JWT’s “90 Things to Watch in 2009”
One of the largest advertising agencies in the world, JWT, has released its list of 90 things to watch out for in 2009, including newspapers’ migration to digital, personalised mobile phones and online TV networks.
JWT’s ’90 Things to Watch in 2009′, which comes from the agency’s data and research analysis in New York, as well as input from global trend scouts, particularly focuses on the ways in which the recession will influence the year ahead.
Ann Mack, director of trendspotting at JWT, tells MediaTel’s NewsLine why trends will change and new behavioural patterns will emerge as a result of the economic downturn.
The internet unsurprisingly features heavily in the list of points that are key to the UK media industry, along with online TV networks and online video ads, social media and social networking as well as all-encompassing digital mobile phones and print newspapers moving to digital formats.
It is no secret that the newspaper industry is struggling due to the advertising slowdown, with numerous closures and redundancies as well as last-ditch attempts to innovate in order to lure advertisers: yesterday The New York Times unveiled its first ever frontpage ad, swiftly taken up by CBS (see New York Times offers front page ads).
As a result, JWT’s Mack thinks newspapers will be forced to evaluate their options this year, looking at what is a viable business model in order to go forward in the current market.
She said: “The newspaper industry is struggling and needs to adapt to the wired world. 2009 could see groups abandoning their print editions, while simply maintaining an online presence.
“Some titles have already been forced to make changes in order to lure advertisers back to the print editions, such as The New York Times‘ frontpage ad.
“However, web traffic is on the rise and online is taking over, especially in a news sense, as it is updated all the time. Daily print editions are out of date too quickly so it’s a real possibility that some newspapers may abandon their daily editions and instead stick to a more analytical weekend edition,” she continued.
However, Mack also pointed out that what advertisers are prepared to pay for online ad space is “very fractional” compared to what they will pay for print, which she says “will need to change if it is to become a single model and sustain itself in the future”.
Industry insiders have been arguing for months that online is more trackable and accountable, especially when compared to other mediums in times of economic hardship. Microsoft’s Tom Pearman recently told the ‘IAB engage for finance’ conference that the efficiency of online advertising means it is well-placed to provide the perfect solution (see IAB engage for finance: “Online provides the solution”).
Speaking at MediaTel Group’s ‘Future of Online’ seminar in November, panelists also suggested that the global financial downturn will give the online industry a great platform to show what it can do (see Financial crisis “a great opportunity for online”).
Chris Maples, head of sales at MSN UK, said: “I think the next two years of difficult economic times could be the best thing that has happened to online.”
Online TV is something that is also likely to grow significantly this year, with demand continuing to increase and technology constantly being updated, the ad firm said.
JWT forecasts that next generation online TV networks will be one of the things to watch in 2009, especially with the creation and success of networks such as Sony’s Crackle.
Mack said: “We have seen a number of online TV networks become a hit in the US, mainly because people like the on-demand nature of online TV – it’s readily available just at a click. It seems that more and more of the traditional broadcasters are moving forward by creating online TV.
“At the same time, online video ads are enjoying steady growth as they go hand in hand. This is mainly due to broadband. They are a good alternative to capture eye-balls at an inexpensive rate,” she added.
However, JWT also predicts that traditional TV will prove popular this year, especially family-friendly TV programmes such as retro game-shows, which Mack says are a “hot commodity” at the moment.
“During times like this people spend more time at home because they can’t afford to go out, so everyone is looking for alternative and cheap entertainment.
“Broadcasters will be going back to basics and creating classic family-friendly feel good entertainment shows for viewers, as sentiment is in and cut-throat is out,” Mack said.
21st-Century networking is another key trend to be influenced by the recession, according to JWT, as people reach out for help via social networking sites such as LinkedIn.
Mack said: “Social networking sites are yet to weather a recession, but they will do particularly well in this kind of market, especially in terms of employment.
“Professional sites such as LinkedIn will see an uptake in traffic as people seek employment online, especially freelancers in the advertising and design industries,” she added.
Social networks are also set to become a key feature on newspaper and magazine sites , as companies try to generate income from all angles.
Mack said: “Sites need to access money and a number of sites are using social networking features to do just that. Online is an active medium and users like to discuss and dissect stories, articles, books and music so it is the ideal way to encourage them to do it, while remaining on their site. Amazon’s book themed social network is a perfect example of this.”
This year will also see users thrive on sites such as Twitter – which allows people to actively send status updates to other users via the internet or their mobile phone.
According to JWT, there will be a number of Twitter copycats in 2009, with technology companies offering similar services, such as Jaiku, which is a blog-type site that focuses on group discussion.
Personalisation stands out as the key for the year ahead as well, with consumers demanding more and more services to meet their individual needs, particularly in terms of online and mobile.
The mobile industry has already rapidly expanded to create hubs that are the centre of digital activity, which can been seen with the latest handsets such as Apple’s iPhone, which now features 3G wireless technology, GPS mapping, Microsoft Exchange to name a few. The all-encompassing phone, iPod and internet device sold 6,892,000 units in Q4 alone.
“The popularity of devices like the iPhone will prompt consumers to demand more options. People want more choice, especially in terms of mobile applications and services,” according to Mack.
“Mobiles are bound to become more personal to suit individual tastes. Personal offerings will be the way forward,” she added.
JWT’s “90 Things to Watch in 2009” list, which started in New York, is published annually.
JWT: www.jwt.com