Miguel Barros, President of the Portuguese Association of Advertising, Communication and Marketing Agencies (APAP)
Advertising will reflect and respond to new consumer concerns and needs, which are expected to change, some in context, others structurally.
What follows, after this period of fight against the pandemics, is an economic crisis, which is considered by many as unprecedented, but whose size allows us to anticipate changes in behaviour in the face of the also great, recent health crisis that ensued.
On a first phase, consumers will become more opportunistic, looking for good deals and, therefore, will be less loyal to brands. They will focus on food basket and health spending above all other categories, but even in these areas they will do some trading down. We will then have offers and respective communication adapted to this reality, and we will probably witness a great deal of cross-business dissemination, promotions and discounts, loyalty programs and a number of different formats focused on price. These are the contextual changes of a period of crisis in which management of the family budget will be very strict.
On the other hand, this period also brings structural changes resulting from the specific nature of the times we live in and which point to fundamental behavioural changes which will reflect on brands and products and, consequently, on their communication.
Moments similar to those we live in, in other geographies, show that brands that were able to come closer to consumers during the most difficult period enjoyed major opportunities for growth. But new brands will also emerge.
Home and family will stand out. These are environments of protection and help people will cherish more and so therefore areas where advertising will focus more. Homes gain now more importance than ever both as a living space and in the way we experience them. The pleasure of decorating, cooking, working out indoors and entertaining will change and be more recognized. The same will happen with the consumption of indoor culture, information and leisure. Local trade will be strengthened.
Public spaces and their enjoyment, all kinds of do-it-yourself type activities, and secondary product markets or opportunity trading will once again gain relevance.
The need to interact with technologies has forced everyone to learn new things, particularly the elderly. We realize that we are better prepared than we thought to deal with daily life from home, and this is making our lives much easier. We now meet family and friends more often than we were used to and even work with unexpected efficiency without having to go to the office. These changes in the way we live will certainly be incorporated into the daily lives of people, brands and communication.
This period also worked as an accelerator for digital media and this will play a major role in the consumption of media, entertainment, payment platforms, shopping spaces, socialisation tools… In all age groups and genders.
Advertising will be more than ever a digital reality, more complex because it will be directly linked to both immediate realisation and results. Health, sports and food, as well as new hygiene habits will also gain importance. In all industries and products.
Good publicity, as always, will be that which knows how to look at these new consumers and see them as more informed, more attentive (better trained sounds strange) and more mature.