Connect with us

Business

Two-thirds (65%) of marketers expect business conditions to improve next year

Published

on

WARC

WARC releases Marketer’s Toolkit 2025 providing marketers with strategic support for planning and decision-making in the coming year

Based on WARC’s proprietary GEISTE trends research, insights from 1,100+ marketers worldwide and one-to-one interviews with marketing leaders

12 November 2024 – Improving economic conditions, the tension between social media and brand safety, the growing cohort of consumers leading more solo lifestyles, expanding brand building to encompass the entire customer experience, and managing the impact of AI technology on the environment, are five key trends that will shape global marketing strategies in 2025, as revealed in WARC’s Marketer’s Toolkit 2025, released today.

Now in its 14th year, The Marketer’s Toolkit provides marketers with strategic support for planning and decision-making to help navigate the challenges and benefit from the opportunities in the coming year.

The trend identification for the report is based on WARC’s proprietary GEISTE methodology (Government, Economy, Industry, Society, Technology, Environment). It further incorporates a global survey of 1,165 marketing executives, one-to-one interviews with leading marketers worldwide, and analysis and insight from WARC’s global team of experts.

Aditya Kishore, Insight Director, WARC, says: “While rapid growth worldwide is unlikely in 2025, there are reasons to expect more stability than we have had in recent years as central banks regain control over inflation and interest rates decline. WARC is forecasting global ad spend will grow to $1.15 trillion next year.

“Finding the right strategies for this new economic phase is a major theme for the Marketer’s Toolkit 2025, as is expanding perceptions of brand building to encompass the entire customer experience. Marketers will need to carefully identify the areas of opportunity and develop considered strategies to leverage them. We hope this report helps.”

The top five trends outlined in WARC’s Marketer’s Toolkit 2025 are:

Capitalise on the economic reset: Two-thirds (65%) of marketers believe the business environment in 2025 will be better than this year

The marketing industry sees more reason for optimism with two-thirds (65%) of survey respondents for the report believing the business environment in 2025 will be better than it was this year.

As inflation subsides, the global economy enters a new phase, and consumer confidence rebuilds, the challenge for marketers is to shift from communicating price rises and discounting, to building or maintaining pricing power and show why the value of their brands are worth a premium price.

Marketers are advised to use ongoing brand-building to defend pricing strategies, avoid frequent changes in advertising that can confuse consumers and devalue a brand, and become the customer’s voice in the boardroom by influencing the 4Ps – pricing, product, promotion and place.

Close the customer experience gap: $3.7 trillion is at risk as customers cut spending or switch brands after poor experiences

A growing global dissatisfaction with customer service quality is now a critical issue for marketers. The gap between the brand’s promise and the actual customer experience is widening as brands struggle with complex customer journeys, cost-cutting, and margin pressures. A staggering $3.7 trillion is at risk as customers cut spending or switch brands after poor experiences.

According to the Marketer’s Toolkit survey, the majority of brand marketers directly manage just two elements of customer experience: website and/or app design and measuring customer satisfaction.

Brands are recommended to adapt strategies to better align customer promise and experience, boost memorability and distinctiveness at critical customer touchpoints (apps, websites, retail outlets), and constantly test, learn and listen to feedback.

Andrea Sengara, Head of Marketing, US, Campari Group, says: “A key part for me is getting input and feedback from everyone across the organization […] From people’s experiences in-store and at bars and restaurants to customer experiences trying the product, this can all help us improve how we are building the brand.”

The digital dilemma: 40% of advertisers expect brand safety to have a “significant impact” on their marketing strategies in the coming 12 months but only 8% plan to reduce their investment in social media

Despite enduring concerns about the prevalence of hate speech and misinformation, Big Tech platforms are perceived as indispensable to many brands’ marketing plans, claiming a greater share of ad budgets. Alphabet, Amazon and Meta are forecast by WARC Media to account for 44% of all global ad spend this year.

