McCrindle’s just dropped their latest report: 2026 Trends of the Year: Navigating Change Without Losing Hope.
We’ve dug through the research and sat through the webinar, so you don’t have to! Here’s what matters if you’re running a small to medium business: the future isn’t something that just happens to you – it’s shaped by the decisions you make today.
These five societal, cultural and demographic shifts are already changing how your customers think, what your team expects, and where the smartest competitive advantage opportunities are.
The supply-demand squeeze
The Australian dream is fading. High immigration, limited housing supply, rising living costs, and declining fertility rates are all playing a part. Right now, only 56% of Australians see our country as one of opportunity – and 77% are seriously worried about money.
Younger generations (Gen Y and Gen Z) feel their hard work isn’t being rewarded the way it was for Boomers. The path to home ownership feels broken. A house now costs 14.1 times annual earnings, compared to 8.9 times in 2005.
The housing supply problem runs deeper than just not building enough. There aren’t enough skilled workers to build them. Developable land is too expensive. Construction productivity and innovation are low. Planning approvals are complex. And financial incentives aren’t working.
Takeaways:
- Recognise financial stress and housing insecurity impacting productivity, mental health and loyalty
- Create opportunities for knowledge sharing and collaboration across generations through conversations and mentorship programs
- Provide financial literacy resources (workshops, online tools) and resilience training (stress management, mindfulness sessions)
See also: Strategies to help you deal with financial stress
Shift to more intentional living
Since COVID, our priorities have shifted. We’ve flicked off the hustle culture and become more focused on connection, wellbeing and value alignment. In other words, we’re taking back ownership and living life on our terms!
Relationships are the new currency, with 51% of Aussies wanting to spend more time with friends and family. On top of this, we’re now seeing our jobs as a way to fund life, not the focus of it – a sentiment strongest for Gen Y (67%).
Boundaries have also become non-negotiable – with 54% of us setting them to live in alignment with their values. But while work has been demoted from identity to resource, meaning and purpose in work still matter.
Takeaways:
- Offer flexible work arrangements and respect boundaries
- Make your values clear and create opportunities for meaningful work and purpose-driven projects
- Shift from transactional (sending emails, completing tasks) to relational engagement (nurturing relationships, building rapport)
See also: Aligning business and personal goals
Productivity pivot and AI integration
AI tools have become commonplace, with 71% of workers now integrating AI into their workflow in some way. There’s still fear around its impact on jobs, but people are recognising its role as a partner.
Gen Y are leading the redesigning of workflows with AI, with 46% saying they often look for opportunities to do so. They’re also seeing the benefits, with 53% saying it opens up new levels of productivity and efficiency.
The areas where we’re using AI most include content generation, task automation, research and data analysis. But the workflow must be optimised for automation to work, and humans must be at the centre, guiding it.
Takeaways:
- Communicate benefits and address job security concerns – explain how AI complements roles and lifts productivity.
- Provide training and support for AI adoption so they can use it more effectively
- Audit workflows before automation to avoid amplifying inefficiencies
Search for brands with personality
Consumers are saying goodbye to faceless corporations and hello to businesses with personality behind them. We’re seeking genuine connection and authenticity from the people behind the products and services we buy.
Before personality, a business must have a baseline of integrity and trust – with 77% saying trusting an organisation is a key influencing factor in engaging with a brand and 66% saying reputation matters. We’re also looking for a human story.
Building a fun and engaging brand is key to engaging the next generation of consumers. Using humour is also a great way to cut through the noise, especially with Gen Z, as well as showing organisational vulnerability.
Takeaways:
- Share authentic stories and values of leaders through videos, blog posts and socials
- Inject creativity, humour and uniqueness into brand personality – create playful campaigns, witty messaging and interactive content
- Ensure transparency and consistency across all touchpoints – keep messaging aligned across your website, socials, emails and customer interactions.
See also: Strategic planning series
Feeling hope under strain
As a result of the rising cost of living, geopolitical volatility and polarisation, there’s declining optimism about the future of Australia – from 71% in 2021 to 64% today.
Our younger people feel a greater sense of agency and responsibility for the future, with 55% saying they have the agency to do this compared to 37% of Boomers. Their optimism for the future is also higher than older generations, perhaps due to this.
This means taking ownership is a core philosophy for the next generation. By focusing on what they can control (wellbeing, skills, values), they’re less reliant on external institutions.
Takeaways:
- Communicate realistic hope. Keep messaging balanced – avoid over-optimism or paralysing pessimism
- Show the steps being taken by clearly outlining actions and strategies to address challenges
- Foster a resilient culture that encourages learning from mistakes, calculated risk-taking, and proactive problem-solving
Turning these societal trends into action
So that’s what the big-picture societal landscape’s looking like next year, thanks to McCrindle’s data-informed crystal ball. Now it’s time to use this information to plan and help steer your business to continuing success in 2026.
