January 24, 2022 4 minutes to read
2022 will be a crucial year for marketers. Digital commerce and e-commerce are accelerating, and Google’s 2023 plan to end support for third-party cookies is getting closer to Chrome. Colin Barnard looks at how this caused a last-minute scramble to implement first-party data strategies and martech integrations.
While there is skepticism in the marketplace, one thing is constant: data privacy is one of the top priorities for marketers this year. Here are some of the top predictions we can expect in 2022 in this space:
The future is instructable
When it comes to the future of addressability, hashed emails and first-party cookies will continue to deliver optimal value to marketers. Increasingly, user data will be shared, stored and used in a way that is more secure, compliant and respectful.
But the industry is not there yet. While the end of Google Chrome’s third-party cookie support may seem further away than we think, there’s no doubt that a routable targeting solution will come later than needed and will leave many marketers evading. There is no single solution to addressability. This year, marketers will test a range of solutions to determine the best solutions for their brand and customers. The Criteo 2021 study revealed that 40 percent of marketers either have exams or plan to start testing in the next three months.
Solutions such as contextual are also back. Although contextual content does not provide 1:1 addressability, it does provide relevant creative design based on contextual cues and keywords from the website a consumer visits.
Retail media will increase profitability
E-commerce is on the rise, with purchases increasing by Nearly 54 percent At the end of last year. The market is expected to continue accelerating and maturing in 2022. While retailers have seen a boom in online sales throughout the pandemic, profitability remains a challenge. This is where retail media advertising will come in.
according to Forester Placing brand-sponsored ads on retailers’ e-commerce sites and apps is expected to top $50 billion in global revenue this year. Thi Swill exceeds the revenues of media giants such as Netflix and YouTube.
Although Amazon has paved the way for the retail media, we can expect more sophisticated solutions to enter the Australian market. This will include creating more data-rich retail media networks in 2022. With every business now becoming an e-commerce business, it is the source of nearly 100 percent of growth. Retail media is expected to attract millions in media monetization for retailers. This will then shift profits in product sales to brands in Australia. It will be first-party data at its core, providing sustainable growth and long-term addressability.
The advent of ad-based streaming services
Criteo’s 2021 research reveals that Australia is increasingly open to video advertising. More than 50 per cent of Australians are happy to watch video streaming services with ads if it means saving money. For more 1 in 5 Australians (20 percent) would like to share their data with advertisers. This hopes to receive more relevant and personalized video ads.
As Australians increasingly search for convenient, on-demand entertainment options. OTT and CTV services and platforms will take a larger share of free TV. advertising spending will be increasingly invested in video formats as more Australians adopt a combination of subscription video offerings and ad support. This transformation will not only be seen in Australia, but internationally additional Expect video ad spending to reach $2,456 million globally in 2022.
There is no denying that 2022 will be the year of transformation in marketing. Brands are preparing for the future of addressability. Marketers should look to invest in future-proven solutions. This includes integrating first-party data into marketing strategies, contextual advertising, retail media, and video. These brands will come to the fore.
Colin Barnard is the Managing Director of Criteo Australia and New Zealand.