different from the
one that took place in the 1950s,
when “the father of modern
American suburbia” William Levitt
applied mass production to home
building. Back then, the suburbs
depended heavily on the urban
centers they surrounded — a city/
suburb relationship sociologists
identified as a monocentric model.
Over time, developers have made
more walkable downtown areas
in communities outside of cities,
causing this relationship to turn
into a polycentric model, with
many economic centers operating
independentlyofoneanother. This
shift is blurring the line between
cities and suburbs.
You can thank Millennials — or
rather, Millennials settling down,
shifting population growth from
urban counties to suburban
ones. And as more young people
move to the suburbs, they’re
bringing urban expectations
with them. Stereotypically urban
establishments like pop-up shops
and food halls have begun to
cross over into suburban living.
Millennials are even adding
an Instagram-inspired twist on
home-buying, hiring professional
13MIDDLEBURBS 2018 TREND REPORT
01
02
03
IMPLICATIONS
Does your current brand proposition draw
in Middleburbia consumers and address
their needs?
Implement your local marketing strategy so
that it appeals to a Middleburb mentality.
Use signals and data to help identify
Middleburbs for 2018 business
opportunities.
photographers to capture the
moment they step into their new
pads.
Suburban infrastructure has also
shifted. For example, The Arcade
Providence in Rhode Island was
one of the oldest libraries in the
country. With a rising demand for
housing in the area, it’s now a
swanky apartment complex within
a walkable city center. New York’s
Knitting Factory music venue
has bought small concert halls
in suburban Minnesota, bringing
more opportunity and culture to
the city outskirts — and giving the
suburbs a whole new feel.
14MIDDLEBURBS 2018 TREND REPORT
THE GREAT URBAN REVIVAL
MIGHT NOT BE ENDING, IT MIGHT
JUST BE RELOCATING. INSTEAD
OF PILING INTO EXISTING CORES,
AMERICANS MIGHT SIMPLY BE
CREATING NEW ONES ACROSS
THE COUNTRY.
BLOOMBERG
“
”
Sources: New York University
15MIDDLEBURBS 2018 TREND REPORT
MONOCENTRIC MODEL
1950’s
POLYCENTRIC MODEL
TODAY
THE NAME “SUBURBS” NEEDS
A REVISION. THE TOWNS SUR-
ROUNDING URBAN CORES WITH
TRAINS AND BUSES DIRECT TO
CITY CENTERS AND A WALKABLE
AND ACTIVE DOWNTOWN ARE
NOT SUBURBS
GABE BAILER
URBAN PLANNER
“
”
16
Parents are spending more time than ever
with their kids. But thanks to the ubiquity
of screens and techy toys, that time isn’t
always the quality time that parents yearn
for.
We’re living in an era of hyper-
indulgence, with the average
householdcontainingabout71toys
for kids to play with. Part of this is
due to the hyper-connected world
we live in causing tensions for both
parents and their kids. Children are
getting phones at younger ages
and spend more time each day
using mobile devices (48 minutes
on average) than reading or being
read to (30 minutes).
However, as the issues of
indulgence become more
apparent, a potential backlash may
be coming. Researchers recently
found that kids become more
creative with fewer toys, causing
some parents to take a more
minimalist approach. Parents are
also trying to balance the tensions
of mobile moderation. While 71%
of parents say they worry their
children spend too much time in
front of screens, they don’t want to
be overbearing or have their child
feel left out from social groups by
going completely screen-free.
Schools are taking note. Instead of
sending their kids to tech-oriented
schools, tech executives like Bill
Gates and Steve Jobs favored
schools like the Waldorf School
in Silicon Valley, which doesn’t let
17CHILDHOOD, REIMAGINED 2018 TREND REPORT
01
02
03
IMPLICATIONS
Inspire ideas for quality family bonding time
among consumers and their families.
How does your brand offer utility or guidance
that addresses modern parenting struggles?
How does your brand support children’s
learning with the current evolution in
education?
kids use screens until 8th grade.
Standards around homework
and testing are changing too —
some elite schools are reducing
the amount of homework and
starting later, enduring criticism
from opposing viewpoints. And
the evolution of STEM (Science,
Technology, Engineering, Math) is
evolving again, with some pushing
this categorization to expand into
the arts as well (meet STEAM).
More distractions, more problems?
For some parents and kids, less
(tech and toys) is more.
71%PARENTS ARE WORRIED THAT
THEIR CHILDREN SPEND TOO
MUCH TIME WITH THEIR DEVICES
18CHILDHOOD, REIMAGINED 2018 TREND REPORT
A NEW MOVEMENT IS WORKING
TO INCLUDE ART AND DESIGN
INTO THE CONCEPT OF
STEM. THE NEW IDEA, STEAM,
HIGHLIGHTS THE NECESSITY
OF INCORPORATING ART WHEN
TURNING SCIENTIFIC AND
TECHNICAL PROJECTS INTO
USABLE, REAL-WORLD PRODUCTS.
HUFFINGTON POST
Sources: Pew Research, Nielsen, Common Sense Media, Toy Industry Association, New York Times
“
”
19CHILDHOOD, REIMAGINED 2018 TREND REPORT
65
150
160
173
1991 2000 2012 2017
Number of Waldorf Schools in the US
(kids don’t use screens until 8th grade)
20
MeetGenNice.They‘rethemosteducated,
diverse, and tech-savvy group ever, and
just beginning to hit adulthood — one
that’s looking pretty different than it did for
other generations.
The Great Recession and the
evolution of technology have
helped shape Gen Nice, ages 7-22,
into a different cohort. Milestones
like driving, dating, and drinking
were left behind with older
generations. Instead, Gen Nice’s
online activities define them,
from what apps they use to what
YouTube channels they subscribe
to.
Coming of age in a time with a huge
emphasis on technology comes
with growing pains. New services
like tbh, House Party, and Musical.
ly create more opportunities for
Gen Nice to stay connected to
each other and the world at large.
However, from juggling multiple
Instagram accounts (Finstas) to
keeping up on their Snapstreaks,
it’s become more difficult for them
to manage their online identities.
With the majority of interaction
happening online, there’s also
a feeling of isolation when that
interaction shifts into the real
world. These tech troubles — along
with high academic and economic
pressures from parents and
schools — have stressed out Gen
Nice young adults, who are now
exhibiting higher rates of anxiety
and depression than Millennials
before them.
21GEN NICE: COMING OF AGE 2018 TREND REPORT
01
02
03
IMPLICATIONS
Think about how your product or
communication approach will change for
the next generation.
Ensure that you understand the nuances of
these potential new customers.
