It is time to summarize the difficult, special year 2020. In the area of business, the past year has become a kind of turning point of reevaluation and a very strong increase in the importance of consumer empathy.
Digital marketing mix
Covid-19 has accelerated the adoption of digital tools among businesses and customers. 85% of marketers are more open to market offers, and 84% believe that customers place more importance on digital experiences than before the pandemic. This is according to Duke University’s Special Covid-19 Edition The CMO Survey. Marketing directors adjust their offer and activities to meet new expectations. 61% indicated that they are building a digital interface intended for customers. 56% have transformed go-to-market business models.
62% of marketers say marketing has become more important since Covid-19 emerged. However, 9% of marketing jobs have been lost, meaning more work with fewer employees. This situation is expected to continue in 2021, and planned employment in the marketing department will drop to the lowest point in the history of this survey — for the first time in history it will be negative (-3.5%).
Pivot: The ANA 2020 Marketing Word of the Year.
The Association of National Advertisers (ANA) has been conducting a survey among its members since 2014 to identify the marketing word of the year.
This year the winner was the word “Pivot”.
In response to the question “Why did you vote for Pivot”, the respondents indicated the following features:
- In 2020, it was all about flexibility and the need to tear down rigid structures and processes, which required all chan ges.
- 2020 was subject to changes: marketing strategy, brand communication, budgets, recipients, campaigns, etc. There was a need for change stronger than ever.
- Brands were forced into agility on a scale never seen before.
Nothing was final
A great example of a pivot is when Warner Bros. announced that he will show all his new films from 2021 in theaters and at the same time on HBO Max, which he owns. Warner Bros. CEO he said: “We live in unprecedented times that require creative solutions.”
In Poland, in the expert @MarketingwKozminski at the Kozminski University, the word “security” won, and “new normality” in the audience poll.
What will 2021 be like? If you want to make fate laugh, tell him about your plans. Leading global marketing satirist Tom Fishburne “Marketoonist” drew it up neatly. Everyone is shouting over tools, and no one wants to discuss strategy. Meanwhile, today it requires two speeds: stability in macro actions, agility in micro actions. The concept of Human-to-Human is of great importance.
1. More stories
MarketingProfs experts point out that the relationship in the business-to-business sector has been remodeled. Today it is important to increase trust between business partners. Process automation matters, but relationships, relationships and more relationships. Three elements will drive this trend:
- Confidence: 77% of B2B marketers say they believe potential customers rely on advice from industry experts.
- Experience: 77% agree that influencer marketing improves the experience of existing and potential customers with the brand.
- Efficiency: 63% say their marketing would outperform if it included B2B influencer marketing programs.
2. Customer awareness
In 2020, Deloitte conducted the following studies: Global Marketing Trends Consumer Pulse Survey (covered 2,447 global consumers aged 18 and over) and Global Marketing Trends C-suite Survey (covered 405 directors and management staff). It turned out that when modern organizations respond to a crisis, they are guided by a holistic goal — combining the role of business in society with the perspective of shaping long-term value. It turns out that there is a clear correlation between values, brand identity and the sustained commitment of all stakeholders — including customers, employees, suppliers and the shareholder community (Three Smiles Triangle).
Consumers are most aware of the brands that have responded well to COVID-19, protecting employees (44%) or taking community support initiatives in the wake of a pandemic (40%). Wilfried Neven said: “First, protect workers; second, protect customers; and third, in general, to protect the company. “
3. CMO Master of the Client
Marketing chiefs, brand chiefs are market economists. Their goal is to build valuable and authentic brands whose DNA base on the values they profess. If brand features match customer values, much better designs are possible. Marketing Director, CMO perceive as a Customer Master because he has in his hand: information about the market, customer, sales, profitability, knowledge of customer journey, knowledge of customer experience, analog and digital marketing-mix tools and a budget. The essence of CMO’s work today is fast, agile movement around the market, striving for project efficiency.
