February 28, 2021 : By: Todd Kaufman, Vice president of business development at Beanstalk

If we look far down the road, we can see it. There is light at the end of this long, dark tunnel! Vaccines are rolling out. For those of us in cold weather cities, there is more winter behind us than in front of us. And the world is preparing for “a return to normal.” It goes without saying that the world we’ll be returning to will be different from the one that was abruptly cut off from us last March. As we look forward to a reopening, here are some trends that we are excited about in 2021. 

Who You Gonna Call? Ghost Kitchens! 

Ghost kitchens, cooking facilities that produce food only for delivery or takeout, were on the rise prior to nationwide dining shutdowns and have accelerated exponentially since then. Euromonitor predicts that ghost kitchens will be a $1 trillion industry in the next 10 years. Celebrity chefs such as David Chang and Daniel Boulud have embraced the concept, as have lesser known restaurants and even hotels, as a means of revenue generation and job creation. What does this mean for brands and consumers? The bar has been raised with regards to the accessibility of premium quality food available in the home.

(Adapted from The New York Times) 

3-2-2 

At some point this year, we will be returning to the office. But what will that look like? According to the Harvard Business Review, the "3-2-2 week" could be the future. The hybrid schedule includes three days in the office, two days working remotely, and two days that are dedicated to personal time. As we all look to recover from this time, flexibility will be one of several factors that improve our mental health and wellbeing in a post-pandemic world. 

(Adapted from Cassandra Daily) 

Buy Black 

As companies, individuals and governments raced to implement diversity, education and inclusion initiatives, consumers also began seeking out ways to support Black entrepreneurs with their dollars. Platforms such as We Buy Black and Eat Okra provide a window into Black-owned businesses and restaurants, respectively. Black-owned brands such as Uncle Nearest Whiskey, Pat McGrath Beauty and Pyer Moss have moved from niche to the mainstream. In addition, food publications have made commitments to diversify their content and its creators, giving rise to a new generation of chefs that are bringing cuisine and ingredients from the African diaspora, such as jollof rice and berbere, into everyday dining lexicon. 

On the Go > On The Rocks  

Somewhere along the way, $16 cocktails became a thing and we all just let it happen. When bars were shut down, so was our access to these delicious drinks made with top-shelf liquor, herb-infused syrups and more varieties of bitters than we ever knew could exist. Enter canned cocktails to fill the void. From mass to craft, the consumer options are endless. Diageo released a line of Tanqueray canned cocktails this past summer, while Anheuser-Busch’s Cutwater was an early leader in the space. We’ve also seen a celebrity enter with the Miles Teller-backed Finnish Long Drink. And recently, NYC-based Dante, which won “World’s Best Bar” in 2019, launched a line of canned cocktails in partnership with F!ve Drinks Co. that come in four-packs and retail for $13.99.  

Leaving on a Jet Plane 

Think of all the times we complained about having to go to Las Vegas for work, again. Now think of how happy we feel just to get out of the house to walk around the block once a day. We will leave our home cities this year. We will get back on airplanes. And we will stay in hotels again. The burst of the travel dam will be fueled by an increase in savings from consumers who have remained employed this year but limited discretionary spending. Bookings are predicted to increase throughout the year, with actual trips projected to surge in Q3 and beyond. 

Recess for Adults 

While home fitness companies such as Peloton and Mirror saw exponential spikes in sales during quarantine, so too did the new consumer behavior of outdoor fitness. And it goes beyond running, hiking and swimming. Equinox opened “In The Wild’ locations in New York and Los Angeles, offering members a full-service outdoor experience. Boutique studios such as SoulCycle, Barry’s and 305 Fitness have also taken their classes al fresco and are leaning into this trend as a cost-effective way for geographic expansion.  

Free Games, Big Money 

Gaming has been one of the most increased activities over the last year. And while we can get excited about next Gen consoles such as the Xbox Series X, we are seeing game developers generate significant incremental income from in-game purchases, which were up 32% last year. Epic Games recently announced a partnership between Fortnite and 23 soccer clubs from around the world, adding another offering to its billion-dollar ecosystem. Roblox more than doubled their in-app purchase revenue to $94 million this past September compared to the same period last year ($44 million).  

It’s a Bedroom! It’s an Office! It’s a Super Space! 

We can argue for days whether we’re working from home or living at work, but one thing is clear: the single-use room is dead. As consumers embrace multi-functional spaces, the need for furniture and appliances that blend purpose and design will increase. Combine this with an increase in first-time home ownership and we are officially in a home renovation boom! Perhaps we’ll see homeowners embrace the latest interior design aesthetic, Grandmillenial, which puts modern takes on granny chic. 

Give a Little Bit  

Since they’ve acquired independent purchasing power, Millennial and Gen Z shoppers have been drawn to brands that stand for social good. Companies have heard the call and are now incorporating givebacks into the entire purchase experience. More than just “buy one, give one” we are now seeing more retailers offer consumers the opportunity to round up their dollars and some now match their donations. And restaurants are adding the option to purchase meals for frontline works and the food insecure at checkout. Brands and retailers are creating affinity and driving traffic to their sites and stores by empowering consumers to take care of those in need. 

The World at Our Fingertips 

E-commerce now represents 14% of all dollars spent. As consumers look for frictionless and contactless transactions, retailers of all sizes are seeking to simplify the purchase experience. With platforms such as Shopify providing independent businesses a lifeline, social commerce increasing, and next day or same day delivery becoming more common, younger consumers are likely to continue shifting their dollars to online retailers. Especially as categories that downshifted during the pandemic such as apparel, beauty and footwear, start to bounce back.