AHEAD OF THE CURVE: 5 ADVERTISING TRENDS OF 2024 THAT WILL REDEFINE MARKETING STRATEGIES

According to WARC‘s Global Ad Spend Outlook 2023-‘24 study, global advertising spends are projected to skyrocket by 8.2% in 2024, catapulting the market past the monumental $1 TN mark for the first time in history. So, what lies ahead for marketers?

Top 5 advertising trends of 2024 that marketers should know

Let’s take a look at the top advertising trends of 2024, that will define how advertisers – brands & marketers alike, should plan their branding activities over the rest of this year.

1) AI infused in ad creative science and conversational marketing

While AI is already transforming digital media, its full potential remains largely untapped. Looking ahead, one of its most exciting applications will be in creative science.

According to Kantar’s Media Reactions study, 76% of marketers emphasize testing all aspects of campaign creatives. AI solutions offer cost-effective alternatives to traditional survey methods, providing valuable insights through real-time feedback and rapid analysis.

As we approach 2024, AI-driven conversational marketing is not just a passing trend; it’s a game-changer. Verint’s 2023 State of Digital Customer Experience report reveals that 80% of customers anticipate AI-powered interactions to enhance their ad experiences significantly. Brands leveraging AI in their marketing strategies are not only keeping pace with digital marketing trends but also meeting the evolving needs of their customers.

See how Godrej collaborated with mCanvas by taking the AI-enabled ad gamification route.

2) dominance of interactive & short-form video content

The upsurge of TikTok, YouTube Shorts, and Insta Reels is transforming video marketing, showcasing the dominance of short-form content. This engaging format is ideal for today’s shorter attention spans.

Brands can utilize short-form videos for storytelling, product launches, and customer testimonials. These impactful videos can highlight new products and real stories, or use interactive formats to engage viewers with the latest smart device features.

3) CTV is here to stay (and gradually grow) in 2024

Connected TV (CTV) usage is on the rise, with 83% of American households equipped for CTV, as viewers shift from traditional broadcasts to streaming. Global CTV ad investment hit $25.9 BN in 2023, and is projected to grow at a 10.4% compound annual growth rate over the next five years.

Despite this growth, CTV media owners are primarily vying for traditional TV budgets rather than gaining a share from digital channels like social media or tapping into new budgets. The retail media category has witnessed the fastest growth in ad spend budgets, with a 94.6% increase in OTT spending since 2019.

Take a look at our innovative offerings on CTV here:

4) real-time brand tracking: ON

Marketing Week’s Language of Effectiveness Study 2023 reveals that 42.5% of marketers prioritize brand marketing over performance marketing, with only 23% integrating short and long-term measurements.

In light of current economic volatility, brand tracking gains significance as we approach 2024. Businesses must prioritize building long-term brand equity to navigate uncertainty effectively. Fortunately, emerging technologies enable ‘always on’ brand tracking. Pioneering research firms like Kantar and YouGov are transforming how brands gauge real-time alignment with customer expectations.

5) a revolution in retail media

In 2024, retail media is set for massive growth, as indicated by GroupM’s 2023 Global Mid-Year Forecast report, which reveals a 9.9% increase in advertising revenue from retail media channels, reaching $125.7 BN by 2023’s end and expected to surpass television revenue by 2028. WARC Media’s latest Global Ad Trends report predicts Amazon to emerge as the major beneficiary this year, with ad investment projected to hit $141.7 BN in 2024.

Moreover, retailers utilizing their channels for advertising are increasingly leveraging their user base for data collection, a trend expected to intensify in 2024 following the discontinuation of third-party cookies. Brands will need to pivot towards subscription-based models, prioritizing ethical and customer-centric data collection practices.

As a result, brands, particularly major players in retail, sales, and consumer durables sectors, will intensify efforts in 2024 to offer discounts and price deals, aiming to expand their consumer base, enhance user retention, and bolster customer acquisition.

Explore how mCanvas collaborated with global retail brand Lee Cooper to achieve 18X higher CTR, and reached over 6MN users with an immersive ad that leveraged motion sensors.

Read our blog about other key trends and statistics of interactive ads that are reshaping the advertising landscape, that will highly interest you!

Marketers are optimistic about 2024, despite economic worries

According to WARC’s The Voice of the Marketer 2024 and The Marketer’s Toolkit survey, a majority of marketers worldwide express cautious optimism for 2024. Economic concerns like recession and inflation weigh heavily, but a notable 61% anticipate business improvements. Two-thirds foresee economic downturns impacting strategies, with rising costs also a concern. However, 41% predict increased marketing budgets.

Regionally, differences emerge, with 37% in Europe and 35% in North America expecting budget boosts, while APAC stands out with half anticipating growth.  Despite uncertainties, marketers remain resilient, ready to innovate in the digital marketing landscape.

So, what else does 2024 have in store for you?

The advertising landscape for 2024 presents notable shifts in spending patterns across sectors, channels, and regions, as per WARC’s Global Ad Spend Outlook 2023-‘24 study.

Financial Services leads with an 11.5% increase, followed by Technology & Electronics at 11.3%, and Pharma & Healthcare at 11.0%. Retail maintains its dominance with an 11.1% share of total ad spends. Social media emerges as a key player, capturing 21.8% of total spends, while Retail Media sees steady growth at 10.5%. CTV is set to surge by 12.1% to reach $33 BN.

Geographically, the USA remains a significant player, accounting for 31.3% of global spends, approx. $326.7 BN. The Middle East and South Asia show promise, with India’s market expected to rise by double digits.  In South-East Asia, Singapore and Indonesia lead the pack with growth rates of +5.0% and +7.8% respectively, outpacing other markets in the region.

So, looking at the market numbers forecasted for this year, past impactful ad campaigns for renowned brands, and keeping the above 5 advertising trends of 2024 in mind, it’s time for your brand to get on board with mCanvas for experiential storytelling across smart devices. Reach out to us here!

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