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If you’ve ever created a buyer persona, you’re already familiar with personalization. 90% of the U.S. population found personalized marketing content very or somewhat appealing in 2017, with only 4% saying it was not very or not at all appealing. According to Forbes, 44% of consumers say they are likely to buy from a company again after a personalized shopping experience. The key differentiator between programmatic and traditional advertising is that programmatic can occur in real time. This puts more power in the hands of the advertiser. Potentially, even small advertisers can leverage programmatic advertising for maximum ROI. But it’s precisely how they use this power that determines whether advertisers are successful. Programmatic advertising relies on a combination of automation, big data, and technical expertise. You still need human capital to do it, which not every business has. In its current form, it’s a better option for brands with mass-market appeal than those with niche appeal. Nonetheless, with programmatic ads taking over digital display advertising, it’s a trend to keep tabs on.
A key trend in overall digital strategy development is the ongoing popularity of digital transformation programmes. A recent poll on a members’ webinar in digital transformation showed that a third of businesses are planning transformation within the next 12 months with a quarter already having embarked on them. This is similar to what we’ve seen in our more general surveys. Within digital marketing strategy, there is continued interest in developing integrated digital marketing strategies across multiple channels. Digital transformation programmes are a response to the challenges of digital silos in some companies where there has been a failure to integrate digital across a company. Instead, we recommend using a customer-centered approach to audit your approach for different personas across the lifecycle as shown below.
Programmatic advertising means using AI to automate ad buying so you can target more specific audiences. Real-time bidding, for example, is a type of programmatic ad buying. This automation is much more efficient and fast, which means higher conversions and lower customer acquisition costs. It’s changing the face of digital advertising so swiftly that, according to eMarketer, 86.2% of digital display ads in the U.S. will be programmatic by 2020. According to Irina Kovalenko of SmartyAds: “Most search-driven manual advertising campaigns (even those performed with professional tools) take into account three or four targets: the keyword, time of day, and location. Such tools like programmatic demand-side platforms can use hundreds of targeting signals to individualize the advertisement and even target according to lifestyle or behavior habits when integrated with customer data platforms.”
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