20 Key Advertising Trends To Watch in 2024
As 2024 dawns, the digital marketing landscape continues to be revolutionized by trends that emerged in 2023. Personalization, artificial intelligence, and immersive technologies like augmented reality or virtual reality (AR/VR) have taken center stage, vastly enhancing user engagement and broadening the horizons of marketers. These advancements promise a transformative impact on strategies and industry standards for years ahead.
The global digital advertising market was valued at $601.8 billion in 2023, with media ads accounting for 67.1% of overall expenditure. Clearly, digital advertising is a lucrative industry, and it’s no surprise that more companies are finding ways to capitalize on this trend.
Here are 20 key advertising trends that could shape your strategy in 2024:
Video Advertising Trends
1. Video Ads Keep Getting Shorter
Today’s consumers have a low tolerance for lengthy video ads – over 25% of adults admitted they would stop watching a video within the first 10 seconds. More than half say they would stop within 20 seconds. As a result, advertisers turn to bite-sized video ads. An analysis found that Instagram videos should not exceed 30 seconds, Twitter videos should be limited to 45 seconds, and Meta (previously Facebook) videos should be no longer than 1 minute.
2. Shoppable Video Ads Set To Sustain Popularity in 2024
As the name suggests, a shoppable ad enables customers to browse and buy products directly from the advertisement. Shoppable TV ads have proven to be highly effective for cutting through the noise and boosting customer engagement due to their interactive nature. Companies like Walmart reported that click-through rates (CTR) for campaigns using Roku’s shoppable ads were at least three times higher than for average video campaigns.
3. Sound Off for Out-Stream Video Ads
We’ve all experienced it: an unseen video ad suddenly starts blaring at full volume. It’s a situation that frustrates many, with 66% of people saying they hate it when video ads automatically play with sound. Outstream ads, which involve integrating videos within the content users read, autoplay silently when scrolled over and pause when out of view. According to statistics, outstream ads have shown higher click-through rates (CTR) and longer engagement rates than in-stream video advertising.
Social Media Advertising Trends
4. Consumers Demand Authenticity in Social Media Ads
Authenticity matters: 88% of consumers prioritize it when choosing brands to support. Influencer marketing is one way advertisers are working to humanize their brands. For example, Lenox, a classic dinnerware company, utilized influencers to transform the perception of its products among young consumers. The campaign generated close to 900 link clicks, exceeding the estimated potential reach by nearly 400%.
5. Influencer Marketers Favor Micro-Influencers Over Celebrities
According to Hubspot, 80% of influencer marketers collaborate with small creators (1K to 99,999 followers/subscribers), whereas only 16% work with accounts with over 1 million followers. Influencer marketing has evolved from focusing solely on follower count to prioritizing content quality and brand alignment. Evidently, influencer marketing is going nowhere soon. However, advertisers must learn to evaluate which influencers offer the most value.
eCommerce Advertising Trends
6. Amazon Takes the Lead in eCommerce Advertising
Amazon accounts for more than 75% of overall eCommerce ad spending. The eCommerce giant’s overall ad revenue exceeds $7 billion, followed by Walmart, with just over $1.5 billion in ad revenue. Amazon’s ad revenue continues to grow due to its affordability and high return on investment (ROI) compared to search engine optimization (SEO) or search engine ads.
7. More Brands Will Experiment With Native Ads
In 2023, more marketers were expected to leverage native ads, with almost a quarter (23%) planning to do so for the first time. The same study found that over 36% of marketers using native ads find them effective, with nearly 50% ranking them as their top tactic for generating ROI. Native ads seamlessly promote your brand to a new audience without interrupting their experience.
Audio Digital Marketing Trends
8. Audio Advertising Is on the Rise
Audio advertising is a way of promoting products or services by inserting ads into digital audio content. Podcasting advertising, especially, has reached a new level of popularity. Over 82 million Americans listened to podcasts in 2021, with the majority being millennials and Gen Zs. The global podcasting market climbed from $20.14 billion in 2022 to $25.85 billion in 2023 at a compound annual growth rate (CAGR) of 28.4%.
9. Ad Optimization for Voice Search Will Be Prevalent in 2024
Despite predictions that voice search optimization would decline, the number of people using voice assistants is expected to rise. Research from Statista shows that digital voice assistant users will reach 8.4 billion by 2024 from 4.2 billion in 2020. Digital assistants are commonly used for routine tasks like setting alarms or playing music, but they are also used to find information.
Content-Centric Trends in Advertising
10. User-Generated Content Continues To Rule
User-generated content (UGC) is trusted by 86% of brands and retailers. User-generated content-based ads achieve click-through rates that are 4x higher than the average. One study shows ads that include UGC experience a 50% decrease in cost-per-click compared to those without. Consumers perceive UGC as more authentic than brand-created content, making it a powerful tool for advertising.
11. Funny, Trendy and Relatable Content Will Prevail in 2024
According to a survey, 68% of consumers prioritize authentic and relatable social media content over polished, high-quality content. Funny content is ranked highest for memorability by 50% of consumers, followed by relatable content at 36%. Despite this, 66% of social media marketers still consider funny content the most effective format.
