M E D I A M A C R O - & M I C R O -T R E N D S

Media macro- & micro-trends

TO KEEP IN FOCUS

to keep in focus
SEPTEMBER 2023, DR. ANDREA MALGARA
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M E D I A P LU S J U LY 2 0 2 3
J U LY 2 0 2 3 M E D I A M A C R O - & M I C R O -T R E N D S
J U LY 2 0 2 3 M E D I A M A C R O - & M I C R O -T R E N D S

2018
2019
2020
2021
2022
CONSISTENT top rated agency
2023
 CONSISTENT
top awarded
57
agency
MEDIAPLUS | CREDENTIAL

“Germany’s Most Innovative 41 24

8 Media Agency”
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26 5 30
 Content
M E D I A M A C R O - & M I C R O -T R E N D S

1. From a cashmere bubble to

the era of efficiency

2. From AI to Gen AI

3. Macro and Micro Media

Trends
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01
to the era of efficiency
From a cashmere bubble
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Life was good … in tech industry

 Growth of revenue was growth of jobs in tech companies for many years

Google Meta/Facebook
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 Big Tech targeting experienced developers?

1) Protection against
competition
M E D I A M A C R O - & M I C R O -T R E N D S

2) Game changer idea

3) Regulation and competition

law issues
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Levels.fyi
 The world if big tech wouldn‘t
absorb every capable developer …
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 While wages continue to rise, employees are not generating
more gross profit.

Gross Profit per Employee

M E D I A M A C R O - & M I C R O -T R E N D S
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 Big tech companies seem to have completely lost focus on profitability …
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Note: Twitter‘s 2022 figure is based on an annualized projection.

Chart: Ricki Lee/Insider – Source: Earning reports
 … and made costly strategic decisions.
M E D I A M A C R O - & M I C R O -T R E N D S

10 bn of
invest per year
vs. ~ 200.000 Monthly Active User

Instagram has
2 bn
monthly active user!
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 Also true … the core business is still running pretty well.

Meta's global advertising revenues from 2010 to 2022 Google's global advertising revenues from 2001 to 2022
in billions of US dollars in billions of US dollars
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 2022: Big tech‘s year of fundamentals reconnecting to reality

Annual stock price change of selected U.S. tech companies

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Source: Yahoo Finance

 “Twitterization”: Minimum viable product as new role model?
M E D I A M A C R O - & M I C R O -T R E N D S

From 8.000 to 1.500:

80%of the employees

were laid off
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 Massive job cuts: 250.000 layoffs since the beginning of 2023

# of Tech Employees Let Go

as of May 6, 2023
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And now: Starting the era of effiency at tech companies

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02
From AI to Gen AI
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 We are in the 4th wave of digitalization – with generative ai as an accelerator
M E D I A M A C R O - & M I C R O -T R E N D S

GEN AI

AI, ROBOTICS,
QUANTUM COMPUTING

IOT & CONNECTED Convergence of

DEVICES
physical & digital

SMARTPHONE & Internet goes mobile,

PLATFORMS
Real-time services

INTERNET Computer “go” online

1990 2000 2010 2020 Today

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 It‘s no surprise, that Generative AI tools are having their big breakthrough
right now.
M E D I A M A C R O - & M I C R O -T R E N D S

Models Computing Data

Power
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 Release of ChatGPT – the iphone-moment of AI

Google Trends: Search queries over time by topic "artificial intelligence" and "ChatGPT" in Germany
Index*
M E D I A M A C R O - & M I C R O -T R E N D S

100 ChatGPT Artificial Intelligence

80

Release
60
ChatGPT

40

20

0
2018

2019

2020

2021

2022

2022/11

2023
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*The values indicate search interest relative to the highest point on the chart for the selected region over the specified time period. The value 100 represents the highest popularity of this search term.
Source: Google Trends 2023/05
 We are at a tipping point where AI will affect every industry sector
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 M E D I A M A C R O - & M I C R O -T R E N D S
JUNE 2023

YOU REMEMBER THIS:

 M E D I A M A C R O - & M I C R O -T R E N D S
JUNE 2023

WELL, THERE IS AN AI FOR THAT.

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AI market is exploding …
 Possiblities
Security
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Creativity Efficieny Legal Regulations

Possibilites

It‘s amazing and scary

at the same time.
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 Impact of AI on the global economy:
+14% GDP growth due to AI in 2030
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https://www.mckinsey.com/capabilities/mckinsey-digital/our-insights/the-economic-potential-of-generative-ai-the-next-productivity-frontier#business-value; https://www.pwc.com/gx/en/issues/data-and-
analytics/publications/artificial-intelligence-study.html
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AI will become the main driver of productivity and growth

 Cost killer or revenue driver? Most companies see expansive potential

Cost Decrease and Revenue Increase from AI Adoption by Function, 2021

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McKinsey & Company Survey, 2022; Chart: 2023 AI Index Report

 “AI won't take your job.
M E D I A M A C R O - & M I C R O -T R E N D S

It's somebody using AI

that will take your job.”
RICHARD BALDWIN,
MASSACHUSETTS INSTITUTE OF TECHNOLOGY (MIT)
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03
Macro and micro media trends
 Welcome to the era
M E D I A M A C R O - & M I C R O -T R E N D S

of unprecedented transformation.

The change is coming

from every angle.
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 Complexity and ambiguity affect the system.
M E D I A M A C R O - & M I C R O -T R E N D S

ECONOMY TECHNOLOGY SOCIETY MEDIA

Always-on Crisis Mode Artificial Intelligence Generation Next Digitalization Disruption

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MarTech landscape over time

+ > 7.000%
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Increasing competition among Big Tech companies

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New players drive further fragmentation in advertising

 The future of TV.
Not as simple as it might seem.
M E D I A M A C R O - & M I C R O -T R E N D S

Also

TRUE: TRUE:
Declining TV usage. 100M+ people in
the US watch Youtube
on their TV screen.
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Basis: 2) 6.630 Nutzer der Website Utopia (*vergleichbar mit Konsument:innen, deren Affinität zu Nachhaltigkeits-
/Umweltthemen überdurchschnittlich hoch ist); Quellen: 1) Kantar Sustainability Sector Index 2022; 2) Utopia (Die
grüne Mitte, 2022)
 The future of TV.
Not as simple as it might seem.
M E D I A M A C R O - & M I C R O -T R E N D S

17%
72%
of the usage
of the
users are
responsible

80% for

of the people in Germany

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use Youtube
 YouTube contact distribution to be
updated for
2023

42,6
M E D I A M A C R O - & M I C R O -T R E N D S

45

30 25,8

19,3 7,3 Mio.

YouTube User
15 11,5
with 100+
7,3
contacts

0
min. 10+ 20+ 50+ 100+
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1 contact contacts contacts contacts contacts

Source: Double Play Datensatz; SOM/Pricing & Agency Sales Consulting 2019
 The more meets the being.
M E D I A M A C R O - & M I C R O -T R E N D S

Content & Tech Offer

SUPPLY-DEMAND GAP
Content

Media Consumption

Time Today
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Take ADVANTAGE of the change