Emerging Trends in Digital Media
Advertisers are entering an era of precise targeting and subscription-funded viewing platforms. Marketers are adopting more sophisticated online and mobile media plans to improve synergies across the overall media mix, comprised of online video content, news and information sites, special interest content sites, social media, gaming, online retail, review platforms and search.
According to Digital TV Research, more than 759 million televisions globally will be connected to the internet by 2018. Online video advertising will be the fastest growing ad format in 2016, driven by the increase in video consumption on mobile devices. Zenith Optimedia estimated that global online video ad spend totaled $10.9 billion in 2014, and this will grow at an average of 29 percent yearly to reach $23.3 billion in 2017.
Some of the emerging trends in the space of digital media include:
- Increased Demand for Programmatic: Demand for programmatic media buying in 2016 is expected to increase by 39.7 percent, thus contributing to 67 percent of global digital ad spending.
- Emergence of Wearable Technologies: According to a CMO article by Adobe, wearable technology will see a user adoption rate of 28 percent by 2016. That means there’s going to be a whole lot more data for marketers to mine.
- Spend on the Moment Marketing: In 2015, UK marketers spent 23 percent of their digital budgets on in-moment marketing for delivering reactive marketing campaigns.
- Effective Native Advertising: Native advertising is the practice of creating online ads that match the form and function of the platform on which they appear. Native ads receive 25 percent more impressions than standard banners, and register an 18 percent lift in purchase intent. Spending on native ads is predicted to reach $5.7 billion in the U.S. alone this year.
- Advent of New Data Tools: Rising adoption of exercises discretion and independent judgment conducting media planning tools such as @Plan and AdRelevance for negotiating, tracking and placing digital media ads is likely to be the future of media planning. Nielsen’s @Plan is a target-marketing platform for internet media planning, buying and selling. It reports demographics, in-depth lifestyle and brand preference data.
At present, companies are investing around 27 percent of their total media spend on targeting data across digital channels and data analytics platform. This percentage is expected to increase for the next few years as focus is moving more towards customized marketing campaigns.