Business Trends You Need to Know for 2025
Stephen Garber
Transformative Executive Team Coach - Connect to see how Lloyds Bank, Rolls Royce, Accenture, and PwC achieved transformative team results
2025 is shaping up to be a dynamic year in the business world. From the rapid advancements in artificial intelligence and the rise of the creator economy to the growing emphasis on sustainability and the evolving nature of work, businesses must find ways to stay competitive. We will explore here key business trends shaping the landscape of 2025.
It’s never too soon to start thinking about what’s coming next. The way we work has changed radically over the last few years and in ways few could have predicted. Are these changes here to stay, or will we see new work and business trends in 2025? Here are some predictions some experts are making for next year.
Doubling down on remote work
Remote work, hybrid work, and returning to the office: Businesses have taken a scattered, often inconsistent approach to allowing employees to work from home. And in 2024, many?high-profile brands?— including Google, Farmers Insurance, Disney, UPS, Boeing, IBM, and Amazon — required employees to return to their offices.
Return to office (RTO) mandates are becoming more prevalent, but they’re having mixed results. “Return-to-office mandates at some of the most powerful tech companies — Apple, Microsoft and SpaceX — were followed by a spike in departures among the most senior, tough-to-replace talent,” reported?The Washington Post. “High-ranking employees stayed several months less than they might have without the mandate, the research suggests — and in many cases, they went to work for direct competitors.”
RTO policies come at a time when most employees prioritize greater work-life balance.?Accenture’s research?found that 52% of people prize work-life balance above all else. In 2025, leaders who continue to embrace flexible work, hybrid and remote models, and?asynchronous communication?will be able to retain their best employees and attract new ones.
AI integration will continue
The 2024 “Empowering Small Business: The Impact of Technology on U.S. Small Business” report found that small businesses are optimistic about using artificial intelligence (AI) and integrating it across their operations. Forty percent of small businesses claim they use generative AI — nearly twice as much as last year (23% in 2023). Moreover, nearly 80% of small business owners plan to adopt emerging technologies, including AI and the metaverse.
The use cases for AI are expanding too. Early AI tools could handle basic tasks: automating social media posting, basic customer service inquiries, and streamlining bookkeeping. Today’s tools can do far more to improve your business performance.
Human resources AI is one segment that’s become sophisticated. “As we head toward 2025, it’s clear that AI isn’t just buzz anymore – it’s a game-changer for HR when it comes to compensation,” said?Sara Hillenmeyer, senior director of data science at Payscale, in US News & World Report. “We’re talking about easier ways to find the data you need, repeatable and explainable methodologies for market pricing your jobs, and strategic deployment of your compensation budget.”
Resilience will be more than a buzzword
Economic conditions, political transitions, and international security concerns have impacted businesses of all sizes over the last year. From the ongoing conflicts in Ukraine and the Middle East to inflation, consumers — and, therefore, business owners — are uncertain about the future.
Many merchants will take a more pragmatic, proactive approach to this uncertainty. Resilience — the capacity to survive and adapt in the face of unexpected disruptions — will be a key topic in 2025 as businesses figure out how to mitigate risk.
“Understanding how risks like supply chain disruption, skills shortages, and even the likelihood of future pandemics could impact operations is critical in order to build the capacity to respond proactively,” wrote?Forbes. “With its predictive capability, technology like AI is sure to play a role. But so, too, is the adoption of agile practices, including dynamic supply chains and flexible workforce management.”
Business continuity and resilience will be key to serving consumers with confidence in the coming year.
Shoppers love social commerce
Social commerce refers to selling products or services directly through social media platforms, and it’s one of the hottest trends. Instagram, Pinterest, Facebook, and TikTok all offer built-in social commerce tools that make it easy for consumers to browse and purchase without leaving their newsfeeds.
For small businesses, social commerce conversion rates are promising. More than?80% of shoppers?use Instagram and Facebook to research products. Shopping is a top priority for?48% of Pinterest users. Capitalize on this high purchase intent by setting up a social commerce storefront that turns passive scrollers into active shoppers.
Sustainability is still a shopper’s priority
Sustainability is now a key consideration in a consumer’s purchasing decision. Research from?Forrester?shows that over half of U.S. consumers factor their values into their shopping choices. Consumers from every generation are?willing to pay more?for sustainable products.
“While sustainability isn’t new to retail, 2025 marks the year when it becomes a core business driver rather than a nice-to-have initiative,” wrote?Bernard Marr, a world-renowned futurist, influencer, and thought leader. “Retailers are implementing carbon footprint tracking on products, offering climate-impact scores alongside nutritional information, and creating circular economy business models. Some innovative retailers are even experimenting with climate-responsive pricing, where products’ costs reflect their environmental impact.”
Sustainability in 2025 will be more urgent as leaders and governments seek to address climate change and other sustainability challenges will become even more pressing.
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