Predictions, Challenges, and Strategic Insights – A Mid-year Check-in
As we move toward the end of 2024, I wanted to revisit the advertising trends we discussed at the beginning of this year and consider what the rest of the year might hold.
The Evolving Role of AI in Advertising
AI continues to be a hot topic, with its influence growing across industries, and it continues to grow at an incredible rate. We see companies taking advantage and investing in its capabilities nearly daily.
AI’s real advantage lies in its ability to enhance efficiency and effectiveness, and, specific to our industry, data analysis and audience identification.
As great as AI is, I don’t believe AI will ever replace human creativity and strategic thinking. But it will undoubtedly replace those who don’t harness its power and take advantage of the efficiencies it creates.
However, it must be used in tandem with the human element. We are starting to see stories in the news of misuse, from news anchors resigning after fabricating quotes to students being put on academic probation for using AI to cheat.
My biggest takeaway is that while AI can streamline processes and provide valuable statistical insights, adding the human element of strategic thinking and experience will drive success with AI.
FAST: The Future of Television Viewing
The rise of streaming TV, especially FAST platforms, is another major trend I’ve followed closely in 2024. According to Nielsen’s latestGauge report, streaming made TV history for a second consecutive month, accounting for 41.4% of TV viewing. Free ad-supported services like Pluto TV and Tubi, to name a few, continue to expand their content libraries and offer more live-streaming channels; as a result, audiences are engaging more with these platforms.
A recent survey highlighting the “must keep” TV brands included Tubi and Pluto in the top 20, showing their impact and growth from just a year ago, when neither made the top 20 list.
Many other FAST platforms are also exhibiting growth in viewership, and I expect this trend to continue to grow.
However, don’t sleep on traditional media because it still holds a significant value for advertisers. Major events like the Olympics and other sporting events, as well as high-profile political debates and breaking news, still draw large audiences. Therefore, a balanced, strategic approach — including new and traditional media — is essential for long-term business success.
More Challenges for Advertisers in 2024
Advertisers are navigating several significant challenges as we approach the latter half of 2024. The economy, inflation, and interest rates are top concerns, especially in an upcoming election year, which could significantly impact these factors.
Media confusion is one of the most significant challenges in the local advertising landscape today. The rapid evolution of technology has created a complex environment where businesses are often distracted by vanity metrics and the allure of quick fixes. Technology will continue to fragment how consumers engage with “media” daily, presenting a new set of challenges for the industry overall.
To succeed, advertisers must be patient and strategic in their marketing approach. Focusing on a balance of reach, frequency, and creative messaging will impact consumers throughout the entire path to purchase, from the top with awareness to the bottom with loyalty.
Keys to Success in Advertising
To quote Mark Twain, “The spider looks for a merchant who doesn’t advertise so he can spin a web across his door and lead a life of undisturbed peace!”
Success in advertising today hinges on driving strategy through trusted partnerships and insights.
Leveraging AI, staying informed on trends, and utilizing multiple media touchpoints are crucial for effectively reaching and engaging your audiences. As the advertising landscape evolves, success in 2024 and beyond will come to those willing to adapt, focus on the right strategies for their business, and remain committed to long-term goals.
The greatest advice I can give advertisers looking to overcome the challenges of a fragmented and media-saturated advertising landscape is to embrace change, maintain patience, and find trusted consultative partners to help you navigate the complexities of the ever-changing industry. Our team at Optimum Media prides itself on its ability to navigate this evolving landscape and provide thoughtful and impactful strategies to help your business thrive.
Bill Chambers, Senior Director of Business Strategy & Insights for Optimum Media, has 34 years of experience in local advertising research and business strategy supporting sales teams within the media industry. He has a strong expertise in local sales research and utilizing various resources for strategic insights to assist and educate the local marketplace on the most recent industry trends and technologies. His resume includes memberships within various industry committees, including The Media Ratings Council, The VAB’s Measurement Innovation Task Force, Nielsen’s product and technology committees, and Scarborough’s Local Advisory Board. Bill previously held senior-level management roles at the New York Interconnect, Cablevision Media Sales, and FOX Sports Net.
Posted at MediaVillage through theThought Leadership self-publishing platform.
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The opinions expressed here are the author's views and do not necessarily represent the views of MediaVillage.org/MyersBizNet.