12. Diversity, Equity and Inclusion (DEI) Marketing Takes Center Stage
Most consumers (71%) expect brands to promote diversity and inclusion in their online advertising, but over half (54%) feel they need to be more culturally represented in online ads. To tap into a lucrative market of socially conscious consumers, brands are turning to Diversity, Equity, and Inclusion marketing techniques. This means businesses can no longer remain silent on social issues like racial injustice, the gender pay gap, and LGBTQ+ rights.
Mobile Advertising Trends
13. Mobile Optimization Remains a Priority for Many Brands
More and more consumers are using their mobile devices, making mobile optimization essential. Businesses must prioritize mobile-optimized digital experiences to market to fast-paced, highly connected demographics like Gen Z. Mobile web design, email marketing, and SEO must focus on mobile optimization to reach a wider audience.
14. Advertisers Capitalize on the Mobile Gaming Boom
The global in-game advertising market is anticipated to generate $13,989.6 million in revenue by 2028. Mobile gaming downloads increased to 45% in 2020, compared to 35% growth in 2019. Major companies like Unilever, Coca-Cola, and Ford are heavily investing in in-game ads. Red Bull and Intel are among the companies that have long embraced gaming advertising, frequently sponsoring eSports gaming events.
Technology Trends in Advertising
15. AI Assumes a Prominent Role in Advertising
ChatGPT’s debut in late 2022 led to a significant increase in AI adoption rates. The global AI market will be worth $407 billion by 2027. A Salesforce survey revealed that 76% of marketers worldwide consider content creation and copywriting the most useful generative AI applications. AI trends in advertising are on the rise, with Gartner predicting that 30% of outgoing marketing messages from large corporations will be AI-generated by 2025.
16. More Brands Invest in Metaverse for Advertising
The Metaverse was one of the top 10 trends to watch in 2023 and will continue to be a focus in 2024. Spending on virtual and augmented reality (VR/AR), the Metaverse’s foundation technology, is expected to grow from $12 billion in 2020 to $72.8 billion by 2024. Ad spending in the Metaverse advertising industry is expected to reach $2.52 billion by 2030.
Personalization Trends in Advertising
17. Copy-Pasting the Same Content Across Platforms Won’t Cut It in 2024
A Hubspot survey found that social media marketers handle an average of four platforms. Although cross-posting has its advantages, many marketers are now avoiding it. While 17% of marketers are cross-posting the same content, most are shifting away from the copy-paste approach. Almost half (48%) are modifying their content when sharing it on different platforms, and over a third (34%) start from scratch every time.
18. Advertisers Prepare for Phasing Out of Third-Party Cookies
In May 2023, Google announced it would phase out support for third-party cookies due to rising privacy concerns. The phase-out process will begin midway through 2024 and will be gradual. Cookies are used in targeted marketing to track user behavior and preferences. Without them, advertisers will need to find new ways to personalize ads and reach their audience.
19. Contextual Targeting Will Gain More Importance
As third-party cookies phase out, contextual targeting will become more important. This method involves placing ads on web pages based on the content of the page rather than user behavior. It offers a privacy-friendly alternative to cookies and can still effectively target relevant audiences. Marketers will need to develop strategies that leverage contextual targeting to deliver personalized and relevant ads.
20. First-Party Data Will Be a Key Asset
With the decline of third-party cookies, first-party data will become increasingly valuable. This data, collected directly from customers through interactions with your brand, can provide insights into customer behavior and preferences. By leveraging first-party data, brands can create personalized marketing campaigns that resonate with their audience and drive better results.
These trends highlight the evolving nature of advertising and the need for brands to stay agile and innovative. By embracing these trends, marketers can create more engaging, effective, and personalized advertising campaigns that resonate with their target audiences.
Video ads are becoming shorter and more interactive, while audio and mobile advertising continue to rise. Social media remains a crucial platform, with influencer marketing and user-generated content proving highly effective.
Harnessing Modern Trends: How Trajital Elevates Your Digital Marketing Strategy
A digital marketing agency like Trajital can help businesses navigate the rapidly evolving advertising landscape by offering expertise and innovative strategies tailored to current trends. Trajital can create short, engaging video ads and leverage the power of interactive content to captivate audiences.
With a deep understanding of social media dynamics, the agency can craft effective influencer marketing campaigns and harness user-generated content to build trust and authenticity. Trajital’s proficiency in AI and the Metaverse allows them to develop immersive experiences that resonate with consumers. Additionally, the agency’s focus on first-party data and contextual targeting ensures that marketing efforts are both relevant and privacy-conscious.
By staying abreast of industry shifts and employing cutting-edge techniques, Trajital helps brands connect with their audiences, drive engagement, and achieve growth in a competitive digital marketplace. Partnering with Trajital means having a dedicated team that adapts to trends and crafts campaigns that deliver tangible results.
Conclusion
As we move into 2024, the advertising trends landscape is rapidly evolving, driven by advances in technology, changing consumer preferences, and a growing emphasis on authenticity and personalization. Meanwhile, AI and the Metaverse are revolutionizing how brands engage with consumers, offering new and immersive experiences.
The shift away from third-party cookies underscores the importance of first-party data and contextual targeting in creating relevant and privacy-conscious campaigns. Brands that stay ahead of these trends will be well-positioned to connect with their audiences in meaningful ways, driving engagement and growth. Embracing these developments is essential for marketers aiming to thrive in a competitive and ever-changing digital environment.
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