Search behavior is undergoing a seismic shift, and the implications for brands are profound. Artificial intelligence tools like ChatGPT and Bard are no longer just novelties—they are becoming the go-to for millions seeking instant, conversational answers. Simultaneously, platforms like TikTok and Instagram have emerged as primary search engines for younger generations, with nearly 40% of Gen Z preferring TikTok over Google when searching for everything from local restaurants to financial advice, according to a survey by eMarketer.

This transformation is forcing brands to rethink their strategies. The once-reliable pillars of SEO and search engine marketing (SEM) are being upended by AI-driven search models and algorithm-powered social media platforms that prioritize video content. In this new ecosystem, traditional keyword optimization may lose relevance as conversational AI tools favor well-structured, contextual content. Similarly, social media search trends signal a growing demand for visual-first strategies, where brands that fail to adapt risk losing visibility.

The consequences extend beyond digital marketing tactics. AI-driven local searches and social platforms’ discovery algorithms increasingly favor large companies with the resources to invest in cutting-edge content strategies and ad placements. Smaller businesses, already stretched thin, may struggle to compete in a landscape that rewards scale and technical sophistication.

As search engines cede ground to AI and social media, marketers are left grappling with a key question: Will this democratize access to information or entrench the dominance of tech giants and large brands? What is clear is that the evolution of search will define how consumers discover and engage with businesses in the years to come, and the strategies marketers deploy today will determine who thrives in this new digital reality.

The Rise of AI in Search

AI-powered tools like ChatGPT, Bard, and Bing AI are redefining how consumers approach online searches, moving away from the traditional keyword-based structure of platforms like Google. Instead of entering a few words and scanning links for relevance, users are turning to AI for detailed, conversational responses. This shift reflects a growing preference for precision and speed—factors that are reshaping digital marketing at its core.

According to a report by Gartner, conversational AI platforms are expected to influence 50% of all search interactions by 2026. These tools not only provide more direct answers but also offer personalized and context-aware suggestions based on user intent. For example, a search for “best eco-friendly cars under $30,000” on ChatGPT might generate a list of options with detailed comparisons, saving users the time required to comb through multiple websites.

This evolution poses significant challenges for traditional SEO strategies. The long-standing reliance on keywords and backlinks is giving way to content strategies designed to answer complex, multi-layered queries. Marketers are now prioritizing structured data, FAQ formats, and in-depth, evergreen content that conversational AI models can extract and summarize. 

“Optimizing for AI search engines means creating content that anticipates user intent and provides answers, not just traffic bait,” explains Lisa Myers, CEO of Verve Search.

Big companies are likely to gain an advantage in this transition. With larger budgets and teams, they can rapidly adapt to the demands of AI-optimized content. Enterprises like Amazon and Walmart have already begun leveraging schema markup and structured product data to align with AI search capabilities, ensuring their products remain visible across platforms. Meanwhile, smaller businesses may lack the resources or technical know-how to implement these changes effectively, leaving them at risk of reduced visibility.

One notable trend is the rising importance of domain authority and expertise. Conversational AI tools tend to favor content from trusted and credible sources, further entrenching the dominance of established brands. A recent analysis by SEMrush found that websites with robust, expert-driven content see higher inclusion rates in AI-generated results compared to those that rely on generic blog posts.

This transformation is a double-edged sword. While AI’s conversational approach enhances user experience, it may also widen the gap between market leaders and smaller players. For marketers, the stakes have never been higher. Adapting to the nuances of AI search requires not just content realignment but a fundamental shift in how brands think about discoverability in a digital age increasingly dominated by machine learning.

Social Media as Search Engines

For younger generations, TikTok and Instagram are no longer just platforms for entertainment—they are primary tools for finding information. A recent survey by Insider Intelligence revealed that 40% of Gen Z prefer TikTok over Google for searches related to restaurants, shopping, and lifestyle recommendations. Similarly, Instagram, with its vast array of reels and tagged posts, has become a hub for discovering trends, products, and local businesses. This shift marks a dramatic rethinking of how consumers seek and consume information.

The rise of video-first, algorithm-driven content is central to this trend. Social media platforms deliver search results tailored to user behavior, relying on sophisticated algorithms to prioritize content that aligns with individual interests. A search for “easy vegan recipes” on TikTok, for example, not only provides video tutorials but also user-generated reviews, tips, and hacks—all presented in under a minute. This bite-sized approach appeals to a generation accustomed to consuming information quickly and visually.

The implications are profound for media outlets and traditional information sources. Platforms like TikTok and Instagram are not merely complementing Google—they are competing for attention. News publishers and content creators are increasingly forced to tailor their stories into short, visually engaging formats to remain relevant. A study by Pew Research Center found that nearly 30% of U.S. adults now regularly get their news from Instagram, underscoring the platform’s growing influence as a source of information.

The impact on SEM and SEO strategies is equally transformative. Traditional keyword-based optimization is losing ground to visual search optimization. For marketers, this means a renewed focus on creating high-quality, engaging video content that aligns with social media algorithms. Videos with compelling hooks, captions, and tags are crucial for discoverability. Additionally, influencers and user-generated content play a vital role, with algorithmic preferences often favoring authentic, relatable material over professionally produced ads.

Brands that successfully adapt to these trends are seeing tangible benefits. Chipotle, for example, used TikTok to promote its menu with viral challenges and behind-the-scenes videos, generating millions of views and increased foot traffic. Smaller businesses, too, can gain visibility by leveraging platform-specific trends and hashtags, though the competitive landscape can be challenging.

For marketers, the rise of social media as a search engine offers opportunities and risks. On one hand, platforms like TikTok and Instagram provide direct access to highly engaged, niche audiences. On the other, they demand a more dynamic, resource-intensive content strategy to stay visible. As social media continues to redefine the search landscape, brands must adapt quickly or risk being eclipsed in the fast-moving world of algorithm-driven discovery.

The Impact on Local Searches

The integration of AI and social media into search is redefining how consumers discover local businesses. AI-powered tools like ChatGPT and Google Bard are capable of hyper-personalized recommendations, providing users with tailored suggestions for dining, shopping, and services based on their location, preferences, and prior behavior. Meanwhile, TikTok and Instagram are emerging as powerful tools for local discovery, with users increasingly turning to these platforms for everything from restaurant reviews to hidden gems in their neighborhoods.

This shift is driven by the immediacy and relatability these platforms offer. A quick search for “best coffee shops near me” on TikTok might yield dozens of short videos showcasing not just the menu but the ambiance, customer experiences, and even real-time pricing. Similarly, Instagram’s geotagged posts and story highlights make it easy for users to explore local businesses through authentic, visually engaging content. According to a recent survey by BrightLocal, 34% of consumers now rely on social media for local business recommendations, a number that continues to climb.

For small businesses, this evolution presents both opportunities and challenges. On one hand, platforms like TikTok and Instagram offer a level playing field where smaller brands can compete with larger corporations by leveraging creativity and authenticity. A small bakery, for example, can attract attention through visually appealing reels that highlight its products and customer stories. On the other hand, the dominance of AI-driven recommendations often favors larger companies with established digital footprints and resources to invest in advanced SEO and content strategies.

Hyper-personalization also comes with higher expectations for relevancy and responsiveness. AI tools prioritize businesses with detailed, accurate information online—such as updated hours, menus, and customer reviews. Companies that fail to maintain a robust digital presence risk being excluded from AI-curated results. In this environment, small businesses must prioritize local SEO, user-generated content, and active engagement on social platforms to remain competitive.

For large corporations, the integration of AI and social media into local search further solidifies their dominance. Chains with resources to optimize AI and social media strategies at scale can flood platforms with location-specific ads, promotions, and content, making it harder for smaller competitors to gain visibility. As consumers increasingly rely on personalized and social-driven local searches, the battle for relevance will hinge on agility, creativity, and a deep understanding of these evolving ecosystems.

Winners and Losers in the New Search Landscape

In the new world of AI-driven and social media-influenced search, big companies hold a clear advantage. Their extensive resources allow them to adopt cutting-edge AI tools, optimize social media strategies, and scale content creation with relative ease. Companies like McDonald’s, for instance, have leveraged AI to refine their customer targeting, using tools that analyze vast amounts of data to craft personalized ad campaigns across platforms. Similarly, brands like Nike dominate social media algorithms by producing high-quality, frequent, and visually compelling content bolstered by influencer partnerships and larger ad budgets.

These capabilities position large corporations to consistently appear at the top of AI-curated search results and dominate the social discovery algorithms that younger generations increasingly rely on. Their ability to invest in emerging technologies, such as machine learning for predictive analytics and video-first campaigns tailored to TikTok and Instagram, ensures they remain visible and relevant in the crowded digital marketplace.

Small businesses, however, face significant hurdles. Limited budgets and leaner teams make it challenging to invest in the tools and expertise necessary to compete with industry giants. According to a 2023 report by the Small Business Administration, 78% of small businesses cited the cost of technology as a primary barrier to digital transformation. For many, the financial burden of producing high-quality video content, optimizing for AI search, or running paid campaigns on platforms like TikTok and Instagram is simply out of reach.

Despite these challenges, small businesses can carve out a competitive edge by focusing on authenticity, niche markets, and community engagement. Local boutiques, for example, can use social media to highlight their unique offerings, share customer stories, and foster genuine interactions with their audience. By prioritizing user-generated content and tapping into local influencers, they can amplify their reach without the need for massive ad budgets. Additionally, emphasizing their role within the community—through events, partnerships, or localized content—can help small businesses stand out in AI-curated searches and resonate with socially conscious consumers.

In this new search landscape, the ability to adapt is paramount. While big companies may dominate through scale, small businesses have the opportunity to thrive by doubling down on what makes them unique. As technology continues to reshape the digital ecosystem, success will belong to those who can navigate its complexities with creativity and agility.

The Future of Search and Discovery

As AI and social media redefine how information is found and consumed, traditional search engines face a critical crossroads. Google’s dominance is already being challenged by platforms like TikTok, which offer visually rich, user-generated content and algorithmic precision. If current trends persist, traditional search engines may need to pivot significantly to retain relevance, likely integrating more conversational AI and multimedia features to meet evolving user expectations.

Social media’s role as a search tool is set to deepen. Platforms like Instagram and TikTok are likely to refine their search capabilities further, incorporating more advanced filters, localized suggestions, and AI-driven insights to enhance the user experience. The growing popularity of shoppable content on these platforms also hints at a future where search, discovery, and purchasing are seamlessly intertwined.

AI innovations will further transform search by prioritizing personalization and intent. Emerging algorithms are expected to leverage contextual clues—such as location, past behavior, and even sentiment analysis—to deliver hyper-relevant results. For marketers, this means the era of generalized content is ending. Instead, success will demand nuanced, targeted strategies that align with the unique needs and preferences of individual users.

Future-proofing strategies require a multi-pronged approach. Marketers must diversify their efforts across traditional search engines and social platforms, ensuring visibility in both ecosystems. Investment in dynamic content—particularly video and conversational formats—is critical, as is a commitment to data-driven insights. Finally, brands must remain agile, adapting quickly to technological and behavioral changes in a world where the search landscape evolves at an unprecedented pace.

Navigating the New Search Reality

The shift in search behavior, driven by AI and social media, marks one of the most significant changes in digital marketing in decades. Traditional search engines are no longer the sole gateway to information, as platforms like TikTok and Instagram reshape how users discover, engage with, and act on content. These changes are creating new opportunities but also stark challenges for marketers and brands.

Staying ahead requires agility and a deep understanding of emerging trends. Success lies in embracing new technologies, tailoring content for AI-driven platforms, and creating visually engaging, authentic experiences for social media users. The future of search is being written now, and the brands that innovate today will define tomorrow’s digital landscape.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

Western theories often fail to capture India’s intricate cultural and market dynamics. With its vast diversity and unique consumer demands, India requires localized strategies that balance cultural sensitivity with global scalability.

With over a billion people spanning countless regional, linguistic, and traditional boundaries, understanding Indian consumers demands a localized approach. Immersive consumer research, known as fieldwork, provides the precision and depth needed to decode these complexities, helping brands align authentically with local contexts.

McDonald’s broke new ground in India with the McAloo Tikki Burger, a vegetarian option tailored to the nation’s dietary preferences. This departure from its global menu tapped local tastes, cementing the brand’s foothold. Similarly, Daikin reengineered its air conditioners to endure India’s sweltering summers while addressing the rising demand for energy efficiency—a top priority for Indian households. These examples illustrate how brands leveraging fieldwork to inform localized strategies can achieve lasting success.

Fieldwork’s Role in Understanding Indian Consumers

Fieldwork delves deeper than observation, uncovering the motivations, habits, and emotions driving consumer behavior. Fieldwork provides brands with unparalleled insights in a country like India, where buying decisions often intertwine with tradition and familial structures. This approach bridges the gap between global strategies and local realities, revealing not just what consumers want but why they choose certain products.

For instance, India’s festival seasons—a cornerstone of its consumer economy—highlight how cultural rituals drive purchasing behaviors. Brands that align with gifting traditions during Diwali or tailor offerings for Makar Sankranti’s regional flavors often gain a decisive edge in their markets.

Understanding daily life in urban and rural settings can reveal important insights into consumption patterns. For instance, urban households often prioritize convenience to accommodate their busy schedules, while rural families tend to favor bulk purchases that align with seasonal income cycles.

Overcoming Challenges in Indian Fieldwork

ChallengeDescription
Linguistic DiversityIndia’s 22 official languages and hundreds of dialects demand skilled local interpreters for accurate data collection.
Urban-Rural DivideConsumer preferences shift dramatically; urban consumers lean toward global trends, while rural audiences value affordability and tradition.
Cultural SensitivitiesConducting research requires respect for customs, especially gender roles and privacy boundaries.
Building TrustEthical practices and genuine engagement are essential to foster trust in communities with skepticism toward external interactions.

When planned meticulously and conducted with cultural empathy, fieldwork enables brands to navigate these complexities effectively. Addressing these challenges requires anticipating practical barriers such as logistical constraints, regional infrastructure limitations, and participant accessibility.

Strategies for Effective Fieldwork in India

To truly harness the power of fieldwork in India, brands need a strategic, locally informed approach:

  • Partner with Local Experts: Regional collaborators bring invaluable cultural knowledge, ensuring relevant and authentic research.
  • Embrace Hybrid Methods: Combine traditional on-ground interactions with digital tools, such as mobile diaries, to capture diverse consumer perspectives.
  • Segment Regionally: Tailor research to India’s regional differences, such as contrasting culinary preferences between North and South India. For example, while mustard oil dominates cooking in the east, coconut oil is a staple in the south.
  • Prioritize Immersion: Researchers should engage deeply with communities—participating in local events or observing daily routines—to gain richer, more actionable insights.
  • Adapt Research to Socioeconomic Layers: Fieldwork should account for varying consumer priorities across income groups, from premium buyers in metros to budget-conscious rural shoppers.
  • Incorporate Behavioral Observations: Observing purchasing behaviors in markets or kirana stores (small neighborhood grocers) can reveal subtle preferences surveys might overlook.

