Industry Insights: August 30, 2023

White Noise is Your Favorite Podcast, Apparently

Hey there, amazing readers!

Welcome back to another exciting edition of Industry Insights. We’ve got a lot to cover this week, from skyrocketing mortgage rates to eyebrow-raising marketing moves and even a sprinkle of fun facts to keep your spirits high. So, let’s jump right in!

Big-Picture:

If you’ve been eyeing that dream home, you might want to brace yourself. The US mortgage rate has shot up to a whopping 7.09%, making it the highest we’ve seen since 2002. Ouch! Combine this with the housing supply crunch and soaring home prices, and we’re dealing with a real challenge when it comes to housing affordability. But did you know 75% of US homeowners have mortgage rates of 4% or less? This is causing them to hold tight, leading to an even tighter housing supply. Hang in there, homebuyers!

To all the hardworking parents out there, we salute you! But we also understand the rising pressure on your wallets. Childcare costs are climbing at nearly double the rate of inflation, making it a significant budget concern for parents with little ones. It’s a reminder of the crucial role childcare plays in supporting working families and a nudge for policymakers to step up their game.

Buckle up because car payments are hitting the $1,000+ gas pedal. 17% of consumers are now committing to four-digit monthly car payments, up from a mere 4.3% in 2019. The average monthly payment sits at $733, which means Americans are forking out around 42 weeks’ worth of income for their new wheels compared to the pre-pandemic 33 weeks. Looks like the days of budget-friendly rides might be taking a backseat for a while.

Marketing-Industry:

Amazon is on the move! You’ll soon spot Amazon’s product ads beyond its kingdom to third-party websites like BuzzFeed, Hearst Newspapers, Pinterest, and Mashable. These ads will take you directly to Amazon’s product pages, and it’s all on a pay-per-click basis. This comes after Pinterest announced in April that it would be the first partner with third-party Amazon ads, making every Pin shoppable.

Speaking of Amazon, it seems like they are looking to ramp up a TikTok-like feed with videos showcasing products but have met criticism from influencers who are being offered a measly $25 per video. Talk about being paid in peanuts!

TikTok is making some tweaks in Europe to play by the rules. European users will soon have the power to turn off personalized feeds to comply with the European Union’s Digital Services Act after being criticized for being too all-knowing in handpicking videos based on personal attributes and interests.

Keep an eye on X (formerly known as Twitter), as it appears to be throttling down links to rival sites like Facebook and Instagram, as well as news outlets that have criticized the platform’s owner, Elon Musk. Thus far, Musk has shown little reluctance to use the platform’s tools to pursue personal grudges.

Just for Fun:

If you’re a Spotify fan who loves some white noise to snooze to, you’re in good company. But did you know that the platform may be curbing the trend now that white noise and ambient noise podcasts have reached 3 million hours of daily consumption?! That’s costing them a cool $38 million in profit each year for all those soothing sounds! Those numbers will keep you up at night!

In this era of rampant inflation, unconventional places are dishing out Silicon Valley-level salaries. Think $180,000 for managing an In-N-Out store or $170,000 for a UPS delivery driver. Now that’s delivering packages with a side of financial happiness!

LinkedIn might need a wake-up call in the love department. A remarkable 91% of women have reported receiving unsolicited romantic messages on the networking platform. Let’s keep this platform a professional network, not a dating app!

And there you have it, our juicy compilation of this week’s Industry Insights. We hope you’re as excited as we are about staying in the loop. Until next time, keep shining, stay curious, and let the world of trends and news continue to amaze you!

Bon appétit!

Your friendly Industry Insights devotee, 

JD