Report: Marketers to boost ad spend in 2024
January 4, 2024
Mediaocean, the platform for omnichannel advertising, has released its 2024 Advertising Outlook Report, with all signs pointing to a prevailing focus on innovation and creativity in the new year. Overall, the findings show that despite macroeconomic headwinds holding over from 2023, optimism pervades the advertising industry. Omnichannel marketers, in particular, anticipate an active year, affirming their intent to maintain or increase spending in nearly every channel.
Examining key trends in media and advertising, the survey revealed that certain platforms stand to grow most significantly in 2024. For example, the report shows that not unsurprisingly, social media, digital display/video, and connected TV (CTV) are the frontrunners heading into the year, based on a sustained, surging investment that naturally mirrors consumer engagement and time spent. Specifically, 69 per cent of survey-takers report that in 2024 they will increase social media spending, 65 per cent for digital display/video, and 56 per cent for CTV in 2024. At the same time, the number of marketers maintaining their investments in these channels is 28 per cent, 30 per cent and 36 per cent, respectively.
“There is a lot to dissect in this year’s survey with regard to the marketing funnel and the consumer journey. For instance, even though direct-response campaign performance remains a top priority for marketers tasked with delivering tangible ROI, brand advertising is gaining momentum,” said Aaron Goldman, Chief Marketing Officer at Mediaocean. “Companies are taking a longer-view approach to driving customer loyalty and lifetime value. Even so, marketers are very aware that a prevalent gap remains between creative and media execution. If not addressed, this gap negatively impacts team workflow, messaging relevance, and market intelligence. So, resolving this gap and embracing the tools and systems required for doing so absolutely will be the largest growth opportunity for brands this coming year. ”
Overall, the report highlights the forces driving the advertising economy as seen by industry leaders, including the macroeconomic spending trends of 2023. This is the fifth instalment of bi-annual market reports produced by Mediaocean and features the largest base of respondents, nearly 1,100 total, delving into key media and technology trends as well as channel-specific 2024 projected advertising investments. Mediaocean primarily surveyed marketers and agencies but also included perspectives from media companies, measurement firms, tech platforms, and other industry cohorts.
“2024 will be a most consequential year and deliver unprecedented innovation in the advertising industry,” added Bill Wise, Chief Executive Officer at Mediaocean. “As we navigate the challenges of data deprecation, antitrust regulation, and privacy protection, there is a massive opportunity for brands to reduce their reliance on Big Tech and leverage independent technology for everything from media buying to ad serving to omnichannel measurement. Embracing the scaled tools and systems required for this alignment will be the key to driving customer loyalty and lifetime value.”
In addition to illuminating overall optimism and positive spend trends across channels, the survey underscored a rising focus on AI and waning interest in the Metaverse. The report highlights that Generative AI has not only captured everyone’s attention but has also led to a shift in focus and resource allocation. The analysis suggests that 2024 promises to be the year that AI moves from speculative use cases to practical, day-to-day applications, particularly in the areas of data analysis and market research. Respondents indicated that AI will become an increasingly integral part of daily workflows and serve functionals well beyond content generation.