How can your brand help the next
generation navigate their complex entrance
into adulthood?
But it’s not all doom and gloom.
Gen Nice is one of the most
empathetic generations, breaking
down stigmas around race,
gender, and mental health. And
they’re optimistic about their place
in the world and the future they’ll
help shape.
And while traditional celebrities
still resonate, they have an ever-
refreshing set of role models to
look up to, born out of YouTube,
Snapchat, and Instagram. These
influencers connect with them
on a deeper level, thanks to their
approachable personas and
engaging content.
Brands, meet the new change-
makers.
“I JUST KNOW OF ALL OF THESE
PEOPLE BECAUSE OF SOCIAL
MEDIA, BUT I DON’T ACTUALLY
KNOW THEM. I COULD NEVER GO
UP TO THEM AND BE LIKE, ‘HEY,
I SAW YOU ON INSTAGRAM FOR
TWO YEARS.’”
GEN NICE FEMALE
“
”
22GEN NICE: COMING OF AGE 2018 TREND REPORT
Sources: Association for University and College Counseling Center Directors, University of Michigan, MediaKix
63%
GEN Z WOULD PREFER TO SEE A
SOCIAL MEDIA INFLUENCER IN
ADVERTISEMENTS
(ONLY 37% PREFER TRADITIONAL CELEBRITIES)
23GEN NICE: COMING OF AGE 2018 TREND REPORT
High School Seniors Who’ve Done the Following
(%)
87 85
72
68
39
72
56 57
33
11
Has driver’s license Ever dated Worked for pay Drank alcohol
(last 30 days)
Smoked cigarettes
(last 30 days)
1976 2016
24
Look at any category from retail to food
to travel to media, and you’ll see two
extremes in action, with efficiency at one
end of the spectrum and immersion at the
other.
Laziness is deeply ingrained in our
DNA. And that’s good for brands
— 51% of consumers want a
trusted brand to help simplify their
lives (up from 31% in 2012). So it’s
no surprise that these consumers
want a streamlined shopping
experience. For example, Amazon
Go, a beta retail experience,
removes the friction of checking
out by tracking shoppers through
the store using sensor tracking
and deep learning. Other retailers
are investing in line-skipping
convenience, with Walmart’s
Scan & Go app and the CVS and
Curbside partnership among the
many convenient options available
to consumers.
It’s not just retail that’s focused
on streamlining. Starbucks is
increasing efficiency in its express
stores, which feature only items
that can be made quickly and
have employees taking orders
before consumers even get to the
register.
But it’s not just about what’s
faster and easier. About 65% of
consumers say “it’s extremely
important to have stimulating
experiences” and over one-third
say “even when I don’t purchase
anything, I enjoy shopping.” In
25EXTREME EXCHANGES 2018 TREND REPORT
01
02
03
IMPLICATIONS
Workshop what the extremes of your cat-
egory could look like for new products or
services.
Identify where your brand has a right to
play among consumers.
Continue to monitor innovation across rel-
evant categories so you don’t fall behind.
addition to its express stores,
Starbucks also offers a Roastery,
a small-batch “coffee theater” that
encourages consumers to enjoy
a multi-hour visit. The Samsung
837 NYC flagship store doesn’t
sell products but operates as a
digital playground of art-house
installations. There are even
Instagram-ready museums like
the Museum of Ice Cream, which
features colorful areas for picture-
snapping.
Whether it’s efficiency or
immersion that consumers are
after, brands are stepping up and
giving it to them.
YOU HAVE TO GIVE PEOPLE A
REASON TO COME TO THE STORE
OTHER THAN JUST DUPLICATING
WHAT THEY CAN BUY ONLINE.
BRIDGET RUSSO
SHINOLA CMO
“
”
26EXTREME EXCHANGES 2018 TREND REPORT
STREAMLINED ELABORATE
Data Sources: Mindshare’s Mindreader, Simmons
27EXTREME EXCHANGES 2018 TREND REPORT
65%Agree: “It’s extremely important to
have stimulating experiences”
28
As companies like Amazon, Uber, and
Netflix push the boundaries of speed,
service, and innovation, consumer
expectations are changing, forcing other
brands to keep up.
With great expectations comes
great power. In the late 1960s,
psychologist Robert Rosenthal
introduced the Pygmalion Effect,
which suggests that higher
expectations lead to an increase
in performance, impacting how we
think and behave.
Consumerstodayarecomparingall
brands to a select few disruptors,
raising the overall bar. Fifty two
percent of consumers say that
they “have higher expectations
for brands today than they did in
the past.” So what can we learn
from innovators like Tesla and
Airbnb? How to play off key human
behavior triggers. The number one
consumer expectation for brands
today is “to make my life easier.”
To do this, brands should look
to the U.K. Behavioural Insights
Team’s EAST Model, consisting of
four pillars: make it easy, make it
attractive, make it social, and make
it timely.
Brands like Amazon have done
this by implementing same-day
deliveries, reducing the wait time
consumers expect for receiving
their products. HotelFlex works
with hotels to allow travelers to
check in and check out at any time
they’d like. And Hiatus is an app
29GREAT EXPECTATIONS 2018 TREND REPORT
01
02
03
IMPLICATIONS
Use data and research to identify and
meet changing expectations of category
consumers.
Use the EAST Model to workshop new
ways to enhance your marketing or
communication strategy.
Explore adding layers to content (e.g. shop-
ability) to ensure it’s delivering against
expectations.
that negotiates bills and payments
on the consumer’s behalf to lower
prices.
Media is also undergoing a
change in response to consumers’
expectations — HBO’s new
interactive show Mosaic lets
viewers watch from different
characters’ perspectives and
choose the sequence in which
the story unfolds. And FOX has
adopted six-second ads onto their
network, minimizing how long
consumers expect commercials to
last.
Great expectations, met and
exceeded.
30GREAT EXPECTATIONS 2018 TREND REPORT
Ease
Direct to customer selling
Autopilot
Easy entry/exit
Automatic garage warning
Over the air updates
Streaming services
Advance parking sensors
Attractive
Largest touchscreen
Slick design
(e.g. removal of grill)
Key shaped like car
Timely
Speed of response
on social
Culturally relevant press
releases
Social
Tesla charger stations
Easter eggs
Dealerships in Malls
Elon Musk – ‘social CEO’
Sources: Mindshare’s Pool, Behavioural Insights Team (a separate company in the UK), Wunderman
31GREAT EXPECTATIONS 2018 TREND REPORT
52%
AGREE: “I HAVE HIGHER
EXPECTATIONS FOR BRANDS
NOW THAN I DID IN THE PAST”
(61% OF MILLENNIALS)
87%Consumers say they
measure all brands
against a select few
companies
32
For the past few years, companies have
been trading long-term success for short-
term gains. However, we’re now in the
midst of a backlash as longevity is making
a comeback.
