This week, Genius Monkey is taking a look at the trends that we expect to continue into this year so you can be prepared for what the industry is likely to become. From an emphasis on first-party data to a TikTok-shaped void in social media advertising, there’s a lot to dive into:
The Increasing Importance of First-Party Data
In 2024, Google announced that it would, in fact, NOT depreciate third-party cookies in Chrome. However, the death of the cookie loomed large over the industry for years so most platforms have already taken steps to move away from third-party cookies. Google might not be officially killing the cookie anymore, but they are slowly dying nevertheless.
First-party data – behavioral data collected directly from the consumer by your business – is emerging as the new king in targeted advertising. This puts pressure on advertisers themselves to invest in research and tracking technologies, but more platforms than ever are offering this kind of tracking as standard.
First-party data can be supplemented through second-party or third-party:
- Second-party: Using first-party data of a partner or related entity.
- Third-party: Data collected by an entity not directly linked to your business or audience, i.e. research and/or industry survey information
In an announcement from December 2024, Google reversed one of its key data policies against the use of IP addresses in consumer data tracking. Google noted that privacy and anonymizing techniques have been improved and implemented into their ad products, allowing businesses and advertisers to better tailor and place ads without fully re-identifying the customer. This huge reveal demonstrates that the wider industry is embracing first-party data, and we can expect that it will continue to play an increasingly important role in digital advertising.
This year is the time to make sure that your data pipelines are running smoothly and providing enough info to let you make smart advertising choices. No-one should know more about your audience than you, so get collecting!
CTV Taking off as the Hottest Programmatic Medium
Apologies for the broken record, but CTV continues to shine as the channel to watch. Since the emergence of ad-supported tiers in recent years, they’ve continued to grow rapidly and the major streaming services are investing heavily in their future. Netflix – the leader in subscriber numbers – recently reported that the ad-supported tier constituted roughly one-quarter of their entire customer base.
The big red “N” is confident enough in the ad-supported tier to launch a proprietary ad service, selling inventory through the Trade Desk, Magnite, and others. New programs such as PAIR are making it easier than ever to place CTV ads in front of your target audiences by letting advertisers use their own first-party data on other platforms. Modern techniques allow Genius Monkey to not only track CTV placements, but CTV impressions with high accuracy.
CTV sports streaming recently overtook traditional linear sports broadcasts, and the medium already handily beats out cable and satellite broadcasts in all other categories. Ads are here to stay in CTV, and if businesses want to get ahead, then the medium must become a staple in their programmatic campaigns.
A Shift in the Social Media Landscape
TikTok has enjoyed a meteoric rise in popularity; ad revenue reached $12.3 billion in the U.S. alone over the course of 2024. An estimated 37% of users made purchases through TikTok, and 17% of adults in the U.S. reportedly get their news from the app.
Last week, a law dictating the sale or ban of TikTok in the U.S. went to the Supreme Court. While we await a decision, the potential for a ban has caused a ripple effect across social media and advertising: many users, businesses, and influencers are preparing for the social media black hole by migrating to other platforms.
The natural choice is Instagram, which also introduced short-form video as a content pillar in 2020 and is the go-to social media for Gen Z in the U.S. Creators and businesses are also flocking to YouTube, RedNote (another Chinese app similar to Instagram), Bluesky, and even Lemon8, which is another app owned by ByteDance that will likely face similar scrutiny as TikTok.
Genius Monkey has long maintained that social media can be a useful place for ads, but a slippery money-sink if companies try too hard to keep up with minute-to-minute trends. The best way to approach social advertising is the same as other campaigns: a steady budget with a device-agnostic platform that places ads wherever your users go.
An Emphasis on Efficiency
Genius Monkey has found that customers often receive over one hundred impressions before they convert; that’s one hundred unique interactions with the brand across multiple devices, channels, and ad types. Effective digital marketing requires a high degree of efficiency and consistency, and that’s a hard challenge to tackle with shrinking budgets and marketing teams across the industry.
Some newer technologies are stepping up to help teams be more efficient. For example, generative AI: we’ve all seen bad examples of poorly-implemented AI creating uncanny monstrosities, but the tech can be used to speed up the process of simple tasks. Advancements in AI make it possible for a handful of team members to create hundreds of ad iterations and pick the best ones to display to consumers. Creative has often been a pipeline bottleneck in digital advertising, but AI allows teams to overcome the challenge if handled with tact.
Of course, there are even more tech and business advancements outside the realm of AI:
- Better tracking tech allows a great degree of nuance in customer affinity data, letting advertisers reach an extremely specific audience should the campaign require
- Improvements to ad validation let careful advertisers avoid MFA sites and wasted spend
- Fully-managed programmatic platforms supplement teams with expert advice from real people on how to optimize campaigns
The popularity and saturation of the digital market means that teams need to play smart if they want to stand out. New tools and tactics are letting businesses increase efficiency without cutting back on quality, which is the kind of no-compromise output that Genius Monkey is known for.
Looking Forward to the Future
Between the drama surrounding third-party cookies, Google getting sued by the DOJ, and programmatic debuting at the Olympics, it’s been one heck of a year for digital advertising. It’s a remarkable industry that keeps everyone on their toes, and advertisers have every reason to be excited for 2025. The future of digital marketing is bright, and Genius Monkey will retain its position as the leader in programmatic technology and quality placements.
Our team will work with yours to find the perfect balance of placement, timing, and pricing to make your budget punch above its weight. As the premiere Meta-DSP in the industry, Genius Monkey will decrease your cost-per-conversion while expanding your reach and retaining your audience. Want to see it in action? Get in touch with the Genius Monkeys today!