There’s no doubt that the advertising industry is facing strong headwinds as we approach the year’s end. Consumer spending is down, inflation is up, and there’s a looming recession.
These challenges will require marketers to remain nimble: an eMarketer study found 50% of US marketing leaders plan to change their marketing channel investments in the next six months as a result of the economic outlook. We’ve never experienced this level of agility with the hefty scale of digital advertising today.
With challenges come opportunities. Though MAGNA reduced its overall 2023 advertising forecast, it still expects digital ad sales to grow by 10.5%. This is in large part due to connected TV (CTV), which will see 33% growth in 2023 thanks to new entrants and a booming ad-supported streaming market.
To help guide your plans, our team is sharing their top programmatic ad trends and predictions for 2023.
Prioritising efficiency in an uncertain economy
The most overarching of the programmatic ad trends that we’ll see next year is marketers finding creative ways to maximise their resources. With budgets under scrutiny, marketers will focus on efficiency and prioritise measurable, performance-based media investments.
Realising the true value of automation in CTV
CTV viewership has surged across all demographics—nearly 84% of all US households use a CTV. But it’s important to remember that CTV is still in its early innings with ad spend lagging viewership.
While the industry undoubtedly needs to continue to innovate to deliver the optimal buying and viewing experience, we’ll see existing improvements to ad podding, signalling, and standardisation come to fruition and accelerate a shift in media spend in 2023.
Viewers don’t differentiate between streaming and linear TV—they simply tune in. As media buyers similarly consider the consumer experience, technology and automation will be able to facilitate more holistic and addressable TV buys.
Improving transparency and measurement in maturing channels
One of the key programmatic ad trends next year will be improving transparency and measurement to provide marketers with visibility into where their ad spend is going. In CTV, OpenRTB 2.6 was a major step in providing a consistent way to signal content information, and paves the way for media owners to deliver improved transparency.
Building a fair mobile ad marketplace
Next year will finally accelerate the trend toward fair monetisation in the mobile ecosystem. Shifting market dynamics are increasing the importance of ad monetisation and will encourage a transparent and balanced marketplace outside of the existing walled gardens.
Ready to shape your 2023 plans? Our team is here to help. We’ll guide you through the programmatic ad trends to come and arm you with an action plan to prepare for a successful year.
As chief marketing officer, Lori is responsible for amplifying Index Exchange’s mission and vision across all marketing channels globally, boosting visibility for Index’s brand while crafting the positioning and go-to-market strategy for its products and solutions. She also oversees learning and development for the company.
A seasoned marketing executive, Lori holds more than 15 years of experience in the digital advertising space, from ad operations and media planning to technical account management, sales, and product and brand marketing. Prior to joining Index, she served as global head of marketing and training at Amazon Advertising, where she led all product marketing, content, event, and digital marketing, internal training, and advertiser education programs for the brand. Previously, she held marketing leadership roles at Facebook and Microsoft.
Lori currently lives in New York with her husband and their twin daughters.
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