The average number of very large
business effects (e.g. penetration,
market share) per ad campaign has
dropped by nearly 20% from 2012
to 2016, thanks to the percent of
short-term campaigns increasing
from 7% in 2006 to 26% in 2016. It’s
understandable why brands would
favor short-termism. Not only is it
easier to observe and measure,
but CMOs and brand managers
are increasingly pressured by
quarterly sales goals.
But immediate results aren’t
always a good thing. This short-
term outlook inhibits innovation
and makes the economy less
competitive, impacting the stock
market. This means that more
companies are staying private, with
the number of U.S. publicly traded
companies dropping by almost
50% since the 1990s. Startups are
also taking longer to IPO, with the
median amount of time increasing
from 3.1 years in 2000 to 8.2 years
in 2017.
As the issues with short-termism
become more apparent, some
are shifting to more long-term
strategies. For example, the Long-
Term Stock Exchange is a new
model backed by Silicon Valley
venture capitalists that operates
33RETURN TO THE LONG TERM 2018 TREND REPORT
34RETURN TO THE LONG TERM 2018 TREND REPORT
01
02
03
IMPLICATIONS
Ensure that you’re setting the right KPIs for
long-term growth (e.g. unaided awareness,
penetration).
Balance brand building and sales activation
in your creative and media strategy.
Think long-term; don’t always be quick to
change course if impact is not immediate.
using “tenure voting,” in which
shareholders who have their
stocks for a longer period of time
get more votes.
The power of long-term thinking
has its perks. Just look at the
Houston Astros, who went
from one of the Major League
Baseball’s worst teams to World
Series Champions in five years by
leveraging young prospects. Proof
that if companies are willing to
take a step back and focus on the
greater potential, the payoff will
greatly exceed the sacrifices.
THERE IS CURRENTLY TOO MUCH
FOCUS ON THE SHORT-TERM
EASIER TO MEASURE AND
OBSERVE
CLIENTS OFTEN PRESSURED BY
QUARTERLY SALES GOALS
SILICON VALLEY’S HIGH-TECH
DENIZENS COMPLAIN THE PUBLIC
STOCK MARKETS ARE MARRED
BY A NARROW FOCUS ON SHORT-
TERM EARNINGS AND PROFITS.
NOW THEY ARE ACTUALLY
DOING SOMETHING ABOUT IT, BY
LAUNCHING A NEW FRAMEWORK
FOR CORPORATE GOVERNANCE,
INVESTING AND TRADING
CALLED THE LONG-TERM STOCK
EXCHANGE.
WALL STREET JOURNAL
Sources: Wall Street Journal, National Venture Capitalist Association, IPA
“
”
35RETURN TO THE LONG TERM 2018 TREND REPORT
Median time for IPO exit
7.4 years
20132000 2017
3.1 years
8.2 years
36
Growing in population size, buying power,
and cultural influence, Asian-American
consumers are becoming an increasingly
valuable multicultural segment for brands
to consider.
Asian Americans make up 6% of
the U.S. population, but they’re
the fastest-growing multicultural
segment, expected to balloon to
14% within the next five decades.
This often-overlooked group
in America represents a huge
untapped market waiting to be
recognized, with the highest
incomes and education levels, the
fastest-growing home-ownership
in the U.S., and some of the
highest spending in categories like
makeup, apparel, and restaurants.
But those aren’t the only places
where Asian Americans are having
an impact. From Hollywood to
Washington, 2017 was a watershed
year for this group. For example,
Congress added 18 members of
Asian descent (the most ever). And
K-Pop group BTS broke hearts and
records with a top 10 Billboards
debut and a spot on Time’s list of
the Top 25 Internet Influencers.
It can be seen in our content too,
as Asian authors, playwrights,
directors, and actors bring their
own unique values, stories, and
perspectives into the mainstream.
Companies like Netflix have
recognized this and are buying
and creating Asian content like
Okja and Bardo. Their impact on
37RISE OF THE ASIAN ECONOMY 2018 TREND REPORT
01
02
03
IMPLICATIONS
Understand Asian-American consumers’
relevance to your category and brand and,
when appropriate, include them in your
multicultural strategy.
Understand their motivations and nuance
your brand communications accordingly.
Make sure communications reflect an
accurate and authentic representation of
this audience.
other brands is wide-reaching,
with companies Nike and Sephora
jumping to embrace the culture.
Of course, there are still issues
that need to be addressed. Brands
need to understand that Asian
Americans represent a broad and
diverse group of many different
cultures with vastly different values
and needs. And they need to be
cognizantoftheproblemstheyface
— like misrepresentation in media,
immigration, and discrimination —
to better serve them.
FOR A LONG TIME,
GLOBALIZATION HAS EFFECTIVELY
MEANT ‘AMERICANIZATION.’ THE
NEW GLOBALIZATION IS NOT AS
SUCH AMERICANIZATION BUT
IS SOMETHING THAT COULD BE
CALLED ‘GLOBAL-AS-ASIAN.
FORBES
”
38RISE OF THE ASIAN ECONOMY 2018 TREND REPORT
“
WHAT BOTHERED ME ABOUT APU
IS HOW HE STOOD IN FOR MY
PARENTS, REPLACING THEIR REAL
STORIES AND REAL STRUGGLES
AND THEIR REALLY COMPLICATED
LIVES WITH AN ACCENT
HARI KONDABOLU
THE PROBLEM WITH APU
Sources: U.S. Census, Simmons, Pew Research
”
“
Expenditures by Race/Ethnicity
39RISE OF THE ASIAN ECONOMY 2018 TREND REPORT
$275 $270
$256
$325
$180
$130
$163
$208
$133
$156
$167
$206
$74 $74
$88
$105
$70
$79
$81
$96
White Hispanic AsianAA
Family Restaurants Women’s Apparel Women’s Accessories Skincare Makeup
40
As new technology develops at rapid
rates, it’s easy to be fascinated by the
latest devices. But brands must embrace
tech trends carefully — or risk losing big.
Look no further than Second Life
for a cautionary tale. In the early
2000s, the virtual world — which
letsuserscreateavatarstointeract,
shop, and consume media — was
predicted to be the future of the
internet and marketing. It was
supposed to revolutionize life as
we knew it. But it failed.
Fast forward to 2012, and Google
Glass was expected to be our new
way of seeing the world, displaying
digital information through
wearable headsets. It also failed.
