AdTheorent has pulled back the curtain on the current landscape of the open-web programmatic advertising industry. Partnering with Advertiser Perceptions, the results from their joint study have unveiled key insights that are shaking up the advertising world.
Unlocking the Power of Programmatic: A Game-Changer for Advertisers
AdTheorent’s groundbreaking State of the Programmatic Advertising Industry Report is more than just a glimpse into the advertising world – it’s a revelation of the seismic changes reshaping strategies in the US and Canada. At the heart of this revolution is the undeniable influence of open-web programmatic, identified as the linchpin for driving growth and supercharging campaigns with unprecedented effectiveness.
AdTheorent unveils results from joint research with Advertiser Perceptions on the state of the open-web programmatic advertising industry.
Driving Growth Beyond Expectations
The report underscores the unanimous acknowledgment among advertisers that open-web programmatic is not just a tool but a growth catalyst. Advertisers, both in the US and Canada, are charting a course where brand elevation, sales surges, and advanced digital actions take center stage. The shift towards programmatic is not merely a trend but a strategic move to align with the evolving dynamics of the advertising landscape.
Seismic Shifts in Strategy
What sets this report apart is its revelation of a profound shift in advertisers’ approaches. Almost half of US and Canadian advertisers are not merely testing the waters of programmatic but diving headfirst, employing this powerful tool across all campaign types. This move signifies a departure from traditional practices, marking a bold embrace of programmatic throughout the entire advertising funnel – from the initial awareness-building stage to the crucial conversion and retention phases.
Canada’s Resounding Vote of Confidence
A resounding 72% of Canadian advertisers are poised for a substantial uptick in their programmatic investments over the next 12 months. This statistic speaks volumes about the confidence Canadian advertisers place in the transformative potential of programmatic advertising. As they gear up for increased spending, it signals a strategic pivot toward a future where programmatic takes a central role in shaping advertising success.
The Promise of Programmatic Unleashed
Beyond being a growth driver, programmatic is unveiling its promise as a versatile and dynamic force in the advertising realm. It’s not just about achieving specific objectives; it’s about redefining the entire approach to advertising. The report lays the groundwork for advertisers to reimagine their campaigns, transcending traditional silos and seamlessly integrating programmatic strategies across every stage of the customer journey.
In essence, AdTheorent’s State of the Programmatic Advertising Industry Report is a call to action, urging advertisers to recognize the transformative potential of open-web programmatic. It’s not just a tool in the toolkit; it’s the driving force propelling advertising into a new era of effectiveness, growth, and unparalleled success. The era of programmatic prowess has arrived, and advertisers are invited to step into the future of advertising with confidence and strategic foresight.
CTV’s Unrivaled Impact: Transforming Advertising Strategies
In the realm of advertising effectiveness, Connected Television (CTV) has emerged as the undisputed game-changer, captivating the attention of 89% of US and an overwhelming 95% of Canadian advertisers. The allure of CTV lies in its unparalleled ability to not only reach target audiences but also deliver a superior Return on Investment (ROI), marking a paradigm shift for advertisers striving for campaign success in an ever-evolving landscape.
CTV: Redefining Advertising Success
What makes CTV a force to be reckoned with is its capacity to engage audiences on their terms, transcending the limitations of traditional advertising channels. Its dynamic nature allows advertisers to craft campaigns that resonate seamlessly with viewers, leading to a more immersive and impactful brand experience. The statistics reveal not just a preference but a resounding endorsement of CTV as an essential component of the advertising toolkit.
Full-Funnel Integration: A Strategic Imperative
A noteworthy revelation from the report is the overwhelming interest from Canadian advertisers, with a staggering 90% expressing a keen interest in integrating CTV as a full-funnel approach. This strategic move signifies a departure from conventional advertising silos, highlighting CTV’s role not only as an upper-funnel tactic but as a pivotal channel influencing every stage of the consumer journey. Advertisers are recognizing CTV’s potential to deliver a cohesive and holistic brand narrative, ultimately driving more significant and lasting connections with their target audiences.
Precision in Measurement: CTV Campaign Attribution
The report doesn’t merely celebrate CTV’s prominence; it provides a detailed look at how advertisers are navigating the landscape of campaign attribution. Metrics such as video completes, business outcomes, and return on ad spend (ROAS) take center stage, offering advertisers a comprehensive view of their CTV campaign impact. This meticulous approach underscores the commitment to data-driven decision-making, ensuring that advertisers can measure, analyze, and optimize their CTV strategies with precision.
Privacy Challenges Meet Strategic Innovation: A Resilient Response
In the face of evolving privacy challenges, advertisers are not retreating; they are innovating. The report unveils three strategic moves undertaken by advertisers in the US and Canada to navigate the intricate web of privacy restrictions.
1. Beyond Personal Data: A New Partnership Paradigm
- Advertisers are forging partnerships with providers not reliant on personal data for targeting (US: 59%; Canada: 65%). This marks a shift towards a privacy-forward approach, acknowledging the changing landscape and prioritizing data protection.
2. Contextual Targeting Solutions: Blending Precision and Privacy
- The exploration of contextual targeting solutions to complement behavioral targeting (US: 51%; Canada: 53%) reflects a nuanced approach. Advertisers are seeking the delicate balance between delivering personalized experiences and respecting user privacy.
3. First-Party Solutions: Building Direct Connections
- The investment in first-party solutions, such as sign-ins and email newsletters (US: 47%; Canada: 50%), showcases a commitment to building direct relationships with consumers. Advertisers recognize the value of obtaining consent and engaging audiences on terms that prioritize privacy.
ML-Based Audiences: A Collective Aspiration
- What truly stands out is the collective interest in Machine Learning (ML)-based audiences, with an impressive 87% in the US and a staggering 93% in Canada expressing enthusiasm for this privacy-forward approach. Advertisers are signaling a belief in the future of audience targeting, leveraging ML to identify and engage audiences without relying on intrusive identifiers.
As advertisers navigate the complex intersection of advertising effectiveness and privacy concerns, CTV stands tall as a beacon of innovation. The strategic moves unveiled in response to privacy challenges showcase the resilience of the advertising industry, adapting and innovating to ensure campaigns not only reach audiences but do so with the utmost respect for privacy and data protection. The landscape is evolving, and advertisers are not just observers; they are the architects of a new era in advertising effectiveness and privacy-conscious strategies.
AI and ML: The Driving Forces of Future Success
Artificial Intelligence (AI) and Machine Learning (ML) are not just buzzwords but pivotal components of advertisers’ success stories. Nearly 9 in 10 programmatic advertisers in both the US and Canada are harnessing or planning to leverage AI/ML for various purposes, from contextual targeting to custom ad creation. The most exciting revelation? A staggering 99% of US advertisers and 100% of Canadian advertisers plan to maintain or increase their investments in AI/ML over the next year, setting the stage for a transformative 2024.
Jim Lawson, CEO of AdTheorent, expresses excitement over the results, stating, “It’s promising to see advertisers embrace and have success with privacy-forward methods, including advancing their audience targeting strategies.”
Stuart Schneiderman, EVP, Business Intelligence at Advertiser Perceptions, underscores the significance of the findings, stating, “What our data shows is that advertisers are prioritizing programmatic, connected TV, and AI/ML and that they will be sources of investment and success for many years to come.”
For a deeper dive into these industry-shaping insights, check out the full whitepaper here.
