Reflecting on recent conversations with clients and ex-colleagues, there seems to be general uneasiness amid ongoing macroeconomic and geopolitical uncertainties. I heard the words ‘practice caution’ often. With 2025 strategic planning on the horizon, consumer brands now find themselves needing to act swiftly and decisively to make calculated strategic bets for the coming year.

Here are a few brand trends to keep an eye on:

1. Rise in Modernization: Brands are rethinking and retooling their customer experience to meet the demands of a modern era. Sale and market share declines have prompted brands like Macy’s, Crate & Barrel, Walmart to announce plans for full refurbishment, proper staffing levels and brand collaborations. Leading with a modern mindset has driven +20% lift on sales YoY, outweighing $1B+ in costs.

2. Shift to channel agnostic approach: Companies are embracing a channel-agnostic approach, prioritizing consistency and seamlessness across all channels. While omnichannel strategies were popular in the past, soaring customer acquisition costs have prompted a reevaluation including a complete digital marketing agency change for a recent client. By delivering relevant information when customers need it most, businesses can create a more engaging experience, and minimize ‘spend waste.’

3. Refocus on brand awareness: Brands anticipate lower performance marketing investment in the next 18-24 months. With increasing channel parity, they're re-visiting traditional channels and increasing brand building efforts. Major players like Ulta and Olaplex are already ramping up brand awareness while smaller brands are doubling down on user-generated content for community engagement. 

4. AI waiting game: No 2025 trends list would be complete without an AI inclusion. I still recall junior team members at a previous brand drafting a hefty 40-page white paper just to introduce executives to AI and the metaverse. Despite remarkable progress including further integration into shopping and in-store experiences, exciting AI applications remain a rarity among consumer brands, and this trend is expected to persist well into 2025. Data infrastructure investment remains low — that will be needed to fully unleash AI's potential.

By embracing these trends and making strategic decisions guided by insights and foresight, brands can position themselves not just to survive, but to thrive in the ever-changing marketplace of tomorrow.