Each month our team identifies Basis Technologies’ top verticals and shares the trending news stories and important stats with you!

RECRUITMENT

  • Flexibility has become an employee necessity and employers must incorporate this to fill the current 10.7 million job openings in the U.S.. Between 2019 and 2021, mentions of flexibility in company posts increased by 343% and an 83% increase in job posts mentioning flexibility. Additionally, flexibility is important for current employees at companies too. Employees are 2.6x more likely to report happiness when satisfied with their company’s time and location flexibility and employees are 2.1x more likely to recommend working for their company when satisfied with their company’s time and location flexibility. Companies need to promote their flexibility to be competitive. Implementing mentions of “remote work” and “flexible time off”, among other policies that promote a more accommodating work/life blend, into creative copy will draw in both candidates who are unhappy with competitors’ current policies, as well as candidates who have become accustomed to less rigidity in their company’s policies. Source: LinkedIn
  • An increasing number of employers are shifting to skills-based hiring, particularly for higher-level positions like management. For example, job posts that mentioned “responsibilities” without mentioning “requirements” received 14% more applications per view than job posts that used opposite language. Additionally, the share of managers hired without traditional 4-year degrees increased 20% between 2019 and 2021. In-turn, companies are seeing stronger retention and increased interest in position posting. Employees without a traditional four-year degree stay 34% longer than employees with a 4-year degree. To reap the benefits of a skills-based recruitment approach, companies must start by rethinking their job descriptions and promotion strategy. Employers will inherently need to cast a wider net using a list of key responsibilities to appeal to candidates, as opposed to using educational attainment and years of experience to rule out candidates. Source: LinkedIn

HIGHER EDUCATION

  • Like many industries, the U.S. higher education sector is struggling to diversify their student population and make the system more equitable. According to recent studies, only 8% of U.S. institutions have equitable student representation and allow for students in these populations graduate at the same rate as the general undergraduate population. And still, the U.S. higher education industry is failing to improve. From 2013 to 2020, only one third of four-year universities improved their racial and ethnic representation and completion rates at a pace above their natural growth rate. To increase equitable enrollment, higher education institutions must ensure they reach racially, ethnically, and socioeconomically diverse populations by meeting them on platforms where they consume media most. Additionally, by promoting available programs that ensure the potential students find success and have an equitable experience, enrollment should naturally improve. Source: McKinsey

FINANCE

  • There is no question that many U.S. households are under high financial stress as inflation hits levels not seen in four decades. Additionally, while more than 77% of U.S. adults have a credit card, more than half (58%) of U.S. households live from paycheck to paycheck and cannot afford unexpected costs. Because of this, individuals are currently being forced to reduce their spending and also go into deeper debt. Credit issuers will need to consider the additional risk they are taking on during this time and diversify their marketing strategy by target. In order to gather the attention of the majority consumers who feel strapped during this difficult time, credit issuers should promote their most practical benefits, such as money back at the grocery store and household essentials rather than non-essentials like travel rewards. Lower income individuals are most in need of credit cards, but they will likely be unable to make full payments which, while it will give the credit card companies higher interest income, they also risk not receiving payments. Credit card companies may choose to target the lower income individuals at a higher rate than previously but knowing lower credit limits than usual will be provided. When targeting higher income individuals, or those who are more financially secure, credit issuers can continue to promote their wide array of rewards and benefits. Source: eMarketer, Federal Reserve Bank of Atlanta, CNBC

HEALTHCARE

  • As we have seen, many individuals in the U.S. are feeling stronger financial pressures at this time and, to top this, Medicare has announced some changes in pricing for 2023. Currently, around 63 million adults in the U.S. (about 24% of U.S. adults) are beneficiaries of Medicare insurance. Within that, about 49 million have prescription drug coverage under Part D. In 2023, the monthly premiums for Part D will drop from $32.08 to $31.50. Unfortunately, this decrease in price will be outweighed by the increase in premium. The maximum deductible for Part D in 2023 will likely be $505 which is up from $480 in 2022. As prices continue to rise and put additional stress on Medicare beneficiaries, pharmaceutical companies can assist by promoting free trials, coupons and rebates for their products. Additionally, healthcare providers will need to learn about prescription drug options that can be cheaper alternatives to more expensive drugs often prescribed. Source: CNBC, ASPE

HOLIDAY SHOPPING

  • As the winter holiday season approaches, brands and consumers alike are planning their strategies. Nearly all U.S. adults (93%) are planning to shop for the winter holiday season. However, it seems the shopping season starts earlier each year and becomes less structured. In 2022, a shocking 45% of U.S. adults plan to do most of their holiday shopping before Thanksgiving this year and nearly 40% say it is not critical to shop on Black Friday or Cyber Monday because deals exist throughout the entire season. Additionally, as the economy causes individuals to cut back on spending, individuals prioritizing holiday gift giving will likely spread out their spending over a longer period to feel less financial burden. To capture the attention of the holiday shopper, brands must start their media campaigns far earlier than expected and continue all the way through the holidays. As consumers are looking for holiday cheer, brands should not be afraid of advertising with winter and holiday imagery early. And, as always but especially now with the high prices seen across the board, brands should push sales and promotions that ease the total cost consumers will face. Source: Mintel