As the digital landscape continues to evolve, brands are increasingly recognizing the importance of engaging with younger consumers through virtual platforms. According to We Are Social, a leading social media agency, this shift marks a significant change in how brands communicate with Generation Z and Generation Alpha. Pattrawut Apiwatthanalert, the agency's strategy director in Thailand, emphasizes that brands must adapt quickly to this new reality if they want to remain relevant.
"The trend is clear: if brands wish to establish a presence among the younger generation, they must embrace the virtual world immediately," Apiwatthanalert said. He reflected on the early days of social media, where communication began with instant messaging platforms, evolving into a space where users not only connected with friends and family but also engaged with user-generated content.
The rise of virtual platforms such as Roblox, Fortnite, Minecraft, and Zepeto has created new avenues for brands to explore. These platforms are not just games; they are vibrant communities where users create avatars and interact in immersive environments. This accessibility allows brands to reach a global audience, breaking geographical barriers and enabling marketing strategies that resonate with diverse consumer bases.
"Virtual platforms are becoming the primary channel for communication among younger demographics, especially Gen Z and Gen Alpha," noted Nuttachan Cheiyaphanumas, the creative business director at We Are Social Thailand. He highlighted that brands should not limit their focus to one platform but should develop strategies that leverage multiple virtual environments to maximize engagement and awareness.
In addition to the shift toward virtual platforms, the business landscape is also being transformed by advancements in artificial intelligence (AI). A recent report from SCBX, titled "SCBX AI Outlook 2025: Beaconing the Future of Artificial Intelligence," outlines four major trends that businesses must prepare for to stay competitive in the evolving market.
The first trend is the division of AI development into open source and closed source models. Open source AI allows developers to access and modify the code, fostering innovation and reducing costs. In contrast, closed source models, such as ChatGPT, are controlled by specific organizations, which can limit transparency and accessibility. According to a report from Stanford HAI, 149 foundation models were launched in 2023, with 65.7% being open-source, indicating a growing trend towards openness in AI development.
SCBX's report also highlights the emergence of "Tiny Titans," smaller and more agile AI models that can process various types of data simultaneously. These models are becoming increasingly popular as they require fewer resources and can be deployed on consumer devices like smartphones and IoT devices. For instance, DeepSeek R1 is a high-performance open-source model that rivals larger models but at a significantly lower cost.
The third trend focuses on the rise of Agentic AI, which refers to intelligent assistants capable of understanding, reasoning, and executing tasks independently. Unlike generative AI, which requires human input at every step, Agentic AI can autonomously make decisions, making it particularly valuable for tasks that demand quick and accurate judgment.
"The World Economic Forum and leading institutions like Stanford HAI predict that Agentic AI will play a crucial role in the AI market by 2025," said a spokesperson from SCBX. This technology is expected to automate processes, reduce human workload, and enhance service delivery for businesses.
The fourth trend is the pursuit of Artificial General Intelligence (AGI), which represents AI with human-like cognitive abilities. While AGI remains a distant goal, experts like Yann LeCun, VP and Chief AI Scientist at Meta, argue that achieving it will require significant changes in AI system design. The potential impact of AGI on society and the economy could be monumental, making it essential for businesses to monitor developments in this area.
As the landscape of digital marketing and AI continues to shift, brands must be proactive in adapting to these changes. The combination of engaging younger consumers through virtual platforms and leveraging AI technologies will be crucial for maintaining competitiveness in the coming years. Brands that successfully navigate this transition will not only enhance their market presence but also foster deeper connections with their audiences.
In summary, the future of marketing lies in understanding and embracing the virtual world while harnessing the power of AI. As younger generations increasingly inhabit these digital spaces, brands must be ready to meet them where they are. The time to act is now, as the trends shaping the future of business are already underway.
