At Kantar's BrandZ report anniversary, J Walker Smith warned that demographic shifts, including fewer births and more single-person households, are challenging traditional marketing strategies. He emphasized that many existing brands are designed for a consumer demographic that is shrinking. Concurrently, Walmart's initiative to implement AI shopping agents indicates a significant transformation in retail, as AI will increasingly dictate purchasing behaviors. Smith argued that marketers need to rethink their strategies in this evolving landscape, where AI will reshape consumer interactions and expectations significantly over the next two decades.
We're heading toward a world of no kids. There are fewer births. More singles. People are living alone, adulting later, forming families less. And yet, many brands are still built for nuclear families in their 20s. We're building for a consumer that's disappearing.
This changes everything. Advertising will have to evolve. AI will watch the ads. AI will read the labels. AI will decide what you need.
Smith's talk coincided with a major development in retail: Walmart's announcement that it is preparing for a future where AI bots, not humans, do the shopping. AI shopping agents can restock pantries, plan unicorn-themed birthday parties and execute purchases - all from a single prompt.
We're seeing a hard reset for marketers everywhere as the consumer landscape shifts dramatically due to demographic changes and AI disruption. Brands must adapt to these challenges.
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