Examples of Brands Acing Localization in India

Paper Boat’s Revival of Traditional Beverages: Fieldwork revealed an untapped nostalgia among Indian consumers for traditional drinks like aam panna and jaljeera. By reviving these flavors and packaging them in modern, convenient formats, Paper Boat struck a chord with urban millennials and rural buyers.

Image Credit: Paper Boat

Godrej’s Good Knight Fast Card: Rural consumers’ reliance on open-air living spaces inspired the creation of an affordable, portable mosquito repellent. Designed to meet specific regional needs, this innovation rapidly gained popularity in semi-urban and rural markets.

Image Credit: Indian Television

Cavinkare’s Sachet Revolution for Middle India: Cavinkare pioneered the shampoo sachet, priced at just Rs. 1, to address the dual challenges of price sensitivity and distribution in rural India. Rural consumers often prioritized affordability, and Cavinkare’s sachets met this need while being lightweight and easy to transport. This strategy not only made personal care accessible but overcame logistical hurdles by allowing distribution in small, remote shops. The innovation reshaped India’s FMCG sector, with multiple brands adopting the sachet model to cater to cost-sensitive markets.

Image Credit: The Print

Technology’s Impact on Fieldwork

Digital tools have transformed fieldwork, expanding its reach and efficiency:

  • Mobile Diaries: Consumers document their daily lives through apps, offering real-time insights into behaviors and preferences.
  • Social Listening: By analyzing conversations on digital platforms, brands identify emerging trends and pain points. For instance, social media chatter around eco-friendly packaging has spurred many brands to adopt sustainable practices.
  • AI-Driven Analysis: Advanced algorithms streamline the interpretation of qualitative data, unveiling patterns that might otherwise be missed. AI can help identify commonalities in regional tastes, enabling faster product localization.
  • Geospatial Analytics: Mapping consumer behaviors geographically helps brands focus their efforts where they’re needed most. This is particularly useful for understanding rural adoption rates versus urban saturation.

These technologies complement traditional methods, creating a holistic view of Indian consumer behavior.

The Road Ahead for Fieldwork in India

As India evolves, fieldwork must adapt to keep pace with shifting consumer dynamics. Key areas of focus include:

  • Sustainability Trends: With growing environmental awareness, brands must explore how eco-conscious values influence purchasing decisions. For example, consumers are increasingly opting for refillable products over single-use plastics.
  • Tier 2 and 3 Cities: These markets are experiencing rapid growth, presenting opportunities for tailored innovations. A surge in e-commerce adoption in these regions highlights the need for online-offline hybrid strategies.
  • Immersive Technologies: Tools like VR and AR could revolutionize consumer research, offering simulated environments to observe behaviors. Brands could test retail layouts or product placement virtually, reducing real-world trial costs.
  • Consumer-Centric Design: Indian consumers, particularly younger generations, expect brands to address their specific needs—from affordability to ethical sourcing. Fieldwork must pivot to include participatory design sessions where consumers co-create solutions with brands.

By staying agile and investing in culturally grounded strategies, brands can ensure continued success in India’s vibrant and complex market.

Partner with Experts for In-Depth Insights

At Kadence International, we specialize in delivering actionable insights through immersive research methods. Our expertise in Indian markets can help your brand connect authentically and effectively with diverse consumer segments. Learn how we can empower your growth in India and beyond.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

With over 30% of the Philippines‘ population under the age of 15 and a total population exceeding 113 million, the country is positioned as a global powerhouse. 

Forecasted to be among eight nations contributing to half of all global population growth by 2050, the Philippines’ youth are not just the face of tomorrow—they are the architects of today’s transformative changes. Millennials and Gen Z are steering conversations around economic resilience, social equity, and innovation, envisioning a nation that fosters equitable opportunities for all.

Yet, systemic barriers threaten to stifle their potential. Rising housing costs and employment challenges, such as skills mismatches and high youth unemployment—reported by 88% of Gen Z and 89% of millennials as critical issues in our study—present stark realities. Despite these hurdles, Filipino youth remain optimistic, leveraging digital platforms to amplify their voices, champion policy reforms, and reshape industries like business process outsourcing (BPO) 

and creative arts.

Drawing from our comprehensive study on Southeast Asian youth, conducted in collaboration with Vero Advocacy, Filipino youth have two pressing issues: affordable housing and employment opportunities. These challenges also represent opportunities for stakeholders to empower a generation central to the Philippines’ future.

Demographic Snapshot of Filipino Youth

Millennials: Guardians of Family-Centric Progress

  • Economic Context: Millennials in the Philippines often serve as financial pillars for their families, adhering to the deep-rooted cultural value of utang na loob (debt of gratitude). They prioritize stable employment to support not just themselves but also extended family members.
  • Career Aspirations: While many hold traditional jobs in healthcare, education, and government, there’s a growing migration trend to tech-driven industries due to the Philippines’ increasing role in the global BPO (Business Process Outsourcing) market.
  • Housing Dreams: Millennials aspire to homeownership but face challenges from soaring property prices, particularly in Metro Manila. Government programs like Pag-IBIG Fund housing loans offer some relief, yet urban sprawl often pushes them to suburban developments.

Gen Z: Trailblazers of Digital and Social Movements

  • Digital First-Movers: Gen Z Filipinos are not just consumers of digital content; they are creators, using platforms like TikTok to launch small businesses or raise awareness about social causes, from environmental sustainability to mental health.
  • Housing Preferences: Renting remains the preferred option for Gen Z, reflecting their desire for flexibility and reduced financial burdens. Co-living spaces, a growing trend in Metro Manila, appeal to their communal and budget-conscious lifestyle.
  • Gig Economy Pioneers: Many young Filipinos are pursuing freelance opportunities in content creation, graphic design, and virtual assistance, capitalizing on the global demand for remote workers.
CategoryMillennialsGen Z
Cultural ValuesFamily-centric, stability-drivenPurpose-driven, entrepreneurial
EmploymentTraditional sectors with a tech shiftGig economy and creative industries
HousingSuburban homeownership aspirationsCo-living and urban renting
Digital PresenceProfessional networking and advocacySocial entrepreneurship and activism

What does this mean for policymakers and brands?

  • Localized Insights: Focusing on unique Filipino cultural values like utang na loob and bayanihan (community spirit) roots the discussion in the Philippines’ specific context.
  • Emerging Trends: Highlighting trends like co-living spaces and the rise of the BPO sector adds contemporary relevance.
  • Brand Opportunities: These cultural and economic insights can guide brands to design solutions that resonate deeply with Filipino youth, such as flexible financial products or community-focused marketing campaigns.

Affordable Housing: Bridging Aspirations with Accessibility

For Filipino youth, housing is more than shelter; it represents stability, independence, and an investment in their future. However, rising property prices, a limited rental market, and urban congestion push housing aspirations further out of reach for millennials and Gen Z.

Challenges in Affordable Housing

Skyrocketing Urban Property Costs
In Metro Manila, property prices have surged by over 25% in the past five years, making homeownership unattainable for many millennials. Even with government programs like the Pag-IBIG Fund, which offers low-interest housing loans, affordable properties near economic centers remain scarce.

Rental Market Gaps
Gen Z, who predominantly prefer renting, have limited market options. Quality rental properties within city centers are either too expensive or lack amenities that appeal to young renters, such as high-speed internet or co-living arrangements.

Urban Sprawl and Accessibility
Affordable housing developments are often located far from employment hubs, increasing commute times and expenses for young professionals. This challenge disproportionately affects millennials, who prioritize stable family lives and access to essential services.

Example: Co-Living Spaces in Metro Manila

Image Courtesy: MyTown

The rise of co-living spaces like MyTown in Makati and Bonifacio Global City offers a glimpse into how housing solutions can cater to young professionals. These spaces provide affordable, fully-furnished accommodations with shared amenities like gyms and workspaces, targeting Gen Z’s preference for flexibility and millennials’ need for convenience. Their vision is to be the preferred accommodation provider for young professionals in the Philippines.

Impact: Since its launch, MyTown has won several awards and housed thousands of young professionals, enabling them to live closer to their workplaces while fostering a sense of community. 

Global Inspiration: Singapore’s Public-Private Housing Model

Singapore’s Housing & Development Board (HDB) offers a globally admired approach to affordable urban housing. Combining public funding with private sector efficiency, the model has provided Singaporeans with subsidized housing, ensuring accessibility and quality. As of 2022, around 90% of HDB residents owned their flats. To help married couples purchase their first HDB flat, HDB gives a housing grant to subsidize their purchase from the resale market and an additional grant for those who choose to live near their parents.

Key Features:

  • Subsidized Homeownership: First-time buyers receive grants covering a significant portion of housing costs, allowing them to afford properties in prime urban areas.
  • Integrated Communities: HDB developments include mixed-use spaces, such as retail outlets, parks, and schools, fostering a holistic living experience.
  • Innovation in Design: Recent initiatives include smart homes with energy-efficient technologies and urban farming solutions.

Implications for the Philippines: The Philippines can adopt a similar approach by integrating affordable housing projects with urban amenities and green infrastructure, particularly in high-demand areas like Metro Manila and Cebu.

Recommendations for Stakeholders

  • Incentivize Transit-Oriented Development (TOD): Encourage mixed-use developments near transportation hubs, which will reduce commute times and improve access to city centers.
  • Expand Rental Support Programs: Introduce subsidies or tax incentives for landlords offering affordable rental units tailored to youth needs.
  • Promote Co-Living Innovations: Partner with private developers to scale co-living solutions across Metro Manila and secondary cities.

Stable housing is more than a personal milestone for Filipino youth—it is a foundation for economic productivity. Without access to affordable, well-located housing, Millennials and Gen Z face increased commuting costs and reduced job opportunities, particularly in key growth sectors like technology and renewable energy. This interdependence highlights the need for housing and employment reforms to work hand in hand.

Employment Opportunities: Bridging Skills and Expanding Horizons

For Filipino youth, meaningful employment is more than a paycheck—it’s a means of achieving stability, self-fulfillment, and societal contribution. However, systemic barriers such as skills mismatches, limited entry-level opportunities, and urban-rural disparities continue to hinder their professional growth.

Employment Challenges

Skills Mismatch Despite the Philippines’ high literacy rate, many graduates lack the practical skills for high-growth sectors like technology and renewable energy. Our report highlights that over 60% of youth feel their education does not align with job market requirements, leading to underemployment.

Urban-Rural Employment Divide
Job opportunities remain concentrated in urban hubs like Metro Manila and Cebu City. Rural youth face limited career prospects, pushing many to migrate to cities, where they often accept informal or low-paying jobs.

Youth Unemployment
The report reveals that over 85% of Filipino millennials and Gen Z view unemployment as a critical issue. While the Philippines’ BPO sector provides opportunities, the demand for skilled talent continues to outpace supply.

Example: BPO Sector as a Game-Changer

The Philippines’ BPO sector employs over 1.4 million workers, with millennials and Gen Z dominating the workforce. Companies like Accenture Philippines and TaskUs have introduced upskilling programs focusing on digital literacy and AI-driven processes, enabling employees to transition into higher-paying roles.

Impact: These programs have increased employee retention rates and enhanced productivity, setting a benchmark for skills-focused employment models.

Global Inspiration: Canada’s Youth Employment Strategy (YES)

Canada’s Youth Employment Strategy (YES) provides targeted programs to help young people gain employment skills, transition into the workforce, and pursue entrepreneurship.

Key Features:

  • Skills Link Program: Designed for youth facing employment barriers, this initiative offers hands-on training, mentorship, and access to resources in high-demand sectors.
  • Career Focus Program: Provides internships and job placements aligned with emerging industries, such as technology and green energy.
  • Summer Work Experience Program: This program helps students gain valuable work experience during summer breaks, building practical skills early in their careers.

Implications for the Philippines: The Philippines could establish a similar framework by offering tailored employment programs for youth in secondary cities, focusing on key growth sectors like renewable energy, e-commerce, and digital content creation.

Recommendations for Stakeholders

  • Invest in Vocational Training: Partner with academic institutions to create programs aligned with high-growth tech and renewable energy sectors.
  • Promote Regional Hubs: Establish economic centers in secondary cities like Davao and Iloilo to decentralize job opportunities and reduce urban migration pressures.
  • Strengthen Internship Programs: Design structured pathways for students to transition seamlessly from education to employment.

Beyond traditional employment pathways, Filipino youth are leveraging digital platforms to create entrepreneurial ventures and drive social impact. These initiatives reflect a shift toward a more self-reliant and sustainability-focused future, where economic growth aligns with environmental and social equity.

Youth as Catalysts for Digital Transformation and Sustainability

Many Filipino youth have recently started using platforms like TikTok, Instagram, and Lazada to launch small businesses and advocate for sustainable practices.

Digital Transformation

Social Commerce Boom: Platforms like TikTok Shop have enabled young entrepreneurs to monetize their creativity, from selling handcrafted goods to offering online consultations.

Example: Manila’s Plastic-Free Market
The Plastic-Free Market initiative, driven by youth entrepreneurs, promotes zero-waste practices through eco-friendly products. Located in Quezon City, it collaborates with local vendors to replace single-use plastics with biodegradable alternatives.

Sustainability Initiatives

Filipino youth are at the forefront of climate advocacy, with initiatives like Youth for Climate Action Philippines, which organizes workshops and campaigns to educate communities on renewable energy and sustainable living.

Global Inspiration: Sweden’s E-Skills for All Program

Sweden’s national program equips young entrepreneurs with digital tools to scale their green businesses, emphasizing rural inclusivity and sustainability.

Recommendations for Brands

  • Support Digital Entrepreneurs: Launch workshops and grants for youth-led online businesses.
  • Promote Green Campaigns: Collaborate with eco-friendly initiatives to highlight sustainable practices.
  • Leverage Social Media Advocacy: Partner with influencers driving meaningful conversations around climate action and equity.

Final Thoughts: What Do the Youth Want?

Filipino youth envision a future of equity, innovation, and sustainability. They demand systemic reforms in housing and employment while championing digital transformation and green entrepreneurship.

Policymakers and brands must act decisively to address these priorities. By collaborating with youth to co-create solutions, they can turn challenges into opportunities and ensure a resilient, inclusive Philippines.

Read our full report for actionable insights tailored to empowering Filipino youth. [Click here to explore the full study.]

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

The old ways of buying food won’t cut it anymore for today’s shoppers. With transparency, convenience, and personalization at the top of their needs, consumers drive a massive shift in how brands reach them. As traditional retailers scramble to keep up, DTC  food brands are seizing the moment, cutting out middlemen to deliver not just products but tailored experiences.

This trend shows no signs of slowing, with Salesforce reporting that 64% of shoppers now choose to buy directly from brand-owned channels. These platforms offer more than just a product—they provide authenticity, confidence in quality, and curated experiences that larger marketplaces simply can’t replicate.

Global e-commerce sales are projected to reach $6.3 trillion in 2024, rising from $5.8 trillion in 2023, underscoring the shift toward online purchasing. The food industry is emerging as a critical player in this shift as DTC brands redefine market dynamics and elevate consumer expectations worldwide.

