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Brand Disruption 2021
The IAB Annual Report on the Evolving
Consumer Ecosystem
November 2020
Sponsored by:
x
This report was produced by IAB. The final report, findings, and recommendations were not influenced by sponsors.
The Indirect Brand Economy (1879 – 2010) required tightly woven supply chains and
physical stores…
consumer
publisher
finance
sourcing
advertising
manufacturing brand agency
logistics retailer
distribution
integration
… While the Direct Brand Economy (2010 - ) rewards agile outsourcing and scaled
individual relationships
3
1. The COVID Disruption
4
One Big Takeaway
COVID accelerated the transition from a
brick-and-mortar consumer economy to a
“storeless” economy by up to 500%, permanently
altering the brand value chain.
The U.S. economy is becoming storeless: Physical store closings will rise ~3x in 2020
U.S. Store Closings
US Store Closings
30,000
25,000
25,000
20,000
15,000
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