Today, whole markets are evolving faster than was previously possible. Many verticals are facing disruption from both above and below, as young and nimble companies innovate to challenge established norms, while corporate mainstays further expand existing offerings. Here are five markets we expect to drastically change over the coming years.
Over the last ten years, the media landscape has fundamentally shifted through the proliferation of social media and the expansion of streaming services. The upcoming releases of Disney+, HBO MAX, and NBC's in-house streaming platform suggest that this pattern will continue.
It's not just streaming, though - recent events threaten to leave a vacuum in the social media patchwork that new entrants could capitalize on. Much-publicized dissatisfaction with Facebook's political content policies has left consumers of all political persuasions hungry for alternative options. And as more and more of the world comes online daily, social networks that originated overseas are starting to make their way to America, providing further competition to domestic incumbents.
Millennials are largely uncomfortable with traditional financial institutions, due to trauma borne out of the 2008 financial crisis and a broader dissatisfaction with capitalism writ large.
The impacts are threefold. First, legacy financial service providers are already starting to fundamentally reevaluate their approach to engaging with young consumers, epitomized by Capital One's hybrid coffeeshop-banks. Second, alternative investment vehicles like Robinhood and Acorns, built by and for digital natives, are on the rise. Third, stakeholders throughout the industry face the daunting long term challenge of re-engaging and re-energizing young consumers around the merits of capitalism. Already, large traders like Stifel Financial have cited millennials' distrust of free markets as an impediment to customer acquisition and employee recruitment.
It also must be noted that the student loan debt epidemic is severely restricting young peoples' liquidity, which in turn will affect the companies relying on their cash to execute trades, investments, and loans.
Millennials and Gen Z will anchor the American economy for the next 40 years, and their purchasing preferences are already sending shockwaves through a number of legacy industries.
American healthcare is being transformed through market forces, advancements in technology, and unpredictable political outcomes. Over the last ten years there has been a near unprecedented wave of mergers and acquisitions between major health entities including insurance companies, hospital systems, and smaller medical practices.
Although acquisitions can bring economics of scale, they can also result in rural closures, price hikes, and other adverse outcomes.
There is no reason to expect the pace of consolidation to slow.
The growth of telemedicine will substantially impact healthcare delivery moving forward. The advent of videoconferencing with doctors will keep costs down, expand access to care (particularly in rural areas), and increase the number of patients that can be serviced daily. Over time, we expect to see non-invasive procedures automated and performed remote as well.
Data is disrupting nearly every industry, and that includes how high-traffic venues are managed. Office buildings are already reaping the rewards of automated work-order management systems. Software is now able to align tenants, property managers, service providers, and contractors, to the benefit of all.
We at Qstodian have been helping to lead the charge on evolving how spaces are managed, through introducing technology that can solicit real time feedback, and count the number of people using rooms. Over the next five years, usage data will fundamentally shift how cleaners are scheduled, tenants use space, and managers and workers staff.
Khan Academy started an educational revolution which is only picking up steam. Traditional educational institutions have always been abutted by home-schooling and alternative schooling, but the rise of digitized education is making its mark.
Inverted classrooms are increasing in popularity because they enable students to learn at home and practice at school under the tutelage of a teacher. Elsewhere, top-tier universities including Harvard and Oxford have made some of their most popular lectures and classes available online for free (or at a fraction of the traditional enrollment cost), and primary and secondary schools are starting to experiment with fully digital classrooms whereby students join discussions by video call from wherever they may be.
New schools focused solely on coding and computer science are subverting the entire educational pipeline, contending that high school and college are superfluous provided that students are given proper instruction.