Technology
Dashboards
Business Intelligence & Insights
Communication Portal
Intelligent Collaboration
All Channel Activation
Activate Media on Every Channel
Consulting
Resources
There’s no getting away from it: the restaurant and dining industry has a tough road ahead.
A perfect storm of labor shortages, rising costs, and supply chain issues has created an extremely difficult operating environment. Brands will need to be careful when addressing these challenges, doing so in ways that avoid dampening what valuable consumer demand there is.
In such an unpredictable landscape, how can (and should) restaurant and dining advertisers plan ahead? Here are three places to start:
Thoughts differ on whether inflation will affect the restaurant category in 2023. While some research shows consumers want to cut back on dining out, other sources, including consumer surveys, indicate the opposite. This suggests that consumers may trade down from more expensive, “fine dining” establishments and instead turn to lower-priced options like quick-serve restaurants (QSRs) and fast-casual outlets. As a result, getting people in the door will cost a bit more, but once they’ve come through, you should invest in retargeting and retention strategies to get them back and increase frequency.
In 2020, many consumers embraced food and grocery app adoption for the first time out of sheer necessity. Now, two-to-three years on, it’s an ingrained behavior. To take full advantage of this, advertisers should put a spotlight on their apps—give them some dedicated attention—and ensure they are meeting consumers’ in-app needs and expectations. In doing so, diners will be more likely to download it, use it, and, over time, develop brand loyalty.
Moving forward, balancing in-store versus online will be increasingly important. Digital ordering campaigns are currently experiencing higher average order values (AOVs), meaning you’re getting more bang for your buck when you invest in advertising strategies designed to get consumers to order online. Both restaurants and consumers are expected to continue to rely upon digital ordering in 2023, so it would be prudent to have online-first strategies in place across the board.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
It’s plane plain to see: Travel is taking flight once again!
As other verticals are reconsidering their ad spending, travel is maintaining its momentum, with brands upping their digital ad budgets by 22.5% in 2022 and expected to increase them by another 20.0% in 2023 (and then a further 15.3% through 2024). Although this growth is obviously pegged against a dramatic Covid-fueled collapse in 2020-2021, no other industry is projected to amplify its advertising investment comparatively to travel over the next two years.
The reason? Brands are continuing to tap into pent-up travel demand. Last year, travel-related movement around the US only partially returned to normal with the Delta and Omicron variants disrupting many vacation plans and preventing travel’s full circle rebound. Today, though, digital travel sales are back to where they were pre-pandemic.
Still, there are plenty of obstacles that may yet rear their heads—including rising gas prices, inflation, and economic uncertainty—so it’s important for travel advertisers to stay aware of macro factors and be ready to pivot accordingly.
When it comes to trends to know for the year ahead, there are three standouts:
It’s no secret that green initiatives are a hot topic in travel. Seven in 10 consumers have avoided a travel destination or transportation option due to skepticism around its commitment to sustainable practices. With such high stakes, supporting and actively engaging in eco-friendly and ethical practices can no longer be an afterthought for travel brands. Those that make bold moves now and then market their activities in a way that is thoughtful and genuine (i.e. no greenwashing) have the potential to become leaders in this niche—but extremely important—subset of the travel industry.
Travel advertisers should also look to prioritize digital promotions, influencer campaigns, and loyalty programs to keep consumers engaged during key windows of opportunity. The latter will be especially critical in response to increasing cost of living pressures. Brands have an opportunity to show empathy by acknowledging economic stressors affecting spending behaviors and demonstrating how they can add value in different ways. And, as a bonus, this will help foster long-term brand loyalty among price-conscious consumers.
The travel industry has traditionally been a non-conformist when it comes to its spending distribution across ad channels and formats, and that trend will continue into 2023. Indeed, less than 40% of all digital ad spending in the US will go to search ads in 2023, yet for the travel industry, that share is projected to sit at 55.2%. Travel’s emphasis on search is a logical consequence of how consumers plan their trips—typically doing so through multiple phases of research incorporating dozens of websites. Media buyers will need to maintain a strong search presence in order to capture audience attention as they poke around, and they should emphasize video placements on those platforms to help reignite people’s wanderlust.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
B2B marketing has been going through a digital transformation for over a decade now. But during the pandemic, digital platforms became nothing less than critical to the survival of businesses, allowing them to continue connecting with buyers and consumers.