So did Snap Inc.’s near-identical
replica, Spectacles.
Our brains are often hijacked by
novelty.Whetheritfailsorsucceeds,
our “cult of the new” mentality
keeps us distracted by the latest
thing. Just look at breakout ice
cream brand Halo Top, which had
over 2,500% increase in sales in
2016. That deserves recognition,
but we ignore the fact that 85%
of CPG products fail. Blame
“Survivorship Bias,” a tendency
to focus on success stories while
forgetting failures. This bias even
happens with successful brands
like Amazon, Google, and Apple
— all having introduced failed
products (RIP Google Plane and
Google Wave) between their few
41SHINY NEW OBJECTS 2018 TREND REPORT
01
02
03
IMPLICATIONS
Always check Shiny New Objects against
scale and marketing truths.
First-mover advantage isn’t always an ad-
vantage; make strategic decisions about
relevance to your brand.
Lean on agency partners (who have a
broader view) to help navigate the fast-mov-
ing tech space.
successful launches.
However, as we enter a period of
fad fatigue, brands are starting
to become more cautious. Some
brands fell into a Millennial refresh
trap — like Applebee’s, which
changed their menu and model
to attract younger customers. It
failed, so they went back to their
original model. Many are also
taking a cautious approach to
the digital ecosystem, with major
spenders like P&G, Mars, and
Taco Bell pulling money out of
digital and reinvesting in television
for longevity and brand safety
concerns.
What’s old is new — and profitable
— again.
MOST OF US ARE REGULARLY
FOOLED BY THE SURVIVOR
BIAS. CONSIDER THE PLETHORA
OF BUSINESS BOOKS READILY
AVAILABLE IN AIRPORT
BOOKSTALLS THAT FEATURE THE
MOST SUCCESSFUL COMPANIES
SCIENTIFIC AMERICAN
“
”
42SHINY NEW OBJECTS 2018 TREND REPORT
Sources: Halo Top, Nielsen, Google Trends
43
“THE PREFRONTAL CORTEX HAS
A NOVELTY BIAS, MEANING THAT
ITS ATTENTION CAN BE EASILY
HIJACKED BY SOMETHING NEW –
THE PROVERBIAL SHINY OBJECTS
WE USE TO ENTICE INFANTS,
PUPPIES, AND KITTENS.”
DANIEL J LEVITIN
MCGILL UNIVERSITY
“
”
SHINY NEW OBJECTS 2018 TREND REPORT
IPL
MFG/IOFC
ant.pre-SMA
100
90
80
70
60
50
40
30
20
10
0
2004-12
2005-02
2005-04
2005-06
2005-08
2005-10
2005-12
2006-02
2006-04
2006-06
2006-08
2006-10
2006-12
2007-02
2007-04
2007-06
2007-08
2007-10
2007-12
2008-02
2008-04
2008-06
2008-08
2008-10
2008-12
2009-02
2009-04
2009-06
2009-08
2009-10
2009-12
2010-02
2010-04
2010-06
2010-08
2010-10
2010-12
2011-02
2011-04
2011-06
2011-08
2011-10
2011-12
2012-02
2012-04
2012-06
2012-08
2012-10
2012-12
2013-02
2013-04
2013-06
2013-08
2013-10
2013-12
2014-02
2014-04
2014-06
2014-08
2014-10
2014-12
2015-02
2015-04
2015-06
2015-08
2015-10
2015-12
2016-02
2016-04
2016-06
2016-08
2016-10
2016-12
2017-02
2017-04
2017-06
2017-08
2017-10
2017-12
Google Search Index
RSS, Dec. 2005 Virtual World, Jun. 2010 Gamification, Apr. 2014 Wearables, Sep. 2014UGC, Feb. 2008
44
SUMMARY
Technology plays a part, but at the
end of the day it’s human behavior that
shapes marketing and media strategies.
Current trends are giving you plenty of
material to work with. Contact us for the
latest trends as they rise in the cultural
zeitgeist.
45

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Culture Vulture Trends Report: 2018

  • 1. 1
  • 2. 2 CULTURE VULTURE 2018 In our seventh annual deep dive into the big trends pervading U.S. culture, we explore the current angst plaguing Americans,thenewdefinitionofsuburbia, today’s modern parenting struggles, and how shopping is becoming more polarized (along with other interesting things, like breaking down the allure of shiny new things).
  • 3. TOP CULTURAL TRENDS 1 THE GREAT AMERICAN CRISIS(?) 02 SAFE HAVENS 03 THE MIDDLEBURBS 05 GEN NICE: COMING OF AGE 06 EXTREME EXCHANGES 07 GREAT EXPECTATIONS 08 RETURN TO THE LONG TERM 09 RISE OF THE ASIAN ECONOMY 10 SHINY NEW OBJECTS 04 CHILDHOOD, REIMAGINED 3
  • 4.
