Birnbach Communications

Search
HomeAboutServicesExperienceClientsNewsArticlesContact

Definition of News

TrendReport

Resources: Links

Archived News

   


TrendReport Track Record for Predictions for 2020 

One thing for sure: 2020 won’t be easily forgotten.

It’s been a year that sadly redefined a new normal in how we live and work. We continue to track deaths resulting from the COVID-19 pandemic and see ongoing violence against people of color that sparked the Black Lives Matter movement.

We won’t be doing a comprehensive recap of the year – including the lives lost or disrupted, although our hearts go out to all of them – because that’s outside the scope of our trend analysis.

As we’ve done each year for nearly 20 years, we will review the trends we identified the previous year and grade how we did for each prediction.

  1. Distrust of Big Tech and media fuels anxiety. We got this one right – noting that “This will fuel feelings of anxiety, anger, exhaustion, and isolation, regardless of political perspective” – though we underestimated the scale of the distrust or the anxiety. This is a significant problem because American generally live in one of two news bubbles, ones that communicate vastly different narratives so that we don’t operate with a single set of facts. This will continue to fuel distrust and anxiety in 2021.  Grade: A.
  2. The loss of local news coverage will continue, and will erode trust. According to Axios, “In the first 6 months of 2020, more than 11,000 newsroom jobs have been lost. That's nearly as many as were lost in all of 2009.” We’ve also seen many local papers reducing the number of days they publish, scaling back their print editions or going out of business. We were right about the continued loss of local news; we have not seen data yet about the impact of that loss. But we know that the trend impacts how local news gets reported and what kinds of local news gets published. This trend will continue in 2021. Grade: A.
  3. Streaming services will get a lot of media and consumer attention. We said that the so-called streaming wars is not a zero-sum game, that American consumers will choose to subscribe to several streaming services, not just one, and we got that right. Streaming services became even more important in 2020, with some like Disney+ premiering movies that would otherwise have been released first into movie theatres. We also believe we were correct when we noted that, “The growing number of ad-free streaming content services will make it harder for marketers to reach a mass audience. Even ad-supported services will be out of reach for local and regional organizations so they will need to look for other ways to reach local customers.” Grade: A.
  4. The Gig Economy isn’t just for millennials. We said to expect older Americans to enter the gig economy, and they may have but the pandemic hurt the gig economy. The gig economy did not get as much attention as it should amid huge losses of traditional jobs this year, nor did the impact on gig workers who don’t get benefits like unemployment checks when their jobs dried up. We believe that after the pandemic – whenever that is – the gig economy will recover, but gig workers will want a safety net to help them in case of future job losses. Grade: C.
  5. Consumer spending patterns are shifting. We said consumer spending would shift from owning to renting things like ZipCars, Citi Bikes and any number of sites that rent the latest fashion trends. On a short-term basis, spending did shift though that was due to the pandemic. Long-term we think that what we call the “non-ownership economy” or the “convenience economy” will continue. Grade: C.
  6. The sharing economy will become more expensive. We said to “expect (that companies will pay) more attention to gross margins (a measure of profitability), detailed financial models for startups looking to raise money, and a focus on discipline” as opposed to focusing only on growth. Instead, many companies focused on survival in 2020, which included pivoting to offer new products and enter new markets. That said, Netflix recently announced it will increase its monthly rates, and we think others will follow. Grade: B-.
  7. Streaming — but not owning — content increasingly means you might not be able to access the version you want. We said, “Consumers will become increasingly aware of the risks of streaming, which include ongoing monthly costs that will increase; content that disappears when a streaming service loses its rights even if you were in the middle of the program); and services that might disappear or abruptly shut down. Grade: A. 
  8. Going cashless will also affect consumer spending. Driven by the pandemic, contactless was huge in 2020 as almost everyone shifted to Venmo, PayPal, Zelle and other services. Many of us have hardly used cash all year. We can’t tell if contactless affected spending since retail was hurt by the pandemic. We do stand by the statement that “An increasingly cashless society will make it much more difficult for the poor, who may be unbanked (as the banking industry calls it) and can’t get a credit or debit cards.” Grade: A.  
  9. Robots won’t take over in 2020 but will be more commonplace. Robots will likely see a boost om a post-pandemic environment but we did not see as much coverage in 2020 as we expected. Grade: C+.
  10. The age of plant-based “meats” has gone mainstream. This was a significant food trend though not the biggest of the year (that was cooking at home). Grade: A.
  11. Too many podcasts eventually will overwhelm listeners. We said that “Probably by 2021, we will have reached podcast saturation and there will be a backlash, both from advertisers and from listeners so that the proliferation of new podcasts will slow down, if not actually decrease.” We certainly didn’t reach the saturation point in 2020; as far as we can tell, the number of listeners has not declined this year. That said, we think listeners are overwhelmed by choices. Grade: C+.
  12. The expectations of well-design products will include connectivity and voice control. We think that consumers do expect Bluetooth connectivity and voice control but we’re not seeing those capabilities built-in in as many items as we’d like…for example, you can’t navigate your PC like the crew on “Star Trek” was able to. At least not yet. Grade: C.
  13. The trade-off between convenience and data collection will get recognition. This trend did not get much attention in 2020. Grade: C-.
  14. There will be a lot of media space allocated to covering outer space. We overshot this. There was some but not as much coverage as we expected. Grade: C-.
  15. 5G and facial recognition will get lots of attention. We got this correct but there wasn’t much doubt about that. Grade: A.
  16. Artificial Intelligence will be in everything. We said,AI has reached a tipping point and will be built in to many things that weren’t possible just a few years ago.” We think that was right. Grade: A.
  17. AI will affect in-store retail.  We said that “AI will change how stores stock shelves because they will have better customer intelligence about how customers shop and what they want,” but we don’t know if that was true in 2020, due to the pandemic, which hurt retail, especially the kind requiring customers to enter stores. We stand by this trend but we may not see significant movement until 2022. Grade: C-.
  18. Software is the once and future king. We said that although “hardware and gadgets are always going to be important … it’s the software that will add new features that improve the things we already have.” Grade: A.
  19. Drones will experience significant growth in B2B applications. Drones did not get as much attention as we thought in 2020 so we feel this trend may take place by 2021 or 2022. Grade: C-.
  20. From customer service to mental health and beyond, chatbots will be there to help us. This did not get the attention, and thus make the impact we expected in 2020. Any progress may have been behind-the-scenes. Grade: D.
  21. Robocalls won’t go away. Grade A.
  22. More home exercise equipment will offer at-home streaming classes. We didn’t anticipate the huge growth in the sector but we were right about at-home streaming classes. Grade: A.

