As we head into the new year, brands are expected to face a number of challenges, given the uncertain state of the global economy. Additionally, AI, which was one of the breakthroughs of 2023, is also predicted to continue its rapid development.
Let's take a look at three key trends mentioned by leading marketing voices around the world.
Practicality over purpose
Economic uncertainty and higher prices continue to be a great concern for marketers. According to the Business Confidence Index (BCI) for Q4 2023, over one-third of businesses anticipate lower performance due to the market's persistent weaknesses.
Vietnamese are also increasingly cautious financially due to economic uncertainties. In our Financial Trends Report 2023, half the respondents said saving for unexpected hardship was their biggest concern. They may become more price-sensitive or reduce spending in 2024.
This cautious outlook makes it crucial for marketers to focus on cost-effective strategies. 2024 will be a year to succeed in what we know works. Forrester, a global research company, predicts CMOs will prioritise practical marketing practices over purpose-led campaigns in 2024. This means that they will focus on the core principles of marketing: offering quality products, competitive pricing, reliable distribution models, and creating brand experiences that do not generate controversy.
What brands should do:
- Optimise your brand funnel for the best conversion. Value would be a metric that brands should focus on in 2024.
- Continuously track consumer perspectives and market trends to stay aligned with evolving preferences. Read more: How to use BrandIndex to evaluate ad campaign effectiveness
- Optimize your media spend across the channels for maximum and increase ROI using the marketing mix modelling (MMM);
Last year, AI dominated the marketing world with its rapid pace of innovation and potential implications. It can speed up tasks by automating them, allowing humans to focus on more creative work. It can also potentially personalise customer experiences, leading to better engagement. If 2023 was the year of generative AI exploration, then 2024 will be the year of generative AI experimentation.
However, as AI grows, the importance of human interaction and authenticity increases. Salesforce, a leading CRM service provider, reports that 89% of customers believe it’s crucial to know if they’re communicating with AI or a human. Only 37% trust AI to be as accurate as a human.
Human emotions, sentiments, and cultural trends, crucial in shaping brand perception, remain beyond AI's predictive capabilities.
Therefore, balancing AI's efficiency with the human capacity for empathy and nuanced interpretation is essential. This combination ensures that brands not only leverage AI for efficiency but also maintain deep, emotionally resonant connections with their audience, which is crucial for holistic brand health.
What brands should do:
- Actively explore and experiment with new AI tools to optimise your team's performance. Theresanaiforthat.com currently lists over 10,000 AIs for various tasks and jobs. Identify and prioritise meaningful AI use cases that align with their marketing goals.
- Remember: Your customers are still humans! Focus on tracking perception to drive brand growth, alongside leveraging AI for efficiency and innovation.
Building a strong employer branding
Many companies worldwide are being cautious about hiring new employees. This is due to concerns about facing recruitment difficulties in the upcoming year, as reported by Ad Age, a reputable global publisher of marketing news.
In Vietnam, according to EuroCham BCI Q4 2023, half of the European businesses rated the availability of Vietnamese workers as moderate, indicating that finding qualified candidates is not easy. Businesses in the country are increasingly concerned about the availability of local talent and expertise, which has risen from 17% to 20%. This is the fourth biggest obstacle to doing business in Vietnam out of a total of ten.
Therefore, it's crucial for companies to create a strong employer brand that attracts the best candidates. It's also important to recognise the value of employees as brand advocates. Employees are not just workers, they represent a brand's values.
Companies that prioritise employee satisfaction, well-being, and engagement will positively impact external brand perception. Employees who feel a genuine connection to the brand become authentic ambassadors and contribute to a positive public image.
What brands should do:
- Track employer brand perception (corporate reputation) and understand talent attraction dynamics to enhance recruitment marketing and employer branding strategies;
Set your brand up for success in 2024
Facing 2024's challenges head-on requires more than just resilience. The key to success lies in understanding and adapting to these dynamic conditions. This is where brand tracking solutions become invaluable, offering insights to tackle these issues effectively.
Join our upcoming webinar, The Next Generation of Brand Tracking, where we'll explore the critical trends and challenges brands will encounter in 2024 and how brand tracking solutions from Decision Lab can be a pivotal tool in your arsenal.
- Instant insights: Access living data and adapt swiftly with customisable dashboards;
- Trusted accuracy: Count on high-quality panel data for reliable insights;
- Actionable intelligence: Gain in-depth brand understanding and competitor insights for strategic decisions.
We're here to help you navigate the complexities of the market with confidence. Discover how Decision Lab's innovative approach can be your cornerstone for growth and success in the new year.
Don't miss this chance to redefine your brand strategy for 2024. Sign up for the webinar now and take the first step towards a transformative year.