January 13, 2021 : By: Allison Ames, President and CEO of Beanstalk

2020 was a year we will never forget and a year we all want to forget. It taught us a great deal and changed all our lives for both the near and long term. And while it was a year that brought the world to a standstill, drastically changing consumer behavior and social norms, it also forced us to find new ways to adapt, both professionally and personally.

In 1869, Charles Darwin reflected, “It is not the strongest of the species that survives, not the most intelligent that survives. It is the one that is the most adaptable to change.” The global pandemic clearly illustrates Darwin’s theory of ‘Survival of the Fittest.’ It has caused us to face unprecedented change at lightning speed and has altered consumer behavior all over the world, forcing business leaders to reexamine the needs and preferences of consumers. The brutality of the pandemic, as both a health and economic crisis, has catapulted retailers and brands to adapt and innovate to survive. And when survival is threatened, businesses, brands and people must quickly act to overcome the threat of extinction.

We all know that many retailers and other businesses were already struggling before the pandemic, and unfortunately, the crisis forced many of them to permanently close their doors. However, some adaptable businesses have been catalysts of change, creativity and transformation over the past year. We have seen numerous examples of innovation taking place that have reinvented hard-hit industries. We have also witnessed new business models emerge as a direct result of the pandemic. Some of these changes had already been underway, such as contactless check-out, but during the past year the pace of these changes accelerated at a rate that would not have seemed possible a year ago. Other innovations were new and a direct consequence of the health crisis and are likely now here to stay. Let’s acknowledge some of the important innovations in the areas of Health and Wellness, the Home, and Food and Beverage that have impacted our lives today and will continue to do so into the future.

Health and Wellness has never meant more than it does today, encompassing not only our physical health, but also our mental health. While wellness practices have been important to consumers to sustain a healthy lifestyle, health and self-care is now more of an essential part of consumers’ lives due to health challenges caused by the pandemic. Practicing self-care in 2021 will be more critical than ever before to live a safer and more balanced life, be it physically, mentally, professionally or socially. In 2020, Google searches for self-care products increased 250% since 2014. In that year, the self-care industry was valued at $10 billion. In 2020, the estimated value grew to $450 billion, with nearly nine out of 10 Americans (across generations) actively practicing self-care.*

The pandemic has also accelerated the digitalization of health. With hospitals at a breaking point, and people remaining uncomfortable about in-person doctor visits, the number of virtual healthcare visits will exceed one billion by the end of 2021.** Teledoc, MeMD, and PlushCare are just a few telemedicine solutions providers that will continue to be important outlets for 24/7 care.

In the early weeks of the pandemic, there was not a kettle bell, set of dumbbells, stationery bike or other large fitness equipment to be found. Immediately, fitness apps, and other accessories, roared into our homes, one after the other. Peleton, Aaptiv, Nike Training Club, JEFIT, PEAR, Tempo, Yoga Studio, Melissa Wood Health, the list goes on and on. Until gyms and other fitness centers reopen completely, virtual classes and online fitness communities will be critical to maintaining physical fitness at home. Many consumers will stay engaged with their at-home fitness regimen and goals and never go back to monthly gym fees. The pandemic has also placed renewed importance on monitoring our health. The global wearables devices market is expected to exceed $67 billion by 2024, at an impressive CAGR of 15.5%.*** Since stress, anxiety and insomnia (many call it ‘Coronasomia’) are at an all-time high, wearable devices such as Apollo Neuro, Hapbee or Muse, that track sleep, exercise and other health data, can help regulate stress more naturally, improve focus and strengthen mental fitness.

Home has become the epicenter of our lives. Consumers will continue to buy products that enhance their homes, be it furniture for the work-from-home office, exercise equipment for the at-home gym, or outdoor décor for the backyard oasis. Smart Home technology will continue to grow across all areas, from consumer electronics to streaming platforms. As consumers transform their homes into the cinema or sports arena or even a ‘stay-cation’ alternative to travel, they will rely on smarter technology for entertainment and culture.

Consumers who have been working from home have reported being more productive than in the office. However, without a physical separation of office and home, many people have had a difficult time balancing their personal and professional lives. **** They will seek solutions that create more of a physical and mental separation between work and home. Aiming to address the need for affordable, remote working spaces that have emerged since the pandemic, London-based architectural and creative firm, Boano Prišmontas, has introduced a low-cost prefabricated home office. Named ‘My Room in the Garden,’ the modular home office pod is designed to fit in any outdoor space, even your garden, and is easy to assemble in just one day.

In 2020, almost all travel plans were cancelled, but the desire for human connections motivated people to virtually explore new places around the world from the comfort of home. Airbnb announced the launch of Online Experiences — unique activities led by one-of-a-kind hosts — all without leaving home. Kudos to a travel-based brand that immediately shifted to find new ways for people to connect and travel virtually during the pandemic. These online experiences are live, interactive video sessions limited to small groups. From cooking classes to outdoor activities, art and culture and other fun activities, Airbnb has done an extraordinary job of providing an alternative way for all of us to pursue different adventures across the world from the comfort of home. Like all physical activities that shifted to virtual, including concerts and trade shows, services like Airbnb’s Online Experiences will continue to be a trend and innovative offering to consumers, even when travel activity resumes.

Eating for better health should not just be a new year’s resolution. Given the number of restaurant closings and many consumers’ continued aversion to go into grocery stores, online shopping and meal delivery services, including Sakara Life, Freshly, Sun Basket, HomeChef, and Daily Harvest, have benefited from this shift in consumer preferences. Further, while comfort foods and baking are certainly not going away in 2021, there will be renewed focus on healthy options and ingredients. Plant-based and immunity boosting foods rich in vitamins will replace over-indulgent comfort foods. Vegetable-based cookbooks that offer healthy and delicious recipes are trending as are harvesting micro-greens at home for cooking. These trends will continue to be strong this year and beyond.

Conclusion

While the pandemic has had a devastating impact on millions of lives and industries around the world, it has sparked an outpouring of creativity and innovation to respond to the whirlwind of changes that engulfed the world in 2020. Human ingenuity in the face of adversity gives us hope and optimism. Businesses that have change ingrained in their culture are more likely to do better in uncertain times. Over time, with the vaccine, the virus will become less prevalent and we will be able to resume many of the activities that we took for granted. But we will never forget the life lessons that emerged from this pandemic, the appreciation of family and friends, the importance of health and wellness, and rethinking what ‘things’ are really deemed essential. The overarching lesson that the pandemic has demonstrated to businesses and brands is that the way things were done in the past certainly does not mean that’s the way things always have to be done in the future. It certainly jolted us out of our comfort zones and spurred us to be creative, innovative, forward-thinking and most of all, adaptable.

Sources:

*ASD Market Week, 10/26/20

** Forrester Analytics 12/27/20

*** marketresearchengine.com 12/24/20

**** Dynata Report