That's a B-, which is down from a B+ for 2019. Considering the year we've had, we think a B- is reasonable. Below, we've tracked the ongoing trends we predicted for 2020.

Ongoing Trends

  1. News fatigue. Even reporters complained of being overwhelmed by too much news. Grade: A.
  2. Short news cycles. In Oct. alone, there was so much news that there wasn’t enough time to process everything before being overwhelmed by some other news item. That happened all year. Grade: A.
  3. Fake news and disinformation will continue, probably increase in 2020. We shouldn’t have hedged our bet by including the word “probably.” Grade: A.
  4. The credibility of news media is under attack. This remains a problem for marketers. And also for the hope of bringing people together to heal our country. Grade: A.
  5. Social media will continue to undergo scrutiny and it won’t look good. We expect more scrutiny in 2021. Grade: A.
  6. Cord-cutting will continue to attract the media's attention. Not sure it did. Grade: C-.
  7. Most tech reporters at newspapers will continue to focus on FAANG: Facebook, Apple, Amazon, Netflix and Google. They also discussed Zoom and accessories to help you work from home. Grade: B+.
  8. Elon Musk and Tesla will continue to attract undue amount of media attention. Probably true. Grade: B.
  9. Driverless cars still won't be ready. True. Grade: A.
  10. Virtual Reality and Augmented Reality still won’t be everywhere. But the pandemic may accelerate adoption. Grade: B.
  11. Blockchain and bitcoin will continue to get media coverage but most consumers still won't have much contact with bitcoin and won't understand how Blockchain affects them. Probably true. Grade: B.
  12. Corporate boycotts & consumer boycotts will continue. Corporate boycotts are when companies pull their ads from specific shows, hosts or networks to protest something said or done. This did happen in 2020. Grade: B.
  13. 3-D content and 3-D printers will still not be as popular as they are cool. True. Grade: A.
  14. Student debt and healthcare will continue to be big issues. Student debt did not get the attention we expected while healthcare was significant. Grade: B.
  15. Climate change will be an issue. This got attention, in the wake of fire storms and other natural disasters. Grade: B.
  16. Drug pricing will continue to get a lot of attention. Also, we all learned about the cost to develop and manufacture COVID-19 vaccines. Grade: B+.
  17. STEM will continue to be important. But there didn’t seem to be as much media coverage of this. Grade: C.
  18. More small colleges will merge or close. We expect more of that in 2021. Grade: B.
  19. The future continues to look cloudy – as in cloud computing. Cloud computing was a big help during the pandemic. Grade: A.

That's a B for ongoing trends.

We're now preparing our trends and predictions for 2021. 

Check back soon for more details

Meanwhile, tell us what you think. Drop us a note at birnbach [at] birnbachcom.com.

 
 
about | services | experience | clients | news | articles | contact
fact sheet | links | home | sitemap
 

 

Copyright © 2001-2022 Birnbach Communications, Inc.