An example of this success is US-based Thrive Market, a subscription-based online grocery service catering to ethically minded shoppers. With over 1.2 million subscribers, Thrive Market shows how DTC brands combine convenience with a commitment to sustainability. Their approach has set a new benchmark for how brands can align with consumer values while delivering a seamless shopping experience.

What Drives the Growth of DTC Food Brands?

Direct-to-consumer food brands have experienced exponential growth due to evolving consumer behaviors, technological advancements, and shifting market dynamics. While already gaining momentum, the pandemic accelerated the adoption of DTC food brands by driving more consumers toward online shopping and home delivery channels. 

Consumer-Centric Strategies

  • Personalization and Customization
    • Consumers can tailor their orders based on dietary needs (e.g., vegan, keto, gluten-free).
    • Brands offer curated subscription plans, meal kits, and customizable snack boxes.
  • Convenience and Accessibility
    • Online platforms make it easy for consumers to purchase products from the comfort of their homes.
    • Subscription models provide regular deliveries, ensuring consumers never run out of their favorite products.
  • Transparency and Trust
    • DTC brands emphasize ethical sourcing and clean ingredients.
    • Brands build trust through direct communication with consumers via social media and email.

Technology and Digital Platforms

The rise of e-commerce and digital tools has been instrumental in propelling DTC food brands.

TechnologyImpact
Social Media MarketingPlatforms like Instagram and TikTok enable brands to build a strong online presence.
Data AnalyticsTools help brands analyze consumer preferences and optimize product offerings.
Mobile AppsApps streamline ordering processes and enhance customer experiences.
AI-Powered PersonalizationChatbots and recommendation engines create tailored shopping experiences.

DTC Food Market Trends

Cultural and generational shifts are also fueling the DTC food trend.

  • Demand for Ethical and Sustainable Products
    • Younger consumers prioritize sustainability and ethical practices.
    • Brands offering eco-friendly packaging and fair-trade ingredients gain a competitive edge.
  • Shift Toward Health and Wellness
    • Consumers are more focused on health-conscious eating.
    • Functional foods, plant-based options, and immunity-boosting products are in demand.
  • Generational Influence
    • Millennials and Gen Z prefer digital-first interactions, resonating with DTC brands’ approach.
    • These generations value convenience, transparency, and brand storytelling.

Key Benefits of the DTC Model

DTC food brands are redefining traditional business models, offering unique advantages that resonate with modern consumers. Their ability to streamline operations, connect directly with their audience, and deliver unique value propositions makes them formidable players in the modern food industry. These benefits not only set DTC brands apart but also enable them to thrive in a competitive marketplace.

Direct Consumer Relationships

  • Data-Driven Insights: By selling directly, brands gain invaluable data on consumer preferences and purchasing patterns, enabling real-time decision-making.
  • Personalized Marketing: With direct access to consumers, brands can create highly targeted marketing campaigns tailored to specific segments.
  • Agility in Product Development: Feedback loops are shorter, allowing brands to adapt and innovate quickly based on consumer input.

Efficient Supply Chain Management

  • Eliminating Intermediaries: By bypassing wholesalers and retailers, brands retain greater control over pricing and margins.
  • Improved Inventory Control: Real-time tracking systems help prevent overstocking or stockouts, optimizing supply chain efficiency.
  • Cost Savings: Reduced reliance on intermediaries translates to lower operational costs, which can be passed on as savings to consumers.
Traditional Supply ChainDTC Supply Chain
Involves multiple intermediariesDirect from brand to consumer
Higher costs due to markupsLower costs with no middlemen
Limited control over distributionFull control over distribution

Stronger Brand Loyalty

  • Community Building: DTC brands foster deeper connections through storytelling, transparency, and direct engagement on digital platforms.
  • Exclusive Offers: Loyalty programs and member-only benefits strengthen customer retention.

Enhanced Customer Experience: Personalized packaging, thank-you notes, and exclusive content create memorable interactions that drive repeat purchases.

How DTC Food Brands Leverage Packaging to Elevate the Consumer Experience

For food brands, product packaging is more than a container—it’s a pivotal touchpoint that bridges the physical and digital shopping experience. Thoughtfully designed packaging serves multiple roles: it protects the product, reinforces the brand’s identity, and enhances the customer’s unboxing experience. Innovative packaging can be the differentiator that keeps customers returning for more.

  1. Brand Storytelling
    • Packaging provides an opportunity to tell the brand’s story visually, from eco-friendly messaging to cultural nods.
    • Custom designs and premium materials create a memorable unboxing experience that resonates with customers.
  2. Sustainability
    • Environmentally conscious packaging is a priority for Millennial and Gen Z consumers.
    • Using recyclable, compostable, or reusable materials showcases a commitment to sustainability.
  3. Functionality and Protection
    • Durable packaging ensures products arrive intact, even after long shipping journeys.
    • Functional designs, like resealable bags or compact boxes, improve usability and convenience for consumers.
  4. Marketing and Retention
    • Unique designs encourage social sharing, effectively turning customers into brand advocates.
    • Personalized messages and custom inserts can boost customer loyalty.

Case Study: Daily Harvest – A Packaging Revolution in DTC

Image Courtesy: Daily Harvest

Overview
Daily Harvest, a subscription-based DTC food brand specializing in ready-to-blend smoothies and plant-based meals, has mastered the art of packaging to align with its health-conscious and eco-friendly ethos.

Packaging Strategies

  • Minimalist Design: Clean, modern designs reflect the brand’s fresh and healthy identity. Each package includes vibrant visuals of ingredients, emphasizing product transparency.
  • Eco-Friendly Materials: Daily Harvest uses 100% compostable and recyclable packaging, reducing its environmental impact while appealing to sustainability-conscious consumers.
  • Customer-Centric Functionality: The brand’s insulated delivery boxes ensure frozen meals and smoothies arrive in perfect condition, preserving quality during transit.
  • Personal Touches: Boxes often include inspirational messages and guides on how to best enjoy the meals, enhancing the unboxing experience.

Impact

  • Daily Harvest has seen a significant increase in social media engagement, with customers frequently sharing unboxing videos and photos of the aesthetically pleasing packaging.
  • Its eco-conscious packaging has bolstered customer loyalty, as many subscribers cite sustainability as a deciding factor in their purchase.

Emerging Trends in DTC Food Packaging

  • Smart Packaging
    • Technologies like QR codes and NFC tags allow consumers to scan packages for product details, sourcing information, and preparation tips.
  • Augmented Reality (AR) Integration
    • AR-enabled packaging creates immersive experiences, like virtual recipe tutorials or stories about the brand’s mission.
  • Personalization
    • Brands offer customizable packaging options, such as names printed on boxes or tailored product bundles.

DTC Brands That Have Disrupted Traditional Brands by Building Customer Connections

Case Study: Magic Spoon – Redefining Breakfast Cereals

Image Credit: The New York Times

Overview: Magic Spoon, founded in 2019, has disrupted the traditional cereal market by offering high-protein, low-carb, and zero-sugar cereals that cater to health-conscious consumers seeking nostalgic flavors.

DTC Strategies:

  • Product Innovation: Utilized alternative ingredients like monk fruit and allulose to create keto-friendly, grain-free cereals replicating classic flavors.
  • Influencer Marketing: Collaborated with mid-tier influencers (100,000–500,000 followers) on platforms like TikTok to authentically promote products, leading to higher engagement rates.
    Podcast Advertising: Invested in podcast ads, resulting in nearly 10% higher lifetime value (LTV) from podcast listeners than other channels.

Outcomes:

  • Rapid Growth: Achieved significant market penetration, prompting expansion into retail channels in 2022.
     
  • Brand Loyalty: Built a strong customer base by aligning with consumer trends toward nostalgia and health-conscious eating.
     

Case Study: Sakuraco – Bringing Japanese Tradition Worldwide

Image Credit: Sakuraco

Overview: Sakuraco offers monthly subscription boxes featuring authentic Japanese snacks, teas, and home goods, aiming to share Japan’s rich culinary traditions globally.

DTC Strategies:

  • Curated Experience: Each box contains 20 artisanal items sourced from local Japanese makers, accompanied by a cultural booklet to enhance the unboxing experience.
  • Thematic Packaging: Monthly themes, such as regional specialties, provide subscribers with a diverse and educational journey through Japan’s culinary landscape.
  • Affiliate Marketing: Launched an affiliate program in 2021 to increase brand awareness and drive revenue, partnering with creators to reach wider audiences.
     

Outcomes:

  • Global Reach: Successfully delivered Japanese cultural experiences to international subscribers, fostering an appreciation for traditional snacks and teas.
     

Customer Engagement: Enhanced customer loyalty through immersive cultural storytelling and high-quality, authentic products.

Challenges and Future Opportunities for DTC Food Brands

Key Challenges

  • Logistics and Delivery
    • Difficulty in maintaining a seamless delivery experience in regions with limited infrastructure.
    • Rising delivery costs impacting profit margins.
  • Market Saturation
    • Intensified competition among DTC brands, especially in popular segments like meal kits and snacks.
    • Consumer fatigue from overexposure to targeted ads.
  • Maintaining Quality and Trust
    • Scaling operations without compromising product quality or the personalized customer experience.
    • Ensuring transparency and authenticity amid growing consumer scrutiny.

Future Opportunities

  • Rural Market Penetration
    • Expanding beyond urban areas to tap into underserved rural markets using hybrid online-offline strategies.
  • Sustainability Innovations
    • Adopting eco-friendly packaging and sourcing practices to appeal to environmentally conscious consumers.
    • Leveraging partnerships with local farmers and producers.
  • Tech-Driven Growth
    • Exploring AI-powered predictive analytics for hyper-personalized marketing.
    • Expanding into augmented reality (AR) experiences for immersive product engagement.
  • Global Expansion
    • Adapting offerings to fit diverse cultural and regional preferences.
    • Collaborating with local influencers and creators to build trust in new markets.

Actionable Insights for DTC Food Brands

Direct-to-consumer food brands are uniquely positioned to capitalize on market trends and consumer preferences. However, they must adopt strategic approaches tailored to their target audience and operational strengths to sustain growth and remain competitive. Here are actionable recommendations for DTC food brands to thrive in an evolving market:
Leverage Data Analytics for Personalization

Why It Matters: Consumers expect tailored experiences that meet their unique preferences and dietary needs.

Action Steps:

  • Implement AI-driven analytics to segment consumers by behaviors, preferences, and purchase history.
  • Use these insights to create personalized marketing campaigns, such as customized meal plans or product recommendations.
  • Invest in dynamic pricing strategies that adapt to consumer demand in real time.

Prioritize Sustainability

Why It Matters: Environmental consciousness is a key factor in consumer decision-making, particularly among Millennials and Gen Z.

Action Steps:

  • Switch to biodegradable or reusable packaging materials to reduce your environmental footprint.
  • Build partnerships with local farmers and producers to support sustainable sourcing.
  • Communicate your sustainability initiatives clearly through product labeling and marketing campaigns.

Expand into Untapped Markets

Why It Matters: Emerging markets, especially rural areas, represent significant growth opportunities.

Action Steps:

  • Develop localized product offerings that cater to regional tastes and preferences.
  • Partner with local distributors and influencers to establish trust and awareness in new markets.
  • Use mobile-first strategies, as many rural consumers rely on smartphones for online purchases.

Strengthen Brand Storytelling

Why It Matters: Consumers connect with brands that have a compelling story and clear values.

Action Steps:

  • Share behind-the-scenes content about product creation, ethical sourcing, or community initiatives.
  • Highlight customer success stories and testimonials to build trust and engagement.
  • Use interactive platforms like live streaming to showcase your brand’s authenticity.

Embrace Emerging Technologies

Why It Matters: Technology can enhance consumer engagement and streamline operations.

Action Steps:

  • Implement AR/VR for immersive shopping experiences, such as virtual try-before-you-buy features.
  • Adopt blockchain for transparent supply chain tracking and product authenticity.
  • Use IoT devices for inventory management and real-time quality control.

Optimize Customer Retention Strategies

Why It Matters: Retaining customers is more cost-effective than acquiring new ones.

Action Steps:

  • Develop loyalty programs that reward repeat purchases with exclusive discounts or free products.
  • Offer subscription-based models with flexible plans to keep customers engaged over time.
  • Provide exceptional customer support via 24/7 chatbots and responsive service teams.

Foster Strategic Partnerships

Why It Matters: Collaborations can enhance brand reach and operational efficiency.

Action Steps:

  • Partner with complementary brands to co-create products or bundled offerings.
  • Collaborate with influencers and content creators to amplify your brand message.
  • Work with logistics providers to optimize delivery speed and reliability.

Measure and Iterate

Gather customer feedback to refine products and services.

Why It Matters: Continuous improvement is essential for long-term success.

Action Steps:

To evaluate performance, use key performance indicators (KPIs) like customer acquisition cost (CAC), lifetime value (LTV), and conversion rates.

Conduct regular A/B testing on marketing campaigns and website features.

Final Thoughts 

The rise of DTC food brands marks a transformative shift in the food industry, fueled by changing consumer preferences, digital innovation, and the demand for personalized experiences. Direct-to-consumer brands have redefined traditional business models by eliminating intermediaries and connecting directly with their audience, offering unique value propositions that resonate globally.

Key Takeaways

  • Adaptability Is Crucial: DTC brands that embrace emerging technologies, prioritize sustainability, and personalize their offerings are better positioned for long-term success.
  • Consumer-Centric Strategies Win: Meeting the evolving demands of health-conscious, ethically minded, and convenience-driven consumers is essential.
  • Innovation Drives Growth: From AI-powered personalization to immersive shopping experiences, leveraging technology will set brands apart in a crowded market.
  • Global Opportunities Abound: Expanding into untapped markets and adapting to local preferences can unlock significant growth potential.

As competition intensifies, the ability to innovate and adapt will determine which brands thrive in this dynamic landscape. DTC food brands must continually refine their strategies, invest in cutting-edge solutions, and stay attuned to consumer trends to remain relevant and competitive. Adopting a forward-thinking and consumer-first approach will be the key to sustained success for brands looking to navigate these challenges and capitalise on opportunities.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

The technology industry, long known for its constant innovation, is about to undergo even more transformative changes in 2025. As emerging technologies continue to evolve and global dynamics shift, businesses will face new opportunities and challenges that will reshape the future of tech. From quantum computing breakthroughs to the rise of ethical AI and the expansion of edge computing, these trends are set to disrupt the way industries operate and how technology will drive progress.

In this rapidly evolving environment, staying ahead of the curve is essential for tech companies to remain competitive. Let’s explore the four key trends that will redefine the technology landscape in the coming year.

Trend 1: Quantum Computing Enters Commercialization

After years of research and theoretical advancements, quantum computing is finally making the leap from academic breakthroughs to real-world applications. In 2025, quantum technology is poised to solve complex, data-intensive problems across industries like finance, healthcare, logistics, and beyond. Companies are beginning to harness the power of quantum computing to perform calculations and simulations that would have been unimaginable with classical computers. This shift marks the start of a new era in computing, where quantum algorithms will drive unparalleled advancements in problem-solving capabilities.

