It's almost time – we are on the threshold of a new year. And because at ConnectAd we do not only keep up with the times, but prefer to stay one step ahead of them, we're already taking a glimpse into programmatic advertising's future. Today we present to you the topics that are going to shape our everyday work in2024 – and we also have to say: Buckle up! Because: The future starts right now. And we want to make sure that you don't just keep up, but that you always know where to go and what to do next!
Trend #1: The rise of programmatic ad spend is unstoppable
Even though we live in economic turbulent times, although marketing budgets are being cut in many places and cost-cutting measures seem to be the order of the day, programmatic is still on the rise. To be more precise: It will experience a solid growth in 2024. This applies above all to programmatic advertising in theUSA, Canada and China. But Europe is not far behind the "big players" either. Based on the latest data, the value of Europe’s programmatic ad market has more than doubled since 2017, with spending forecast to hit the100-billion-dollar mark by 2024.
Trend #2: The final end of third party cookies is near
Marketing without third party data is on its way – and not just since yesterday. By the end of 2024, however, Google will have phased out third party cookies once and for all. Gladly this doesn’t equal the end of online advertising, far from it. After all, Google generates really a lot of money from advertising. But it does signal a shift especially publishers should be prepared for. Or to put it another way: The clock is ticking and you need to find reliable workarounds soonish! From today’s perspective unified identifiers are the most promising solution to target users. If you start to work with them now, you are prepared for the big day.
Trend #3: Contextual targeting is on the rise
Given the aforementioned death of third-party cookies, contextual targeting is a programmatic advertising trend to keep an eye on. Moreover, it is something that is becoming increasingly important if you want to advertise effectively. It is obvious that users slowly but surely no longer want to see irrelevant ads in the wrong places. Ads that promote products or services that are relevant to a page’s content however tend to be far less annoying and therefore quite successful. So by matching context with content in 2024 we’ll be able to reach audiences right where it counts!
Trend #4: We rely on more In-App, In-Game and CTV ads
Talking about “to reach the audiences right where it counts”, this moto also applies to apps, games and connected TV such as Netflix and YouTube. They have all become indispensable, especially since the pandemic, and continue to enjoy enormous popularity. As almost all CTV providers have introduced ad-financed subscriptions this year and apps and games are also often ad-financed, there is enormous potential for programmatic advertising here too. To back this up with figures and facts: In-app advertising has already been hugely successful, supporting nearly 95 % of free-to-play mobile games. Big players, such as Sony and Microsoft, just announced their intention to put ads in their free-to-play offerings. And CTV advertising is estimated to grow by 10.4 % between 2023 and 2028.
Trend #5: Programmatic is becoming an in-house thing
Ten years ago only a few businesses managed their programmatic ad campaigns on their own. Nowadays the situation is different. Companies' desire for greater transparency within the programmatic process may have driven the switch. Advertisers have deepened their knowledge and programmatic hubs evolve wherever you look. Programmatic in-house teams are getting stronger and stronger.
Trend #6: Data protection will continue to improve
The worries and concerns surrounding data protection have not diminished in 2023. As consumers become more vigilant, our industry must prioritize transparent practices and ensure user trust. However, not only consumer preferences, but more importantly new regulations and legislative initiatives such as GDPR and the DSA (Digital Services Act) are having a major impact on how we handle data and will demand even stricter adherence to privacy standards in 2024. Programmatic advertising can only survive if it embraces this era of heightened privacy awareness and learns to navigate it successfully.
From the adoption of third part cookies to the conquest of new advertising spaces and more transparency in terms of data protection and co: 2024 is about to become the year of programmatic innovation, and we won't miss a single beat. You neither? Then stay tuned as we continue to explore, dissect, and celebrate the transformative trends that will shape our industry in the upcoming year! 🚀✨
