Understanding Generation Alpha

One of the fascinating sessions revolved around initial research on Generation Alpha, those aged 0–10. Insights were derived from interviews with their Millennial parents. Key characteristics include:

• Financial Awareness: They are likely to be fiscally conservative, reflecting their parents' financial struggles.
• Brand Savvy: They exhibit a keen awareness of brand preferences and can influence family purchasing decisions.
• Tech-Natives: They are the first generation to prefer VR experiences over tablets.
• Limited Reading: Many are not inclined to read books.
• Screen Time: Approximately 40% spend at least three hours online daily, with 24% racking up seven or more hours on smartphones, when available.

Researchers emphasized the necessity of intuition in the AI age, asserting that "the greatest source of wisdom resides within our bodies."

An intriguing concept presented was visualizing your brand as a character. What would its appearance and voice be? What aesthetic would it convey?

Challenges Posed by Technology

While advancements are being made to identify deep fakes, many social media platforms have shunned these tools, as controversy fuels their advertising revenue. Experts warn that deep fake content is already disrupting elections globally, and the upcoming US election is poised to be a "misinformation disaster." The major concern for 2024 will be voice fakes, with realistic video avatars predicted for 2025, making platforms like Sora potentially revolutionary.

With 100,000 applications capable of creating deep fakes, discerning reality without technological aid is nearly impossible. We must leverage AI to combat AI.

During a keynote on OpenAI, protesters outside called for protections for graphic designers' jobs—an emotionally charged moment highlighting the uphill battle ahead.

Creating Customer Immersion

Interesting research surfaced regarding factors that foster customer immersion, beyond mere engagement:

1. Awareness: Capturing attention amidst distractions, allowing participation on their terms.
2. Willingness: The audience must see value in engaging. Factors like time, safety, and social circles play a role.
3. Connection: Meeting expectations swiftly is crucial for retention. If engagement feels relevant and safe, interest grows.
4. Investment: Audiences must feel their social capital is at stake, seeking immediate returns on their involvement.
5. Sharing: Positive experiences lead to organic sharing; community networks drive engagement loops.

SXSW 2024 showcased exciting brand activations, such as a 3D spatial computing promotion for a Netflix series.

A notable shift toward word-of-mouth marketing emerged, highlighting its significance as a "lived brand experience." I explored this concept in depth in my book, Marketing Rebellion, emphasizing its role in the future of branding.

A surprising statistic revealed that 58% of Gen Z believes that the more absurd something is, the cooler it becomes, while 82% affirm that being "weird" is in vogue. Perhaps discomfort is the new frontier for marketing—challenging societal norms.

The Future of Humanoid Robotics

Commercial humanoid robots are projected to be available within a year for under $50,000. They will excel at tasks requiring dexterity and, when integrated with AI, possess more human-like decision-making capabilities.

TikTok has set a new standard, with brands now expected to engage through co-creation (like remixing memes) and community involvement, rather than traditional broadcasting. The platform's ethos centers on co-creation; brands must adapt to this language. There's an expectation that brands participate in humor, even if it satirizes them.

While much has been discussed regarding time spent scrolling on TikTok, the immense time dedicated to content creation has been striking. It's astonishing how many individuals invest their lives in fleeting content for a moment of recognition.

Another realization is that many viral brand successes on TikTok are serendipitous. They often lack planning or strategic intent, exemplified by the famous cranberry juice incident. TikTok’s advice for success? Lower your brand standards—a recommendation likely to be met with resistance.

The gaming industry faces stagnation, with growth anticipated through interactivity and community engagement rather than new titles. Unionization is expected due to a history of employee mistreatment.

SXSW 2024 offered a plethora of glitz, but I focused on educational sessions that will sustain my energy throughout the year!

Key Disruptors in Marketing

Several sessions revealed major disruptors in the marketing landscape:

• Hyper-fragmentation of culture and media: How do we engage diverse audiences?
• The rise of 250 million creators equating to 250 million media channels.
• Growing popularity of platforms like Discord and other private communities.
• A shift towards ad-free social media experiences.
• The decline of shared cultural moments due to increasing isolation.
• Advances in spatial computing and immersive experiences, with headset prices set to decline.
• Data privacy concerns, with 2.6 billion data records breached last year.
• A crackdown on biometric data collection and the emergence of data wallets, giving consumers control over their narratives.
• Sustainability issues related to energy consumption in advertising, with Times Square's energy potential noted.
• Neuroscience innovations, including EEGs, eye tracking, and neural links, with Meta developing technology capable of interpreting thoughts.
• AI enabling real-time advertising feedback.

A backlash against purpose-driven marketing is apparent, as many brands fail to uphold their commitments.

In a groundbreaking demonstration, Japanese technology allowed communication through human brainwaves to control a 3D printer, resulting in a functional guitar—an extraordinary leap.

We are experiencing a technology supercycle poised to reshape the economy. The last such transformation was the rise of the Internet, driven by three key technologies: AI, biotechnology, and interconnected devices.

Imagine an "AI event" engineered with numerous fake accounts and authentic content—this could easily mislead the public, provoking real-world consequences. As futurist Amy Webb stated, the endpoint of AI isn't merely cartoonish images; it could lead to conflict.

AI is nearing a data saturation point, prompting companies to innovate new devices to gather more data. We are on the cusp of an era filled with sensors designed to predict our actions, with VR technology like Apple Vision Pro serving as a "face computer" capable of anticipating our intentions through physiological responses.

Ultimately, the market does not reward safety; it rewards dominance. Should someone misappropriate your biometric identity, recovery is impossible.

Organoids, or computers developed from human brain cells, represent a significant advancement. This form of brain-based computing (organoid intelligence) reduces our reliance on scarce resources and lowers energy consumption.

The impact of AI on jobs and the economy will be profound, necessitating the establishment of a Department of Transition to facilitate smooth transitions for businesses and workers.

In comparison to previous years, focus areas have shifted, with social media, content marketing, and Web3 seeing declines, while podcasts, the metaverse, influencers, privacy, experiential marketing, community, and storytelling are gaining traction. AI was prominently featured in numerous sessions!

These are merely a few reflections from SXSW 2024. I hope you found something valuable in this overview, and perhaps our paths will cross at SXSW next year!

I appreciate your time and interest in this content! For more insights, visit my well-regarded {grow} blog, check out my Marketing Companion podcast, and explore my keynote speaking page. Stay updated on Twitter at @markwschaefer, and for a glimpse into my personal life, follow me on Instagram or discover my RISE community.