Why This Will Disrupt:

  • Offers exponential speed-ups for data-intensive computations: Quantum computers have the potential to process massive datasets at speeds far beyond the capabilities of today’s supercomputers. This capability could revolutionize sectors such as pharmaceuticals, where simulations of molecular interactions could accelerate drug discovery, or finance, where quantum computing could optimize complex algorithms in real time.
  • Forces industries to reimagine processes that rely on advanced analytics: As quantum computing begins to tackle problems once thought unsolvable, industries will need to rethink their existing frameworks. From logistics to supply chain management, quantum algorithms could offer solutions that drastically improve efficiency and reduce costs by enabling more sophisticated predictive models and optimization techniques.
  • Creates a race among tech companies to lead in quantum innovation and commercialization: With its enormous potential, quantum computing has sparked a global race among tech giants, startups, and academic institutions to develop practical applications. Companies that successfully commercialize quantum technology first will hold a major competitive edge, driving innovations and leading the charge in industries from machine learning to climate modeling.

As quantum computing moves into the mainstream in 2025, businesses must adapt quickly to incorporate this powerful new technology or risk being left behind. The disruption it will bring across industries is profound, as quantum algorithms promise to revolutionize the speed and efficiency of data processing and complex decision-making.

Case Study: Google – Sycamore and the Quantum Leap

Google’s quantum computing project, Sycamore, demonstrated quantum supremacy in 2019 by solving a problem that was previously intractable for classical computers. The project marked a historic breakthrough, showing that quantum computers can perform specific tasks exponentially faster than conventional ones. As Google continues to push the boundaries of quantum technology, its ongoing research aims to transition quantum computing from theoretical breakthroughs to real-world applications that could revolutionize industries like finance, healthcare, and logistics, particularly those reliant on massive data processing and computational power.

Trend 2: AI Ethics and Regulation Take Center Stage

As artificial intelligence (AI) becomes increasingly embedded in technology across industries, concerns regarding its ethical use and societal impact are growing louder. In 2025, AI is no longer just a tool; it’s a critical driver of business operations, decision-making, and even personal lives. With its vast potential, AI is also raising complex questions about fairness, accountability, and transparency. To address these concerns, stricter regulations and ethical frameworks are expected to reshape how AI is developed and deployed, ensuring it aligns with societal values while mitigating risks.

Why This Will Disrupt:

  • Adds compliance costs and slows down unregulated AI deployments: As governments and international bodies introduce new laws to ensure AI technologies are safe, fair, and transparent, companies will face increased regulatory compliance costs. The need to adhere to these regulations will slow down the rapid deployment of AI tools, particularly in sectors like finance, healthcare, and autonomous systems, where ethical considerations are paramount.
  • Pushes tech companies to prioritize transparency and bias mitigation: In 2025, the focus on AI ethics will force companies to address the biases that AI models can inherit from historical data or skewed training sets. Tech companies will need to invest in developing transparent AI systems that can be audited for fairness and accountability. This emphasis on ethical AI will drive innovation in tools for bias detection, algorithm transparency, and ethical oversight.
  • Creates opportunities for innovation in ethical AI tools and auditing solutions: With the growing demand for ethical AI, there will be a surge in the development of tools and services aimed at auditing, monitoring, and enhancing the ethical standards of AI systems. Companies will invest in creating new software, platforms, and methodologies to ensure that AI applications meet established ethical guidelines. This opens the door to new business opportunities focused on responsible AI development.

In 2025, as AI continues to shape industries, its ethical implications will take center stage. With growing scrutiny from regulators, consumers, and advocacy groups, technology companies will need to innovate and prioritize the ethical development of AI to maintain trust and compliance, positioning themselves for long-term success in a rapidly evolving regulatory landscape.

Case Study: NVIDIA – Revolutionizing Edge Computing with Jetson

NVIDIA’s edge computing solutions, including the Jetson platform, enable real-time AI processing directly on edge devices, which is crucial for industries requiring immediate decision-making, such as autonomous vehicles, smart cities, and industrial automation. By bringing AI capabilities closer to where data is generated, NVIDIA helps reduce latency and improve the speed and efficiency of critical systems. With its innovations in edge computing, NVIDIA is accelerating the development of real-time applications in sectors where immediate data processing is essential, providing a competitive edge for businesses in fast-evolving markets.

Trend 3: The Growth of Edge Computing

Edge computing is rapidly emerging as a critical infrastructure in the technology landscape, especially as the Internet of Things (IoT) and 5G connectivity continue to expand. By processing data closer to the source—whether it’s on IoT devices or at local data centers—edge computing reduces latency and enhances real-time decision-making capabilities. As industries and applications become more reliant on fast, data-intensive tasks, edge computing offers a solution that minimizes the delays associated with transmitting data to centralized cloud servers. This trend is not just about improving efficiency; it’s enabling new, more sophisticated use cases across multiple sectors.

Why This Will Disrupt:

  • Revolutionizes sectors like autonomous vehicles, smart cities, and industrial automation: Edge computing is crucial in areas that require instantaneous data processing, such as autonomous driving and smart city infrastructure. In autonomous vehicles, for example, edge computing enables real-time analysis of data from sensors and cameras, ensuring the vehicle can respond to its environment with minimal delay. Similarly, smart cities rely on edge computing to manage traffic systems, utilities, and emergency responses, providing faster, localized control.
  • Reduces reliance on centralized cloud services, shifting infrastructure investments: As edge computing becomes more widespread, companies will increasingly invest in decentralized infrastructures rather than relying solely on centralized cloud services. This shift not only reduces the dependency on long-distance data transmission but also enables more localized control, enhancing security and efficiency. Organizations will have to rethink their cloud strategies, balancing centralized cloud computing with edge solutions.
  • Opens up new markets for edge devices and localized data solutions: With the growing adoption of edge computing, new markets are emerging for devices and solutions that support localized data processing. This includes edge hardware like micro data centers and software platforms for managing edge networks. The demand for edge solutions is opening opportunities for businesses to offer innovative products and services in sectors ranging from healthcare to retail, where real-time data processing is becoming more critical.

Edge computing is becoming a foundational technology, revolutionizing industries by enabling faster data processing, reducing latency, and unlocking new possibilities in real-time decision-making. As this trend grows, it will not only change the way businesses handle data but also create new opportunities for innovation in tech infrastructure and localized services.

Case Study: The European Union’s AI Act – Shaping Ethical AI Regulation

The European Union has taken a global lead in AI regulation, with its AI Act establishing one of the world’s first legal frameworks for AI deployment. This act is designed to ensure that AI is used ethically across all sectors, focusing on high-risk applications such as healthcare, transportation, and public safety. By prioritizing transparency, accountability, and fairness, the EU is pushing companies to comply with stringent guidelines, thereby addressing societal concerns related to bias, privacy, and safety in AI systems. The AI Act represents a major step forward in balancing innovation with responsibility in AI development.

Trend 4: The Global Tech Talent Shortage

Despite rapid advancements in technology, the demand for skilled tech professionals continues to outpace supply, creating a significant challenge for companies across industries. As businesses increasingly rely on digital transformation, the need for experts in fields like AI, cybersecurity, data science, and software development has never been greater. However, the competition for these highly specialized roles is intensifying, leading to a global tech talent shortage. To address this gap, companies are focusing on upskilling programs, adopting no-code and low-code platforms, and exploring global talent pools to stay competitive in an evolving market.

Why This Will Disrupt:

  • Drives the adoption of automation tools to bridge the talent gap: With fewer tech professionals available, companies are turning to automation tools to handle repetitive tasks and optimize workflows. Technologies like AI and machine learning are increasingly being used to supplement human workforces, enabling companies to maintain productivity while navigating the shortage of skilled talent.
  • Increases competition for top talent, raising salaries and benefits: As companies vie for a limited pool of qualified tech professionals, compensation packages are becoming more competitive. High salaries, flexible work arrangements, and attractive benefits are being offered to lure top talent, which is driving up labor costs. For tech companies, this creates both a challenge and an opportunity to attract the best minds in the industry.
  • Forces companies to innovate workforce strategies and expand talent pipelines globally: To mitigate the talent shortage, companies are exploring new strategies for sourcing and retaining talent. This includes expanding their search beyond traditional markets and embracing global talent pools. Furthermore, companies are increasingly investing in programs to upskill existing employees, fostering a culture of continuous learning and adaptability within their workforce.

The global tech talent shortage is reshaping how companies recruit, train, and manage their workforce. As businesses face this critical challenge, they must adapt by embracing automation, investing in talent development, and expanding their reach to global talent pools. This shift will have lasting effects on the tech industry and the broader economy as companies continue to innovate to meet the growing demand for skilled professionals.

Case Study: Upwork – Bridging the Global Tech Talent Gap

Upwork, a leading freelancing platform, addresses the global tech talent shortage by connecting businesses with skilled professionals worldwide. Upwork’s AI-driven matching system allows companies to find the right tech talent—whether developers, data scientists, or other specialists—regardless of their geographic location. This flexible, on-demand workforce solution is helping organizations bridge the talent gap and scale quickly in a competitive market. By tapping into a global network of tech professionals, Upwork is helping companies overcome the challenges posed by the shortage of skilled workers, making it an essential platform in today’s tech-driven economy.

Final Thoughts

These four trends—quantum computing, AI ethics, edge computing, and the global tech talent shortage—represent a paradigm shift in the technology industry. As businesses adapt to the increasing pace of change, they will need to be agile and forward-thinking to stay ahead of the curve. Embracing innovation will be key to success, but companies must also address significant challenges, such as ethical AI development and workforce shortages, to build sustainable growth in this rapidly evolving landscape. To stay ahead of the disruptions on the horizon, it’s crucial for businesses to explore these trends and adapt their strategies accordingly. Subscribe to Connecting the Dots, our monthly e-newsletter, for deeper insights and strategies that will help you navigate these changes and prepare for the future of technology. Stay informed, stay inspired, and stay competitive.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

The media industry is experiencing profound shifts driven by technological innovation, changing consumer preferences, and the ever-growing battle for audience attention. As traditional media models are challenged by new, more personalized, and on-demand content, media companies face both significant challenges and opportunities. Fragmentation in audience behavior, the rise of digital platforms, and evolving revenue models are forcing companies to rethink their strategies in order to remain competitive.

Four key trends are expected to disrupt the media landscape in 2025: the rise of AI-generated content, the dominance of niche streaming platforms, the rise of creator-led media ecosystems, and the expansion of immersive media experiences. Each of these trends is reshaping how content is created, distributed, and consumed, driving the media industry towards more efficient, personalized, and interactive solutions.

Trend 1: The Rise of AI-Generated Content

AI tools are revolutionizing the content creation process, from scriptwriting and video production to real-time translation and voiceovers. These advancements are enabling faster production timelines, reducing costs, and providing more personalized content. AI-generated media is quickly becoming a mainstream solution across industries, empowering smaller creators and businesses to produce high-quality content with limited resources.

The disruption caused by AI-generated content is multi-faceted:

  • Reduces production costs and timelines, leveling the playing field for smaller creators: With AI tools, content production is faster and more affordable, making it possible for smaller creators to compete with larger, established media companies. For example, AI-generated text and video content can reduce the time required for scriptwriting and video editing, cutting production costs by up to 30% for smaller productions.
  • Raises ethical questions about authenticity and copyright in content: As AI-generated content becomes more prevalent, questions about the ownership of content and intellectual property are gaining importance. Who owns AI-generated media, and how can the authenticity of such content be verified? These are ongoing debates that will affect not only content creators but also traditional media companies and advertisers.
  • Forces traditional media companies to adapt workflows or risk falling behind: With the rise of AI-generated content, established media companies must innovate or risk being left behind. This shift requires them to reassess their workflows, investment strategies, and how they integrate AI tools into their production processes. A 2023 study by PwC found that 45% of media companies are already using AI to improve content creation, with an expected 20% annual increase in AI integration through 2025. 

The speed, efficiency, and cost-effectiveness AI brings to content creation will force media companies to adapt their traditional workflows to remain competitive. As the market evolves, AI-generated media will likely continue to play a dominant role in shaping the future of the media industry.

Case Study: Synthesia – Revolutionizing Video Content Creation with AI


Synthesia is an AI-driven video production platform based in the United Kingdom that is transforming the way videos are created and consumed. The platform enables users to generate high-quality videos using AI avatars, eliminating the need for traditional video production teams, voiceovers, and expensive equipment. With applications spanning training, marketing, and social media content, Synthesia is democratizing video creation, making it more accessible and cost-effective for businesses of all sizes.

Synthesia is a prime example of how AI is reshaping content creation, particularly in video production. Traditional video production requires multiple resources, such as cameras, studios, editors, and voice actors. With Synthesia, businesses can bypass these logistical hurdles and produce engaging, personalized videos at scale, reducing both time and cost. This AI-generated content trend is disrupting the media industry by offering an automated solution to one of the most resource-intensive areas of content creation—video production.

Technology and Impact
Synthesia’s AI platform uses machine learning to generate realistic human avatars that can speak multiple languages and convey messages in a natural, human-like manner. Users can simply input a script, select an avatar, and produce a fully formed video in a fraction of the time it would take with traditional production methods.

  • Efficiency: Video production time is reduced from weeks to just a few hours, enabling businesses to create content quickly and in multiple languages without the need for voice actors or on-location shoots.
  • Cost Reduction: Synthesia’s platform eliminates the need for expensive video equipment and editing teams, offering an affordable solution for companies looking to scale their content production.
  • Personalization: Businesses can tailor content for different audiences and markets with ease, leveraging AI to generate multiple versions of a video with localized messaging.

One notable example of Synthesia’s impact is its partnership with IBM, where the company utilized Synthesia’s technology to create AI-powered training videos for employees. These videos were produced in multiple languages, enhancing the global accessibility of the training materials without requiring additional voiceovers or manual translations.

In another example, PepsiCo used Synthesia to create localized marketing campaigns across multiple regions, enabling the brand to produce high-quality content faster and at a fraction of the cost of traditional video shoots.

Synthesia exemplifies how AI is transforming content creation by making video production more efficient, accessible, and affordable. By removing barriers to entry, such as high production costs and lengthy timelines, Synthesia is opening up opportunities for businesses to scale their video content while maintaining personalization and quality. This shift in how content is created aligns perfectly with the broader trend of AI-generated media, which is set to become a mainstream solution for businesses looking to remain competitive in an increasingly fast-paced media landscape.

By leveraging AI tools like Synthesia, companies can not only streamline their workflows but also adapt to the growing demand for faster, more personalized content in the media industry.

Trend 2: The Dominance of Niche Streaming Platforms

As consumer preferences become increasingly fragmented, niche streaming services are thriving by offering hyper-personalized content that caters to specific genres, interests, and demographics. These platforms focus on creating curated content that speaks directly to loyal, engaged audiences, setting them apart from mainstream streaming giants. While platforms like Netflix and Amazon Prime dominate the global streaming market, niche services have carved out their own space by tailoring offerings to meet the needs of particular groups, whether through genre-focused content, cultural specificity, or unique entertainment needs.