  • 5. On the surface, Americans are doing well. People have more disposable income and can afford things they couldn’t in the past. Despite this, there’s an angst that pervades consumers’ outlook. Although 67% of consumers say “I’m very happy with my life as is,” 59% believe that this is the lowest point in our nation’s history that they can remember. We have a natural aversion to the feeling of getting less than others, and with rising income inequality and more perceived injustice, that’s exactly how some consumers feel. Sixty five percent say society grants an unfair advantage to some groups. This is magnified by social media; nearly two-thirds say “social media has made people more envious of each other.” The angst of feeling trapped in a stagnant position while everyone else seems to be benefiting is amplified by our tribal natures. As we gravitate toward groups with common values and motivations, it becomes easier to suppress dissenting perspectives. No wonder many groups feel left behind — nearly half of white working-class Americans say “things have changed so much that I often feel like a stranger in my own country.” Younger generations are experiencing this fragmentation too, leaving them feeling less connected to the 5THE GREAT AMERICAN CRISIS(?) 2018 TREND REPORT
  • 6. 01 02 03 IMPLICATIONS Figure out where your brand should and shouldn’t play on the continuum of social concerns. If getting involved in a cause, test involve- ment against current and potential custom- ers. Keep up with the cultural zeitgeist (e.g. sub- scribe to your weekly Culture Briefings). country as a whole. Millennials are half as likely as Baby Boomers to say that the U.S. best represents who they are — they relate to state and online communities instead. Brands have the difficult task of responding to this angst without isolating valuable consumer segments. Companies like Target, Jim Beam, and Papa John’s have faced backlash over statements supporting and opposing certain causes,causingPRnightmaresand affectingbottomlines.Additionally, only 36% of consumers believe companies should comment on social and political situations — so brands must choose wisely when getting involved. WE HAVE A NATURAL AVERSION TO GETTING LESS—NOT TO INEQUITY. PAUL BLOOM PSYCHOLOGIST AT YALE UNIVERSITY ” 6THE GREAT AMERICAN CRISIS(?) 2018 TREND REPORT “
  • 7. Sources: American Psychological Association, Mindshare’s Pool, PRRI, Simmons IT’S ONLY AMONG HUMANS THAT YOU FIND VERY LARGE GROUPS WHO ARE ABLE TO CO- OPERATE. BUT IN THIS CASE, IT’S GROUPS UNITED TO FIGHT OTH- ER GROUPS, PROBABLY COMING FROM OUR LONG HISTORY OF TRIBAL LIVING. JONATHAN HAIDT PROFESSOR AT NYU “ ” 7THE GREAT AMERICAN CRISIS(?) 2018 TREND REPORT 31 18 16 13 12 12 13 14 7 3 3 6 8 4 4 9 22 15 The country I live in The state I live in My local community The communities that I’m a part of online The sports teams I root for The school I went/go to Which of the following best represents who you are and your values? (%) Millennials Gen X Baby Boomers
  • 8. 8
  • 9. In 2005, the average person owned 156 CDs. Today, we have instant access to over two billion Spotify playlists. With seemingly endless content options, the world seems more complex than ever. Consumers are feeling the effects, with 67% saying they “find the world to be increasingly complex” (up from 56% in 2012). And having too many options takes a toll on decision-making. Many people feel paralyzed by choice — nearly half say they sometimes “spend more time trying to decide what to watch than actually watching something.” Others fall back on safe bets: over half of consumers admit to watching an entire TV series multiple times. Whatever content they choose, for many consumers, it’s an escape from the anxiety of everyday life. Nearly two-thirds say they “use content to take my mind off of negative things going on in the world.” One surprising stress- relieving genre? Horror — 2017 was the largest box office year for horror films, with hits like It and Get Out providing safe havens for viewers to replace real-life fear with fiction and experience negative emotions in manageable environments. As shows and movies play a bigger role in one’s identity, escapism goes beyond a solo pursuit. From Meetup groups hosting Game of Thrones watch 9SAFE HAVENS 2018 TREND REPORT
  • 10. 01 02 03 IMPLICATIONS How can your product or brand create or align to a “safe haven” for consumers? Find ways to simplify messaging or block out noise in the age of complexity. Does your 2018 tentpole strategy align with consumers’ changing behaviors? parties to conventions like Comic Con and RTX, content lovers are herding together to form collective escapism. Some brands go a step further. Netflix’s Bed ‘N’ Binge room allows people to binge shows in themed rooms. And Disney recently announced plans for a Star Wars luxury hotel, complete with costumes and customized storylines for guests — proving that escapism goes beyond the screen. 63%AGREE: “I USE CONTENT AND ENTERTAINMENT TO TAKE MY MIND OFF OF NEGATIVE THINGS GOING ON IN THE WORLD” 10SAFE HAVENS 2018 TREND REPORT
  • 11. WHEN FANS LISTEN TO A BACHELOR OR BACHELORETTE PODCAST, THEY’RE ENTERING THE SHARED COMMUNITY OF FANS THE SAME WAY FANS OF A FANTASY EPIC (OR AN NHL FRANCHISE) MIGHT. PASTE MAGAZINE Sources: ICM, Mindshare’s Mindreader, Mindshare’s Pool “ ” 11SAFE HAVENS 2018 TREND REPORT Agree “I find the world to be increasingly complex” (%) 67%66%64% 61% 58%56% 2012 2014 20162013 2015 2017
  • 12. 12
  • 13. The great urban revival is relocating — to suburbia. And these aren’t your mother’s suburbs. Communities sitting on the edges of urban centers are developing unique economic and cultural identities. That’s leaving today’s boom looking rather different from the one that took place in the 1950s, when “the father of modern American suburbia” William Levitt applied mass production to home building. Back then, the suburbs depended heavily on the urban centers they surrounded — a city/ suburb relationship sociologists identified as a monocentric model. Over time, developers have made more walkable downtown areas in communities outside of cities, causing this relationship to turn into a polycentric model, with many economic centers operating independentlyofoneanother. This shift is blurring the line between cities and suburbs. You can thank Millennials — or rather, Millennials settling down, shifting population growth from urban counties to suburban ones. And as more young people move to the suburbs, they’re bringing urban expectations with them. Stereotypically urban establishments like pop-up shops and food halls have begun to cross over into suburban living. Millennials are even adding an Instagram-inspired twist on home-buying, hiring professional 13MIDDLEBURBS 2018 TREND REPORT
