AI and digital strategies set the trends in marketing and advertising for 2024

The current advancement of tools and applications based on artificial intelligence (AI) demonstrate that its influence in areas such as communication, marketing and advertising will only grow in the years to come: in fact, it is believed that more than 80% of companies will have implemented generative AI programs, models and applications in their systems by 2026, according to the consulting firm Gartner. It is not, however, the only trend that will have a profound impact in a year in which the progressive elimination of cookies to third parties by Google will strengthen contextual advertising practices: digital marketing and 360 marketing strategies will also be essential; the development of new metrics such as attention to decide and define future campaigns; and other aspects that will continue to be key, such as SEM and SEO.

“Everything, absolutely everything is being impacted by the first versions of AI. From automation, optimization and personalization to strategy and content generation, but also the media and supports themselves. It is difficult to say how far it will advance and what it will imply in all these areas,” says Octavio Rojas, professor at ESIC University. It is worth remembering that the advertising sector has recorded record employment figures in the last five years, according to the Active Population Survey, and that it already represents 1.2% of GDP (data from the Advertising Observatory in Spain by 2023). No one doubts that the transformation is already happening, and that its reach will go very far.

Impact of generative AI

To get an idea of ​​the size of that impact, you just have to look at, as an example, three of the solutions that are already being implemented: “Designs generated totally or partially with AI solutions; contents prepared automatically with a level of writing that is beginning to be advanced; and the optimization of digital campaigns, which generate better results with the same budgets,” adds Rojas. And, while it is true that recent years have been marked by extraordinary innovation and progress in the field of digitalization, it is more true that no technology has had the transformative power of artificial intelligence.

“Configuring and optimizing campaigns is typically a challenge for marketers, who are often forced to manually adjust campaign settings to obtain optimal results,” says Rafa Amieva, general director of Outbrain for Spain and Portugal. . Faced with this, he says, “AI makes it possible to quickly generate a large number of ad variations (changing text, images, languages, tone of voice and much more)”, which can however present the dilemma of reducing the need for a large part of human labor in advertising creativity tasks. AI and machine learning will, in turn, be essential in predicting user interest and their propensity to convert (i.e., make purchasing decisions).

Much of the impact of AI is explained by how generative AI algorithms learn, using huge amounts of data. An approach that allows these tools to understand audience patterns, preferences and behaviors in a deep and detailed way. “AI is already playing a very important role in accelerating the work of teams and reaching results that were unthinkable until now for many projects,” says Raúl Hita, co-founder and CEO of the digital consulting firm rockin. “We have incredible solutions at our fingertips that help us develop a creative concept and download it visually in a few minutes, when traditional means would take a long time and require many resources,” he adds. A change that, in his opinion, “democratizes creativity,” making it possible for small brands to compete face to face with companies with big budgets.

Challenges and challenges for 2024

The possibility of reducing teams for reasons of productivity and business viability is on the table, says Rojas: “In fact, the layoffs in large US technology companies that occurred in the latter part of the year also brought a reduction in advertising investment; and although the year ended with an overall increase, it is seen in detail that all traditional media (TV, press, magazines, radio…), which are more labor intensive, have followed the trend in reducing the advertising cake.” Furthermore, he points out, growth in the digital sphere does not ensure a greater number of jobs, given the automation and optimization processes.

Hita, for its part, refers to two other challenges that will need to be addressed in 2024: on the one hand, the need to put and keep the customer at the center, “identifying their motivations and creating an effective message for each stage of their journey.” as a client, which can change or evolve.” The other challenge has to do with evolving from a view of marketing as an isolated silo to creating a growth team. (Growth) capable of aligning the different strategic areas of a company to grow.

The announced disappearance of the cookies of third parties by Google Chrome (for 1% of users in the first quarter of the year, in the experimentation phase, and for the remaining 99% from the third quarter of 2024) will entail a significant change that responds to the need for comply with new regulations on data protection. “On the part of advertisers, this process involves investing in the collection of their own data (first-party data)explore the potential of contextual advertising and leverage machine learning and AI to analyze customer behavior to predict browsing patterns,” Amieva recalls.

Attention, a new metric

2024 will mark another evolution, one that goes from visibility to attention as metrics of the reach and success of different advertising campaigns. Thus, visibility is no longer sufficient currency when selling and buying ads; and brands and agencies are beginning to integrate attention as a new operational planning metric, “part of a collective effort to develop tools that measure the effective assimilation, by users, of an ad's message and its impact on results commercials”, they point out from Outbrain.

But how is attention measured? Amieva clarifies: “Attention is a numerical assessment that takes into account several qualitative and quantitative data for each impression: viewing time, ad size, percentage of the screen occupied by the creative, ad density and tracking systems ocular”. The data obtained is used to train a machine learning algorithm that predicts the types of content and creatives that will resonate most with users. In this way, they point out, media buying can be improved based on results and address issues such as the appropriate level of investment, media performance and the impact of the brand message.

The experts consulted for this report also draw attention to other aspects or trends that will continue to be relevant in 2024:

• SEO strategies (search engine optimization) and SEM (search engine marketing), essential when it comes to improving visibility and attracting relevant traffic to digital platforms. “Implementing a solid SEO strategy, they add, expands your reach to appear in more search results and establish a presence.” on-line more lasting”, they remember from the Ilerna Group.
• Product positioning strategies. According to data recently shared by IAB Europ
  ehe retail media (the opportunity for retailers to monetize their physical and digital spaces through the sale of advertisements to companies seeking more specialized and segmented access to consumers) will reach an estimated business volume in Europe of 14.32 billion in 2024 of euros, with a growth of 47.2% year on year.
• Connected television (CTV). In accordance with a study by IAB Spain90% of Internet users between 16 and 75 years old (about 31 million Spaniards) used audiovisual content services over the Internet in 2023, with a growth of 10% compared to 2022. Connected TV “provides the ability “to target the audience according to their interests, and the viewing habits of users, such as their favorite programs or series, can be used to further segment the ads,” they say from Outbrain.
• Social networks They play a key role in the present and future of marketing, as Rafa Muñoz, co-founder of rockin., recalled to this newspaper last year. Essential channels for interaction with the audience that only require three things: creativity, knowing your target audience and adapting the message and content format to each of them (as well as other different channels).

Skills and professional profiles for 2024

The continuous transformation of the marketing and advertising sector makes it imperative for professionals in these fields to develop a mix of technical competencies and soft skills that Rafa Amieva summarizes in five points:

• Competence in data analytics. Professionals must be able to collect, analyze and interpret large volumes of data. Data analysis tools and understanding of key metrics allow you to measure campaign performance and adjust strategies in real time.
• Efficient management of social networks, understanding the specific metrics and algorithms of each platform.
• Familiarity with emerging technologies, such as AI and machine learning.
• Ability to create and manage digital content.
• Understanding consumer behavior, which involves understanding the preferences and needs of the public and being aware of changes and emerging trends.

Regarding the different training programs that can promote employability in this area, experts point out a wide range of possibilities ranging from university to Vocational Training. They are, for example, degrees such as Marketing, Advertising and Public Relations or ADE, which can be complemented with different university master's degrees in advertising, communication and digital marketing and even data analysis and business intelligence, for those interested in data analysis in strategic decision making.

At the level of Vocational Training, the most demanded profile is undoubtedly that of Higher Technician in Marketing and Advertising, a training that can later be completed with specialization courses (VET masters) focused on covering specific needs of the sector, such as web design; graphic design and visual communication; programmatic buying and selling; programming in different languages; trade in marketplaces and eRetailers; the use of AI in advertising campaigns; connected television and branded content.

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