Top digital advertising trends and predictions for 2023
#BlogPost
Published: 18 January, 2023
The advertising industry is always in for a number of significant shifts as well as new opportunities, and the coming year will be no exception. We are going to have to let go of what we have long believed to be the case and open ourselves up to new and developing pathways. But where there is a change, there is also an opportunity. In 2023, digital advertising could be very successful for smart marketers who are ready to grow with the changing business environment. In this article, we’ll share with you some of the trends that have emerged in digital advertising and give you some predictions for what's next.
First-party data dominance
As businesses get ready for the time when third-party cookies will no longer be used, first-party data is quickly becoming the new key to success in digital marketing. More and more attention will be paid to protecting personal information and following data regulations. As a result, cookies and data from third parties will soon become useless. People pay more attention to ads that are tailored to their specific preferences and requirements. However, they are also more concerned about the use that is being made of their personal information. When it comes to providing such a personalized experience, tailored messaging is crucial. However, delivering such an experience while following all of the privacy changes that have been implemented is a challenging task. How a company handles customer data is becoming more and more important to its ability to gain or lose trust and reputation. Any inappropriate use of personal information can hurt the confidence of both consumers and advertisers in a big way. Because of this, anyone who uses first-party data strategies throughout the customer journey must put privacy first. The most obvious benefit of first-party data is that it can help you increase repeat sales by giving you a better understanding of your current clients. Customers, on the other hand, must comprehend how the value they receive from sharing personal information relates to the information they provided.
The power of cookieless targeting
For a number of years, marketers had access to a veritable treasure trove of consumer data, including User IDs, user interests, previous behaviors, previous purchases, and other data that they could use to drive their strategic marketing decisions. Nevertheless, that period of time is coming to an end soon. To reach customers online in 2023, digital advertising strategies will have to move away from targeting methods that rely on cookies and toward methods that don't need cookies.
Cookieless targeting strategies are an alternative to the traditional behavioral strategy, which focuses on ensuring that ads are relevant to a particular user on an individual level. Cookies are becoming a more important part of advertising, which means that this strategy will continue to grow in importance in digital media. Due to cookieless targeting, advertisers now have a second chance to expand their strategies and try out new marketing methods that can deliver results.
Escalation of CTV
2023 marks a new age of CTV. Because the format lets marketers target specific parts of their audiences, it is well worth their time and money to use the format and take advantage of the one-on-one interactions they can get from it.
The market for connected TVs has experienced explosive growth over the past two years, resulting in a number of new advertising opportunities for brands. With giant streaming platforms embracing ads, the CTV landscape is becoming advertiser-friendly, making it convenient for advertisers to connect with audiences with ads relevant to their interests. This makes it easier for marketers to connect with audiences through the distribution of ads that are relevant to users' interests.
Consumers will also benefit from this change because it will make it easier for them to keep streaming the content they like most without having to pay for expensive subscriptions. This is because products that are paid for by ads will be available at a lower price. In addition, advertisers are able to engage and interact with a whole new demographic of potential users because of the capabilities offered by CTV advertising. Advertising on CTV helps businesses reach customers with ads that are relevant to them and their situation. It also lets them track campaigns that run on multiple platforms and devices.
In-app advertising boom
Since in-app advertising is becoming more and more important, 2023 is a great time to add this channel to your mixed-media strategy. Because so many people have phones and game consoles, in-app ads have been very successful and are now used by people of all ages and backgrounds. People of diverse ages, genders, and demographics make up the in-app audience, and they have a wide variety of interests.
It's been proven that adding in-app advertising to your marketing mix will not only give you more options but also get you better results. Users who interact with in-app advertisements will view 4.2 times as many products on your website compared to users who arrive at your website through organic means. This finding applies to users who engage with in-app advertisements. This is great news for companies, as it shows that more touchpoints will boost the probability of paid conversions. It is also a very precise channel to work with because it allows one to target or retarget specific customer profiles with a tailored message.
Multiple channels/devices
One of the most effective ways to be successful in 2023 will be to use a multi-channel advertising strategy that lets you talk to customers at every stage of the sales funnel. Advertisers and marketers should use a variety of touchpoints, such as native, display, video, audio, connected TV, and in-game ads, to keep in touch with their target audiences across different channels.
When you use different channels that work well together, you can reach a larger target audience, which leads to a higher return on investment (ROI). In addition, it helps you come up with a personalized strategy for the whole customer journey.
The best way to get started with multi-channel advertising in 2023 is to partner with a programmatic platform that supports multi-channel advertising campaigns, gives consolidated reporting on a single platform, and lets you use your content on different advertising channels in different ways.
The digital advertising industry has grown by leaps and bounds over the past few years, and it looks as though it will continue to do so in the future. This growth has challenged the standards of digital advertising, causing marketers to create new ways to reach their target audience. As we move forward into 2023, we will be able to look back on the trends that dominated 2022 and see how they have shaped the digital advertising industry. We hope that this article gave you an overview of the most important changes in digital advertising this year and that you can use these changes to your advantage in your next ad campaign.