Digital is going nowhere. We will see digital budgets continue to increase and eclipse traditional. The world continues to move toward digital, and the way we consume content is increasingly moving towards streaming and multi-device.
Ad tech’s week within the German spotlight has come back to an in-depth, with lots to deem for the forty thousand advertising and marketing technology delegates at Dmexco.
IAB Europe opened the Dmexco conference, organized by Koelnmesse, with some eye-popping numbers.
The budget on programmatic advertising is increasing, topping 16.7 billion euros ($18.4 billion) in 2018, more than a year since General Data Protection Regulations (GDPR). However, the sense of momentum at Dmexco in previous years was changed with a somber sense of realism as U.S. regulators prepare to take the cue of their Europe-based counterparts and double-down on data governance.
That said, here are the highlights of what we learned from the DMEXCO 2019.
1. New Age Of Advertising
As consumer technology advances, advertising and marketing strategies by all industries must adapt, too. The advancement of cognitive technologies and programmatic further underscores the need for better checks and balances.
While the advertising industry today is still fine-tuning a balance between traditional and new-age ads, the push for two-way engagement with social media has proven to be strong and effective, with the majority of ad revenue coming from digital.
The question that then comes up is, what is the next big change? What will be the next innovation that changes how we connect with consumers?
2. Tailored Creatives With Artificial Intelligence
AI will not only streamline programmatic but enable tailored creative and messaging to audiences on the fly. Someday, AI-driven ads may anticipate a consumer’s purchase consideration, and their wants, needs, and interests, serving to message that’s one-to-one so we can only dream of now.
But as the adage reminds us: garbage in, garbage out. These technologies will not solve digital advertising problems and can only help if a strong foundation is in place.
3. Advertising Companies Have To Be More Innovative
Advertising companies have to be more innovative. Once upon a time, the advertising industry faced a duopoly market Google and Facebook dominated which. Although they still dominate the market, other big advertising agencies are coming together to become one. Moreso, some big firms are thirsting for the waters in the advertising space.
Competitors would have to cooperate for the greater good. There is a will to work towards a commonly held goal: greater brand spend? In the coming years, there will a shake in the advertising industry and the survivors will be those with unique content and strategies.
To see all major partners fully committed to making this work within six months, from inception and delivering over a trillion impressions as a baseline, is magnificent. It will add more value over time.
4. First-Party Data Remains King
In today’s world, advertising is completely data-driven with almost every facet of marketing leveraging data. Many of our most trusted tactics, such as remarketing, re-targeting and personalization are influenced by data. The three main types include first-party, second-party and third-party data each with their advantages and challenges.
With a successful marketing campaign, first-party data will always be the best data source to use. First-party data is one of the best sources of data available because it is information that the company already collects from CRM data to web analytics data to customer feedback.
But then, they create not all data sources equal and just like the influence of food has on our health, the quality of the data we use for our marketing strategies significantly influences the performance of our campaigns. It’s exclusive, is unique and rich, has more value, creates tailored experiences and much more. Hence, first-party data remains the king.
Digital is going nowhere. We will see digital budgets continue to increase and eclipse traditional. Also, the world continues to move toward digital, and the way we consume content is increasingly moving towards streaming and multi-device.
Do you have any thoughts about how the advertising industry has made a change? Tweet us @hello_dochase or leave a comment below!