How Consumer Behaviour is Evolving: Insights from Diageo’s Latest Report
Table of Contents
- Trends Shaping 2025: From Expanded reality to Collective Belonging
- Expanded Reality: Blurring the Lines between Physical and Digital
- Collective Belonging: The Search for connection
- Key Trends at a Glance
- What’s Next?
The way people socialize, consume, and prioritize their well-being is undergoing a profound change. According to a recent report by Diageo, the multinational beverage giant, five key trends are shaping consumer behavior in 2024 and beyond. These insights, derived from the analysis of 160 million conversations across 180 markets, reveal how brands can adapt to meet evolving consumer demands.
The Rise of Neohedonism: Seeking Joy in Unique Experiences
One of the most striking trends is neohedonism, where consumers prioritize unique experiences that bring joy, euphoria, and unforgettable memories. Whether it’s exploring a new destination, engaging with cutting-edge technology, or immersing themselves in nature, people are craving moments that go beyond the ordinary.Diageo’s report highlights that conversations around neohedonism surged by 48% between 2023 and 2024,while discussions about unique products and experiences grew by 83%. This shift underscores a growing appetite for indulgence and on-the-go experiences.
For brands,the key lies in offering personalized,technology-driven recommendations and creating interactive platforms where consumers can share their special moments.
Wellness Awareness: A Holistic Approach to Health
Wellness is no longer confined to diet and exercise.Today, it encompasses mental health, personal progress, and the nurturing of human relationships. Consumers are increasingly turning to therapy, meditation, and even religion as tools for self-care.
The report notes a 79% increase in conversations about “decelerating occasions” and a 58% rise in discussions around “substitute products.” Concepts like “conscious well-being” and “celebration of self-love” are also gaining traction.Brands are urged to innovate in this space by offering products and services that support holistic health. Gamification techniques and tools for managing digital life can help consumers balance their well-being with their tech-driven lifestyles.
Key Trends at a Glance
| Trend | Key Insight | Growth in Conversations (2023-2024) |
|———————–|———————————————————————————|—————————————–|
| Neohedonism | Consumers seek unique, joyful experiences | 48% |
| Wellness Awareness | Holistic health, including mental and emotional well-being, is prioritized | 79% (decelerating occasions) |
What’s Next for Brands?
As these trends continue to evolve, brands must stay ahead of the curve. By leveraging technology, fostering meaningful connections, and prioritizing consumer well-being, they can create experiences that resonate deeply with their audience.
The future of consumer behavior is all about balance—between indulgence and wellness, technology and disconnection, individuality and community. Brands that understand and embrace these dynamics will thrive in the years to come.For more insights,explore Diageo’s full report here.
Trends Shaping 2025: From Expanded reality to Collective Belonging
The future is unfolding before our eyes, and the trends set to define 2025 are as engaging as they are transformative. From the rise of expanded reality to the growing desire for collective belonging, these shifts are reshaping how we live, work, and connect. let’s dive into the key developments that will shape the next few years.
Expanded Reality: Blurring the Lines between Physical and Digital
The boundary between the physical and digital worlds is becoming increasingly porous. Artificial intelligence (AI) is no longer a futuristic concept—it’s woven into our daily lives. Meanwhile, virtual reality (VR) and augmented reality (AR) are taking center stage, offering immersive experiences that redefine how we entertain, learn, and socialize.
However, this rapid technological advancement isn’t without its challenges. Concerns about security and the ethical implications of technologies like blockchain and AI are sparking critical conversations. As Diageo’s data reveals, discussions around AI-enabled relationships have surged by 83%, while interest in expanded reality has grown by 54%.
What This Means for Brands
Consumers are seeking a delicate balance. on one hand, they crave hands-on interactions with chatbots and digital assistants that simplify their lives. On the other, they value human contact for meaningful experiences and physical adventures. brands must navigate this duality by offering products and services that seamlessly integrate digital tools with a human touch.
Collective Belonging: The Search for connection
In an era marked by disconnection and polarization, the desire for belonging has never been stronger. People are seeking deep connections with others who share their passions and values. They’re also increasingly drawn to causes that resonate with their beliefs, using their consumption habits to support entities that align with their principles.Whether through digital communities or in-person gatherings, individuals are looking to be part of groups that reflect their interests. Key issues like education, health, and sustainability are driving these connections, as is the growing emphasis on co-creation.
The Evolution of collective Belonging
the data is clear: conversations about connecting with passionate fandoms have skyrocketed by 127%.This trend underscores the importance of fostering authentic relationships and creating spaces where people feel seen, heard, and valued.
Key Trends at a Glance
| Trend | Key Insight | Impact |
|————————–|———————————————————————————|—————————————————————————-|
| Expanded Reality | Blurring of physical and digital worlds; rise of AI, VR, and AR | brands must balance digital innovation with human-centric experiences |
| Collective Belonging | Growing desire for connection and alignment with shared values and causes | Consumers support brands that reflect their beliefs and foster community |
What’s Next?
