With less than two months left in the decade, advertising is again entering a new phase of rapid expansion with customer experience front and center.
The explosion of data and identity management, combined with technical advancements in real-time signal detection and machine learning, present new opportunities to respond to consumers, but mastering this ability enables marketers to create “magic moments” — instances of hyper-relevant content, delivered at the perfect time and place.
We’ll see evolutions on the back end in terms of delivery and measurement — as well as on the consumer-facing end — through new creative deployments that enhance the brick-and-mortar shopping trip. Marketers will be held to a higher standard, both by clients demanding world-class performance and proof, as well as consumers who want relevancy, helpfulness and privacy from their brand relationships.
Achieving this balance won’t be an easy task, but the most progressive marketers will succeed in driving this industry toward a more customer-centric future because they took steps to evolve before it was too late. With that in mind, here are five ways we expect advertising to become more holistic in the 2020s:
Smart data will take priority over big data
Most marketers have heard the adage, “garbage in, garbage out.” For too long, the industry relied on sheer quantity of data with no quality metrics for making key audience assumptions. This mentality has had a detrimental effect on our industry, creating an ecosystem where people simply hate ads and brands focus on viewability over ROI.
To truly understand our audiences, we must first turn data from multi-channel interactions into smart, actionable insights. This involves not only understanding who the customer is, but what motivates them.
Progressive marketers will continue to invest heavily in identity graphs to tie critical data and behaviors to individual profiles across channels. Using data science and machine learning, marketers will then be able to advance their knowledge about consumers to new levels, employing new messaging tactics based not only on value, but also on what inspires action. Key nuances, like distinguishing a deal-seeker from a value-seeker, will lead to more engaging personalized experiences and ultimately better ROI for advertisers.
We’ll see a flurry of investment in real-time engagement
We live in a world where our technology predicts where we are going, what we are seeking and how long it will take to get there by recognizing our patterns and everyday behaviors. The benefits in terms of convenience and knowledge are addictive. Look no further than email, social and Alexa to see how real-time awareness and time savings from these interactions impact our everyday lives.
For marketers, capturing this lightning in a bottle has always been elusive — until now. The rise of real-time advertising, customer data platforms (CDPs), data science and machine learning have created the ability to detect purchases as well as online and real world location signals in real-time. This enables marketers to not only predict the next shopping trip, but what a consumer is likely to buy, when it matters most.
These sense-and-respond capabilities will enable progressive marketers to create experiences of enormous value at the moments that matter, such as triggering an offer of relevance upon entering a store or delivering a tailored experience at a specific time and location. The new decade will bring about massive investments into these technologies given their immediate ability to influence consumers during the actual purchase process. We’ll see budgets being specifically carved out to support real-time advertising and technologies as marketers optimize and convert users with greater effectiveness.
For consumers, it means that the in-store experience will continue to become more interactive, with mobile devices as the connecting point between e-commerce and brick and mortar. Brands that thrive in this environment will win by delivering meaningful creative that connects both online and offline worlds in a helpful and relevant way.