This need was, and continues to be, reflected in the shifting patterns of ad spending. In 2019, 71.0% of B2B advertising investments went to traditional media outlets. By 2024, however, that share will drop to 51.0%, and trend lines suggest this number will slip below 50% for the first time ever in 2025. Even as staples of pre-pandemic B2B activity have returned—think trade shows, conferences, speaking engagements, etc.—budgets for digital have still been steadily increasing.
Here’s how those industry shifts translate into B2B advertising trends in 2023:
Workers are returning to US offices at the highest rate since they were temporarily shuttered in 2020—a movement playing out against a backdrop of falling infection rates and intensifying “back-to-office” efforts from business leaders. There are geographic nuances to this, though, and corporate policies vary considerably. Case in point: East Coast professionals are returning at higher rates than their West Coast counterparts—research shows traffic to offices in downtown Manhattan increased by 53% over the 12-month period ending July 2022, while offices in downtown Los Angeles only saw a 21% visitation growth in that time.
What does this mean for advertising? In short, targeted audience strategies and an omnichannel media presence will be key to reaching business decision-makers wherever they’re working.
With digital channels like video, connected TV, and podcasts now seeing mass adoption, how can B2B advertisers continue to innovate? One way is to focus on new ways to distribute branded content at scale. LinkedIn Document Ads, for example, allow advertisers to promote long-form content directly in their audience’s LinkedIn feeds (and they’re compatible with lead generation forms). Savvy B2B advertisers should also keep a watchful (but far off) eye on emerging technologies—are there opportunities to experiment with your B2B products and services in extended reality or the metaverse? Use cases there could include virtual events and conferences, remote assistance, and immersive training.
With an economic slowdown in the forecast, spending plans should account for growth while focusing on optimization and resilience. B2B media buyers should look to invest in more relevant and reliable customer data to help sharpen audience targeting strategies and shift budgets into higher-yielding tactics with proven value. The outlook for 2023 will ultimately demand technology that is fine-tuned for efficiency, which equates to increasing the use of machine learning and algorithmic decision-making.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
Online healthcare delivery soared in 2020, and health and pharma advertising budgets followed suit. Digital ad spend will reach $15.84 billion in 2022, and although growth is slowing down, the category is still estimated to approach nearly $20 billion in spending through 2024.
As we look to the future, one of the biggest topics in healthcare is going to continue to be—yep, you guessed it!—privacy. And while this isn't anything new, there are two sides to the privacy coin for marketers to consider.
On one side: more and more people are prioritizing their data privacy rights. This means it's critical that healthcare marketers have the framework to manage consumer privacy as demands continue to intensify. If a consumer were to come to your brand directly and ask to be removed from your marketing lists, do you have the processes in place to make that happen? If not, then it is critical you establish the infrastructure you’ll need to comply with these requirements—especially as privacy regulations continue to strengthen.
And, on the other side of the coin: consumers are increasingly willing to have very vulnerable, very sensitive discussions about their health and wellness on social media. Of course, this has been a common practice for a long time, yet historically these conversations have been peer-to-peer. But with growth in TikTok communities such as #medtok and #doctok, they are now also happening between peers and providers. People are using social platforms to educate themselves and engage in specific health topics, so this creates an opportunity to engage users in a very direct way. Also, it’s worth noting that this doesn't mean your brand needs to have a “cool” TikTok presence. It just means that your paid content should have an authentic and relatable voice that matches the tone of the communities themselves.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
As we head into 2023, the big topic for consumer-packaged goods (CPG) brands is retail media networks and how they are going to affect budget allocations.
