thank you for being a friend (12.20.24)

Prepping for?CES, a recurring theme is the push and passion behind the concept of the "third space." A third space, or a social setting separate from home and work, has surged in popularity over the past few years post-pandemic. This trend is especially notable among younger generations, who seek spaces to meet people, build community, forge meaningful relationships, share ideas, and have fun.?

It’s why gym memberships (and attendance) have reached new highs, why?Barnes & Noble?has experienced a remarkable comeback (along with the growth of brick-and-mortar stores in general), and why more people are spending time in libraries, gathering in public parks, attending theaters, and frequenting cafes.?

Third spaces’ ability to provide a venue for connection—whether with familiar faces or new ones—and to foster relationships through shared activities or interests will remain a key driver of consumer behaviors and investments, particularly among younger Millennials and Generation Z, well into 2025.?

This trend also explains the rise of microtrends, such as Gen Z and Millennials joining “old-fashioned” chess, mahjong, and backgammon groups. As?The New York Times?recently noted, while many are drawn to fitness-focused third spaces like pickleball courts, others are opting for activities that are more mentally stimulating than physically taxing. These spaces offer an opportunity to connect in real life (IRL) while providing a break from always-on tech habits. The result? “The number of board game events organized using the invitation service Partiful quadrupled in the past year, the company said. The number of groups related to board games on Meetup increased roughly 10% per year from 2021 to 2023.”?

While the resurgence of board and tabletop games is one example of how third spaces foster analog engagement, this doesn’t mean technology—and brands—cannot play a role. On the contrary, as we move into 2025 and CES, we will see more technologies designed to use AI-based tools to identify, understand, and proactively support human emotional and mental needs, not just physical ones.?

For instance,?Booxtory, an AI-powered reading platform, makes books more accessible to those who find reading challenging, unlocking opportunities to confidently join book clubs. Similarly, the?Hypershell Carbon X, the world’s first outdoor exoskeleton, enables more people to participate in physical activities in third spaces, such as running or rock climbing clubs. We’ll also witness the evolution of out-of-home (OOH) technologies that transform mundane spaces—like bus stops—into hubs of human enjoyment and play. This new wave of proactive, rather than reactive, technology will help consumers maximize their real-world engagements, relationships, and environments.?

With these advancements come even greater opportunities for brands to find nuanced, natural, and scalable ways to create, elevate, and enhance third spaces, making them exciting and meaningful to consumers who seek connection and community. Third spaces could be your brand’s best friend in 2025. How are you planning to not only support your consumer’s desire for connection but also to facilitate, fuel, and participate in those connections??

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This is the final weekly POV?for 2024.

Here’s to a year filled with curiosity, growth, and adventure!?