2016 Predictions -- the Swami Speaks

1. TV costs will increase 20-25%  As it’s a political year, inventory will start getting tighter during the year.  In addition, the Olympics hit in the summer and that always plays havoc with inventory.  HINT:  lock in your TV inventory now, to avoid the high prices political ads will cause once the candidate pool becomes clearer. 
2. Agency rates will increase. 4-6%  This isn’t really anything new.. they always increase.  But as agency holding company’s are having a difficult time getting toppling growth, they’ll need to pressure top line growth.  Digital ad cost will also increase during the year due to the before-mentioned.
3. Recruitment of solid employees will be challenging.  News this past week shows unemployment is at the lowest rate in years.  The market is still extremely tight and company’s will find it difficult to recruit.
4. Company’s will look to drive more products to lower cost channels… ecommerce, inside sales, etc.  Driving every dollar of revenue will continue to be a focus.
5. Metrics will be pushed even further… All of the investment in Marketing Automation needs to pay off.  This will be the year the investment really starts to pay off.  If it doesn’t drive revenue it’s going to be scrutinized big time.
6. Authenticity will be a key focus.  Politics always shows the worse in people, so customers will be looking for company’s that are truly authentic in the sea of negativity… don’t get caught on the bad side of this situation.
7. PR will suffer.  Politics will make it difficult to get mass messages out into the marketplace.
8. Customer Service will be a differentiator… now more than ever.  
9. Marketing Operations will become a more important function within Marketing.  Keeping control of the marketing train will make this function that much more critical.
10. Budgets for the year will increase, albeit moderately.  Consumer spending seems to be on solid footing and company’s will want to capitalize.  But be aware as we head into the second half of the year… a recession might be looming. And if businesses get even a whiff of this, budgets will tighten and tighten quick.

Of course 50% of these will be wrong, but what the hell.

Scott