As we look ahead to 2025, these trends highlight the need for innovation and empathy in equal measure. Whether it’s leveraging expanded reality to create immersive experiences or fostering collective belonging through meaningful connections, the future is about meeting people where they are—both physically and emotionally.
For brands, the challenge is clear: stay ahead of the curve by embracing these shifts while remaining grounded in the values that matter most to your audience. The opportunities are endless for those who can strike the right balance.
What do you think about these trends? Share your thoughts and join the conversation about the future of technology and community.
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For more insights into the trends shaping 2025, explore the full reports on LinkedIn trends and WFA predictions.
The Future of Consumer trends: Building Communities and Enduring brands
As we approach 2025, consumer behavior is undergoing a notable transformation. Two key trends are shaping the future of brands: the rise of community-driven engagement and the growing demand for sustainability. These shifts are not just fleeting fads but reflect deeper societal changes that brands must adapt to in order to thrive.
The power of Community and Fandom
Consumers are increasingly seeking connections that go beyond transactions. According to recent data, the desire to belong to a collective has surged by 57% between 2023 and 2024. This trend highlights the importance of inclusive cultures and the creation of communities that resonate with consumers on a personal level.
Brands that can foster these connections will have a competitive edge. This could involve creating products that align with consumer passions, organizing events that bring people together, or developing loyalty programs that reward engagement. Collaborations with other brands can also amplify this sense of community, as long as they stay true to their core values and personality.
As one expert notes,”throughout 2025,consumers will seek to connect to a greater extent with what they are passionate about,so brands’ response must be oriented toward building communities and relationships with fandoms.”
Sustainability: A Non-Negotiable for Modern Brands
The push for sustainability is no longer optional. Consumers are increasingly drawn to brands that demonstrate a commitment to reducing their environmental impact. However, there’s a gap between consumer intentions and actions—while many express a desire to support sustainable brands, their purchasing decisions don’t always reflect this.
Brands are responding by focusing on recycling,reducing their carbon footprint,innovating in packaging,and developing plant-based products. Ethical practices in production and supply chains are also becoming a priority, as is the promotion of second-hand and local commerce.
Data from Diageo reveals that conversations around ethical and social changes have grown by 74%, while discussions about local wealth and sustainability have increased by 59% and 28%, respectively.
To capitalize on this trend, brands must highlight their sustainability credentials with evidence-based claims. Educating consumers about the benefits of their products and the importance of sustainable practices will be crucial. As the report emphasizes,”The commitment to vintage,what is manufactured and what is reused,as well as what is produced locally and with proximity will be essential to connect with consumers.”
Key Takeaways for Brands
| Trend | Key Insights |
|————————–|———————————————————————————|
| Community Building | Focus on creating inclusive cultures and fostering relationships with fandoms. |
| Sustainability | Highlight eco-amiable practices and promote local,second-hand,and vintage. |
| Consumer Engagement | develop loyalty programs, events, and collaborations that align with passions. |
For further insights into how brands are adapting to these trends, explore these related articles:
- The economy of escapism: an opportunity for brands to relieve consumer stress
- Trends in the travel industry, according to Booking: vintage tourism, wellness or adventures
As we move into 2025, brands that prioritize community and sustainability will not only meet consumer expectations but also drive meaningful change in the marketplace. The future belongs to those who can authentically connect with their audience while making a positive impact on the world.
As we step into 2025, the landscape for brands is evolving at an unprecedented pace. A recent report by Diageo, titled Distilled 2025: A Diageo foresight Report, outlines four critical strategies that companies must adopt to thrive in this dynamic surroundings. These insights are not just predictions but actionable keys to navigating the challenges and opportunities of the year ahead.
1. Embrace AI responsibly and Authentically
Artificial Intelligence (AI) is no longer a futuristic concept—it’s here, and it’s transforming industries.Though, Diageo emphasizes that companies must implement AI ethically and transparently. “Companies must implement technology ethically and transparently, seeking to boost consumer experiences,” the report states. This means leveraging AI to enhance customer interactions while maintaining trust and authenticity.
2. Transcend the Old and the New
The dichotomy between technological progress and the human desire for disconnection is more pronounced than ever. Brands must strike a delicate balance. “Given the dichotomy between technological progress and the search for disconnection, brands must establish a balance between connection through digital and in-person,” the report advises. This balance ensures that while technology enhances efficiency, it doesn’t overshadow the value of human interaction.
3. Escape the Algorithm
Consumers are increasingly seeking experiences that go beyond the standard recommendations churned out by algorithms. Diageo suggests that brands can respond by offering ”accessible experiences through exclusive invitation, with manufactured products and services and by collaborating with local partners that help bypass the mainstream.” This approach not only differentiates brands but also creates a sense of exclusivity and authenticity.
