The new year is finally here. If you haven’t already begun planning your paid media advertising strategy, it’s time to start. Not sure what to focus on with internet advertising and marketing this year? If so, this guide is for you. Below, you’ll learn about the most interesting and exciting paid media trends to expect in 2023.
1. Focus on First-Party Data
Third-party cookies are slowly but surely on their way out, and first-party data is coming in hot.
First-party data is data about your customers that you collect yourself. It can come from various places, from business cards distributed at trade shows to email list sign-ups on your website.
In 2023, brands will start phasing out third-party cookies to learn about their customers and, instead, will focus more on creating effective first-party data strategies.
2. SSP and DSP Convergence
Along with changes in the types of data advertisers rely on, business owners will also notice a convergence between SSPs (supply-side platforms) and DSPs (demand-side platforms).
SSPs are used by publishers, whereas advertisers use DSPs. In 2023 and beyond, SSPs will start forming partnerships with media agencies (which used to be facilitated by DSPs).
As a result of these partnerships, professionals will see increased diversity and the development of a more holistic approach that connects buyers, sellers, publishers, and data platforms in one convenient location.
3. Contextual Advertising
Contextual advertising involves strategically placing ads on web pages that contain relevant content. For example, laptop ads might appear on a tech news site because readers, presumably, are more likely to be interested in buying those kinds of products.
Many marketers find that contextual advertising is more accessible and more affordable than behavioral advertising (which places ads based on a user’s past behavior). It’s also not subject to the same privacy laws (including the GDPR) as behavioral advertising.
4. CTV Advertising
In 2023, connected TV (or CTV) advertising will also become more popular.
CTV ads appear alongside streaming content. Examples include in-stream ads, online video ads, and interactive ads.
By 2024, CTV advertising spend is expected to increase to $18.29 billion (up from $14.11 billion in 2022). The sooner brands can jump on this train, the easier it’ll be for them to get ahead of their competitors and connect with their target audience in a new way.
5. Programmatic Retail Media Networks
Traditionally, retail media networks have been closed-loop ecosystems. In other words, e-commerce sites provide a self-serve interface that allows advertising partners and agencies to only place ads on their inventory.
In 2023, brands will start to see an increase in a programmatic approach. Retail media inventory will be linked to offsite properties and third-party media options. This approach will allow for omnichannel reach and expanded retail advertising campaigns.
6. DOOH Advertising
Over three-quarters (76 percent) of marketers globally plan to increase spending on digital out-of-home (or DOOH) advertising in 2023.
DOOH takes traditional out-of-home advertising (such as billboards) and levels them up with AdTech, like geofencing, retargeting, and detailed measurement strategies. For example, the ad content of an outdoor sign could change based on each person who walks past it.
DOOH advertising is still a long way out from becoming the norm, but based on spending plans for the new year, it’s safe to say that marketers are excited about its potential.
7. In-Game Advertising
In-game advertising spending increased by 14 percent in 2022, and it’s on track to continue rising in 2023 and beyond.
In 2023, in-game ads will become more sophisticated and personalized to each player’s unique interests, behaviors, etc.
Many brands will also work on integrating ads, so they become part of the game itself. This improvement will allow for a more seamless gaming experience.
8. Automation and Machine Learning
Automation and machine learning are also going to become more prevalent and sophisticated in 2023. In the paid media advertising world, marketers will be able to utilize automation and machine learning in several ways, including the following:
- Automating workflow with scripts
- Implementing automated recommendation software
- Using responsive search ads (RSAs)
Marketers can also take advantage of features like Performance Max campaigns, which gives Google Ads more freedom in optimizing campaigns.
9. Video Ads
Video ads aren’t new by any means, but they’ll become more prevalent in 2023, especially in paid ads.
From CTV advertising to YouTube advertising, there are many ways marketers can incorporate more videos into their paid media strategy. Investing in these ads now will help them gain an advantage over competitors and reach a larger, more engaged audience.
10. Voice Search
Millions of people in the United States rely on their devices’ voice search feature, and that number is expected to grow even more in 2023.
When creating your brand’s paid advertising and social media management plan for the new year, be sure to optimize content for voice search.
Optimization might include utilizing long-tail keywords, which are more likely to show up in voice searches than text searches, as well as including frequently asked questions and a more conversational tone.
Bonus Paid Media Trends to Expect
Keeping up with the latest social trends is the first step to improving your approach and connecting with your audience.
For more help with business-to-consumer or business-to-business online marketing, consider these bonus tips:
- Conduct audience research: The more you know about your ideal customers, the easier it is to choose the right advertising platforms, formats, etc.
- Utilize your organic content: Pay attention to organic content performance to learn more about your audience, their preferences, and more.
- Partner with a social media agency (or social media marketing/SMM agency): A media agency, content marketing service, or any other company that offers SMM services can evaluate your current strategy and suggest practical changes for better outcomes.
These tips can help you get the most out of your social media advertising budget and ensure you see the greatest return on your investment.
Learn Paid Media Trends to Expect with Socialistics
Between the switch from third-party to first-party data and an increase in optimization for voice search, there’s a lot to keep in mind when planning your advertising and social media marketing strategy for Q2. That’s why we listed the paid media trends to expect in 2023 above.
Want more help planning and executing your paid ads? If so, consider partnering with a marketing agency with social media expertise. Contact us today to get started. You can also check out our case studies and social media content examples to learn more about our work.