40% of Toolkit survey respondents expect brand safety to have a “significant impact” on their marketing strategy in the coming 12 months, up 10 percentage points in three years, yet only 8% plan to reduce or cut their investment in social media. Concerns continue around the open web, the rise of AI-generated made-for-advertising (MFA) websites and the more than $80bn in global spend lost annually to ad fraud, per Jupiter Research.

Industry initiatives to improve conditions have proven unsuccessful, so it falls on brands to take a more active role in managing the places in which their ads are showing up. The growing abundance of media choices present more opportunities for brands to rely less on the triopoly. Media planning is evolving to help marketers capitalise on, and mitigate the risk of, digital platforms’ AI-powered campaign management tools.

AI meets sustainability: Less than a third (32 %) of marketers see AI sustainability concerns influencing media buying in 2025

Artificial intelligence (AI) is revolutionising the advertising industry. But the exponential promise of this technology is matched by its insatiable energy use.

Research has shown generating one image with a powerful AI model uses as much energy as charging a smartphone – between 5g and 10g of CO2 emissions. A typical campaign generates the same emissions as seven people do per year.

However, few marketers are engaged with looking at the intersection of AI, media buying and sustainability. Less than a third (32%) of Toolkit survey respondents thought AI sustainability concerns were likely to influence their media buying in 2025.

It is critical for brands and agencies to build sustainability into their AI plans. Media buyers can set the template for others to follow through building thorough sustainability frameworks to guide their work. Industry-wide collaboration will be vital to making sure the planetary impact of AI’s use in advertising can be monitored in consistent, scalable ways.

The age of atomisation: 68% of marketers are not addressing the market opportunity offered by consumers living solitary lives

The number of people living alone has grown steadily over the past few decades. In 2023, there were an estimated 484 million single-person households globally, accounting for one-fifth of all households worldwide. They are expected to grow by 48% by 2040, outpacing the growth rate of all other household types. Living more solitary lifestyles, these consumers are becoming increasingly ‘atomised’ as they shop, dine, and entertain themselves on their own.

However, relatively few marketers appear to be targeting products or services to this segment, or even communicating with the right emotional resonance to help connect with this audience.

Brands have a real opportunity to target this audience with products and services that cater to their specific needs and reduce the single-person ‘penalty’ to make them feel valued.

A complimentary sample of The Marketer’s Toolkit 2025 is available to read here.

The Marketer’s Toolkit 2025 is part of WARC Strategy’s The Evolution of Marketing programme, offering a series of practical reports designed to help marketers address major industry shifts to drive marketing effectiveness in the coming year.

A series of podcasts, reports and events will follow on The Marketer’s Toolkit 2025.

Complementing this Marketer’s Toolkit 2025 global report are the GEISTE report, and the upcoming The Voice of the Marketer (December) and The Future of Media (January).
 



 

Business

Republic of Congo Eyes Accelerated Oil, Gas, Sustainable Projects

Published

on

The country’s Hydrocarbon Minister Bruno Jean-Richard Itoua shared insight into the government’s ongoing efforts to attract new investments in the upstream, downstream and forestry sectors

BRAZZAVILLE, Congo (Republic of the), November 13, 2024/APO Group/ — 

The Republic of Congo (RoC) is preparing to launch a Gas Master Plan and new Gas Code, all while enticing investment in crude exploration and production. Speaking during a press conference at African Energy Week 2024, Bruno Jean-Richard Itoua, the country’s Minister of Hydrocarbons, outlined how these policies will drive oil and gas projects forward, all while spearheading sustainable growth.

Towards Increased Oil Production

Leveraging policy and reform to attract new investments in exploration and production, the RoC expects to launch a new licensing round by Q1, 2025. According to Minister Itoua, “the round will put the RoC on the market.” He noted that significant work has already been done by various companies in the region, setting the stage for a successful bid round.

“We have an attractive legal framework…” Itoua added, underscoring the country’s intent to enhance investor confidence. Currently, the RoC produces an average of 274,000 barrels per day (bpd). The Minister revealed ambitious plans to increase this output to 500,000 bpd within the next three to five years, driven by tangible projects and enhanced industry collaboration. “Our target is clear: we want to significantly ramp up production based on concrete, actionable projects,” he said.

