2020 was a historic year that majorly changed life as we know it. This year saw a global pandemic, unprecedented levels of racial protests, and increasingly divided American politics. But with the bad, comes the good. 2020 showed us the resilience of communities and the adaptiveness of brands as we optimistically look to the future. This special edition of Spy10 captures the key trends that brands will carry forward into 2021 as we leave this historic year behind.
1. Year of the brand mashup
While partnerships and collaborations have always existed, they’ve typically been formed within the same industry. This wasn’t the case in 2020. Cross-industry brand partnerships increased as unexpected brands came together to create unique products and experiences. While this was seen before 2020, this year only made them more important as brands had to rely on unconventional methods beyond typical in-store activations or events to reach consumers.
Takeaway: As this trend continues into 2021, look to establish strategic partnerships outside your industry. When considering options, weigh if a potential partnership drives value for the consumer and makes sense for your brand.
2. Inclusive design
Inclusive design is all about approaching design in a way that ensures experiences and products can be enjoyed by all regardless of disability or identity. It has been a hot topic for years, but 2020 saw the focus shift in a meaningful way. What used to be mostly an abstract value is finally being put into practice as designers conduct inclusive research, testing, and design thinking. This is a major step for consumers as 15% of the world’s population has some sort of disability which is often excluded from design. On top of this, Gen Z is driving the demand to see a full spectrum of identities represented as they adopt a more fluid view of gender, sexuality, and personal brand. Expect to see this continue into 2021 as inclusive design becomes synonymous with good design in products, communications, services, and more.
Inspiration: Acknowledging furniture design doesn’t take into account everyone’s needs, IKEA launched the ThisAbles project as a way for people to modify furniture for greater accessibility. Thisables are shared free online and can be printed via 3D printers to add onto IKEA’s most popular pieces. Pieces include things like easier handles and switches. Another example of inclusive design in action is genderless retail. Adidas recently opened a gender-neutral store where shoppers navigate products by function, sport, and aesthetic as opposed to the traditional category of gender.
Takeaway:. Inclusivity is non-negotiable for Gen Z and will soon be expected from all brands. Take stock of how your brand can be more inclusive in everything you do and think about ways you can better connect with underserved audiences.
3. Demand for justice
2020 brought systemic racism to the forefront of conversation in America. After the shooting of Jacob Blake, more than three-quarters of Americans reported seeing that systemic racism and racial injustice exist in the US today. And on top of that, they’re demanding brands take action. 80% of Blacks say that brands and corporations must speak out about systemic racism, as do 66% of Latinx and 60% of white Americans. At this historic crossroads, even brands who have previously remained silent have started speaking out and taking action. Expect this to continue into 2021 as the world shifts from systemic oppression to systemic justice.
Takeaway: 2021 will be about standing up for what your brand believes in and taking action. How is your company playing a role in healing a broken system?
4. Earth positive practices
Sustainability as a value is table stakes today. With 8 in 10 consumers indicating sustainability is important for them and 6 in 10 willing to change their shopping habits to reduce environmental impact, expect sustainability to remain a critical conversation in 2021. Brands are becoming more transparent about their sustainability effort, whether committing to carbon labeling (which reveals the true costs of environmental impact) or evolving production practices to actively fight climate change.
Takeaway: Moving forward, sustainability won’t be about just doing less harm, it’ll be about benefiting the environment as well. How can your brand make better environmental choices in business practices and encourage consumers to do the same in their everyday lives?
5. Plant-based goes mainstream
Dubbed more of a movement now than a trend by the Speciality Food Association, plant-based food is expected to have an annual growth of 10-20% through 2024. Over 50% of consumers are attempting to eat more plant-based foods, listing health, diet variety, sustainability, and taste as their main reasons. No longer restricted to just burgers, expect to see plant-based innovations in snacks, dips, cheese, creamers, and more hitting the shelves next year.
Takeaway: The plant-based phenomenon shows that something that was previously thought to be impossible can be possible. Take a look at your own industry, question assumptions you make about your products and services, and rethink how to manufacture things or add additional benefits.
6. Functional Food
Expect to see increasingly blurred lines between supplement and grocery aisles as more consumers seek out food with functional ingredients like vitamin C, prebiotics, and adaptogens to support their immune system, boost their mental health, and balance their microbiome. While food as medicine was seen before COVID, the pandemic has accelerated the trend with 60% of global consumers looking for more food and beverages that support immune health and one-third saying they’re more concerned about immune health in 2020 vs 2019. Expect to see more immune-support and stress-management products in demand in 2021.
Takeaway: Consumers are embracing preventative health and are looking at food labels for claims that signal personal benefits. What is your brand doing to help consumers take proactive steps towards better health?
7. Digitized healthcare
COVID has spurred healthcare innovation in ways that are here to stay as the industry adapted to our new normal.The first major shift was an expansion of telemedicine as the number of consumers using virtual visits rose from 15% to 28% with 80% planning to have another virtual visit even after COVID. Healthcare also saw a boom in AI and VR. The technologies are projected to exceed $34 billion and $2.4 billion respectively within healthcare. As healthcare shifts, people are expecting easier access to expertise, experiences that feel more engaging and consumer-focused, health systems they can use anywhere, and care that is personalized to their specific needs.
Takeaway: COVID created a seismic shift within healthcare, prompting quick innovation in technology and tools. Make sure your brand remains future-ready by anticipating possible shifts and leaning into the needs of the next generation of consumers.
8. Wearable health technology
Move over Apple Watches and FitBits, there are new kids on the wearable technology block. Consumer spending on wearable technology is expected to double by 2021 as consumers seek out new ways to monitor their own physical and mental wellbeing. As consumers reduce their visits to gyms and doctors offices, they’re turning to tech for everything from measuring their fitness to tracking their mood. With a full 77% of consumers believing self-monitoring is changing their behavior for the better, expect this trend to stick around.
Takeaway: Consumers are integrating health technology into their lives to stay informed and act proactively. What role can technology play in adding new value to your brand experience?
9. Mental health focus
Inspiration: As people continue to work remote, work/life balance is suffering. Microsoft announced new features for its Teams platform that are designed to improve users’ mental health in the new WFH world. They’re adding a virtual commute feature to create bookends for the day and partnering with mindfulness app Headspace to add an emotional check-in prompting users to select an emoji reflecting how they feel.
Takeaway: You don’t have to be a mental health startup to incorporate mental health into your products and/or services. Moving forward, consider how you can support people’s mental health with shifts in messaging, resources, or add-ons to existing offerings.
10. Powered by 5G
5G is important for more than just telecom companies. In fact, it could be the single greatest technology innovation going into next year as it ushers in a new era of connectivity. Simply put, 5G is the next generation of wireless communication technology that is up to 100 times faster than 4G. It has the potential to create connected ecosystems of devices creating seamless experiences enhanced by AR/VR and AI. For brands this could mean immersive fitting rooms, enhanced multisensory VR/AR, improved manufacturing processes, enhanced voice technology, and more.
Takeaway: 5G means innovations like AI, IoT, AR, and VR can become widespread realities in 2021. Make sure your brand is considering leveraging these technologies in your innovation pipeline and business practices to ensure you’re not left behind in 4G.
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