Why This Will Disrupt:

  • Challenges the dominance of mainstream platforms by creating targeted appeal: Niche streaming platforms are challenging the widespread appeal of larger services by zeroing in on specific genres or cultures, providing a more focused and personalized viewing experience. As of 2023, niche streaming services are gaining ground, with some platforms growing their user bases by 50% year-over-year through targeted offerings. 
  • Shifts revenue models toward subscriptions and community-driven funding: Many of these platforms are shifting their revenue models from ad-based to subscription-driven, tapping into a dedicated audience willing to pay for exclusive content. This trend is especially visible in platforms focusing on niche genres like horror, anime, or independent films, where users are more willing to support content they feel personally connected to.
  • Forces traditional broadcasters to rethink how they connect with fragmented audiences: The success of niche platforms is forcing traditional broadcasters to rethink their strategies and adapt to the demand for specialized content. As audience fragmentation continues, broadcasters will need to reevaluate their programming and content distribution to stay relevant in an ever-more segmented market.

In 2025, niche streaming services are expected to continue their rapid growth, offering unique and highly tailored content that appeals to a specific fanbase. As this trend continues, traditional streaming platforms and broadcasters will have to rethink their approach to content creation, production, and audience engagement to compete in an increasingly fragmented media landscape.

Case Study: Shudder – Dominating the Horror Streaming Space

Shudder is a niche streaming platform based in the United States that focuses exclusively on horror, thriller, and supernatural content. Launched in 2015, the service has successfully built a loyal and engaged user base by offering a curated library of genre-specific movies and series. Unlike mainstream streaming platforms like Netflix, which offer a broad range of genres, Shudder’s dedication to the horror genre has allowed it to carve out its own space in the streaming market.

Shudder is a prime example of the growing dominance of niche streaming platforms that focus on specific genres or demographics. By focusing solely on horror, Shudder is able to offer a highly personalized and tailored viewing experience for its passionate audience. In an era when mainstream platforms struggle to cater to all tastes, Shudder’s hyper-focused content has allowed it to thrive by serving a dedicated fan base that craves specific genre content. This makes it a perfect illustration of how smaller, niche platforms are gaining traction and challenging larger platforms in terms of engagement, loyalty, and revenue.

Technology and Impact
Shudder’s ability to thrive in a crowded streaming market is thanks to its strong focus on curated content and its use of technology to cater to niche interests:

  • Curated Content: Shudder’s content library features a mix of classic horror films, independent horror movies, and exclusive originals, ensuring that it offers something for every horror fan. The platform regularly updates its catalog, introducing seasonal content and exclusive releases that keep its audience engaged.
  • Community Engagement: By leveraging social media and horror communities, Shudder has developed a sense of community among its users, fostering loyalty and word-of-mouth marketing. Horror fans feel like they are part of a niche, like-minded group, which enhances the platform’s appeal.
  • Tech Integration: Shudder uses algorithms and user feedback to suggest tailored content to its subscribers, increasing viewer satisfaction and keeping audiences engaged with new content based on their viewing history.

Impact and Growth

  • Subscriber Growth: As of 2022, Shudder has surpassed 1 million subscribers globally, a significant milestone that highlights the growing demand for specialized, genre-specific content.
  • Exclusive Content: The platform’s original programming, such as Creepshow, The Last Drive-In with Joe Bob Briggs, and Shudder’s Horror of the Month series, has been key in differentiating it from other platforms and creating a unique viewing experience. These exclusives have helped attract horror fans looking for fresh, original content.

Challenges and Future Outlook

  • Expansion and Competition: While Shudder has experienced significant growth, it faces increasing competition from both traditional platforms adding horror content and newer niche players emerging in the genre. To remain competitive, Shudder must continue to expand its offerings while retaining the strong community it has built.
  • Balancing Growth with Identity: As Shudder grows, it will be challenging to maintain its identity and niche focus while scaling up its subscriber base and content offerings. The platform must ensure that it remains true to its horror roots while accommodating the evolving tastes of its audience.

Shudder’s success in dominating the horror streaming market is a perfect example of how niche platforms are thriving by catering to a specific, loyal audience. By focusing on curated, high-quality content and fostering community engagement, Shudder has not only survived but thrived in an increasingly fragmented media landscape. As consumer preferences continue to fragment, Shudder’s success demonstrates the growing appeal of niche platforms and their potential to disrupt traditional, mainstream streaming services.

Trend 3: Creator-Led Media Ecosystems

The creator economy is revolutionizing the media industry by reshaping how content is produced, distributed, and monetized. Platforms like Patreon, YouTube, and Substack have enabled individual creators to bypass traditional media channels and build direct relationships with their audiences. This shift is enabling creators to take control of their content, set their own terms, and access new revenue streams, disrupting the traditional media landscape where publishers, broadcasters, and agencies are the primary gatekeepers.

The rise of creator-led media ecosystems brings both opportunities and challenges:

  • Decentralizes media production, reducing reliance on traditional gatekeepers: Creators now have the tools and platforms to produce, distribute, and monetize content without the need for large media companies or traditional publishing houses. This democratization of content production allows for a wider range of voices and perspectives, giving rise to diverse, niche content.
  • Redefines advertising and sponsorship opportunities with micro and niche audiences: Creators are now able to build highly engaged, niche audiences that are difficult for traditional media outlets to match. Advertisers are increasingly looking to work with creators who have authentic, loyal followers, rather than large-scale, impersonal reach. The ability to cater to micro-niches provides brands with more targeted and effective advertising opportunities.
  • Challenges media companies to innovate their talent acquisition and content strategies: As creators gain more influence, traditional media companies must adapt to keep up. To stay competitive, broadcasters and publishers need to rethink their content strategies, talent acquisition, and distribution methods, embracing more flexible, creator-centric approaches. Media giants must also adjust to the growing demand for on-demand, authentic content.

In 2025, creator-led media ecosystems are expected to continue to thrive, offering personalized, niche content that traditional media companies struggle to provide at scale. This trend is redefining how content is created, shared, and monetized, and traditional companies will need to innovate quickly or risk losing their relevance in an increasingly decentralized media landscape.

Case Study: Bigo Live – Revolutionizing Creator-Led Media Ecosystems in Southeast Asia

Bigo Live, founded in Singapore in 2016, is a live-streaming platform that allows creators to broadcast live content and receive real-time gifts, tips, and donations from their audience. Over the years, Bigo Live has evolved into a major player in the creator economy, especially in Southeast Asia, by offering creators a direct way to monetize their content through fan interaction and engagement. Unlike traditional media platforms, Bigo Live empowers individual creators to build and nurture their communities while earning revenue from their content.

Bigo Live is a perfect example of how the creator economy is transforming media production and consumption. By enabling creators to monetize their content directly through live-streaming and audience donations, the platform decentralizes the media production process, bypassing traditional media gatekeepers. This aligns with the shift toward creator-led media ecosystems, where individual creators have more control over content creation, distribution, and monetization.

Technology and Impact

  • Real-Time Interaction: Bigo Live allows creators to engage with their audience in real-time, fostering a sense of community and personal connection. The live interaction aspect is a key feature that sets the platform apart from pre-recorded content.
  • Monetization Model: Creators earn revenue through virtual gifts, tips, and paid subscriptions from their viewers. Bigo Live’s integration of real-time gifting encourages continuous engagement and makes the monetization process seamless.
  • Global Reach: While Bigo Live was founded in Singapore, its reach spans across Southeast Asia, the Middle East, and beyond. The platform’s ability to adapt to different markets by supporting local languages and preferences has contributed to its rapid growth.

Content Creators’ Success: Bigo Live has enabled numerous creators to turn live streaming into a full-time career. For instance, creators in Southeast Asia have earned thousands of dollars per month through real-time gifts and sponsored content, building large and dedicated fanbases. One notable example is a popular Indonesian live streamer who has garnered millions of followers and makes a significant income through gifts and tips during live broadcasts.

Challenges and Future Outlook

  • Competition: While Bigo Live is a major player in Southeast Asia, it faces competition from platforms like Twitch, YouTube, and local services, which are also focusing on live streaming and creator monetization.
  • Regulatory Issues: As the platform expands, it must navigate varying regulations around content, online safety, and financial transactions in different countries, which could affect its operations.

Bigo Live is revolutionizing the way creators engage with their audience, allowing for a more direct and profitable relationship between content creators and their fans. The platform exemplifies how technology is enabling the rise of creator-led ecosystems, empowering individuals to take control of their content and revenue streams. By fostering real-time interaction and offering an integrated monetization model, Bigo Live sets a strong example for how live-streaming can thrive in the rapidly evolving media landscape.

Trend 4: Immersive Media Experiences

The media landscape is undergoing a dramatic transformation as advances in augmented reality (AR) and virtual reality (VR) redefine how content is consumed and interacted with. With the rise of immersive technologies, media experiences are becoming more interactive, offering audiences new ways to engage with content. From virtual concerts and live events to AR-enhanced news reporting and branded experiences, the boundaries of audience engagement are being pushed, creating exciting new possibilities for both entertainment and marketing.

As AR and VR technologies become more accessible, the traditional media consumption model is shifting. Audiences are no longer passive viewers; they are active participants in the stories unfolding around them. This shift is opening up new opportunities for storytelling, experiential marketing, and deeper audience connection.

Why This Will Disrupt:

  • Changes how audiences consume and interact with content: Immersive experiences allow audiences to engage with content in more interactive and personalized ways. Virtual reality offers a level of immersion that traditional media cannot match, whether it’s exploring a 360-degree concert experience or walking through a virtual world for an interactive film.
  • Creates new opportunities for storytelling and experiential marketing: VR and AR offer media companies and brands innovative ways to tell stories and engage customers. For example, VR can take viewers into the middle of the action in a way that traditional media, like television or film, simply cannot. AR, on the other hand, can overlay digital elements on the real world, creating an interactive layer that brands can use for experiential marketing campaigns.
  • Requires significant investment in technology and creative talent to deliver high-quality experiences: While the potential for immersive media experiences is vast, creating them requires considerable investment in both technology (AR/VR hardware and software) and creative talent (3D artists, interactive designers, etc.). The industry will need to evolve quickly to ensure the development of high-quality, engaging experiences that are accessible to mainstream audiences.

As these immersive media experiences become more commonplace, they will not only reshape entertainment but also have broader implications for education, tourism, gaming, and even shopping. By 2025, the expectation is that immersive technologies will become mainstream tools for engaging audiences, offering deeper and more personalized interactions than ever before.

Case Study: VR Experiences by National Geographic – Pushing the Boundaries of Immersive Media


National Geographic, a leading media brand known for its educational content on natural history, exploration, and science, has embraced virtual reality (VR) to create immersive experiences that transport users to some of the world’s most remote and fascinating locations. Through its VR projects, National Geographic offers users the ability to dive into the ocean floor, explore the surface of Mars, or witness historical events from an entirely new perspective. This cutting-edge use of VR is designed not only for entertainment but also to educate, providing a deeper, more engaging experience than traditional media formats.

National Geographic’s VR initiatives are a perfect example of how immersive media technologies like VR are reshaping content consumption. By utilizing VR, National Geographic is able to deliver content that goes beyond passive viewing. Rather than just showing viewers footage of a subject, VR places them within that environment, creating a sense of presence that engages audiences on an entirely different level. This trend aligns perfectly with the growing demand for interactive and immersive media experiences that offer more dynamic and participatory storytelling.

Technology and Impact

  • Virtual Reality Experiences: National Geographic’s VR experiences utilize cutting-edge technology to create 360-degree, fully interactive environments. From underwater explorations of the Great Barrier Reef to a first-person journey through Mars’ landscape, these experiences offer users a sensory immersion into places and experiences that would otherwise be impossible to access.
  • Educational and Emotional Engagement: The VR projects have been praised for their ability to emotionally engage users, particularly in educational contexts. For example, by diving into the ocean floor to witness coral reefs, users can gain a firsthand understanding of the impact of climate change. This level of immersion enhances the educational value of the content.
  • Accessibility: National Geographic’s VR experiences are available across multiple platforms, including Oculus Rift and HTC Vive, making them accessible to a wide audience. This approach ensures that the immersive experiences can reach users regardless of their physical location, further broadening the scope of the brand’s educational impact.

One of the most popular VR experiences from National Geographic, “Sea of Shadows”, takes viewers on an underwater adventure to witness the challenges faced by marine life. Users virtually dive into the ocean to explore coral reefs, observe marine species, and learn about conservation efforts in real-time. This experience provides more than just visuals—users can interact with the environment, gaining insights into the underwater ecosystem’s fragility and beauty, which traditional media formats cannot fully convey.

Challenges and Future Outlook

  • Scaling Immersive Content: While National Geographic’s VR experiences have been widely celebrated, producing high-quality VR content requires significant investment in technology, talent, and resources. Scaling this type of content to reach broader audiences without compromising quality remains a challenge for the media company.
  • Consumer Adoption: While VR technology has grown in popularity, it still faces barriers to widespread adoption, such as hardware requirements and cost. National Geographic will need to continue innovating to make VR content more accessible and user-friendly.

National Geographic’s VR experiences represent a major leap forward in how immersive media is transforming both entertainment and education. By offering users the ability to explore the world in ways that were previously unimaginable, National Geographic is enhancing storytelling, increasing audience engagement, and providing educational value through cutting-edge technology. As VR continues to evolve, it will play a key role in pushing the boundaries of media experiences, offering even more innovative and impactful ways for audiences to interact with content.

Final Thoughts

These trends—AI-generated content, niche streaming platforms, creator-led ecosystems, and immersive media experiences—are driving a wave of innovation that is reshaping how media is created, distributed, and consumed. The ability to harness emerging technologies and cater to ever-evolving consumer preferences has opened new opportunities for brands to engage audiences in more personalized, immersive, and interactive ways. As the media industry continues to evolve, staying ahead of these trends is crucial for maintaining relevance in a fragmented, competitive landscape.

For media companies, the key to thriving in this environment lies in embracing agility and innovation. Those who adapt quickly to the changing dynamics of content consumption and audience expectations will be best positioned to succeed. The future of media is rapidly transforming, and those who understand these shifts can capitalize on the new possibilities emerging in the space. To stay informed about these disruptive trends and how they’re shaping the future of the media industry, subscribe to Connecting the Dots, our monthly e-newsletter. Stay ahead of the curve, stay inspired, and lead the change in your industry.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

The food and beverage industry, a cornerstone of everyday life, is undergoing rapid transformation as it adapts to shifting consumer demands and global challenges. As consumers become more health-conscious, sustainability-driven, and focused on convenience, the industry is being forced to innovate and meet these evolving expectations. In a world where wellness, sustainability, and speed are increasingly valued, the food and beverage sector is embracing new solutions to stay competitive.

In this blog, we will explore four key trends that are set to disrupt the food and beverage industry in 2025: the rise of plant-based and alternative proteins, the growing popularity of functional foods, the push for sustainable packaging and practices, and the integration of technology to deliver hyper-convenience. Each of these trends is not just a response to consumer demand but a reflection of broader societal shifts toward sustainability, health, and efficiency.

Trend 1: Plant-Based and Alternative Proteins Dominate

Plant-based proteins and lab-grown alternatives are no longer niche products—they are quickly becoming mainstream. In 2025, these protein sources are expected to dominate the food and beverage industry as consumers increasingly prioritize sustainability, animal welfare, and health benefits. With growing awareness of the environmental impact of animal agriculture, plant-based and lab-grown proteins offer an appealing alternative for consumers who seek ethical and health-conscious food options.