New and existing oil and gas producers in the RoC have committed to supporting this goal and are ramping up investments to boost output. On November 7, energy players Unite Oil & Gas and ARIES Energy formed Bomoko Energy to acquire and develop local hydrocarbon assets. In October 2024, Perenco achieved 80,000 bpd following a $300 million investment, aiming for 100,000 bpd by 2025 with new field developments. Meanwhile, Cogo, the Congolese subsidiary of China Oil Natural Gas Overseas, announced in October 2024 a $150 million investment to enhance production in the Conkouati-Koui and Nanga III fields.

Focus on Downstream Development

In the downstream sector, the RoC aims to boost domestic access. As new developments come online, Minister Itoua emphasized that “first, we give priority to our citizens, then to our companies. Too many people still lack access to reliable energy.” He acknowledged the complications posed by outdated refining infrastructure and emphasized the government’s strategy to upgrade existing facilities.

Seventy percent of the equipment is already produced and we expect the refinery to be operational by next year

Currently, the RoC has one oil refinery in the coastal city of Pointe-Noire, which has a capacity of 1 million tons per year. However, it only processes 600,000 tons annually while the country’s needs are estimated at 1.2 million tons.

To address supply shortfall, the RoC is in the process of commissioning a new refinery. The $600 Atlantic Petrochemical Refinery, to be developed by China’s Beijing Fortune Dingheng Investment, will produce a range of refined petroleum products including automotive and aviation gasoline, LPG, diesel, lubricants, bitumen and kerosene.

“Seventy percent of the equipment is already produced and we expect the refinery to be operational by next year,” Minister Itoua shared. This private project will grant investors the flexibility to decide on the type of crude processed, including the option to import crude oil. “The new refinery will help meet domestic needs first, and only then will we consider export opportunities,” Itoua remarked.

Promoting Environmental Sustainability

Minister Itoua also highlighted the country’s commitment to environmental sustainability, particularly through carbon capture initiatives. The RoC’s focus on sustainable industrial growth is rooted in its history with the timber industry, and the country aims to balance this legacy with modern environmental practices. “We started our development journey through forestry, and now we are working to preserve these forests for future generations,” the Minister said.

Covering 23 million hectares – two-thirds of the country’s territory – the country’s forest acts as a vital carbon sink, absorbing about 130 million tons of carbon annually. Minister Itoua explained that, “We have the largest potential for carbon capture in the Congo Forest. It’s our responsibility to protect this resource while continuing to develop our industries.”

In 2024, the RoC received its first $8 million payment in carbon offsets as part of a World Bank agreement, highlighting projects like TotalEnergies’ Bacasi initiative, which aims to conserve and reforest 93,000 hectares.

With a clear roadmap for increasing production, upgrading infrastructure and committing to environmental protection, the RoC will host the first edition of the Congo Energy & Investment Forum from March 25-26, 2025 in Brazzaville. Organized by Energy Capital and Power – in partnership with the Ministry of Hydrocarbons and with the support of the African Energy Chamber – the event will gather international investors and Congolese stakeholders, setting the tone for the country’s future in the global energy market.

Distributed by APO Group on behalf of Energy Capital & Power.

Continue Reading

Business

Islamic Corporation for the Development of the Private Sector (ICD) commits EUR 40 million to Kokshetau Hospital Project in Kazakhstan

Published

on

The new hospital will seek to receive a “Silver” rating under the Leadership in Energy and Environmental Design (LEED) green-building certification programme

ASTANA, Kazakhstan, November 13, 2024/APO Group/ —

  • ICD is investing EUR 40 million for the construction and operation of a 630-bed multidisciplinary hospital in the city of Kokshetau, Kazakhstan.
  • The total financing package is Euro 365 mln which is co-financed by the EBRD, AIIB, DEG, Proparco and DBK.
  • The Project will be developed by a Rönesans Holding subsidiary.

