Is internal comms facing its Blockbuster moment?

Lee Smith
Minutes
25th July 2025
People-First Internal Comms
Human centred
Workplace experience
Culture
Human centred
Workplace experience
Culture
If you were around in the 1990s you’ll no doubt remember the video rental giant Blockbuster. Back then, if we weren’t raving on a Friday night, we were probably queuing at the local Blockbuster waiting to get our hands on the latest release. With 9,000 outlets worldwide at its peak, it was the go-to place for renting movies and games. Then it disappeared.
Blockbuster’s demise provides a cautionary tale. It didn’t die overnight. It had market dominance, millions of customers, and a clear niche. But as streaming quietly evolved, Blockbuster stood still — clinging to a model built for yesterday. It even famously passed up the opportunity to acquire Netflix for a mere $50m in 2004 (today it’s worth around $500bn).
The internal communication profession is now at risk of the same fate.
In our recent webinar ‘Reimagining internal comms for the AI era’, we kicked-off with a challenging question: What happens when 80% of your job can be done by AI?
Because, let’s be honest — for many internal communicators, that day is already here.
From writing content and crafting campaigns to managing channels and planning schedules, AI can now handle much of the tactical work we’ve built our careers on. Not only faster — but often better.
Like Blockbuster, we’re seeing the warning signs. But are we ready to change?
The internal communication profession is now at risk of the same fate.
In our recent webinar ‘Reimagining internal comms for the AI era’, we kicked-off with a challenging question: What happens when 80% of your job can be done by AI?
Because, let’s be honest — for many internal communicators, that day is already here.
From writing content and crafting campaigns to managing channels and planning schedules, AI can now handle much of the tactical work we’ve built our careers on. Not only faster — but often better.
Like Blockbuster, we’re seeing the warning signs. But are we ready to change?
A profession stuck on repeat
As we shared in the webinar, the stats paint a picture of a profession stumbling towards crisis:
- Just 13% of UK employees rate their internal comms as a 10/10.
- Only 30% experience genuine two-way communication.
- And just 28% say internal communication feels meaningful.
These are just some of the highlights from the recent IC Index research by Ipsos Karian & Box and the Institute of Internal Communication. They’ve been echoed in Gallagher's State of the Sector and other research reports for many years.
As we discussed during the session, feels like we’re stuck in a loop — still talking about the same old challenges and hang-ups – poor line manager communication, disengaged employees, lack of influence, no seat at the table, hit and miss measurement – like it’s 2010.
The world of work has moved on. Our people have changed. But have we? Or are we clinging to a model built for yesterday?
AI isn’t the enemy, apathy Is
This isn’t a doom-and-gloom prophecy though. It’s a wake-up call.
AI isn’t here to destroy internal comms. It’s here to force our evolution.
By automating the operational, AI frees us to focus on what truly matters: emotional connection, trust, empathy, insight, experience design.
In other words: the human side of communication — the part AI can’t do (at least not well).
Welcome to the People-First IC era
In our upcoming Kogan Page book, People-First Internal Communication, we describe three “ages” of internal communication:
1. Process-led (transactional, channel-driven, one-way)
2. Expert-led (campaign-focused, polished, but still control-heavy)
3. People-led (human-centred, co-created, emotionally intelligent)
We believe we’re now crossing the threshold into that third age. And it demands a whole new approach, toolkit and mindset — one rooted in design thinking, behavioural insight, facilitation, and above all, human strengths.
The IC skills of the future?
Empathy. Curiosity. Influence. Creativity. Courage. Resilience.
These so-called ‘soft skills’ are no longer “nice to haves”. They’re our survival strategy.
Evolve or fade out
So let’s stop obsessing over what AI might take from us, or worrying about our jobs. Let’s start focusing on what it gives us.
Time. Space. Insight. Possibility.
And let’s use those gifts to design experiences, shape culture, and bring meaning to the moments that matter at work.
Because this is our Blockbuster moment. And whether we fade or flourish is entirely up to us.
Miss the webinar?
Want to be part of the movement?
Join us in The EX Space as we build and equip a community of future-ready, people-first internal communicators. Sign up today for free and let’s double down on what makes us truly human.