  • 14. 01 02 03 IMPLICATIONS Does your current brand proposition draw in Middleburbia consumers and address their needs? Implement your local marketing strategy so that it appeals to a Middleburb mentality. Use signals and data to help identify Middleburbs for 2018 business opportunities. photographers to capture the moment they step into their new pads. Suburban infrastructure has also shifted. For example, The Arcade Providence in Rhode Island was one of the oldest libraries in the country. With a rising demand for housing in the area, it’s now a swanky apartment complex within a walkable city center. New York’s Knitting Factory music venue has bought small concert halls in suburban Minnesota, bringing more opportunity and culture to the city outskirts — and giving the suburbs a whole new feel. 14MIDDLEBURBS 2018 TREND REPORT THE GREAT URBAN REVIVAL MIGHT NOT BE ENDING, IT MIGHT JUST BE RELOCATING. INSTEAD OF PILING INTO EXISTING CORES, AMERICANS MIGHT SIMPLY BE CREATING NEW ONES ACROSS THE COUNTRY. BLOOMBERG “ ”
  • 15. Sources: New York University 15MIDDLEBURBS 2018 TREND REPORT MONOCENTRIC MODEL 1950’s POLYCENTRIC MODEL TODAY THE NAME “SUBURBS” NEEDS A REVISION. THE TOWNS SUR- ROUNDING URBAN CORES WITH TRAINS AND BUSES DIRECT TO CITY CENTERS AND A WALKABLE AND ACTIVE DOWNTOWN ARE NOT SUBURBS GABE BAILER URBAN PLANNER “ ”
  • 16. 16
  • 17. Parents are spending more time than ever with their kids. But thanks to the ubiquity of screens and techy toys, that time isn’t always the quality time that parents yearn for. We’re living in an era of hyper- indulgence, with the average householdcontainingabout71toys for kids to play with. Part of this is due to the hyper-connected world we live in causing tensions for both parents and their kids. Children are getting phones at younger ages and spend more time each day using mobile devices (48 minutes on average) than reading or being read to (30 minutes). However, as the issues of indulgence become more apparent, a potential backlash may be coming. Researchers recently found that kids become more creative with fewer toys, causing some parents to take a more minimalist approach. Parents are also trying to balance the tensions of mobile moderation. While 71% of parents say they worry their children spend too much time in front of screens, they don’t want to be overbearing or have their child feel left out from social groups by going completely screen-free. Schools are taking note. Instead of sending their kids to tech-oriented schools, tech executives like Bill Gates and Steve Jobs favored schools like the Waldorf School in Silicon Valley, which doesn’t let 17CHILDHOOD, REIMAGINED 2018 TREND REPORT
  • 18. 01 02 03 IMPLICATIONS Inspire ideas for quality family bonding time among consumers and their families. How does your brand offer utility or guidance that addresses modern parenting struggles? How does your brand support children’s learning with the current evolution in education? kids use screens until 8th grade. Standards around homework and testing are changing too — some elite schools are reducing the amount of homework and starting later, enduring criticism from opposing viewpoints. And the evolution of STEM (Science, Technology, Engineering, Math) is evolving again, with some pushing this categorization to expand into the arts as well (meet STEAM). More distractions, more problems? For some parents and kids, less (tech and toys) is more. 71%PARENTS ARE WORRIED THAT THEIR CHILDREN SPEND TOO MUCH TIME WITH THEIR DEVICES 18CHILDHOOD, REIMAGINED 2018 TREND REPORT
  • 19. A NEW MOVEMENT IS WORKING TO INCLUDE ART AND DESIGN INTO THE CONCEPT OF STEM. THE NEW IDEA, STEAM, HIGHLIGHTS THE NECESSITY OF INCORPORATING ART WHEN TURNING SCIENTIFIC AND TECHNICAL PROJECTS INTO USABLE, REAL-WORLD PRODUCTS. HUFFINGTON POST Sources: Pew Research, Nielsen, Common Sense Media, Toy Industry Association, New York Times “ ” 19CHILDHOOD, REIMAGINED 2018 TREND REPORT 65 150 160 173 1991 2000 2012 2017 Number of Waldorf Schools in the US (kids don’t use screens until 8th grade)
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  • 21. MeetGenNice.They‘rethemosteducated, diverse, and tech-savvy group ever, and just beginning to hit adulthood — one that’s looking pretty different than it did for other generations. The Great Recession and the evolution of technology have helped shape Gen Nice, ages 7-22, into a different cohort. Milestones like driving, dating, and drinking were left behind with older generations. Instead, Gen Nice’s online activities define them, from what apps they use to what YouTube channels they subscribe to. Coming of age in a time with a huge emphasis on technology comes with growing pains. New services like tbh, House Party, and Musical. ly create more opportunities for Gen Nice to stay connected to each other and the world at large. However, from juggling multiple Instagram accounts (Finstas) to keeping up on their Snapstreaks, it’s become more difficult for them to manage their online identities. With the majority of interaction happening online, there’s also a feeling of isolation when that interaction shifts into the real world. These tech troubles — along with high academic and economic pressures from parents and schools — have stressed out Gen Nice young adults, who are now exhibiting higher rates of anxiety and depression than Millennials before them. 21GEN NICE: COMING OF AGE 2018 TREND REPORT
  • 22. 01 02 03 IMPLICATIONS Think about how your product or communication approach will change for the next generation. Ensure that you understand the nuances of these potential new customers. How can your brand help the next generation navigate their complex entrance into adulthood? But it’s not all doom and gloom. Gen Nice is one of the most empathetic generations, breaking down stigmas around race, gender, and mental health. And they’re optimistic about their place in the world and the future they’ll help shape. And while traditional celebrities still resonate, they have an ever- refreshing set of role models to look up to, born out of YouTube, Snapchat, and Instagram. These influencers connect with them on a deeper level, thanks to their approachable personas and engaging content. Brands, meet the new change- makers. “I JUST KNOW OF ALL OF THESE PEOPLE BECAUSE OF SOCIAL MEDIA, BUT I DON’T ACTUALLY KNOW THEM. I COULD NEVER GO UP TO THEM AND BE LIKE, ‘HEY, I SAW YOU ON INSTAGRAM FOR TWO YEARS.’” GEN NICE FEMALE “ ” 22GEN NICE: COMING OF AGE 2018 TREND REPORT
  • 23. Sources: Association for University and College Counseling Center Directors, University of Michigan, MediaKix 63% GEN Z WOULD PREFER TO SEE A SOCIAL MEDIA INFLUENCER IN ADVERTISEMENTS (ONLY 37% PREFER TRADITIONAL CELEBRITIES) 23GEN NICE: COMING OF AGE 2018 TREND REPORT High School Seniors Who’ve Done the Following (%) 87 85 72 68 39 72 56 57 33 11 Has driver’s license Ever dated Worked for pay Drank alcohol (last 30 days) Smoked cigarettes (last 30 days) 1976 2016
