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18 December 2024

2025 Consumer Trends: A New Era Of Engagement And Sustainability

Experts predict transformative changes impacting advertising, energy, travel, and user behavior across industries.

2025 is shaping up to be a turning point across industries, with significant consumer trend predictions already surfacing. From advertising to energy, travel to technology, these anticipated changes highlight the rapid evolution of consumer behavior and expectations, driven by technological advancements and societal shifts.

According to Ogury's Managing Director Southern Europe, Francesca Lerario, "The future of the industry is dynamic and unpredictable, yet stimulating and full of opportunities." This encapsulates the essence of various sectors, particularly advertising which is gearing up for major shifts. Lerario notes the continuous expansion of artificial intelligence tools and the increasing strategic role of retail media, alongside challenges such as Google's choice to allow consumers to opt-in to third-party cookies.

Interestingly, Lerario mentions, “Despite the upkeep of third-party cookies appearing as a backward step, the real trend is the consumer's choice, which will gradually spell their end.” The newly established privacy paradigm demands marketers to adapt strategies and prioritize effective media planning to genuinely connect with their audiences. With AI taking lead roles, the ad industry is expected to see smarter campaign management and enhanced measurements of consumer engagement.

Similarly, the energy sector stands at the cusp of changes with predictions indicating 2025 will highlight a transition from energy scarcity to abundance. Jarand Rystad, CEO of Rystad Energy, states, “We are moving from a period of energy scarcity to one of abundance.” He emphasizes the surging investments across both fossil fuels and renewables, projecting the OPEC+ alliance might need to maintain production cuts to stabilize pricing due to oversupply.

The energy market is set to witness the bulk of its growth from renewable sources, estimated at around 90% by 2025. Rystad notes, “This shift indicates not just changing consumer demand but also reinforces the importance of reliable energy storage systems.” With growing geopolitical tensions and economic uncertainties, how these energy strategies play out will remain pivotal.

On the travel frontier, significant evolutions are also anticipated. Scalapay's Vice President of Strategic Growth, Matteo Ciccalè, shares insights on how “Buy Now, Pay Later” (BNPL) payment solutions are transforming how consumers plan and experience their travels. He notes, "The BNPL model is increasingly deemed indispensable among Italians when it relates to travel expenditures.” This highlights the demand for flexible payment options as travel companies seek to cater to modern customers.

Ciccalè pinpoints key trends such as increased demand for personalized experiences, transparency, and authenticity as central to customer satisfaction. Innovations powered by AI are redefining travel itineraries and tailoring suggestions to consumer preferences. “True customer experiences are not about the destination alone but about creating meaningful interactions,” he emphasizes.

Digital transformations across industries reveal another common thread: the call for sustainability. From energy-efficient practices to eco-friendly travel options, consumers are now demanding brands adopt responsible approaches. This shift is evident, with many brands striving to mitigate their environmental impacts through sustainable practices.

While trends point toward significant tech-driven changes for 2025, there's also the rise of organic, community-driven movements like the “Low-Stakes Social” phenomenon, which reflects users’ desire for more relaxed online interactions reminiscent of earlier internet days. Data from We Are Social suggests these changes are reminiscent of the early 2000s internet, where fans of communities past find new connections. This nostalgia is increasingly shaping digital interactions.

The report also details consumers’ preference for "Intentional Consumerism", which emphasizes sustainable and meaningful purchases, urging brands to be conscious of their impact and engage authentically with audiences. Penned by creators, these narratives on platforms resonate deeply, establishing trust akin to word-of-mouth recommendations.

Looking to the broader market ecosystem, Scalapay's focus on the integration of digital tools and user-friendly practices reflects how technology is reshaping relationships and expectations. Modern consumers expect seamless experiences from booking to payment, often indicating their buying potential hinges on flexible options and transparency.

Despite uncertainties and challenging transitions, the convergence of these consumer trends articulates the direction businesses must take heading toward 2025. Today’s market dynamics compel brands to embrace innovation, prioritize sustainability, and maintain genuine connections with their consumers.

Navigated thoughtfully, these trends can lead companies not only to adapt but to thrive, turning potential challenges of the market transformation to new opportunities for growth and engagement.

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