Future of media: adapt and thrive
Consumers want to see brands step up during times of crisis. A failure to live up to their brand promise can result in significant brand damage
Media is in a period of disruption as result of the development of technology, changing consumer habits and, more recently, the global pandemic. Numerous legacy brands are being challenged in the current environment. However, for those willing to make a shift, there are real opportunities. Key to realising these opportunities is understanding why consumers behave the way they do.
During a recent Future of Media digitised event the focus was on how to adapt and thrive in the current environment. The event was held in collaboration with Vodacom, EziAds, Everlytic, Proudly SA and The Media Shop and was moderated by Pearl Sokhulu, MD of Vuma 103 FM.
Over the past decade advertising has increasingly focused on human connections and on understanding consumers better. Behavioural science has become an integral part of advertising. Adam Gottlich, head of behavioural science at Standard Bank, explained that with the help of behavioural science the bank has found that people frequently make unpredictable decisions.
He says cognitive biases change the way we recall past events. Referring to the peak-end rule, which explains how we focus our memories on the most intense moments of an experience and the way it ends rather than on the total sum of the experience, Gottlich stressed the need to understand people as they truly are. Consumers should not be taken at their word in terms of what they want, he said. Instead, data and research should be applied to find what is driving their behaviour.
Social media has fundamentally changed the way brands communicate with consumers. What brands need to understand, explained Bronwyn Williams, a trend translator and future finance specialist at Flux Trends, is that they can no longer always opt out of politics and will increasingly find themselves in binary and polarising spaces.
One of the mistakes brands can make is to rely too much on technology and the data it produces, she said. “Data is meaningless unless you apply insight to it … there is a big difference between automating efficiency and automating inefficiencies.”
Many brands are now repositioning and pivoting themselves to work within new constraints, said Williams, adding that larger organisations are viewing the failure of smaller companies as an opportunity for mergers and acquisitions.
She advised that brands need to follow where the market leads and add value rather than try to cynically extract value at this time.
While advertising has traditionally been dominated by psychology and focused on mindsets and motivations, now anthropology and its study of culture, behaviour, ritual and habit are starting to play a bigger role. At heart people are storytellers and we tend to connect with stories, explained Claire Denham-Dyson, the head anthropologist at B2B agency Demographica. “The big issue right now is trust, which is in turn being associated with morality,” she pointed out, adding that consumers expect brands to be acting responsibly during the Covid-19 pandemic. As consumers re-evaluate how and why they make decisions, advertising needs to focus on being useful rather than clever.
While there is much talk of the “new normal”, Denham-Dyson said this is an exciting time for brands and advertisers as they have the potential to shape the future. Empathetic brands could perhaps step into the gap consumers are feeling because of not being able to see friends and families.
More than ever before, brands need to be accountable for the promises they make to consumers, agreed Chris Botha, group MD of Park Advertising. Consumers want to see brands step up during times of crisis. A failure to live up to their brand promise can result in significant damage to brands, particularly as social media has given everybody a voice – and brands have little control over that voice.
While platforms like TikTok have recorded incremental audience growth over this period, their challenge is that they are not yet seeing a return in advertising revenues. “The reason for this is that adspend is down drastically across the board,” Botha explained.
The big losers during the lockdown have been the outdoor industry and print, which is characterised by the closure of Associated Magazines and Caxton’s magazine division. If media owners are to survive this crisis what they need to be doing now is to gear themselves up to monetise growing audiences in order to take advantage of the turnaround when it eventually happens, advised Botha.
The big take-out:
Consumers want to see brands step up during times of crisis. A failure to live up to their brand promise can result in significant brand damage.
While consumers tend to be quickly drawn to content that appeals to them, they integrate with media types very organically – and not necessarily in the way that brands would prefer, he said.
One of the big dangers at the moment is the threat to mental health, including burnout, as people struggle to draw a clear line between work and family time. Mental health has a direct correlation with productivity, pointed out Williams, which does not lend itself to creativity or innovation.
Living in an increasingly complex world, many people are on the verge of information overload and burnout, agreed Gottlich. Rates of depression and anxiety are higher for those who spend more time on screens. As a result brands need to be aware of the impact of technology and use it productively in a way that does not leave people feeling overwhelmed.
The next digitised event, “Collaboration in Turbulent Time”’, will be taking place on June 11 at 10h00. For more information, or to register, click here.
If you would like to partner and be involved in driving these insightful sessions, contact Cortney Hoyland on Hoylandc@arena.africa