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  • 25. Look at any category from retail to food to travel to media, and you’ll see two extremes in action, with efficiency at one end of the spectrum and immersion at the other. Laziness is deeply ingrained in our DNA. And that’s good for brands — 51% of consumers want a trusted brand to help simplify their lives (up from 31% in 2012). So it’s no surprise that these consumers want a streamlined shopping experience. For example, Amazon Go, a beta retail experience, removes the friction of checking out by tracking shoppers through the store using sensor tracking and deep learning. Other retailers are investing in line-skipping convenience, with Walmart’s Scan & Go app and the CVS and Curbside partnership among the many convenient options available to consumers. It’s not just retail that’s focused on streamlining. Starbucks is increasing efficiency in its express stores, which feature only items that can be made quickly and have employees taking orders before consumers even get to the register. But it’s not just about what’s faster and easier. About 65% of consumers say “it’s extremely important to have stimulating experiences” and over one-third say “even when I don’t purchase anything, I enjoy shopping.” In 25EXTREME EXCHANGES 2018 TREND REPORT
  • 26. 01 02 03 IMPLICATIONS Workshop what the extremes of your cat- egory could look like for new products or services. Identify where your brand has a right to play among consumers. Continue to monitor innovation across rel- evant categories so you don’t fall behind. addition to its express stores, Starbucks also offers a Roastery, a small-batch “coffee theater” that encourages consumers to enjoy a multi-hour visit. The Samsung 837 NYC flagship store doesn’t sell products but operates as a digital playground of art-house installations. There are even Instagram-ready museums like the Museum of Ice Cream, which features colorful areas for picture- snapping. Whether it’s efficiency or immersion that consumers are after, brands are stepping up and giving it to them. YOU HAVE TO GIVE PEOPLE A REASON TO COME TO THE STORE OTHER THAN JUST DUPLICATING WHAT THEY CAN BUY ONLINE. BRIDGET RUSSO SHINOLA CMO “ ” 26EXTREME EXCHANGES 2018 TREND REPORT
  • 27. STREAMLINED ELABORATE Data Sources: Mindshare’s Mindreader, Simmons 27EXTREME EXCHANGES 2018 TREND REPORT 65%Agree: “It’s extremely important to have stimulating experiences”
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  • 29. As companies like Amazon, Uber, and Netflix push the boundaries of speed, service, and innovation, consumer expectations are changing, forcing other brands to keep up. With great expectations comes great power. In the late 1960s, psychologist Robert Rosenthal introduced the Pygmalion Effect, which suggests that higher expectations lead to an increase in performance, impacting how we think and behave. Consumerstodayarecomparingall brands to a select few disruptors, raising the overall bar. Fifty two percent of consumers say that they “have higher expectations for brands today than they did in the past.” So what can we learn from innovators like Tesla and Airbnb? How to play off key human behavior triggers. The number one consumer expectation for brands today is “to make my life easier.” To do this, brands should look to the U.K. Behavioural Insights Team’s EAST Model, consisting of four pillars: make it easy, make it attractive, make it social, and make it timely. Brands like Amazon have done this by implementing same-day deliveries, reducing the wait time consumers expect for receiving their products. HotelFlex works with hotels to allow travelers to check in and check out at any time they’d like. And Hiatus is an app 29GREAT EXPECTATIONS 2018 TREND REPORT
  • 30. 01 02 03 IMPLICATIONS Use data and research to identify and meet changing expectations of category consumers. Use the EAST Model to workshop new ways to enhance your marketing or communication strategy. Explore adding layers to content (e.g. shop- ability) to ensure it’s delivering against expectations. that negotiates bills and payments on the consumer’s behalf to lower prices. Media is also undergoing a change in response to consumers’ expectations — HBO’s new interactive show Mosaic lets viewers watch from different characters’ perspectives and choose the sequence in which the story unfolds. And FOX has adopted six-second ads onto their network, minimizing how long consumers expect commercials to last. Great expectations, met and exceeded. 30GREAT EXPECTATIONS 2018 TREND REPORT Ease Direct to customer selling Autopilot Easy entry/exit Automatic garage warning Over the air updates Streaming services Advance parking sensors Attractive Largest touchscreen Slick design (e.g. removal of grill) Key shaped like car Timely Speed of response on social Culturally relevant press releases Social Tesla charger stations Easter eggs Dealerships in Malls Elon Musk – ‘social CEO’
  • 31. Sources: Mindshare’s Pool, Behavioural Insights Team (a separate company in the UK), Wunderman 31GREAT EXPECTATIONS 2018 TREND REPORT 52% AGREE: “I HAVE HIGHER EXPECTATIONS FOR BRANDS NOW THAN I DID IN THE PAST” (61% OF MILLENNIALS) 87%Consumers say they measure all brands against a select few companies
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  • 33. For the past few years, companies have been trading long-term success for short- term gains. However, we’re now in the midst of a backlash as longevity is making a comeback. The average number of very large business effects (e.g. penetration, market share) per ad campaign has dropped by nearly 20% from 2012 to 2016, thanks to the percent of short-term campaigns increasing from 7% in 2006 to 26% in 2016. It’s understandable why brands would favor short-termism. Not only is it easier to observe and measure, but CMOs and brand managers are increasingly pressured by quarterly sales goals. But immediate results aren’t always a good thing. This short- term outlook inhibits innovation and makes the economy less competitive, impacting the stock market. This means that more companies are staying private, with the number of U.S. publicly traded companies dropping by almost 50% since the 1990s. Startups are also taking longer to IPO, with the median amount of time increasing from 3.1 years in 2000 to 8.2 years in 2017. As the issues with short-termism become more apparent, some are shifting to more long-term strategies. For example, the Long- Term Stock Exchange is a new model backed by Silicon Valley venture capitalists that operates 33RETURN TO THE LONG TERM 2018 TREND REPORT
  • 34. 34RETURN TO THE LONG TERM 2018 TREND REPORT 01 02 03 IMPLICATIONS Ensure that you’re setting the right KPIs for long-term growth (e.g. unaided awareness, penetration). Balance brand building and sales activation in your creative and media strategy. Think long-term; don’t always be quick to change course if impact is not immediate. using “tenure voting,” in which shareholders who have their stocks for a longer period of time get more votes. The power of long-term thinking has its perks. Just look at the Houston Astros, who went from one of the Major League Baseball’s worst teams to World Series Champions in five years by leveraging young prospects. Proof that if companies are willing to take a step back and focus on the greater potential, the payoff will greatly exceed the sacrifices. THERE IS CURRENTLY TOO MUCH FOCUS ON THE SHORT-TERM EASIER TO MEASURE AND OBSERVE CLIENTS OFTEN PRESSURED BY QUARTERLY SALES GOALS
