2020 in review Lockdown legacy impacts on entertainment
The 20,000 Foot View: Digital connections have filled the void left by real-world activities, globalising culture and experience. Yet this comes at the cost of deepening divides in trust and perspective. Changing economic circumstances have brought about a demographic dichotomy of age and income. Cohorts of higher security and spending power have become of more financial importance to commercial and entertainment propositions, while younger consumers of less financial security and power still hold the most cultural value in the attention economy.
The early signs of recession have already begun to harshen these trends. However, adversity begets innovation. Just as in 2008, following global financial recession (WhatsApp, Spotify), new commercial and consumer innovations look like they will emerge from the pandemic year (live music streaming, UGC, streaming-first films). Much change was already incubating but has now been given the chance to break out. From monetising fandom to generating new creator income streams, new solutions are emerging as old habits evolve to fit the new normal, making a return to the old normal impossible. The pandemic has already had lasting impacts on society and culture.
- Due to time at home saw a of priorities and attention with time in particular seeing a
- Despite resulting on digital connectivity, trust in news and social media diminished, the importance of ‘in real (IRL)
- Digital fatigue with polarising global events to a climate of tension, culturally economically, which has yet to resolved
- The effects both the pandemic and potential have impacted younger consumers the financially and socially. This has a priority shift in entertainment older, better-off consumers
- Monetising fandom enabled by both broad cultural and focus on niche audiences, games companies in particular seeing success, and new cross-entertainment collaborations new possibilities for creators – beginners, to veterans and current
- Content monetisation built on legacy formats – as films relied on the experience or pay-TV relied on for big game day viewing, now being forced to recalibrate streaming-first consumption decimates profit margins
- Live-streamed virtual have been to the live as iTunes was to album bringing convenience and lower price (and ‘unbundling’ location) which may affect the genre
Companies and brands mentioned in this report: Amazon Prime, Amazon Prime Video, AppleTV+, Disney+, Donald Trump, Dune, Fox News, Game of Thrones, HBO Max, Home Depot, Houseparty, James Bond, Lord of the Rings, Netflix, Resolution Foundation, Star Wars, The Economist, TikTok, Twitter, Unilever, Warner Bros., Zoom