Retail media is an area of advertising that is just beginning to realize its potential: After two banner years in 2021 and 2022, US digital retail media ad spending is expected to continue its meteoric ascent into 2023, growing 25.8% to $51.36 billion—accounting for more than 18% of total digital ad spend. Dozens of retail media networks have come onto the market in recent years, with virtually every leading digital marketplace, mass merchandiser, national grocery chain, category-specific retailer, and delivery provider getting into the game.
Here are three considerations CPG advertisers should make as they leverage retail media networks:
Interest in retail media is driven by the promise that brand advertisers can access their troves of first-party shopper data to better target and measure ad campaigns, all while placing messages closer to the point of sale. The question, then, is how you can utilize that valuable consensual data to better engage consumers so you can build out your own zero and first-party data collection strategies? This is a critical piece of the advertising puzzle in the cookieless future present.
One of the big problems facing CPG brands right now is how to finance each network. Think about ways you can create mutually beneficial programs with your partners across brand, product, and sales so that funding can come from each group as opposed to straight out of the marketing budget. Another option: shifting ad dollars from channels on which you would normally do direct buys.
Evaluating whether and how to use a retail media network should depend on your brand’s needs. Do you simply need coverage at the point of sale? Are you looking to create a comprehensive omnichannel experience using the network’s audience data across display and social? What level of analysis into ROAS, SKU-level sale data, and digital shelf optimization do you need? Identifying the solutions that will create holistic campaigns across multiple channels and retailers will enable your dollars to stretch further.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
With supply chain issues delaying delivery of key parts and curbing new car manufacturing, the automotive industry slammed the metaphorical brakes on at the beginning of the pandemic. But its engines never ceased running, and now we find ourselves entering arguably the most dynamic and expansive period the vertical has ever seen, with electric mobility, new direct-to-consumer (D2C) brands, and evolving consumer behavior joining forces to make major impacts.
And so, despite near-term challenges (less affordability, rising interest rates, and tight supply), there are myriad reasons to be optimistic in 2023, all of which should trigger more advertising investment:
The question, then, is how will these industry trends shape advertising trends moving forward?
First and foremost, brands will need to make their electric cars the stars. Fifty-two percent of car buyers say they would prefer an EV for their next purchase, so advertisers will need to prioritize creating awareness for these products and educating consumers about the benefits of electric mobility as they communicate their EV story. Both brands and dealers will also need to find ways to usher in EVs without cannibalizing the traditional gas-powered vehicle buyer.
Second, robust retargeting strategies will be key. Consumer behavior is shifting rapidly in this space, with more choices leading to more cross-shopping between models and ultimately less brand loyalty. To take advantage of these movements and accelerate into a position of strength, advertisers should focus on implementing powerful, future-proof audience segmentation strategies that will empower them to target engaged consumers effectively.
And one final thought as you consider media planning for 2023: Traditional automotive in-market segments will look different than in years past—mainly due to inventory and cost factors that are extending buying cycles. The path to purchase will likely be much longer than at any time previously, and to find the right consumer, automotive brands and dealers would do well to build a first-party data stockpile that can drive better results.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
The higher education marketing landscape is changing. Why? Online learning.
People of all ages are embracing cost-friendly digital courses to learn new skills that can help them navigate today’s evolving world of work. From major colleges and universities to online education giants to newer nondegree providers, institutions of all kinds are grappling for a share of this lucrative market—packing even more players onto what was already a crowded playing field. As competition soars, education providers (both traditional and emerging) must be bolder and more innovative when looking to connect with prospective students in 2023.
And where better to start than TikTok, the social app of the moment and a favorite tool of Gen Z (a crucial audience segment for this industry)? When advertising on TikTok, keep in mind that you will want to reframe the way you think about creative—steer away from making an ad, per se, and instead craft content that feels organic to the platform. You’ll also want to tap into the value of student ambassadors. Find students at your institution who are already making great content and let them do some of the creative work for you. Once you have your content strategy in place, put a paid media campaign behind it to maximize impact and ensure it reaches the right audience.