  • 35. SILICON VALLEY’S HIGH-TECH DENIZENS COMPLAIN THE PUBLIC STOCK MARKETS ARE MARRED BY A NARROW FOCUS ON SHORT- TERM EARNINGS AND PROFITS. NOW THEY ARE ACTUALLY DOING SOMETHING ABOUT IT, BY LAUNCHING A NEW FRAMEWORK FOR CORPORATE GOVERNANCE, INVESTING AND TRADING CALLED THE LONG-TERM STOCK EXCHANGE. WALL STREET JOURNAL Sources: Wall Street Journal, National Venture Capitalist Association, IPA “ ” 35RETURN TO THE LONG TERM 2018 TREND REPORT Median time for IPO exit 7.4 years 20132000 2017 3.1 years 8.2 years
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  • 37. Growing in population size, buying power, and cultural influence, Asian-American consumers are becoming an increasingly valuable multicultural segment for brands to consider. Asian Americans make up 6% of the U.S. population, but they’re the fastest-growing multicultural segment, expected to balloon to 14% within the next five decades. This often-overlooked group in America represents a huge untapped market waiting to be recognized, with the highest incomes and education levels, the fastest-growing home-ownership in the U.S., and some of the highest spending in categories like makeup, apparel, and restaurants. But those aren’t the only places where Asian Americans are having an impact. From Hollywood to Washington, 2017 was a watershed year for this group. For example, Congress added 18 members of Asian descent (the most ever). And K-Pop group BTS broke hearts and records with a top 10 Billboards debut and a spot on Time’s list of the Top 25 Internet Influencers. It can be seen in our content too, as Asian authors, playwrights, directors, and actors bring their own unique values, stories, and perspectives into the mainstream. Companies like Netflix have recognized this and are buying and creating Asian content like Okja and Bardo. Their impact on 37RISE OF THE ASIAN ECONOMY 2018 TREND REPORT
  • 38. 01 02 03 IMPLICATIONS Understand Asian-American consumers’ relevance to your category and brand and, when appropriate, include them in your multicultural strategy. Understand their motivations and nuance your brand communications accordingly. Make sure communications reflect an accurate and authentic representation of this audience. other brands is wide-reaching, with companies Nike and Sephora jumping to embrace the culture. Of course, there are still issues that need to be addressed. Brands need to understand that Asian Americans represent a broad and diverse group of many different cultures with vastly different values and needs. And they need to be cognizantoftheproblemstheyface — like misrepresentation in media, immigration, and discrimination — to better serve them. FOR A LONG TIME, GLOBALIZATION HAS EFFECTIVELY MEANT ‘AMERICANIZATION.’ THE NEW GLOBALIZATION IS NOT AS SUCH AMERICANIZATION BUT IS SOMETHING THAT COULD BE CALLED ‘GLOBAL-AS-ASIAN. FORBES ” 38RISE OF THE ASIAN ECONOMY 2018 TREND REPORT “
  • 39. WHAT BOTHERED ME ABOUT APU IS HOW HE STOOD IN FOR MY PARENTS, REPLACING THEIR REAL STORIES AND REAL STRUGGLES AND THEIR REALLY COMPLICATED LIVES WITH AN ACCENT HARI KONDABOLU THE PROBLEM WITH APU Sources: U.S. Census, Simmons, Pew Research ” “ Expenditures by Race/Ethnicity 39RISE OF THE ASIAN ECONOMY 2018 TREND REPORT $275 $270 $256 $325 $180 $130 $163 $208 $133 $156 $167 $206 $74 $74 $88 $105 $70 $79 $81 $96 White Hispanic AsianAA Family Restaurants Women’s Apparel Women’s Accessories Skincare Makeup
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  • 41. As new technology develops at rapid rates, it’s easy to be fascinated by the latest devices. But brands must embrace tech trends carefully — or risk losing big. Look no further than Second Life for a cautionary tale. In the early 2000s, the virtual world — which letsuserscreateavatarstointeract, shop, and consume media — was predicted to be the future of the internet and marketing. It was supposed to revolutionize life as we knew it. But it failed. Fast forward to 2012, and Google Glass was expected to be our new way of seeing the world, displaying digital information through wearable headsets. It also failed. So did Snap Inc.’s near-identical replica, Spectacles. Our brains are often hijacked by novelty.Whetheritfailsorsucceeds, our “cult of the new” mentality keeps us distracted by the latest thing. Just look at breakout ice cream brand Halo Top, which had over 2,500% increase in sales in 2016. That deserves recognition, but we ignore the fact that 85% of CPG products fail. Blame “Survivorship Bias,” a tendency to focus on success stories while forgetting failures. This bias even happens with successful brands like Amazon, Google, and Apple — all having introduced failed products (RIP Google Plane and Google Wave) between their few 41SHINY NEW OBJECTS 2018 TREND REPORT
  • 42. 01 02 03 IMPLICATIONS Always check Shiny New Objects against scale and marketing truths. First-mover advantage isn’t always an ad- vantage; make strategic decisions about relevance to your brand. Lean on agency partners (who have a broader view) to help navigate the fast-mov- ing tech space. successful launches. However, as we enter a period of fad fatigue, brands are starting to become more cautious. Some brands fell into a Millennial refresh trap — like Applebee’s, which changed their menu and model to attract younger customers. It failed, so they went back to their original model. Many are also taking a cautious approach to the digital ecosystem, with major spenders like P&G, Mars, and Taco Bell pulling money out of digital and reinvesting in television for longevity and brand safety concerns. What’s old is new — and profitable — again. MOST OF US ARE REGULARLY FOOLED BY THE SURVIVOR BIAS. CONSIDER THE PLETHORA OF BUSINESS BOOKS READILY AVAILABLE IN AIRPORT BOOKSTALLS THAT FEATURE THE MOST SUCCESSFUL COMPANIES SCIENTIFIC AMERICAN “ ” 42SHINY NEW OBJECTS 2018 TREND REPORT
  • 43. Sources: Halo Top, Nielsen, Google Trends 43 “THE PREFRONTAL CORTEX HAS A NOVELTY BIAS, MEANING THAT ITS ATTENTION CAN BE EASILY HIJACKED BY SOMETHING NEW – THE PROVERBIAL SHINY OBJECTS WE USE TO ENTICE INFANTS, PUPPIES, AND KITTENS.” DANIEL J LEVITIN MCGILL UNIVERSITY “ ” SHINY NEW OBJECTS 2018 TREND REPORT IPL MFG/IOFC ant.pre-SMA 100 90 80 70 60 50 40 30 20 10 0 2004-12 2005-02 2005-04 2005-06 2005-08 2005-10 2005-12 2006-02 2006-04 2006-06 2006-08 2006-10 2006-12 2007-02 2007-04 2007-06 2007-08 2007-10 2007-12 2008-02 2008-04 2008-06 2008-08 2008-10 2008-12 2009-02 2009-04 2009-06 2009-08 2009-10 2009-12 2010-02 2010-04 2010-06 2010-08 2010-10 2010-12 2011-02 2011-04 2011-06 2011-08 2011-10 2011-12 2012-02 2012-04 2012-06 2012-08 2012-10 2012-12 2013-02 2013-04 2013-06 2013-08 2013-10 2013-12 2014-02 2014-04 2014-06 2014-08 2014-10 2014-12 2015-02 2015-04 2015-06 2015-08 2015-10 2015-12 2016-02 2016-04 2016-06 2016-08 2016-10 2016-12 2017-02 2017-04 2017-06 2017-08 2017-10 2017-12 Google Search Index RSS, Dec. 2005 Virtual World, Jun. 2010 Gamification, Apr. 2014 Wearables, Sep. 2014UGC, Feb. 2008
  • 44. 44 SUMMARY Technology plays a part, but at the end of the day it’s human behavior that shapes marketing and media strategies. Current trends are giving you plenty of material to work with. Contact us for the latest trends as they rise in the cultural zeitgeist.
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