Top Trends in New Advertising Technology in 2024

New advertising technology is changing how brands engage with audiences. With new innovations in programmatic advertising, staying updated on trends and technologies is important. This article explores the latest advancements, future trends, and their impact on the advertising landscape.

What is the Latest Technology in Programmatic Advertising?

In 2024, programmatic advertising is more dynamic than ever. Probably not a surprise to anyone, but one of the technologies making waves is Artificial Intelligence (AI). AI algorithms optimize ad placements in real-time, ensuring ads reach the right audience at the perfect moment. Additionally, AI-driven predictive analytics help in anticipating consumer behavior, allowing for highly targeted campaigns.

Another exciting development is the integration of blockchain technology. Blockchain ensures transparency and security in transactions, reducing fraud and enhancing trust between advertisers and publishers. With blockchain, every ad impression is verified, making ad spending more efficient and effective. To read more about Ad Fraud, check out this guide.

What Are the Trends in Advertising?

Interactive content is the frontrunner in advertising trends. Consumers crave engagement, and interactive ads provide just that. These ads can be in the form of quizzes, polls, or even augmented reality experiences. For instance, an AR ad can let users see how a new piece of furniture would look in their living room, boosting engagement and conversion rates. There are many channels to put your focus to.

Connected TV (CTV): The Future of Video Advertising

Connected TV (CTV) is at the forefront of video advertising, transforming how brands reach audiences. The key trends for 2024 include:

1. Interactive Ads: CTV ads are becoming more interactive, allowing viewers to engage directly with the content. Shoppable ads, where users can purchase products directly from their TV screen, are gaining popularity.
2. Advanced Targeting: Enhanced data analytics enable CTV to deliver highly targeted ads based on viewers’ preferences and viewing habits. This ensures ads are more relevant and effective.
3. Cross-Device Integration: Seamless integration of CTV ads across multiple devices provides a consistent and cohesive user experience. This approach helps maintain brand message continuity and maximizes engagement.

Example: The Harlem Globetrotters partnered with VDO.AI for their event in February 2023 in Philadelphia. The primary objective was to boost awareness, extend reach, and drive ticket bookings for the event using interactive Connected TV (CTV) ads.

More info from the case study here.

In 2022, CTV advertising spending in the United States was valued at $20.69 billion. This figure is projected to reach $24.01 billion in 2024, with a year-over-year growth rate of 23.3%​.

Connected TV Demographics & Viewership Trends

According to eMarketer’s data from 2020 the total number of CTV viewers in USA was 183.5 million people, 56.5 million of them being millennials. In 2024, the number of Millennial and Gen Z viewers is estimated to be a total of 110 million people. Additionally, the number among those two generations is expected to rise by further 9 million people by 2025.

There is a lot of potential in CTV advertising as around 73% of Connected TV viewers prefer to watch free ad-supported content vs. paying for ad-free CTV content. Programmatic advertising will account for 84.2% of the $32.09 billion going toward US CTV video ad spend in 2025, forecasted by eMarketer.

DOOH/OOH Advertising: Merging Digital and Real Worlds

In the future, expect to see more digital billboards and interactive displays. These digital platforms offer dynamic content that can be updated in real-time, making ads more relevant and timely.

Out-of-Home (OOH) and Digital Out-of-Home (DOOH) advertising are evolving rapidly, blending digital capabilities with traditional formats. The latest trends include:

Dynamic Content: Advertisers are leveraging data to display dynamic content that changes based on factors like weather, time of day, or audience demographics. This adaptability makes ads more relevant and engaging.

Nexd also offers DCO capabilities through our Campaign Manager, more info in the article linked.

3. Sustainability: There is a growing emphasis on eco-friendly advertising methods, including using digital screens powered by renewable energy sources. This trend aligns with the increasing consumer demand for environmentally responsible brands.

Example: A car manufacturer utilized programmatic DOOH to display different ads based on the weather, promoting SUVs during rainy days and convertibles on sunny days, leading to a 25% increase in showroom visits.

Display Advertising: New Advertising Technologies

Display advertising continues to be a staple in digital marketing, with new technologies enhancing its effectiveness. Key innovations include:

1. Artificial Intelligence (AI) and Machine Learning (ML): AI and ML are improving targeting and personalization in display advertising. By analyzing vast datasets, these technologies predict consumer behavior and optimize ad placements.
2. 5G Technology: The rollout of 5G technology is set to boost display advertising by enabling faster data transfer, better ad delivery, and more interactive ad experiences. This leads to smoother and more engaging advertisements.
3. Rich Media Ads: Although not new, rich media ads are still underutilized. They include interactive elements like video, audio, and clickable content and are great at gaining traction. These ads provide a more immersive experience, increasing engagement and effectiveness.

Programmatic Advertising: New Mediums

Programmatic advertising continues to push boundaries with several emerging technologies making a significant impact:

1. Voice Search Optimization: With the rise of smart speakers, optimizing ads for voice search is becoming crucial. Brands need to adapt their content to capture voice search queries effectively.
2. Augmented Reality (AR) and Virtual Reality (VR): These technologies are creating immersive ad experiences that engage users in novel ways. AR and VR ads allow consumers to interact with products in a virtual environment, enhancing engagement and conversion rates.

Example: Check out these creatives made with Nexd’s VR Showroom layout.

Cookies Are Not Disappearing

For years Google has teased that it will be discontinuing 3rd party cookie data. On several occasions it has been postponed and many in the advertising industry have scrambled to think what next. 

We also wrote on this topic in January 2024, offering alternatives that have been discussed by various industry specialists. Everything from leveraging first-party data or contextual advertising to putting more effort into the creative. 

However, in July 2024, five years from initially starting this discussion, Google decided to abandon its plans.

Conclusion

In 2024, new advertising technologies are set to transform brand-audience interactions, with innovations like interactive and shoppable Connected TV (CTV) ads enhancing viewer engagement and conversions, as demonstrated by successful campaigns like the Harlem Globetrotters.

Digital Out-of-Home (DOOH) advertising is also advancing with programmatic capabilities and dynamic content, while sustainability practices become increasingly vital. Display advertising is evolving through AI, ML, and 5G technologies, boosting personalization and delivery, and programmatic advertising continues to expand with voice search optimization and immersive AR/VR experiences. Brands that leverage these trends can create more engaging, relevant, and effective advertising campaigns.

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Internal Links:

• Explore the in-depth advertising technology guide.
• Learn more about ad serving and how it works.
• Discover the top adtech solutions for marketers.
• Understand mobile ad servers and their functionality.

Outbound Links:

• For more on programmatic advertising trends, visit IAB.
• Check out Statista for the latest data on advertising trends.