This shift will disrupt the industry by forcing traditional meat and dairy producers to innovate or risk losing market share to plant-based and lab-grown protein startups. The rise of alternative proteins will create opportunities for these startups to scale their operations and introduce more innovative protein solutions to the market. Additionally, supply chains will need to adapt to accommodate new ingredients, production methods, and distribution models, requiring major changes in how food is produced and delivered.

As these alternative proteins continue to evolve, they will reshape the global food system, influencing everything from agriculture to manufacturing processes and consumer behavior.

Case Study: V2food’s Plant-Based Meat Revolution in Australia

V2food, an Australian company founded in 2019, specializes in plant-based meat alternatives made from Australian-grown ingredients. Their mission is to create a sustainable version of meat to help feed the world’s rapidly growing population.

The company offers a range of products, including burgers, mince, sausages, schnitzels, and ready meals, all designed to provide the same protein as beef. V2food’s products are available at hundreds of outlets across Australia, including major retailers like Woolworths and Coles.

In 2020, V2food launched ready-made meals in Woolworths stores nationwide, furthering its product innovation and making plant-based eating more accessible. The company emphasizes affordability to ensure mass-market appeal, aiming to make plant-based options accessible to a wide audience.

V2food’s commitment to sustainability and innovation positions it as a leader in the plant-based meat sector, catering to the growing demand for ethical and health-conscious food choices.

Research-brief

Trend 2: Functional Foods for Wellness

Functional foods, designed to support specific health goals such as improving gut health, boosting immunity, and enhancing mental well-being, are becoming increasingly popular in the food and beverage industry. Consumers are more health-conscious than ever, looking for products that not only nourish but also offer specific benefits, such as stress relief, cognitive function, or digestive health. Ingredients like probiotics, adaptogens, and nootropics are gaining traction in packaged foods and beverages, transforming everyday food choices into tools for holistic health.

This trend is set to disrupt the industry by increasing the demand for scientifically backed health claims in product marketing. As consumers seek more than just nourishment from their food, there is pressure on companies to provide clear, credible evidence that their products deliver on their promises. Furthermore, this growing focus on wellness is encouraging closer collaboration between food producers and the healthcare sector, blending nutrition with science to create better consumer experiences.

For brands, these products appeal to a market segment that values preventative health and well-being, representing a significant growth opportunity for brands that can deliver innovative, health-promoting solutions.

Case Study: OLIPOP’s Innovative Approach to Functional Beverages

OLIPOP, founded in 2018 by Ben Goodwin and David Lester, is an American beverage company specializing in prebiotic sodas designed to support digestive health. These beverages combine traditional herbal remedies with modern science to create functional drinks that promote gut health. Each 12-ounce can contains 9 grams of dietary fiber and 2 to 5 grams of sugar, offering a healthier alternative to traditional sodas.

The brand has experienced significant growth, with sales exceeding $200 million in 2023. OLIPOP is now available in over 25,000 stores across the United States, including major retailers like Target and Costco.

The company offers a variety of flavors, including Vintage Cola, Root Beer, and Peaches & Cream, catering to diverse consumer preferences.

OLIPOP’s success highlights a growing consumer interest in functional beverages that support health and wellness. By combining the familiar taste of soda with beneficial ingredients, OLIPOP has tapped into a market seeking healthier alternatives without sacrificing flavor. The brand’s rapid expansion and popularity underscore the potential for innovation in the beverage industry, particularly in the functional food sector.

Trend 3: Sustainable Packaging and Practices

Eco-conscious consumers are increasingly demanding that brands adopt sustainable packaging and reduce food waste, driving a significant shift across industries. Compostable materials, reusable containers, and carbon-neutral supply chains are becoming essential elements of responsible business practices. As environmental concerns continue to rise, businesses in the food and beverage industry must rethink how they design, package, and distribute their products to align with sustainability goals.

This trend will disrupt the market by adding pressure on brands to invest in sustainable innovations. Companies that fail to meet the growing consumer demand for eco-friendly products risk losing market share to competitors who prioritize sustainability. The rise of eco-conscious purchasing decisions is causing brands to rethink their packaging strategies, encouraging the use of materials that are both environmentally friendly and cost-efficient. However, balancing cost with environmental responsibility presents new challenges. 

As sustainability becomes a key differentiator, brands must navigate these complexities while maintaining profitability and responding to consumer demands for both sustainability and value.

Case Study: UpCircle’s Sustainable Skincare Revolution

UpCircle, founded in 2016 in the United Kingdom, is a pioneering skincare brand committed to sustainability and environmental responsibility. The company specializes in repurposing natural by-products from various industries, such as coffee grounds, apricot stones, and date seeds, transforming them into high-quality skincare products. This innovative approach not only reduces waste but also offers consumers effective, eco-friendly beauty solutions.

The brand’s dedication to sustainability extends beyond product formulation. UpCircle utilizes 100% recyclable packaging, primarily made from glass and aluminum, minimizing plastic use. They have implemented a “Return, Refill, Reuse” scheme, encouraging customers to return empty containers for refilling, thereby reducing packaging waste. Additionally, UpCircle is a certified Plastic Negative brand, meaning they remove more ocean-bound plastic than their packaging uses.

UpCircle’s innovative approach has garnered recognition in the beauty industry. Their products have been featured in various beauty reviews, highlighting their effectiveness and commitment to sustainability. For instance, a recent review praised UpCircle’s Cleansing Face Balm and Face Serum for improving skin texture and appearance, noting the brand’s dedication to using repurposed ingredients and recyclable packaging.

By integrating sustainability into every aspect of their business model—from ingredient sourcing to packaging and customer engagement—UpCircle sets a benchmark for eco-conscious beauty brands. Their holistic approach demonstrates that environmental responsibility and product efficacy can coexist, offering consumers a compelling choice in the skincare market.

dining-personas

Trend 4: Hyper-Convenience with Tech Integration

The growing demand for convenience is reshaping the food industry as technology continues to integrate into food delivery, meal kits, and retail experiences. AI-driven platforms, robotics, and automation are revolutionizing how consumers access, order, and prepare food. From smart refrigerators and voice-activated ordering to automated kitchens and delivery drones, technology is enabling faster, more personalized food experiences. Consumers now expect their meals to be prepared and delivered quickly, often with tailored options that match their tastes, dietary preferences, and schedules.

This trend will disrupt the industry by increasing competition for traditional food retailers, who must adapt to tech-enabled startups that offer convenience and efficiency. As automated systems and personalized experiences redefine the dining and shopping experience, restaurants and food retailers will need to invest in advanced infrastructure to meet growing expectations for speed, convenience, and customization. 

The shift toward hyper-convenience also creates opportunities for innovation in meal delivery and grocery shopping, setting the stage for future advancements in the food tech space.

Case Study: Kiwi Campus – Revolutionizing Food Delivery with Autonomous Robots

Kiwi Campus, a tech startup based in the United States, is transforming the food delivery industry by using autonomous robots to provide efficient, contactless service on university campuses. The company’s Kiwibots are designed to navigate sidewalks and streets, delivering food directly to students, faculty, and staff. This innovative approach not only reduces the need for human delivery drivers but also offers a sustainable, fast, and cost-effective solution for last-mile delivery.

Kiwi Campus’s autonomous robots are equipped with advanced AI and navigation systems that enable them to identify obstacles, find optimal delivery routes, and safely deliver food to customers. The company operates primarily in university settings, where the dense population and high demand for food delivery make it an ideal environment for robots.

Through its integration of AI-driven robots, Kiwi Campus has successfully enhanced the food delivery experience by offering a seamless, efficient, and environmentally friendly alternative to traditional methods. The company has expanded from its initial pilot program at UC Berkeley to other campuses, demonstrating the potential for robotics in revolutionizing urban delivery systems.

By leveraging cutting-edge technology, Kiwi Campus exemplifies how automation and AI can disrupt traditional industries, offering a glimpse into the future of food delivery services.

Final Thoughts

The food and beverage industry is being reshaped by evolving consumer values and rapid technological advancements. Trends such as plant-based proteins, functional foods, sustainable packaging, and hyper-convenience are redefining consumer expectations, emphasizing health, sustainability, and convenience. These shifts demand that brands remain agile and innovative to capitalize on new opportunities while adapting to market disruptions. The ability to innovate and stay ahead of these changes is crucial for businesses aiming to succeed in an increasingly competitive landscape.

For more insights into the latest trends and strategies shaping the future of the food and beverage industry, subscribe to Connecting the Dots, our monthly e-newsletter. Stay informed, stay inspired, and lead the change in your industry.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

The financial services industry, long regarded as conservative and slow to change, is now at the forefront of some of the most significant technological and societal shifts of the 21st century. As the pace of innovation accelerates, financial institutions are being forced to rethink their models and adapt to the evolving landscape. From the rise of decentralized finance to the integration of artificial intelligence in personal finance, the way consumers and businesses interact with money is undergoing a dramatic transformation.

In this blog, we will explore four key trends poised to disrupt the financial services sector in 2025: Decentralized Finance (DeFi) going mainstream, AI-driven personal finance management, the rise of green finance and ESG investing, and the growth of embedded finance. These trends are reshaping the future of finance, and businesses must embrace innovation to remain competitive in an increasingly digital and customer-centric market.

Trend 1: Decentralized Finance (DeFi) Goes Mainstream

Decentralized finance (DeFi) is no longer just a niche sector for cryptocurrency enthusiasts. By 2025, DeFi platforms are expected to move into the mainstream, offering a full suite of financial services that challenge traditional financial institutions. These platforms leverage blockchain technology to provide peer-to-peer lending, decentralized exchanges, and blockchain-based asset management, allowing consumers to manage their finances without the need for intermediaries such as banks.

This shift to DeFi will disrupt the financial services industry by reducing reliance on centralized financial institutions, giving consumers more control over their financial decisions. With blockchain’s inherent transparency and security, DeFi offers greater accessibility to financial services for individuals who may not have access to traditional banking. This democratization of finance is making it easier for consumers to participate in financial markets and gain access to investment opportunities.

For traditional financial institutions, DeFi represents both a challenge and an opportunity. Banks and financial firms will be forced to innovate or risk being left behind. In some cases, this may mean partnering with DeFi platforms to offer new services or integrating blockchain technologies into their operations. 

The rise of DeFi is not just about competing with traditional finance; it’s about creating new ways for consumers to engage with and control their financial futures. As the DeFi ecosystem grows, it will continue to reshape the landscape of global finance.

Case Study: Cake DeFi – Empowering Users with Decentralized Finance Solutions

Cake DeFi, a Singapore-based fintech platform, is at the forefront of integrating decentralized finance (DeFi) with user-friendly solutions. The platform enables users to access a wide range of DeFi services, such as staking, liquidity mining, and lending, allowing them to generate returns from their crypto and digital assets.

Cake DeFi’s commitment to transparency and innovation is evident in its platform design, which offers easy access to DeFi applications while ensuring users understand the risks and rewards involved. The company has focused on building trust by providing a clear, accessible, and secure environment for users to engage with DeFi, helping to bridge the gap between traditional finance and the rapidly evolving world of decentralized finance.

This case study is an excellent example of how DeFi platforms are simplifying complex financial processes for consumers, making decentralized finance more accessible and mainstream. By offering transparent, easy-to-use services, Cake DeFi is contributing to the growing adoption of DeFi and demonstrating the future potential of decentralized financial ecosystems.

Trend 2: AI-Driven Personal Finance Management

Artificial intelligence is reshaping personal finance by offering hyper-personalized advice, automated budgeting, and predictive financial planning, making it easier for consumers to manage their money with precision. AI-powered apps analyze vast amounts of data, including spending habits, income, and financial goals, to offer tailored recommendations that empower individuals to make smarter financial decisions. These apps can help users track expenses, save automatically, and even invest based on their risk tolerance and long-term objectives.

The rise of AI in personal finance management threatens traditional financial advisors by providing cost-effective, scalable alternatives. Consumers no longer need to rely on expensive advisory services when AI can offer real-time, personalized guidance at a fraction of the cost. This shift is pushing financial institutions to adopt AI-driven solutions, integrating machine learning algorithms into their service offerings to stay competitive and meet customer expectations.

As AI continues to evolve, it will not only improve the quality of financial advice but also democratize access to financial planning tools, making them available to a broader range of consumers. 

For financial institutions, embracing AI will be crucial to maintaining customer satisfaction and positioning themselves as leaders in an increasingly tech-driven financial landscape.

Case Study: Trim – Revolutionizing Personal Finance with AI

Trim, an AI-driven personal finance tool based in the United States, assists users in managing their finances by identifying and eliminating unnecessary expenses. By analyzing spending patterns, Trim detects recurring charges such as subscriptions and negotiates bills on behalf of users, aiming to reduce monthly expenditures. This approach empowers consumers to make informed financial decisions and achieve their financial goals more efficiently.

Trim’s integration of artificial intelligence enables it to function as a virtual financial assistant, offering personalized recommendations and automating tasks like subscription cancellations and bill negotiations. This not only saves users time but also enhances their financial well-being by ensuring they are not overspending on services they no longer use.

By leveraging AI, Trim exemplifies how technology can transform personal finance management, providing users with tools to optimize their spending and savings. Its innovative approach serves as a model for integrating AI into financial services, offering valuable insights into the future of personal finance management.

Trend 3: Green Finance and ESG Investing

Environmental, Social, and Governance (ESG) investing is rapidly reshaping capital allocation in the financial services industry. As consumers and investors increasingly prioritize sustainability and ethical practices, financial institutions are responding by launching green bonds, sustainable exchange-traded funds (ETFs), and ESG-focused investment funds to meet this rising demand. ESG investing goes beyond financial returns, encouraging investments that align with socially responsible practices and contribute to positive environmental and social outcomes.

This shift toward green finance is attracting a new generation of socially conscious investors, who are more inclined to support companies that prioritize sustainability. As demand for ESG investment options grows, financial institutions are increasingly being pressured to offer these products and services, as they align with evolving customer expectations. Companies that want access to capital will need to demonstrate that they are adhering to sustainable and ethical practices, further embedding ESG principles into corporate decision-making.

For financial services firms, this trend represents both a challenge and an opportunity. To remain competitive, they must reallocate resources toward ESG compliance, develop innovative sustainable products, and adapt to a new investment paradigm. 

As ESG investing becomes the standard, financial institutions that fail to embrace these changes may find themselves out of step with market demands and regulatory trends.

Case Study: HSBC Green Bonds – Leading the Charge in Sustainable Finance

HSBC has positioned itself as a leader in the green finance space by issuing green bonds to fund sustainable projects, including renewable energy initiatives and eco-friendly infrastructure. The bank has committed to a $10 billion sustainable bond issuance by 2025, underlining the growing importance of green bonds in capital allocation.

These green bonds are part of HSBC’s strategy to address investors’ increasing demand for socially responsible investment options. By funding environmentally impactful projects, HSBC is not only driving sustainability but also demonstrating how financial institutions can generate positive social and environmental returns while maintaining financial profitability.

