Germany is in a state of upheaval – due to the relentless change in the world and because of domestic challenges. What does this mean for the communications market and its players? And what can CCOs in other parts of the world learn from it?
1. The job market is getting tighter.
For a long time, the communications market in Germany seemed decoupled from the overall economic situation and even experienced a special boom when the coronavirus pandemic broke out. In the meantime, hiring freezes and redundancies have also found their way into some communications departments.
Communications professionals can counter these developments by focussing on sectors (such as energy and pharmaceuticals) and functions (such as public affairs) where there is still a need. They can also work intensively on promising developments such as AI. One thing is clear: the tighter the market, the more flexibility and willingness to compromise are required. This can also mean having to step out of your comfort zone.
2. The second row is being remodeled.
Large communications departments often still have rigid areas of responsibility with large headcounts and static reporting channels, for example for internal and external communications. This structure is increasingly being scrutinised due to cost-cutting pressures, efficiency efforts and efforts to achieve flexibility.
Silos are giving way to more dynamic, project-based set-ups with flatter hierarchies. When new CCOs join a company, they most likely question the roles of their ‘first officers‘. For people who are used to traditional roles, this means a rethink in terms of self-image, title, headcount, leadership aspirations, career paths and possibly also salary levels.
3. Companies are taking public affairs more into their own hands.
2025 will once again be a year of radical (geo)political upheaval. Trump is back in the Oval Office, elections are being held in Germany, crises and wars are coming to a head. To maintain their licence to operate and assert their interests, companies are increasingly seeking direct dialogue with key political stakeholders and are expanding their public affairs capacities – in addition to or even as an alternative to what they have previously placed in the hands of agencies. Candidates specialising in governmental relations, political communication and corporate affairs are therefore generally in a good position.
4. AI has arrived in everyday working life – and will continue to change it.
The hype surrounding artificial intelligence has given way to a more pragmatic approach. Communications departments are working hard to embed new technologies strategically and implement them operationally so that they can work more efficiently without damaging their credibility. This is a challenge given the mix of liability issues, privacy regulations, ethical considerations, rapid technological change, acceptance concerns, cost efficiency and so on.
Communications professionals would do well to take part in these considerations and engage with new developments: In 2025, this could be digital agents and the value-added aspect of AI. There are also a few soft skills that are essential regardless of any trends: A willingness to change, a sense of adventure, a willingness to experiment and a tolerance for frustration. Managers also need the ability to encourage those who find it difficult to set off so that they are not left behind.
5. HR and communication are moving closer together.
HR work is becoming increasingly in need of explanation. Management decisions such as downsizing and restructuring need to be communicated, as does the implementation of new legal requirements. In addition, HR managers need to be well-positioned in terms of communication. Concerted employer branding is essential to attract top talent.
The truth is, however, that as sensible as the alliance is, not everyone involved will seek it. There will still be conflict and parallel structures will continue to be created (e.g. CHROs forming their own communication units).
6. Taking a stance is becoming more demanding - and more scrutinised.
For a long time, taking a stance on social issues seemed to be driven by the situation, but it is increasingly subject to the professional criteria of corporate communication: does the topic fit in with the business strategy, does the attitude match the company's values?
The social and political backlash that can be seen in many places regarding diversity, climate protection and sustainability is causing companies to critically evaluate which topics they should and should not position themselves on. Communications professionals need to be prepared for increasing headwinds. In times of scarce resources, more companies may also decide to focus their efforts on communicating restructuring, cultural change and sales communication.
Philip Müller is the Co-Country Chair for Page in Germany and MD at the Executive Search Consultancy PRCC