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Marketing has undergone significant transformations over the years, with technology propelling it to evolve at an unprecedented pace. As we step further into 2023, the marketing landscape continues to evolve at an unprecedented pace. Brands and retailers must adapt to meet the ever-changing expectations of consumers and the increasing complexity of the digital age. In order to thrive, marketers need to understand the key drivers that are transforming the industry and pushing the boundaries of traditional marketing strategies.
For their new report, Marketing Snapshot 2023, PSFK researchers identified six critical factors that are reshaping the way marketers approach customer-centricity, social responsibility, innovation, brand identity, growth, and relevance.
1. Customer-Centric Marketing
With 80% of consumers more likely to engage with companies offering personalized experiences (Epsilon) and 91% more likely to shop with brands that provide relevant offers and recommendations (Accenture), it's clear that customer-centric marketing is essential. Top brands are focusing on understanding and engaging their customers through personalized content, experiential marketing, and community-building.
2. Social Responsibility and Sustainability
As 81% of global consumers expect companies to help improve the environment (Nielsen) and 87% have a more positive image of companies that support social or environmental issues (Cone Communications), marketing efforts should prioritize sustainability and social responsibility. Examples include carbon-neutral shipping, supporting small businesses, and driving social impact.
3. Innovation through Technology and Agility
Companies embracing agile ways of working are 2.2 times more likely to be top financial performers (McKinsey), and 40% of organizations are expected to adopt a product-centric delivery model by 2023 (Gartner). To stay competitive, marketers should leverage technology for innovation and growth, using agile processes, real-time content delivery, and product-driven marketing program development.
4. Brand Purpose and Identity
Brands that align with consumers' values and beliefs are preferred by 63% of consumers (Accenture), and purpose-driven companies grow three times faster than competitors (Deloitte). Establishing a clear brand purpose and identity is crucial, including broadening brand perceptions, reinforcing core audiences, and building a culture-defining brand.
5. Driving Growth and Relevance
Companies investing in marketing analytics are 2.9 times more likely to report higher revenue growth (McKinsey), and those prioritizing customer experience see a 17% 5-year compound annual growth rate compared to 3% for others (Forrester). To drive growth and relevance, marketers should focus on demand generation, enhancing digital and marketing analytics capabilities, and expanding reach and strategic partnerships.
6. Creativity and Storytelling
With 54% of consumers wanting more video content from brands they support (HubSpot) and 84% being convinced to purchase after watching a brand's video (Wyzowl), creativity and storytelling are paramount. Marketers should prioritize immersive experiences, partnerships with industry experts, and resonant brand campaigns.
By understanding and embracing these drivers, marketers can stay ahead of the curve and create meaningful, lasting connections with their audiences.
Using a mix of traditional and AI trends-research tools, PSFK identified that leading brands are fostering innovation, disruption, and purpose-driven marketing while leveraging experiential marketing, digital transformation, and data analytics. Their marketing enhances brand image, boosts customer engagement, and creates a more agile marketing ecosystem.
1. Experiential marketing is being utilized to craft new moments and content, bring fans closer to the stars of fandom, reinforce brand messages of inclusivity and creativity, establish brands in new markets, and engage young, socially-savvy audiences. Use cases:
2. Digital transformation is paving the way for more agile marketing ecosystems, improved data analytics capabilities, marketing innovation across new and emerging platforms, and the development of rich social commerce strategies. Use cases:
Purpose-driven marketing is gaining importance, emphasizing building a culture and community-defining brand, adding emotional depth to brand equity, concentrating on diversity, equity, and inclusion, and transitioning from an antiquated B2B model to B2P2: Business to People and Purpose. Use cases:
Innovation and disruption are central themes in marketing in 2023, focusing on launching product-led innovations, exploring opportunities to integrate portfolios of brands into the metaverse, ensuring accountability for inclusive marketing, and constructing global communities of creators and users. Use cases:
In conclusion, the research in the latest report on marketing trends for 2023 emphasizes the need for companies to prioritize their brand objectives, including building deeper relationships with customers, improving the customer experience, and expanding their product offerings and revenue streams.
To stay ahead of the curve in marketing, companies should focus on being agile and adaptable, staying abreast of emerging trends and technologies, and prioritizing customer-centric strategies that build long-term brand equity. Companies should also focus on developing diverse and inclusive teams that can bring a variety of perspectives and insights to marketing challenges.
In summary, the companies that will succeed in the future of marketing are those that are committed to purpose-driven, innovative, experiential, and customer-centric marketing strategies, and that are willing to be bold and take risks in order to stay ahead of the competition.