4. End of sales funnels
The sales funnel model has been degraded and deprived of distinction. It turned out that in practice it is an approach that focuses on acquiring one-time customers, not retaining them and regular customers. In the world of sales funnels, customers become inactive after making a purchase, unless they want to repeat the transaction themselves. The Flywheel Marketing Model focuses on customer satisfaction and motivation.
5. Content marketing is king again
Bill Gates in 1996 predicted that in the future content marketing would influence the market success. Content Marketing is now a marketer’s primary tool for acquiring customers and increasing sales. This is especially important in the context of organic SEO, whose very important role has been emphasized for years. Therefore, apart from movies and podcasts, it is worth continuing to write inspirational blogs.
6. Microinfluencer marketing
Influencer marketing has always mattered. Technology and social media have created micro-influencers. Millennials are the main reason for their effective influence. COVID-19 caused a kind of reduction in the reach revenues of influencers who collected large amounts only for showing a small sandwich on Instagram. The key in influencer marketing is to distinguish range influencers from quality influencers and to profile their recipients.
7. Thaw in marketing budgets
According to AdWeek, following widespread cuts in advertising budgets, their growth except in 2021. Zenith forecasts ad spend will grow 5.8% globally. Brands will undoubtedly continue to shift their spending from traditional media to the digital sphere, which is expected to account for 51% of advertising expenditure. Some brands may still fear losses for fear of a pandemic, so expect a good chunk of these budgets to go to influencer marketing.
8. Show brand value. Communicate her well
Marketing Week points out that in the current recession, brands and marketers need to show their worth. It is too easy to use the tools of price war and aggressive promotions, which plunges everyone into the Red Ocean, which is the antonym of the Blue Ocean. The key is the two-speed approach to the business strategy:
First, companies still need to adopt a long-term perspective, have a goal to achieve or a goal to pursue. This should allow them to follow innovation paths and validate their way of thinking about and communicating with customers.
The second is a place in long-term plans, for short-term actions, pivoting, adaptation of a volatile market. In 2020, even large organizations were able to be agile and quickly adapt their course of action. This spirit of short-termism, with a broad strategic perspective, will be crucial in 2021.
9. Don’t fixate on perfection
In the opinion of Marketing Week, perfection in 2020 has been shelved. The companies primarily worked on answering the question of how to survive the next few days. Not to mention the following months. As brands began to act with greater speed and agility, ridding themselves of bureaucratic and procedural constraints, they realized that their response to the crisis did not have to be perfect. It is important to be effective.
The decision not to fixate on performance perfection will be important to marketers in 2021. If brands want to be agile, they must accept the risk of failure, and any mistake must be a learning opportunity. Mars Petcare used the term “being good enough” rather than being perfect.
10. Customer Year
According to Brandpoint, 2021 will be an exceptional customer year. Many companies say so, but customers don’t feel it. Therefore, talk to them, find out what is important to them and build solutions to their problems. Focus her on your brand. 2020 was an arena of a huge change in the way brands communicate with customers. According to a study by Brandpoint and Dynata, 82% of marketers say they have trouble creating quality enough content because they need more time, money or people. But this element becomes the most important ingredient in the marketing mix. Pioneers are already showing copywriting based on artificial intelligence, used to generate content on a global scale.
11. Time for Marketing 5.0. Time for a Brand 5.0.
Marketing 5.0. it is a convergence of humanistic and technological elements in the area of marketing. Marketing 1.0. was product-focused, and Marketing 2.0. focused on the expectations and needs of customers. Marketing 3.0 and 4.0 were transition phases in terms of customer value and technology development. Marketing 5.0. Defines the entry of #martech marketing technologies into the world of maturity and its conscious use by marketers, especially in the field of automation, artificial intelligence, big data, VR and AG, and behavioral economics. Today, the marketer has a powerful arsenal of technological tools to manage a brand 360 degrees uniquely. The second pillar of Marketing 5.0. is Human-t0-Human that is the meaning of distinctive communication, content marketing, individualization and, above all, consumer empathy.