HSBC’s green bonds are a prime example of how large financial institutions are integrating ESG principles into their financing operations. This case study highlights how green bonds provide a practical and scalable solution for funding sustainable development, making them a crucial tool in the broader movement toward sustainable finance.

fintech report

Trend 4: The Growth of Embedded Finance

Embedded finance is revolutionizing the financial services landscape by blurring the lines between traditional financial products and other industries. Companies across sectors, from e-commerce to technology, are increasingly integrating financial services—such as payments, lending, and insurance—directly into their platforms. This seamless integration creates a more convenient and frictionless customer experience, allowing consumers to access financial products without leaving the platforms they already use.

By embedding financial services into their offerings, non-financial companies are not only enhancing their customer experience but also increasing competition within the financial sector. These businesses are no longer limited to selling products in their primary domain; they can now provide financial solutions alongside goods and services. This shift is disrupting the traditional financial ecosystem, compelling established financial institutions to innovate and rethink how they deliver their products and services.

The rapid growth of embedded finance is forcing traditional financial institutions to adapt their distribution strategies. Rather than relying solely on physical branches or traditional banking products, financial services companies must now find new ways to integrate their offerings into the digital platforms where consumers are already engaging. 

Embedded finance is not just transforming the way consumers access financial services—it’s reshaping the very nature of the financial services industry itself.

Case Study: eBay’s “Capital for eBay Business Sellers”
eBay partnered with YouLend to launch “Capital for eBay Business Sellers,” offering financing options directly to its business sellers. This integration allows sellers to access capital without leaving the eBay platform, streamlining their operations and enhancing their growth potential.

By embedding financing solutions into its platform, eBay provides its sellers with quick and flexible access to funds, enabling them to invest in inventory, marketing, and other growth initiatives. This approach not only supports the growth of individual businesses but also strengthens eBay’s value proposition as a comprehensive platform for entrepreneurs.

This case study exemplifies how embedded finance can enhance the value proposition of e-commerce platforms by offering seamless financial services that meet the immediate needs of business customers.

Final Thoughts

The trends shaping the future of the financial services industry—Decentralized Finance, AI-driven personal finance management, Green Finance and ESG investing, and Embedded Finance—are not just shifts but a fundamental redefinition of the landscape. These developments are reshaping how financial services are delivered, with technology and consumer demand at the forefront of driving this transformation.

For financial institutions to stay competitive, embracing innovation, agility, and customer-centric strategies will be crucial. Adapting to these changes will enable businesses to remain ahead of the curve and capitalize on new opportunities presented by these disruptions.For more insights into the latest trends and strategies shaping the future of the financial services industry, subscribe to Connecting the Dots, our monthly e-newsletter. Stay informed, stay inspired, and lead the change in your industry.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

As online commerce in Japan grows and consumer expectations peak, the way e-commerce brands approach delivery services has never been more critical. By navigating a blend of convenience, environmental consciousness, and economic pressures, Japanese consumers are redefining what they want from delivery. 

Recently, our sister company, Cross Marketing Inc., conducted a comprehensive “Survey on Home Delivery” across all 47 prefectures of Japan. Targeting 2,500 men and women aged 20 to 69, the survey revealed detailed insights into the current landscape of delivery services, encompassing usage patterns, preferred receiving methods, redelivery prevention strategies, common complaints, and reasons for using these services. This data is invaluable for brands looking to optimize their delivery offerings to meet the shifting demands of Japanese consumers.

The survey findings provide direct data and broader market implications for brands, including the need for convenient, flexible, and environmentally responsible delivery solutions. 

Japan’s aging population, growing e-commerce sector, and evolving post-pandemic behaviors all play a critical role in shaping these expectations. 

Changing Delivery Preferences and the Impact of Broader Trends

The survey’s findings offer a window into the complex motivations and pain points Japanese consumers experience with delivery services. Here are the key findings and insights from the study.

  • Decline in Delivery Service Usage Post-Pandemic

According to the survey, only 38% of respondents reported using a delivery service within the last three months — a notable 10-point decline since 2022. The decline in delivery usage post-pandemic suggests that Japanese consumers are shifting back toward in-person shopping, a trend mirrored in other regions as restrictions ease and physical stores reopen. During the pandemic, delivery services were a necessity, and demand spiked due to safety concerns and convenience. However, with more freedom to shop in-store, consumers may now feel less need for delivery services. Cultural factors in Japan, where shopping in person is often associated with quality assurance and customer service, could further contribute to this shift. Shoppers may be seeking the experience of direct product interaction, which e-commerce and delivery lack.

Implication for Brands: To retain customers who may now have more choices between in-person and online shopping, brands should offer additional value through delivery, such as loyalty rewards, tailored options, or enhanced convenience.

  • Preference for Convenient and Secure Receiving Methods

While delivery preferences have diversified, hand-delivery to the home remains dominant, with 79% of respondents choosing this method despite a slight decrease from previous years. When it comes to delivery preferences, it’s clear that people value security and reliability. Approximately 50% of individuals opt for mailbox deliveries, while 28% drop off their packages at designated locations. This trend highlights a growing desire for peace of mind when receiving their items.

Implication for Brands: Brands should continue prioritizing home delivery while offering flexible options, such as secure drop-offs or mailbox deliveries. This aligns with a broader trend toward tailored service experiences that meet consumers’ specific lifestyles.

  • First-Attempt Delivery Success and the Aging Population

Interestingly, the survey unveiled that first-attempt deliveries achieved an impressive 65% success rate, marking a remarkable 7-point increase from 2022. Success rates were higher among older respondents, with those in their 60s experiencing an impressive 79% rate. Japan’s growing aging population likely influences this trend, as seniors spend more time at home.

Japan’s aging population comprises around one-third of its total demographic, as reported by Japan’s Ministry of Internal Affairs and Communications (MIC). With this demographic segment increasing, seniors often have specific delivery needs, such as scheduled delivery times and easy-to-access drop-off locations.

Implication for Brands: Catering to older consumers by providing time-specific deliveries or easy-access delivery options can strengthen customer loyalty among this growing demographic. Clear communication and reliable, first-time delivery can also help brands effectively meet the needs of these customers.

  • Preventing Redelivery through Advanced Notification Systems

The survey found consumers prefer preventive measures to avoid redelivery, with four in ten favoring advance notifications and 37% opting for designated drop-off points if unavailable. Younger respondents in their 20s also preferred “unavailable times” over specific delivery times, indicating a need for flexibility.

Implication for Brands: Incorporating technology to support real-time updates, predictive delivery times, and flexible scheduling could cater to these preferences and reduce the frequency of redelivery.

  • Cost-Sensitivity and Demand for Affordable Delivery Options

In terms of motivations, half the respondents cited online affordability as a key reason for choosing delivery services, with 41% prioritizing free or low-cost shipping. Economic pressures may drive this cost sensitivity as Japanese consumers become increasingly selective.

According to the Ministry of Economy, Trade and Industry (METI), Japan’s e-commerce sector has grown 6% over the past two years, leading to higher expectations for efficient and cost-effective delivery options. This trend reflects consumer demand for affordable, reliable online shopping.

Implication for Brands: Brands should consider offering free shipping thresholds, bundled shipping discounts, or subscription models to meet cost-conscious consumer expectations. Clear communication around shipping fees can also build trust and reduce the likelihood of abandoned carts.

  • Sustainability Concerns and Consumer Expectations for Eco-Friendly Practices

Complaints about excessive packaging show that sustainability is crucial for Japanese consumers. Many respondents expressed frustration with oversized packaging and issues related to waste and environmental impact.

Implication for Brands: Implementing eco-friendly packaging solutions and minimalistic designs that reduce waste can appeal to the environmentally-conscious Japanese consumer. Highlighting these efforts in marketing communications can strengthen brand reputation and increase appeal.

Case Study: Yamato Transport – Flexible Delivery and Redelivery Reduction

Image Source: Channel X

Approach

Yamato Transport, one of Japan’s largest logistics companies, introduced the “Kuroneko Members” service, enabling customers to customize delivery times, select drop-off locations, and access open lockers. This level of flexibility aligns closely with consumer preferences for convenience and transparency.

Sustainability Initiatives

Yamato has also committed to eco-friendly measures by reducing packaging materials and increasing reusable packaging options, directly addressing environmental concerns and consumer expectations.

Outcomes

The flexibility of the “Kuroneko Members” service has been well-received, reducing redelivery rates and increasing customer satisfaction. Yamato’s annual reports indicate that these innovations have also contributed to a more efficient operational model, reducing logistical strain and enhancing customer loyalty.

Strategic Recommendations for Optimizing Delivery Services

Here are actionable strategies for brands seeking to align their delivery services with evolving consumer demands.

  • Embrace Flexibility and Real-Time Communication

Implementing flexible delivery options, such as selectable time slots and drop-off locations, can enhance convenience. Real-time tracking and notifications are essential for transparency and meeting consumer expectations.

Example: Brands can follow Yamato’s model of providing customizable delivery windows and tracking updates, allowing customers to manage deliveries easily.

  • Offer Affordable Delivery through Subscription Models

For cost-sensitive consumers, consider subscription models, bulk shipping discounts, or free shipping thresholds. These options not only increase affordability but also encourage larger purchases.

Example: ZOZO’s loyalty programs and cost-saving measures attract repeat customers, providing an affordable yet reliable delivery experience.

  • Adopt Sustainable Packaging and Logistics

Reduce waste and enhance brand perception by adopting minimal packaging and eco-friendly materials. Promoting these efforts to consumers can improve brand reputation.

Example: Using recyclable packaging, ZOZO aligns with sustainability values, resonating with consumers who prioritize eco-friendly practices.

  • Tailor Delivery Services for an Aging Population

As Japan’s population ages, delivery solutions that cater to older adults are crucial. Time-specific deliveries and secure drop-offs can improve accessibility and satisfaction for senior consumers.

Example: Sagawa Express’s focus on rural and senior-friendly deliveries provides a model for brands aiming to effectively serve Japan’s older demographic.

  • Leverage Feedback for Continuous Improvement

Implement post-delivery feedback mechanisms to capture consumer insights and refine delivery strategies. This approach allows for data-driven improvements.

Example: Brands can adopt feedback systems similar to Yamato’s, enabling adjustments based on real-time consumer needs.

Case Study: ZOZO – Eco-Friendly and Customized Delivery

Image Source: Janbox

Approach

ZOZO, Japan’s leading online fashion retailer, has integrated flexibility and sustainability into its logistics. ZOZO, Inc. operates online shopping sites. The Company sells apparel, garment accessories, bags, tableware, magazines, and other products. Customers can choose specific delivery times and receive pre-delivery notifications to fit their schedules, aligning with consumer preferences for convenience and transparency.

Sustainability Focus

ZOZO has prioritized eco-friendly practices by minimizing packaging waste and utilizing recyclable materials. This appeals to Japan’s environmentally conscious consumers and sets a standard for sustainable delivery practices in the industry.

Outcomes

This approach has enhanced customer loyalty and satisfaction, as reflected in positive consumer feedback. ZOZO’s sustainability reports highlight these efforts, demonstrating the brand’s commitment to customer experience and environmental responsibility.

Case Study: Sagawa Express – Rural Outreach and Last-Mile Solutions

Image Source: Sagawa

Approach:

Sagawa Express acts as the sender for the packages entrusted to it by customers. They deliver these packages to the post office, where they are dispatched to destinations in over 120 countries and regions worldwide through the EMS (Express Mail Service) delivery network.

Sagawa Express has focused on improving delivery services for rural and remote areas, where logistics can be challenging. Sagawa has enhanced last-mile delivery by investing in partnerships with local providers, making it more accessible for Japan’s rural residents, particularly the aging population.

Results

Sagawa’s efforts to support rural and senior-friendly delivery solutions have been met with positive feedback. By improving access to delivery in these areas, Sagawa has strengthened its customer satisfaction and reduced service complaints in less accessible regions, as documented in their annual reports.

Embracing Consumer-Centric Delivery for Long-Term Success

Our survey underscores the need for Japanese brands to adapt to evolving consumer expectations around flexibility, sustainability, and cost-efficiency. By aligning with these expectations, brands can enhance customer satisfaction, operational efficiency, and long-term market competitiveness. 

Interested in uncovering more consumer insights to refine your brand’s strategy? Contact us for customized market research to help your brand stay ahead of the curve, better understand consumer preferences, and create impactful solutions that resonate with your target audience.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.

In 2024, the world turned to Google not just for answers but for a glimpse into the collective zeitgeist. The search engine’s annual trending report reveals key topics that dominated global attention. From Liam Payne’s reemergence in pop culture to the aesthetic allure of “Coastal Granddaughter” lifestyles, the year’s top searches reveal more than fleeting curiosities—they’re a barometer for consumer desires, anxieties, and cultural touchpoints.

Consider this: According to Google Trends, searches for “Coastal Granddaughter” spiked by 320% globally in the second half of 2024, coinciding with a broader cultural embrace of slow living and minimalist aesthetics popularized on platforms like TikTok and Instagram. Meanwhile, celebrity names dominated the charts, with Liam Payne topping entertainment searches, reflecting a wave of millennial nostalgia for the early 2010s boyband era.

“We’re seeing a clear fusion of nostalgia and aspiration,” says Sarah Thompson, a digital culture analyst at TrendLab. “Consumers are not just revisiting the past; they’re reshaping it to align with modern values like mindfulness and individuality.” This interplay between the past and present underscores a larger trend in consumer behavior—one that marketers, product developers, and cultural commentators should not overlook.

But it’s not all about aesthetics and nostalgia. Searches for “AI fitness coach” and “mental health support apps” also surged, reflecting growing consumer interest in self-optimization through technology. In a year where artificial intelligence became ubiquitous, consumers sought practical ways to integrate these tools into their lives, driving a 150% year-over-year increase in searches for AI-related personal wellness solutions.

As we unpack these trends, it’s clear that 2024 was a year of looking inward and outward—balancing self-improvement with a longing for simpler, more familiar times. This interplay offers a rich field of insights for understanding the priorities and emotions driving consumer behavior in an increasingly complex world.

The Year in Searches: A Snapshot

Google’s 2024 trending searches paint a vivid picture of what captured the world’s attention this year, with three themes standing out: celebrity culture, aspirational aesthetics, and the intersection of technology and self-improvement. Each category offers a unique lens into the year’s defining societal events and cultural moments.

Celebrity Culture: Nostalgia Meets Revival

From Liam Payne’s resurgence to Beyoncé’s record-breaking “Renaissance Tour,” celebrity names dominated search queries. Payne’s return to the spotlight, particularly after his health revelations and viral moments on social media, drove his name to the top of the entertainment category. Searches for “Liam Payne recovery” and “One Direction reunion rumors” surged by 270% in the weeks following his heartfelt interviews, underscoring the enduring pull of millennial-era pop icons.

Beyoncé’s Renaissance Tour sparked widespread digital engagement, with ‘Beyoncé tour dates’ among the most-searched phrases globally. Live Nation reported a 22% increase in concert ticket sales compared to 2023, a statistic mirrored in the search data.

