Experts advocate advertising trends that can’t be ignored in 2024
By Abimbola Mohammed
Industry experts have offered insights into the advertising trends that will shape and define digital marketing landscape in 2024. Stating this in a webinar organized by StackAdapt, a multi-channel programmatic advertising platform and attended by MARKETING EDGE, they projected 2024 global Ad spend to rise to 8.2% reaching $1trillion.
According to the industry thought leaders, while Europe is expected to see slower adspend growth of around 3.6% mainly because of economic conditions, the UK ad market is going to grow further by 4% in 2024 up to the value of 37.1 billion pounds. Social media is projected to soak up over 50% of total ad spend to slightly $227billion.
Jason Tansey, senior sales enablement specialist, StackAdapt, noted that marketers should focus on retention and reactivation in uncertain economic times. He argued that brands should really be focusing on existing relationships and re-engaging any customer that has drifted away as 77% of consumers who left a brand they were previously loyal to won’t come back.
His words: “First party data is going to be big, so marketers need to prioritize that within their strategies. Due to stricter privacy regulations, there is a decline in third party cookies and an increase in customer trust and privacy concerns.
“AI powers marketing, so marketers are going to be increasingly relying on AI technologies to help analyze the vast amount of data they’ve access to help them figure out what actionable insight they are and also to automate repetitive tasks. These will enable more efficient and effective campaigns.”
On Generative AI and AI solutions, he said: “AI will revolutionize marketing. AI technology and real-time personalization are becoming critical for marketing success helping companies grow market share and build stronger consumer relationships.
“Retail media is expected to take center stage in 2024 as it is fast becoming a buzz and major topic. It is expected to rise by 10% this year and 10.5% next year, bringing a total of 12 billion pounds, and that represents 13.6% of all adspend. On Amazon alone that is the destination for almost two fifth, so just over 37% of all ad spend in retail media.
“Looking at a survey carried out, two third of respondents believes retail will increase in priority over the next two years while 49% believes that it will some worth increase, and 70% believes that it will strongly increase.”
In the same vein, Chris Wilson, Account Manager, StackAdapt, noted that there has been a lot of talk around phasing out third party cookies by 2024, which will be the major strides.
“So by the first quarter of 2024, Google is planning to deprecate third party cookies for 1% of Chrome users and essentially testing deprecation in early part of the year and shifting to fully cookieless solutions by the end of next year. This will require a more sophisticated and planned approach for marketers as using cookieless solutions will be paramount by the end of next year,” he said.
On consumer trends, he noted that marketers respond to that by revaluating pricing, getting competitive edge through audience insight and redefining the concept of treats.
“Data audience and analysis mid post campaign will become more vital than ever. Categories qualified as treats such as dining out and skin care are still seeing growth. Europe is more likely than any other region to reduce spending across almost all tracked categories in the last 12months.
“Moving to the Era of Real-Time Personalisation, the two key stats here is that 49% of consumers when they receive irrelevant content or offers and 75% of consumers expect companies to understand their unique need and expectation. So personalised messaging is the core relationship marketing and about short-term wins or sales but providing the long haul.”
Wilson advised that, in order for brands to reduce attrition and continue growth, they need to develop personalized messaging that shows empathy and understanding, including individual likes, history and preferences while delivering them in moments that matter. This, he stressed, will mean collecting, understanding and activating more zero and first party-data throughout their entire messaging strategy.
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