Josh Campo, CEO at Razorfish.
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With every digital innovation, data increases exponentially. Over the last 10 years, total data in the world has increased from an estimated 6.5 zettabytes to 97 zettabytes in 2022. We’ve increased the size of our phones, storage capacity in the cloud, and the buildings that hold trusted servers to manage the growth of data. We also continue to improve the speed of digital exchange (i.e., 5G, fiber optic cable), which translates to sharing more information faster between people across any distance.
When paired with the speed of culture—how fast a moment becomes a meme, or a dance goes viral—digital has exponential momentum. Every industry has its own rhythm with innovation and culture. But marketing has a unique imperative to embrace its position to facilitate meaningful experiences and drive exchanges of value among brands and people.
As a leader for a marketing transformation agency, I’m excited about emerging technology and digital innovation. The world (or should I say “worlds”—both physical and digital) is full speed ahead as we fly through new development after new development. Just as brands make sense of the latest thing to burst onto the scene, another appears. And the pace is increasing.
Entering 2023, marketing leaders will seek ways to modernize their approaches, prioritize authentic and purposeful experiences and venture into new frontiers, all while adapting to disruptions in the present and keeping an eye on the not-so-distant future.
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With that, here are five predictions for the marketing trends I expect in 2023.
A Shift In Spending For Both Consumers And Companies
Amid uncertain times, expect an uptick in conscious consumers pivoting their purchasing patterns to choices that maximize impact, utility and convenience. In response, marketing leaders face even more pressure to deliver value when buyers are being more selective. Organizations adapting quickly to stay at the forefront of rapid change is nothing new. For example, most have been shifting their resources into digital channels since the pandemic began, and some have experienced multiple cycles of increased ROI and conversion as a result.
In 2023, a key change to keep an eye on will be the loss of third-party cookies. While some businesses have been preparing for a cookieless future for years, other brands will need to act quickly to reach potential customers in new ways.
An Acceleration Of Physical/Digital Connectivity
The Covid-19 pandemic brought on an accelerated shift from physical to digital experiences. In 2022, physical experiences came back for many, and while they’ll still be important and valuable this year, those that succeed in 2023 will be focused on creating moments that feel constant and deliberate.
We’re already seeing this as consumers spend more time in Web3 spaces. The early adopters are strongly committed, with more than 70% of people who either own or previously owned a virtual good saying they value them as much or more than physical goods.
In 2023, I expect brands to be more strategic and selective in how they test and learn in Web3. To be well positioned to capitalize as new trends emerge and adoption grows, companies must embrace the notion of creating one consumer journey spanning both digital and physical spaces.
The Rise Of The Next-Gen Marketing Leader
The marketing landscape is evolving rapidly. Many traditional campaigns now achieve decreased returns or less measurable ROI as compared to digital channels. As a result, a new generation of CMOs is emerging, and they have plenty of challenges to address entering 2023. These forward thinkers are focusing their efforts on creating positive brand experiences across channels that directly correlate to consumer spending and loyalty.
In 2023, I believe successful marketing leaders will place less emphasis on traditional investments and more on meeting potential consumers where they are, like Web3, livestream platforms, and other growing digital communities. They’ll also need to understand the importance of technology’s role in this evolution, including AI and machine learning, and to start getting the talent in place with the right skills to meet these new demands.
Increased Attention On Generation Alpha
Speaking of next-gen, Generation Alpha is the youngest brand-aware and tech-proficient generation to date, and they’re already influencing purchasing decisions in households, particularly in “toys and games, apparel, and food and drink categories.” Given their vast exposure to virtual spaces like the metaverse, Generation Alpha’s expectations for experiences aren’t just evolutionary but revolutionary.
This year provides a powerful moment for brands to get a reality check that these future consumers will be unlike any before them, and it’s time to start preparing. Brands won’t just need to understand how this exposure to tech and virtual worlds will influence Gen Alpha’s spending choices, but also recognize the impact these experiences will have when it enters the workforce in the coming years. Failure to start preparing now for this monumental shift in a brand’s consumer and employer base will be costly for years to come.
A Purposeful Push Toward Authenticity
With 82% of consumers choosing to buy from brands that stand for a greater mission or purpose, organizations know it has become a priority. But in 2023, those committing to purpose-driven initiatives will need to show tangible results to come across as authentic.
With authentic brand purpose initiatives, companies can capture growth and performance benefits through the trust and loyalty of their customers. Businesses hoping to reap the rewards must successfully earn buy-in from their boards and executive teams to scale these initiatives by demonstrating the power and impact of purpose to performance investments.
With the exponential acceleration of digital comes an exciting opportunity for marketers and brands. Those who will be successful in 2023 will be willing to shed preconceived ideas about connecting with consumers, leaning into the pace, staying true to the ways brands add value, and harnessing their potential to make the world a better place.
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Author: Josh Campo, Forbes Councils Member