Aspirational Aesthetics: From Coastal Granddaughter to Cottagecore 2.0

The phrase “Coastal Granddaughter” encapsulated the year’s fixation with aspirational living, leading to a 320% spike in global searches. The aesthetic, characterized by linen dresses, muted tones, and breezy seaside settings, gained traction on TikTok and Instagram, particularly among Gen Z and millennials. Its popularity can be tied to larger cultural movements emphasizing simplicity, mindfulness, and the escapism of a slower-paced life—a direct counterbalance to the chaos of modern digital culture.

Other aesthetics like Cottagecore, rebranded with an eco-conscious twist, and the ever-popular Barbiecore also made waves. The latter enjoyed a resurgence thanks to the continued cultural momentum of Greta Gerwig’s Barbie film, with searches for “Barbie outfits” and “Barbie-themed parties” peaking around Halloween.

Technology and Self-Improvement: AI Goes Personal

If 2023 was the year AI went mainstream, 2024 was the year it got personal. Queries like “best AI fitness coach” and “AI personal assistant reviews” reflected a growing reliance on technology for day-to-day improvement. Searches for AI mental health tools doubled year-over-year, fueled by high-profile endorsements from wellness influencers and tech companies pivoting toward health-focused applications. Notably, apps like MindMate and CoachAI experienced a 150% uptick in downloads, according to app analytics firm Sensor Tower.

The rise in AI-driven solutions highlights a pivotal shift: consumers are looking for tools that don’t just inform but actively enhance their lives. In a fast-paced, tech-saturated world, the demand for AI to be a partner in wellness, creativity, and productivity reflects a deeper yearning for balance and control.

Each of these trends—be it the romanticism of past eras, the pursuit of aesthetic perfection, or the integration of AI into personal growth—offers a revealing glimpse into the cultural forces shaping 2024. Together, they form a mosaic of consumer aspirations and anxieties, one that brands and analysts alike should study closely.

Decoding Consumer Behavior

Each trending search in 2024 reflects a deeper insight into consumer values, aspirations, and anxieties. By examining the data more closely, we can uncover the emotional and cultural drivers behind these trends—offering a roadmap for understanding where consumer priorities lie.

1. Liam Payne: Nostalgia for the Early 2010s

The resurgence of Liam Payne as a top-searched celebrity points to a yearning for the simplicity and optimism of the early 2010s. As millennials—many of whom came of age during One Direction’s peak—face the pressures of midlife, this nostalgia for their formative years has manifested in renewed interest in boyband culture. This trend aligns with a broader pattern of pop culture revivals, seen also in the resurgence of early 2000s fashion trends like cargo pants and butterfly clips.

2. Coastal Granddaughter: Aesthetic Minimalism Takes Center Stage

The rise of ‘Coastal Granddaughter’ reflects a broader shift toward simplicity and aspirational minimalism. The aesthetic’s muted colors, airy linens, and tranquil imagery symbolize an escape from the frenetic pace of digital life. It also suggests a growing appreciation for aspirational but attainable lifestyles—ones that blend minimalism with a touch of indulgence. Brands tapping into this trend, such as lifestyle influencers and boutique fashion labels, have seen a measurable boost in engagement, with TikTok videos tagged #CoastalGranddaughter garnering over 1 billion views in 2024.

3. AI Fitness and Wellness Tools: A Desire for Efficiency

Searches for “AI fitness coach” and “mental health apps” underscore a practical consumer desire: the ability to improve well-being through technology. These tools not only offer convenience but also provide the personalized insights consumers increasingly expect. The surge in such searches suggests that people are seeking efficiency in their self-improvement journeys, mirroring a larger societal emphasis on productivity—even in personal health.

4. Barbiecore: The Intersection of Fun and Feminism

The continued momentum of Barbiecore speaks to a layered cultural narrative. On the surface, it’s about vibrant colors and nostalgia, fueled by the success of Greta Gerwig’s Barbie. But it also reflects a deeper societal conversation about femininity, empowerment, and the reclaiming of traditionally “girly” aesthetics. Search data shows spikes in queries related to Barbie-themed events, with a significant portion coming from millennials and Gen Z women, illustrating how the trend resonates across generations.

5. Climate-Conscious Aesthetics: Cottagecore Evolves

With “eco-Cottagecore” becoming a trending phrase, consumers are blending aesthetic preferences with environmental consciousness. This evolution of Cottagecore emphasizes sustainable practices, from upcycled fashion to eco-friendly home decor. It highlights a shift in values where consumers want their lifestyle choices to reflect their ethical beliefs—an expectation increasingly directed at brands as well.

6. Wellness Through Nature: Forest Bathing and Outdoor Retreats

Searches for “forest bathing benefits” and “nature retreats near me” saw a 180% increase, signaling a rising interest in wellness practices tied to the outdoors. This trend reflects anxiety about over-reliance on technology and a desire to reconnect with the physical world. It also mirrors the broader cultural interest in mindfulness, creating opportunities for brands in travel, wellness, and even tech to innovate with nature-focused experiences.

7. Live Experiences: The Beyoncé Effect

The massive search volume for “Beyoncé tour dates” highlights a strong consumer desire for in-person experiences, even as digital entertainment options proliferate. The record-breaking attendance for her Renaissance Tour is emblematic of a broader trend: people seeking moments of collective joy and escapism in a world still recovering from the isolation of the pandemic.

From nostalgia to sustainability, the top search trends of 2024 reveal a complex but cohesive narrative: consumers are seeking balance—between the past and the present, between convenience and mindfulness, and between digital tools and real-world connections. These insights not only explain the year’s cultural fascinations but also offer brands a roadmap for meeting consumers where they are.

Trends Shaping Industries

The top Google searches of 2024 are more than just curiosities; they serve as leading indicators of industry shifts. From fashion to entertainment to wellness, these searches reveal emerging consumer demands that are already reshaping markets.

Fashion and Beauty: Lifestyle Aesthetics Drive Purchasing Decisions

The meteoric rise of “Coastal Granddaughter” and other aesthetics such as “Barbiecore” has had a measurable impact on the fashion and beauty industries. According to Lyst’s 2024 Fashion Report, searches for linen dresses and oversized cardigans—hallmarks of the Coastal Granddaughter style—increased by 40% year-over-year, driving a surge in demand for minimalist, high-quality wardrobe staples. Brands like Everlane and Reformation, which align with these aesthetic principles, reported double-digit growth in online sales during the third quarter.

Similarly, “Barbiecore” fueled a 22% spike in searches for pink apparel and accessories, with major retailers like Zara and H&M introducing Barbie-inspired collections. The beauty industry has also capitalized on these trends; data from NPD Group shows that pink-toned makeup products saw a 35% increase in sales following the success of Greta Gerwig’s Barbie film.

Entertainment: Nostalgia and Star Power Drive Demand

Consumer search trends have reaffirmed the entertainment industry’s reliance on nostalgia and star power to generate engagement. Google reported that “Liam Payne” was among the top 10 most-searched names in 2024, signaling a revival of interest in early 2010s pop icons. This trend aligns with streaming platforms capitalizing on nostalgia, such as Netflix’s acquisition of early One Direction documentaries, which saw a 15% increase in viewership in November alone.

Meanwhile, Beyoncé’s Renaissance Tour demonstrated the power of live experiences. Ticketmaster’s data revealed a 28% increase in average ticket prices for her shows compared to 2019, reflecting not only the demand for in-person events but also the willingness of consumers to pay for premium, once-in-a-lifetime experiences.

Wellness: Technology Meets Self-Care

The wellness industry continues to adapt to growing consumer interest in mental health and fitness technologies. Searches for “AI fitness coach” and “mental health support apps” increased by 150% and 90%, respectively, according to Google Trends. Companies like Peloton and Calm have benefited from this surge, with Peloton reporting a 25% uptick in subscriptions tied to its AI-integrated training programs.

At the same time, the demand for personalized nutrition solutions has reshaped the diet industry. Searches for “DNA-based diets” and “customized meal plans” jumped by 70% compared to 2023, indicating a shift toward bespoke health solutions. This trend aligns with data from MarketWatch, which predicts the personalized wellness market will exceed $9 billion by 2025.

Convergence Across Industries

What’s striking about these trends is how they often intersect. The Coastal Granddaughter aesthetic, for example, not only influences fashion but also wellness, with consumers searching for “beachside yoga retreats” and “mindful coastal living.” Similarly, the resurgence of nostalgic entertainment has driven increased sales in merchandise, from concert memorabilia to limited-edition collectibles.

These trends underscore a broader consumer desire for experiences and products that feel personal, meaningful, and rooted in larger cultural narratives. For businesses, the message is clear: the key to staying relevant lies in understanding not just what consumers are searching for but why those searches matter.

What This Means for Brands

For businesses, the 2024 search trends are more than a summary of consumer curiosities—they’re a playbook for anticipating and meeting evolving demands. Leveraging search data isn’t just about understanding what consumers want today; it’s about predicting what they’ll desire tomorrow and adapting accordingly.

Leveraging Search Data for Consumer Alignment

Search data provides a direct line to consumer interests, values, and behaviors. Brands that monitor these trends can develop marketing campaigns and products that resonate with real-time needs. For instance, fashion brands that embraced the “Coastal Granddaughter” aesthetic early on reaped significant rewards. Searches for linen trousers and oversized sweaters rose by 320%, signaling a shift in consumer demand for minimalist designs.

Similarly, the surge in queries for AI wellness tools highlights a ripe opportunity for tech and wellness companies to collaborate on user-centric solutions. Companies like Calm, which incorporated AI-driven sleep coaching tools, have already capitalized on this demand, achieving a 22% growth in app downloads this year.

Staying Attuned to Micro-Trends

While macro-trends like nostalgia and sustainability provide a broad framework, the real value lies in tapping into micro-trends—specific niches that are gaining traction within larger movements. Consider the evolution of Cottagecore into eco-Cottagecore. This micro-trend combines aesthetic appeal with sustainability, signaling a dual priority for consumers: lifestyle and ethical responsibility.

By acting on these smaller but significant shifts, brands can position themselves as pioneers in emerging markets. For example, home decor companies that introduced upcycled furniture styled in eco-Cottagecore designs saw a 30% increase in sales on platforms like Etsy and Wayfair.

Agility in Marketing and Product Development

Search trends also emphasize the need for businesses to remain agile. Consumer interests evolve quickly, and brands that fail to keep up risk losing relevance. For example, in entertainment, the resurgence of Liam Payne as a search trend wasn’t just about his fame; it reflected a broader millennial desire for nostalgia. Streaming platforms that immediately highlighted content related to Payne, like old One Direction concerts or documentaries, gained significant traction compared to competitors who were slower to adapt.

Agility also extends to marketing strategies. Real-time monitoring of search trends allows marketers to craft campaigns that meet consumers where they are. Social media platforms, particularly TikTok, have become hotspots for leveraging trending aesthetics and concepts like Barbiecore. Brands that incorporated these trends in their advertising campaigns reported engagement rates that were 50% higher than standard industry benchmarks.

A Competitive Edge Through Data-Driven Insights

Ultimately, search trends offer brands a way to stay ahead of the curve, but the key is actionable insight. It’s not enough to know that consumers are searching for “mental health apps” or “AI fitness tools.” The next step is understanding the why behind the search—what emotional or practical need the consumer is trying to fulfill—and aligning your offerings accordingly.

In a rapidly evolving marketplace, the brands that succeed will be those that not only track consumer behavior but also adapt their strategies and innovations in real-time. Search trends are no longer just data points—they’re a direct reflection of the consumer psyche, and for savvy businesses, they’re a roadmap to staying relevant.

The Bigger Picture: Human Curiosity in the Digital Age

Search behavior in 2024 offers a unique lens through which to view the complexities of modern society. At its core, these trends reveal an enduring truth about human nature: our unrelenting curiosity and desire for connection. From the nostalgic resurgence of Liam Payne to the tech-driven pursuit of personalized wellness, the intersection of past and future defines how we navigate an increasingly digital world.

The Fusion of Nostalgia and Innovation

This year’s top searches reflect a striking balance between looking back and moving forward. The popularity of searches tied to early 2010s icons like One Direction signals a collective longing for a simpler time—a yearning amplified by the uncertainty of recent years. Yet, this nostalgia is being reshaped by innovation. Platforms like Spotify and YouTube have not only made revisiting these moments effortless but have also introduced new layers of interactivity, from curated playlists to AR-enhanced concert experiences.

In the same vein, trends like Barbiecore and Coastal Granddaughter aren’t just about reliving the past; they represent a reimagining of it. These aesthetics are elevated by modern narratives around empowerment, sustainability, and mindfulness. Nostalgia may fuel the initial spark, but innovation ensures its relevance to today’s consumers.

Individuality in a Collective Context

Another defining characteristic of 2024’s search trends is the blend of individuality with collective experiences. The surge in searches for AI fitness tools and mental health apps reflects a deeply personal journey toward self-improvement, yet these tools are shared widely within digital communities. TikTok challenges centered around these technologies or lifestyle trends exemplify how deeply individual pursuits often become collective movements.

Even entertainment choices, such as the overwhelming demand for Beyoncé’s Renaissance Tour, reflect this duality. While each attendee may connect with the music in their own way, the act of participating in a global cultural moment ties them to a broader community. It’s a reminder that even in an age of hyper-personalization, humans still seek shared experiences that transcend borders.

The Role of Digital Ecosystems

Search trends emphasize how digital platforms influence both consumer behavior and cultural identity. Whether it’s the rise of eco-Cottagecore or the embrace of AI wellness tools, platforms like Instagram, TikTok, and Reddit serve as incubators for these movements. Algorithms surface trends, while users refine and amplify them, creating a feedback loop that drives societal shifts at unprecedented speed.

This dynamic has made search data a powerful tool—not just for marketers and brands, but for sociologists and futurists attempting to understand where society is headed. Each search is a tiny piece of a larger puzzle, reflecting how individuals make sense of an increasingly complex world.

Curiosity as a Constant

At its heart, the data reveals something timeless: humans are, above all else, curious. Whether we’re searching for practical solutions, exploring our identity, or reconnecting with the past, the act of searching is a reflection of our desire to learn, adapt, and connect. In 2024, that curiosity has taken on new forms, fueled by technology but grounded in universal emotions.

As we look ahead, it’s clear that search behavior will continue to evolve, offering even deeper insights into how society balances individuality with collective identity, and nostalgia with innovation. For those paying attention, it’s not just a reflection of where we are—it’s a guide to where we’re going.

Beyond the Keywords

The top Google searches of 2024 are more than a curiosity—they’re a window into the evolving cultural zeitgeist. They capture the hopes, fears, and aspirations that define our time, offering insights that go beyond marketing or product development. For anyone seeking to understand society, search trends provide a valuable tool for decoding how people engage with the world around them.

But this data also invites a challenge: to think critically about the searches we conduct and the trends we follow. What does our collective behavior say about us? How do the answers we seek shape the world we live in?

As technology continues to influence every aspect of our lives, understanding search behavior is not just a task for marketers or data analysts—it’s an opportunity for anyone curious about the intersection of culture, innovation, and identity.

Stay ahead

Get regular insights

Keep up to date with the latest insights from our research as well as all our company news in our free monthly newsletter.