A look into the coming year and all it holds for advertisers with advertising expert, John Horn
2022 should be a banner year for digital advertising (no pun intended).
Consumers spend their lives online, which is why the internet’s gatekeepers are racking up insane profits, and why there has never been more demand for smart advertisers who can navigate increasingly tricky channels to drive ROI.
In 2022 we expect to see new opportunities and new challenges.
Legislation Against Big Tech
One of the biggest risks facing the big boys like Google, Facebook (now Meta), and Amazon, is the not-so-distant specter of legal challenges to their effective monopolies.
Advertisers need to keep close tabs on the legislative efforts to force these companies to silo their business segments or break into separate companies, as any changes to these platforms will have immediate consequences to the millions of businesses who rely upon their infrastructure to reach customers.
Google is proactively building a grassroots base to provide a voice, and claiming that the passage of pending bills will make it harder for customers to find businesses online.
The Death of Cookies
The cookie has long been a key element of online interactions and is the reason Instagram knows exactly what ad will pique your interest.
However, the death knell has sounded for the cookie, with Apple’s privacy-oriented updates which are already impacting the bottom line of platforms such as Snap, Google’s plan to phase out third-party cookies in Google Chrome, and more.
We will see Big Tech pouring massive amounts of money into testing cookie-less tracking alternatives, and businesses will need to prioritize first-party data (such as email addresses) to properly track performance and strategically reach their audience.
TikTok
In 2022, the number of businesses using TikTok for advertising will increase dramatically. Some 1 billion monthly TikTok users will begin to see more and more ads, and companies will build their own TikTok accounts and hop on the flavor of the week’s trends to stay relevant and grow their audience.
Amazon Will Encourage Third-Party Advertisers
Another trend to watch during the coming year is how Amazon will expand opportunities for third-party advertisers to serve ad campaigns across Amazon properties.
Amazon has incredible first-party data about what and how 92% of online shoppers buy. They are signaling increasing interest in allowing third-parties to leverage this data via ad campaigns, which is a seductive opportunity to big advertisers looking to redistribute ad spend from other channels that have been hammered by privacy updates.
Pulling out of Facebook and Instagram
Advertisers will shift funds away from Facebook and Instagram due to tracking and targeting challenges and will look for other channels to effectively spend those funds. This may create new opportunities for advertisers who remain committed to those channels, as less competition equals lower CPMs.
A new year means new changes. Let’s take those changes in stride and figure out even better ways to effectively find and communicate with customers in 2022.
John Horn, CEO of StubGroup, has spent his professional career focused on creating and delivering a unique, successful product to each client, every time. He spends his days looking for ways to thrive at the cutting edge of the digital advertising world, equipping the team at StubGroup to provide excellent service to every client, and speaking with businesses looking for an effective PPC management solution.
