Predictions 2022: ADTECH (part II)

predictions 2022 - adtech part II

In the second part of our look through the digital crystal ball for adtech in 2022, we’ve garnered more leading insights from across the adtech spectrum.

There are set to be big changes next year for advertisers, agencies, publishers and tech providers, so buckle-up.

From streaming’s endless rise, to more demand than ever for audio and video, and wider changes across programmatic advertising, collaboration will be key and strategies will need to be re-written.

But, as our experts below are predicting, that’s just for starters… 

Fergus Dyer-Smith CEO and Founder at WooshiiFergus Dyer-Smith, CEO and Founder, Wooshii

“We believe that ‘video first’ will become the buzzword of 2022.

“Whilst digital-first drove us through the late part of the last decade, a number of factors, including the pandemic, rising channels such as TikTok and the dominance of YouTube will see companies viewing video as a primary, not a secondly tactic.

Indeed, it has been forecast that by 2025 the corporate world will spend $43bn each year on video.

“However, to maximise this medium’s full potential businesses will need to develop standardised ways of planning video campaigns, including setting a clear brief and having a seamless production process.

“Further, assets should be easily accessible and performance of vendors should be measured and benchmarked, allowing processes to be refined and improved regularly.

“Until now, video has always been somewhat under-measured, made complicated by channels having different definitions for key performance indicators.

“Therefore to fully reap the rewards of this medium, it will be key to work with partners that can manage and measure the entire lifecycle of their video operations.”

Morika Georgieva, EMEA Customer Success Lead at Permutive (1)Morika Georgieva, Customer Success Lead for EMEA, Permutive

“Publishers and advertisers alike will need strategic partners to advise them on the best way to get value out of each piece of tech in their stack. 

“As we move towards a world where first-party data is the new digital currency, and a competitive advantage, the quality of what data owners take to market will be more critical than ever.

“It is publishers who understand the behaviour of each individual on their website, and advertisers are building direct relationships with publishers because of this audience insight. 

“Publishers know what the interests of their users are, how long they spend on-site, how many times a month they visit, and whether their browsing habits have changed.

“Crafting the right strategy around this knowledge, proactively educating sales teams, and delivering innovative solutions is no longer a nice-to-have but a key differentiator for first-party data owners. 

“The next generation of adtech will put publishers at the centre of advertising as they create a stable and sustainable model for media trading. 

“To take advantage of that, they need partners who can be strategic advisors in market.”

Eric Visser, CEO JustPremium, A GumGum CompanyEric Visser, CEO JustPremium, A GumGum Company

“As we step into 2022, it’s time the industry realised the harsh truth; there’s no need for thousands of companies to exist within the chain. 

“Over the past year the adtech industry has seen a massive boom in investment, mergers and acquisitions, as we began to realise that only a handful of DSPs and SSPs that connect to each other are required to create an ecosystem. 

“Between them, there can still be a few special interest players, all bringing something unique into the space. 

“As the cookieless world starts to become a reality, every company needs to have their value proposition sorted out in order to protect their spot within the ecosystem.

“Over the next year, we’ll see lots of smaller companies disappearing as they merge into larger companies offering true value. “This will aid ad buyers as it will reduce the number of vendors meaning they can focus on driving value and delivering great campaigns. 

“However, we’ll also see startups with disruptive technologies and new innovations popping up in areas that the bigger businesses haven’t thought of. 

“These smaller companies will then be built to drive innovation, benefiting the industry as a whole. Roll on 2022!”

“In the year ahead we predict that there will be a continued rise of Attention based buying and reporting. 

“This is because brands will start seeing more and more data points exposing low CPMs as well as showing that small digital placements are not getting looked at, even if they are viewable. 

“Consequently these formats will provide little value to the clients long term branding objectives.

“Moving forward, larger, creatively-driven digital placements such as High Impact, will come to the fore as being more cost efficient as an outcome. 