The Islamic Corporation for the Development of the Private Sector (ICD) (www.ICD-ps.org) has signed a EUR 40 million a Public Private Partnership (PPP) agreement to co-finance Kokshetau Hospital Project in Kazakhstan. This Project will be ICD’s first financing under PPP scheme in Kazakstan. The project will be also first PPP in the healthcare sector of Kazakhstan and Central Asia with a greenfield development of a 110,000 m2 facility, which will provide services to more than 730,000 people living in the city of Kokshetau and the wider region of Akmola. Under the PPP agreement, the private partner will maintain the facility and operate a 24-hour hospital information management system (HIMS), setting a digital benchmark for Kazakhstan’s healthcare sector. Medical services will be provided by Turar Healthcare, a state-owned, non-profit operator.

The project will be co-financed for the total amount of up to €365 million provided by the European Bank for Reconstruction and Development (EBRD), the Asian Infrastructure Investment Bank (AIIB) (www.AIIB.org), the German Investment Corporation (DEG) (https://apo-opa.co/3O6hLfG), the Islamic Corporation for the Development of the Private Sector (ICD) (www.ICD-ps.org/), Proparco (www.Proparco.fr/en), a subsidiary of Agence Française de Développement and the Development Bank of Kazakhstan (DBK) (www.KDB.kz/en).

The new hospital will seek to receive a “Silver” rating under the Leadership in Energy and Environmental Design (LEED) green-building certification programme, which recognizes best-in-class building strategies and practices. It will also aim to obtain an EDGE (https://apo-opa.co/3O73Tlh) certification for water and energy savings.

Distributed by APO Group on behalf of Islamic Corporation for the Development of the Private Sector (ICD).

Continue Reading

Business

Invest Africa and Premier Invest Announce Strategic Partnership to Catalyse Investment in Africa

Published

on

This partnership will leverage key events for the global Africa-focused investment community, bringing together investors and corporates who are committed to the continent’s progress

LONDON, United Kingdom, November 13, 2024/APO Group/ — 

Invest Africa (www.InvestAfrica.com), the leading pan-African business platform, is proud to announce a strategic partnership with Premier Invest, a global investment conglomerate, aimed at driving transformative investment into Africa. This collaboration is set to identify and unlock new avenues for growth, innovation, and sustainable development across the continent through a series of targeted engagements, including The Africa Debate in London and the UAE, as well as Invest Africa’s Mining Series, held alongside the annual Mining Indaba conference.

This partnership with Invest Africa marks a significant milestone for Premier Invest as we seek to deepen our engagement in Africa and other emerging markets

As Africa stands on the brink of a new era of economic transformation, this partnership will leverage key events for the global Africa-focused investment community, bringing together investors and corporates who are committed to the continent’s progress and prosperity.

Chantelé Carrington, CEO of Invest Africa, commented on the partnership: ”Africa is entering a pivotal phase of economic transformation, and ensuring that the right investment and expertise are directed to the continent is crucial. Our partnership with Premier Invest is a great step towards this objective. By tapping into our expansive network, strategic communications, and robust events programme, we look forward to working alongside Premier Invest to channel the much-needed investment flows that will drive Africa’s growth.”

Rene Awambeng, Managing Partner of Premier Invest, added: “This partnership with Invest Africa marks a significant milestone for Premier Invest as we seek to deepen our engagement in Africa and other emerging markets. Invest Africa’s unrivalled network and market insights will be invaluable as we work together not only to identify and capture high-growth opportunities but also to contribute meaningfully to the economic development of the regions we serve, particularly across Africa.”

This partnership exemplifies the shared commitment of Invest Africa and Premier Invest to harness the full potential of capital in Africa and beyond. By uniting our strengths, we are laying the groundwork for transformative investments that will fuel economic growth and development for years to come.

Distributed by APO Group on behalf of Invest Africa.

Continue Reading

Trending

Exit mobile version