Digital marketing experts predict ad spend of almost $300 billion last year, the US market leads competitors such as China and Japan by a wide margin. While digital advertising accounted for 67% of total global ad revenue in 2022, that number is expected to grow to 70% by 2025.
Dmitrii Khasanov, Founder of Meladia Agency and Strategic Development Advisor at Bets.io shares his predictions about what marketers can expect to see in 2024.
In 2024, the long-predicted decline of cookie-based advertising strategies is finally coming to fruition as major browsers like Chrome and Safari restrict the use of third-party cookies. With increasing privacy-centric regulations globally, such as the European Unions’ GDPR and local California’s CCPA, advertisers are compelled to prioritize first-party data. Investments in subscription offerings, newsletters, and tools for collecting consumer data are expected to pay off for those who have prepared, enabling them to deliver contextually meaningful content. However, the shift towards first-party data brings its own challenges, as privacy concerns become a consumer demand and governments enforce regulations, marking the end of the era where leveraging consumer data in secrecy was acceptable in digital marketing.
According to Dmitrii Khasanov, the significance of first-party data lies in its ability to comprehend customers and improve their product experiences, ultimately enabling the provision of a superior product over time.
CORPORATE SOCIAL RESPONSIBILITY & SUSTAINABILITY
In response to a growing demand from modern consumers who seek brands that resonate with their values, businesses are adapting by embracing social responsibility to foster consumer loyalty. This shift is evident in the emergence of socially responsible marketing campaigns, where businesses integrate advocacy for a cause or social issue with their products and services. Additionally, the rise of Gen Z social media influencers, who prioritize sustainable consumption, is contributing to this trend, further motivating businesses to align with socially responsible practices in order to connect with and appeal to a more conscientious consumer base.
NO VIDEO = NO GROWTH
A growing trend in the U.S. advertising market is the escalating demand for video content. Video has consistently been a favored format for advertising, providing brands with a dynamic and creative means to communicate messages to consumers. The surge in popularity of video platforms has facilitated marketers and advertising agencies with unprecedented access to video production and distribution. Additionally, the prevalence of streaming services like Netflix and Amazon’s Prime Video has opened up fresh avenues for marketers to reach consumers who are progressively moving away from traditional TV sources, presenting new opportunities for advertising.
INFLUENCER MARKETING MAKES WAVES
The ascent of social media has provided advertisers with diverse avenues for targeting customers, notably through influencer marketing. Influencers have become a formidable presence in the advertising landscape, with companies increasingly forming partnerships to leverage their influence in promoting products. Projections indicate that spending on influencer marketing is set to surpass $32.5 billion in 2023, underscoring the substantial financial investment businesses are making in this impactful marketing strategy.
As Dmitrii Khasanov explains, “The landscape of influencer marketing has undergone a great transformation in recent years. No longer tethered to the allure of celebrity endorsements and macro-influencers boasting millions of followers, brands are now gravitating towards nano- and micro-influencers, armed with smaller but fervently engaged audiences.”
Looking ahead to 2024, it’s clear that change is a constant in digital media and advertising. Those who don’t adapt will always be playing catch-up. Being ready to embrace new trends is crucial for organizations and brands to stay ahead in the dynamic landscape of the digital world.