How Technology Is Changing Online Advertising & Why It Matters?
Whether you love or hate technology, there is no denying the fact that it has changed our lives and our businesses completely. Online advertising for business runs the modern world, and the changing technology keeps advertisers on their toes for efficient marketing.
While making an actual sale does bring in revenues for the business, branding and marketing also play an important role in the process. Online advertising and branding creates awareness and helps the product, service, or brand to stay on top-of-mind of the customers.
Therefore, today’s digital marketers must stay updated about the developments and changes in online advertising. In recent years we have seen technologies like artificial intelligence, programmatic advertising, and cross-platform tracking emerge and evolve in the market. These technologies have changed the advertising space significantly.
Here we will explore how these technological advancements are changing online advertising and why they are so important.
Technologies That Are Changing the Online Advertisement Industry
Programmatic Advertising for Targeted Campaigns
Automation is ruling all the corners of the Internet, and digital advertising technology is no exception. The Internet is a gold mine for consumer data. This vast amount of data makes it impossible for advertisers to compile ideal customer profiles for advertisement campaigns by manually combing through these data sets.
It is essential to put the right algorithms to use to analyze the material and build the correct profile. This is where programmatic advertising comes into play. Online advertising platforms running on automation save money and time by continuously creating and managing ad campaigns. This process is known as programmatic advertising.
In this practice, automation is used to distribute the ads to targeted audience groups rather than delivering them randomly. These programmatic advertising platforms use data to bid for online ad space. The algorithm identifies the most successful and well-performing ads and puts the bids on them to drive conversions.
Of course you will be in control of the spending and can set a cap on how much you want to spend on the bids. You can run these automated advertising platforms until you reach your set Return On Investment goals.
Artificial Intelligence Promoting Personalization
The COVID-19 pandemic forced consumers worldwide to operate online, with most of their shopping needs fulfilled online. With this unprecedented digital shift, customers expected more and more personalized content that could be related while quarantining 24/7.
However, creating personalized rich media ads is difficult as it requires a well-formed relationship between consumers and brands. With the emergence of artificial intelligence, collecting user data is now easy. It can help you identify individual consumer patterns and preferences. You can create personalized and relevant advertising campaigns based on broad audience segments using AI. AI can help to create targeted ads. By analyzing data about customers’ demographics, interests, and online behavior, AI can identify which ads are most likely to be of interest to them. It helps improve the effectiveness of advertising campaigns by ensuring that the ads are seen by the right people. If you do not have prior knowledge of AI then consider taking Artificial Intelligence course.
Businesses that take advantage of this new technology for advertising will bring in better results as customers are continuously on the lookout for relevant brand recommendations in a personalized advertising campaign.
Connected TV Expanding the Reach of Online Advertising
Scheduled content viewing on TV is a thing of the past. With Android and Smart TVs dominating the marketplace, consumers can now watch their favorite content where and when they want.
The days of waiting for their favorite shows to air are over. Connected TV is the new viewing experience where you can stream content on-demand. So, what is this Connected TV?
Connected TV is any television that can connect and access the Internet. The best examples of this technology are Android TV, Smart TV, and gaming consoles like Playstation and X-Box. Connected TVs are rapidly gaining an edge over traditional TV advertising, with 60 percent of American households owning a Connected TV. Online advertising on Connected TV has a lot of potential and can be used for dynamic business opportunities.
Furthermore, many formats and avenues are emerging in Connected TV advertising that takes the campaigns to a new level. Here are some new and popular forms of Connected TV ads increasingly used by digital marketers
- Advertising through social and humanitarian stories that consumers can relate to.
- Interactive videos, image formats, and galleries exclusively crafted for Connected TV audiences.
- Personalized video ads that are created keeping in mind the consumer’s location.
- Interactive ads for Connected TV that come with scannable QR codes and Add to Cart options for a seamless shopping experience.
Cross Platform Tracking to Enhance Online Ad Campaigns
Every household uses more than one smart device to stay connected to the world and fulfill its needs. You have your smartphone, iPad, laptop, smartwatch, and whatnot. So, when it comes to online shopping, we subconsciously keep switching between these devices, and our buying patterns also change accordingly.
A digital advertising company can now change its messages and communication strategies for different smart devices thanks to cross-platform technology. With this new technology for advertising, you will now be able to track the same user’s actions across all the devices they use. The collected data will help digital marketers create marketing and advertising campaigns to deliver better results.
Technologies are never stagnant and keep evolving with time. Some technologies like AI and programmatic advertising are here to stay and develop. As these changes come and go, digital marketers must always stay on top of the changing consumer patterns and subsequent modifications in digital advertising technology.