“And this will flip the entire buying model of our industry on its head – providing greater value for brands, and a better user experience for users. 

“In turn, Attention based metrics will be established in mainland Europe, reigniting the classic AIDA model for advertisers.

“Additionally, it’s not going to come as a surprise that every solution provider will offer some form of contextual offering in 2022 and beyond. But as an industry we will need to focus on a standard, as we did with viewability. 

“This standard needs to happen sooner rather than later to help marketers understand and validate what a good contextual offering should look like. 

“And we’ll be looking to the MRC to set out what the gold standard of contextual accreditations should be.”

Rich Williams A million AdsRichard Williams, Commercial Director, A Million Ads

“Audio consumption is rapidly increasing, with the growing popularity of streaming and podcasting dramatically switching the pendulum for advertisers. 

“And those who prosper will be the ones who move quickly to ensure their advertising is contextually relevant”.

“This is because audio is an intimate channel where consumers look for emotional connections and meaningful experiences. 

“Indeed it is now the number one channel to reach younger audiences and brands should be looking to find creative ways to connect with their audiences on a personal level.

“Dynamic audio, for example, allows brands to tap into contextual data points such as the time of day, the weather or even the listener’s location, which resonates across every audience. 

“For instance, if it’s hot, a supermarket brand might want to send people to its stores to buy something for a  BBQ, and if it’s cold, they might want to promote something heartier and warming, like a casserole. 

“Another effective use of dynamic audio is the use of rotation to develop a series of ads, so a person does not hear the same messaging twice and the sonic branding can remain consistent. 

“That way a brand can tell a story that develops across a series of ads to avoid people becoming fed up with the same message repeated over and over again.

“In the year ahead, advertisers need to focus on bridging the gap between data and creativity to put the consumer at the heart of their campaigns.”

Will Keggin Director, Advanced Advertising, UK at LiveRamp (1)Will Keggin Director, Advanced Advertising UK, LiveRamp

“Looking ahead, collaboration will be key across the UK and Europe. Already we’ve been  witnessing this with broadcaster data initiatives in the UK such as C-Flight, the new cross-broadcaster measurement tool backed by industry body Thinkbox, which delivers deduplicated total reach and frequency across linear and broadcaster VOD. 

“It is likely that if collaboration helps translate Broadcaster revenues from linear to digital this trend will filter into other markets in Europe.

“Collaboration between the sell-side is a new approach to TV advertising, where broadcasters and TV players offer advertisers greater access to inventory and data whilst having total control over how they buy, track and optimise TV video campaigns. 

“This approach is dependent on a shared sense of identity to break down the data silos of the sell-side participants without sacrificing; sovereignty of the sale, data security, and limiting exposure to risk in the open programmatic advertising ecosystem.

“Collaboration trends will not be limited to first-party data sets. We will see an increased usage of trusted and verified second and third-party data to build audiences for planning, activation and conversion data for measurement and optimisation.  

“Better audience definitions will bring more advertisers and budgets into a growing digital TV market.

“TV’s next challenge will be to prove the  increased effectiveness data can bring by coalescing around measurement solutions that are neutral, transparent, and comparable to other forms of advertising. 

“If done correctly, Ad funded TV can support customers with business outcomes, and it’s consumers a better TV watching experience. “

Claire Burgess IncubetaClaire Burgess, Director of Paid Media, Incubeta 

“2022 will be the year of unified customer experience as omni-channel marketing strategies take centre stage. 

“Brands should aim to provide a united front across mobile, display and social media along with newly dynamic formats like Out of Home (OOH) and Connected TV (CTV).

“As ecommerce becomes a central part of consumers’ shopping habits, there’s a huge opportunity to create seamless marketing campaigns across devices. 

“Truly omnichannel retailers are those who understand customer behaviour across all channels, and with the pandemic accelerating our online habits exponentially it’s important that retailers who don’t have a holistic view of their audience to start investing in it now.