4. Adapt to Stay Relevant
The world is in flux, with political, social, and cultural events reshaping norms and traditions. Brands must remain agile. “Different political, social and cultural events are changing norms and traditions, and brands must adapt their proposals and discourses to constantly accompany this constant evolution,” the report highlights.Staying relevant means being attuned to these shifts and responding proactively.
Key Takeaways at a Glance
| Strategy | Key Insight |
|————————————-|———————————————————————————|
| Embrace AI Responsibly | Implement AI ethically to enhance consumer experiences. |
| Transcend the Old and the New | Balance digital innovation with in-person connections. |
| Escape the Algorithm | Offer unique, exclusive experiences beyond algorithmic recommendations. |
| Adapt to Stay Relevant | Evolve with changing political, social, and cultural landscapes.|
These strategies are not just theoretical—they are practical steps that brands can take to navigate the complexities of 2025. For a deeper dive into these insights, explore the full Distilled 2025: A Diageo Foresight Report.
As the year unfolds, the brands that embrace these principles will not only survive but thrive. The question is: Are you ready to adapt?
Onger a futuristic concept—it’s here, and it’s transforming industries. However,it’s adoption must be handled with care. Brands need to ensure that AI is used responsibly, ethically, and authentically. This means:
- Transparency: Be open about how AI is being used in your products or services. Consumers are increasingly wary of opaque AI practices.
- Human-Centricity: While AI can enhance efficiency,it should never replace the human touch. brands must strike a balance between automation and personalization.
- Ethical Considerations: Address biases in AI algorithms and ensure they align with your brand’s values and societal norms.
Such as, AI can be leveraged to create personalized customer experiences, but it should also respect privacy and consent. As diageo notes, “AI is a tool, not a replacement for human creativity and empathy.”
2. Foster Inclusivity and Diversity
Inclusivity is no longer just a buzzword—it’s a business imperative. Consumers are demanding that brands reflect the diversity of the world they live in. To foster inclusivity:
- Representation: Ensure your marketing, products, and workforce reflect diverse backgrounds, cultures, and identities.
- Accessibility: Make your products and services accessible to all, including people with disabilities.
- Community Engagement: Partner with marginalized communities to understand their needs and co-create solutions.
Brands that embrace diversity will not only win customer loyalty but also tap into new markets and perspectives. As the report highlights, “Inclusivity is not just about being fair—it’s about being relevant.”
3. Commit to Sustainability with Evidence-Based Actions
Sustainability continues to be a top priority for consumers, but greenwashing is no longer tolerated. Brands must demonstrate genuine commitment through clear, evidence-based actions:
- Circular Economy: Focus on reducing waste, reusing materials, and recycling products.
- Carbon Neutrality: Set clear, measurable goals to reduce your carbon footprint.
- Local Sourcing: Support local economies and reduce emissions by sourcing materials and labor closer to home.
As a notable exmaple, brands like Patagonia have set a high standard by integrating sustainability into every aspect of their business, from sourcing to production to packaging. As Diageo emphasizes,”Sustainability is not a trend—it’s a necessity for long-term success.”
4. Build Emotional Connections Through Storytelling
In a world saturated with data, storytelling remains a powerful tool for capturing attention and building emotional connections. Brands that can craft compelling narratives will stand out:
- authenticity: Share real stories that resonate with your audience’s values and experiences.
- Purpose-Driven Messaging: Align your brand’s mission with a larger social or environmental cause.
- Engagement: Use digital platforms to create interactive, immersive storytelling experiences.
For example, Airbnb’s “Belong Anywhere” campaign effectively uses storytelling to create a sense of community and belonging among its users. As the report states, “Stories have the power to inspire, connect, and drive action.”
Key Takeaways for 2025
| Strategy | Key Actions |
|————————–|———————————————————————————|
| Responsible AI Adoption | be transparent, human-centric, and ethical in AI use. |
| Inclusivity and Diversity | Represent diverse voices, ensure accessibility, and engage marginalized communities. |
| Sustainability | Focus on circular economy, carbon neutrality, and local sourcing with evidence-based claims. |
| Storytelling | Craft authentic,purpose-driven narratives that foster emotional connections. |
Looking Ahead
The year 2025 presents both challenges and opportunities for brands. By embracing these four strategies—responsible AI adoption, inclusivity, sustainability, and storytelling—brands can not only stay ahead of the curve but also make a meaningful impact on society.
As diageo concludes, ”The future belongs to those who can innovate with empathy, act with purpose, and connect with authenticity.” What steps is your brand taking to navigate this transformative era? Share your thoughts and join the conversation about the future of business.
For more insights, explore the full Diageo Distilled 2025 Report.