Will Bosanko, Brandpie’s Managing Partner, Energy, attended this week’s EIU Energy Outlook event, which explored the key trends impacting the future of the energy sector — underscoring the delicate balance between growth, geopolitical tensions, and the pressing need for decarbonization.
But what do these analyst predictions mean for brand leaders across the industry? Here are Will’s three main takeaways from the event:
1. Show resilience in a slow-growth environment
In 2024, we are on the brink of a paradoxical scenario: a global economy characterized by decelerating growth (with global GDP growth expected to dip from 2.5% to 2.3%) and a simultaneous, albeit moderated, increase in global energy consumption. We heard that Asia, China, and Europe look set to see stronger momentum, though with a significant caveat: high interest rates, supply chains, and political risks will continue to impose constraints.
This environment presents a unique challenge for brand leaders, where the emphasis must be on demonstrating your business’ resilience and adaptability. To do it, leverage your purpose and activate it through your brand — doubling down on the ambitions of the organization, and how your work through difficult times will connect to what the world needs in the long-term. The strategic stability through uncertainty will reassure your stakeholders.
2. As the transition accelerates, it’s time to future-proof your brand
Despite a balanced market and stable oil prices, the energy transition is unmistakably underway, marking a definitive shift towards renewables. With over 400GW of renewable capacity installed in 2023—a historic high—the trajectory for 2024 and beyond is clear. We’ve also seen a perception shift in renewable energy; now perceived not just an environmental imperative, but a driver of energy security and economic advantage.
To maintain relevance, leaders must align their brand with the accelerated shift towards future energy sources. Last year, we uncovered that 98% of energy leaders are now preparing to evolve their brand to meet the demands of the transition — but time is running out. In 2024, brands must position themselves effectively and authentically within the wider narrative of the transition — ensuring they not only power positive progress but stay top-of-mind and responsive to the changing needs of their customers.
3. Embrace a mindset of opportunity to meet net-zero
Will we meet our decarbonization goals? The road to net zero is still fraught with challenges, yet ripe with opportunities. This week’s outlook highlighted that while fossil fuel demand is expected to peak this decade, the relentless march towards electrification, particularly in the transport sector, will underscore the critical need for major innovation in renewable energy technologies, materials, and infrastructure.
For brands, this landscape highlights the need to be at the forefront of innovation within the decarbonization effort. Sustainable business is not just an environmental imperative, it’s an enormous opportunity. By mobilizing a culture of R&D and innovation internally, and actively collaborating with likeminded organizations externally, brands will not only expand their offer and impact, but secure competitive advantage in a new economy.
In conclusion, this week's Energy Outlook underscored the power of purpose, brand, and culture to provide clarity through the energy sector's complexity. By embracing innovation, advocating for sustainability, and demonstrating resilience, we believe brands can lead the way in the energy transition in 2024 — turning challenges into opportunities for growth and impact. Let’s talk.