Speaking of which: don’t forget to target parents and education-related influencers like guidance counselors and coaches. And remember to adjust your messaging for each audience—for instance, for parents, focus on value-driven factors such as career services, job placement rate at graduation, financial aid, and/or scholarship opportunities. Then in terms of recruiting graduate students, one of the biggest barriers to enrollment is the cost of tuition, so consider targeting prospective students who have built-in financial assistance. One way to do this? Geo-fence the corporations in your city that offer tuition reimbursement to their employees.
Next, think full-funnel media strategy. Paid search and Meta remain the top conversion drivers for colleges tracking form fills (i.e. campus visit registrations, application starts, etc.). But when it comes to upper funnel platforms, which drive search demand and fuel the retargeting pool, focus on Snapchat and TikTok for undergraduate programs and LinkedIn for graduate programs.
Finally, programmatic advertising is still a surefire bet. Social media platforms are slowly removing targeting options (most notably Meta), but you can make up for that by serving programmatic ads to your hyper-targeted audiences, and then retargeting the users who engage with those ads (and their lookalikes) on other platforms.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
Increasing rates of legalization across the US are creating a massive boom for the cannabis category. Combined US medical and recreational marijuana sales are projected to top $33 billion in 2022, which represents a 32% increase year-over-year. This number is expected to rise again to $38.8 billion in 2023—and that growth comes against the backdrop of a 2022 executive order that may have far-reaching consequences for the industry and its financing.
Today, as cannabis comes to our cities’ Main Streets and category players enjoy greater market opportunities, there is more investment going into cannabis advertising and marketing in an effort to break down the stigmas, expand awareness, and attract sales. Moving into 2023, here are three trends to watch out for:
Before Google finally sunsets third-party cookies on its Chrome browser, brands will want to start utilizing a data management platform (DMP) to capture consumers’ first-party data—whether that’s online or offline. Cannabis brands essentially need to modernize how they collect and manage that data and parse it into segments to execute targeting strategies within the digital ecosystem.
Adjacent to cookieless data, advertisers should look to establish lookalike audiences. This is a great way to capture new customers and foster greater levels of brand perception in the cannabis space. Marketers will also want to build sound retargeting campaigns to keep the loyalists they’ve already earned.
Location-based targeting and digital out-of-home (DOOH) placements are going to skyrocket within the programmatic space, especially as DSPs continue to get access to more DOOH inventory. So in cities, for example, advertisers can run campaigns at gas stations and bus stops that point consumers in the direction of the nearest point of purchase.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.
Consumer demands and behaviors are changing faster than ever, and megatrends such as the expansion of e-commerce and growing threats to brand loyalty are posing major challenges for retail marketers heading into 2023. However, those same factors are simultaneously creating opportunities, and in the face of this disruption, the most successful retailers will be those that leverage emerging technology to offer new, exciting ways to browse and purchase, while also investing in their data infrastructure to help enrich their communication strategies.
Let’s explore some specific trends:
These relatively new online buying platforms are poised to see rapid growth in the US, with social commerce sales forecast to grow by more than 20% year-over-year through 2025. In other words, leveraging tools like Instagram checkout is a great option for retailers—particularly those brands that are still building out an optimized e-commerce experience on their websites. While it is an approach that requires an upfront list in terms of setting up and maintaining product catalogs, it does open the door to exploring more interactive shoppable ad units and, potentially, unlocking incremental revenue.
Of course, this is nothing entirely new given the decline of cookies and device tracking, yet some brands are still seriously struggling when it comes to building systems to make the most of their first-party data. Email capture remains the easiest entry point for retail marketers, and the most critical. However, any additional attributes can make targeting all the more effective. These can include types of products purchased, frequency of purchase, loyalty program status—really, anything that can inform more personalized messaging and allow marketers to go after valuable customers with greater precision.
Here, two areas, in particular, are coming to the fore:
That said, it’s important to differentiate buying online from shopping online. Retail marketers must think of the internet as the largest shopping mall in the world and realize that, while not every part of a digital strategy should be focused on finalizing the sale, they need to be an active part of the online shopping ecosystem if they want to stay top of mind with consumers.
~
Want to learn about some of the macro trends affecting digital marketing more generally? Check out our 2023 Trends Report to stay ahead of the curve as you plan for the year ahead.