Our guest author writes about the upcoming trends and how they will optimise advertising practices.
Smartphones have massively changed the way humans connect with the world. There is no secret in saying that it’s not just a device, but a representation of digital lifestyles. This is because the evolution of smartphones, coupled with the technological innovations and emergence of mobile apps, have made people quite reliable and dependent on them. They use their mobile for all their needs.
I believe that people have already started making smarter operations and decisions in a jiffy due to the convenience provided by mobile devices, which accelerates their usage more effectively.
Smartphones being portable, yet convenient pocket companions, efficiently connect brands with consumers. Currently, in the digital era, it's beyond just making phone calls. The devices enable marketers to discover new ways of making brand presence and recall. It's true that the digital advert ecosystem will, indeed, continue to evolve. I feel that advertisers need to stay updated and tuned with the ongoing market happenings to sustain their brands in the advertising industry.
So, here’s my opinion on the upcoming trends that will shape digital advertising landscape in 2023, and will optimise advertising practices.
This is taking the industry by storm, since gaming has become a powerful interactive approach to effectively tap into the right target audience and enhance brand awareness. Gaming pinnacle effectively generates in-app purchases, because it holds a netizen's interest with different rewards. Now people, especially Gen Z, love to call themselves 'gamers'.
Moreover, the gaming market share is projected to grow by $125.65 billion, at a CAGR of 12%, from 2020-25, because the ads in games are non-skippable and provide users with a non-interruptive experience (source: ).
Though marketers put innovative efforts to create a buzz around a brand; but the constant advancements in technology often make users aware of multiple mediums like the web, app, DOOH, OEM, OTT and even the physical marketplaces. In the digital industry, omnichannel means different ways of making online actions and, in future, this will revolutionise advertising practice.
Nowadays, users being mobile-first, never forget to take their smartphone along. This approach can provide them with a seamless experience. Moreover, marketers are also able to blend physical commerce with apps, as 82% of users consult their smartphone for the purchase that they think they should make in an outlet, but make it online due to automated product recommendations (source: ).
This high-speed Internet will bring more opportunities for better advertising. It will have a global market share of $620.72 billion by 2030. It will improves campaign quality and enhance its execution process (source: ). As a result, it will drive better user experience, because Internet penetration has made online operations seamless, quick and clutter-free that effectively engages a consumer with a campaign and generates quality CTRs with decreasing churn rate.
This strategy results in effective user acquisition and engagement, and will definitely lead to a boom in the digital landscape in near future, incorporating AI/ML predictive analytics and algorithms. Currently, AI is valued at $5.5 billion. It is forecated to reach $21 billion by 2030, because it analyses the data sources to determine the user’s action and streamlines their business operations (source: ).
Moreover, AI coupled, with Metaverse and AR/VR, also helps marketers in formulating ad strategies, as it gives users a much livelier experience of VR being physically available in the real world. This has massively increased the avenues of digital marketing, as advertisers can tap into the users across different geolocations.
There was a time when even the discussion of phasing out third-party cookies, gave advertisers a sleepless night. But when Google extended its timeline to fully make digital mechanisms cookie-free, marketers also proactively prepared themselves to adapt to the change. They are striving for an alternative way of advertising, wherein contextual advertising would help them and make a difference in their marketing practice.
It is also forecasted to amount to $376.2 billion by 2027, because the users better resonate with contextual ads, while consuming online content, which will effectively help marketers to scale campaigns, without relying on cookies (source: ).
Following the above-mentioned trends can help marketers give their advertising practices an extra edge and even be a game changer for the digital advertising universe. In future, these trends will optimise the campaign with effectiveness in its performance and insights.
(The author, Alok Pandey, is VP - sales & marketing, Xapads Media)