“What will become interesting in the year ahead, is how retailers blend brick and mortar shopping and e-commerce. 

“In order to drive customers in store, retailers must offer them some additional value that they don’t get online, creating those inspirational, physical experiences that aren’t possible digitally. 

“For those brands who approach the hybrid model, it’s crucial to amplify the multi-channel approach so that consumers know where and how to engage with your brand.”

Hunain Khan, account director, XandrHunain Khan, Account Director, Xandr

“In 2021, we witnessed the continued advancement of new video formats such as data-driven linear (DDL) TV and OTT/CTV. 

“In fact, it’s now estimated that over 50% of UK households consume content via CTV or alternative streaming devices, meaning the opportunity for advertisers is vast.

“That said, it’s still a nascent format and the industry needs to overcome a number of barriers to unleash its full power including fragmentation, accessibility, measurement, and a lack of standardisation. 

“Indeed, all of these will need to be addressed in 2022 and beyond.

“One of the key benefits of CTV is that it can be driven by real-time data, providing an opportunity for precise targeting at the local, household or even device level. 

“But we recently found that on average half of CTV/OTT is still bought direct versus programmatically.

“As we move into 2022, it will be crucial that CTV inventory is traded programmatically to enable advertisers to deliver dynamic, personalised ads in a rapid and efficient manner. 

“By identifying bespoke audiences and moving beyond broad demographics, advertisers can tailor a creative message by using criteria such as geography, lifestyle or income to deliver the calibre of ads consumers have come to expect.

“Video is growing exponentially, so now is the time for advertisers and publishers to lean into this channel and ensure they are ahead of the competition to unlock growth within addressable TV.”

Lucasz Włodarczyk RTB HouseŁukasz Włodarczyk, VP Programmatic Ecosystem Growth & Innovation RTB House

“2022 is set to shape the future of ID-less advertising across the industry, with several key industry-shifting developments on the horizon. 

“To start with, we expect to see a new iteration of FloC that will evolve to be more privacy-preserving. 

“It is likely that this will see Google move away from the term ‘cohorts’ in favour of ‘topics’ and it shouldn’t come as a surprise if this comes with a rebrand and new name. 

“From a consumer perspective, this will help users to understand what they are being assigned to, but from an advertising standpoint, advertising efficacy challenges may arise.

“Next, whilst industry-leading companies will test Privacy Sandbox proposals in H1, we expect to see some new developments in the ongoing investigation being conducted by CMA, ICO, and DG COMP. 

“Indeed, the outcome of this will have a huge effect on the implementation and timeline of the deprecation of 3rd party cookies.

“Finally, on June 21, Google announced its “Opt Out of Ads Personalization” which is effectively their “light” version of Apple’s “ATT”.  

And following Google’s post back in January 2020, this announcement will no doubt be a precursor to the inevitable AAID (Android Advertising ID)-less future that might develop further in the year ahead.”

Łukasz Abgarowicz, RTB HouseŁukasz Abgarowicz, VP of Agencies, RTB House

“The past 18 months has seen video consumption accelerate, with research by Forrester showing an increase of 41%. 

“This shows no signs of slowing down in 2022 as more and more people – especially generation Z – now prefer consuming content in video form. 

“As a result, this gives plenty of exciting opportunities for advertisers in the new year.

“The pandemic has been a great lesson for many brands in paying close attention to how their budgets are being spent.

“But with brands rushing to utilise video advertising, the costs of each single view of their ad will rise. 

“That’s why we can expect 2022 to be the year when many marketers look for new partners and platforms which can leverage AI effectively, improving the cost per completed view whilst reaching the right audience at the right time in the right context.

“This will enable the highest level of attention from consumers.

“With the cookieless world nearly upon us, marketers will be looking for solutions that can achieve better visibility within the same budget while being built to last in the new world.”

If you missed part I, don’t worry, here it is:

Predictions 2022: What you need to know about ADTECH