Connected TV (CTV) has become the most important consumer trend according to marketers, with 56% considering it essential to watch by the second half of 2024, narrowly surpassing AI at 55%.
This is according to Mediaocean’s H2 2024 Market Report, which surveyed more than 1,200 marketing professionals worldwide to identify the key consumer trends that will shape the advertising landscape for the remainder of the year.
The rise in CTV’s importance for advertising follows a 40% increase in the amount of time consumers spent streaming in June, according to Nielsen. With viewers increasingly turning to more affordable, ad-supported streaming options, the CTV market now holds its place the largest share of television usage never recorded by Nielsen.
In an ever-changing macroeconomic environment, the industry has placed emphasis on accountability and ROI on ad spend. Subsequently, there has been a steady shift towards investment in performance-driven paid media.
Among marketers surveyed, 69% view performance-based paid media as the most critical advertising capability and media investment, ahead of brand advertising (57%) and measurement and attribution capabilities (53%).
Across performance media channels, 66% of marketers plan to increase their ad spend on social media, with digital display and video (64%), CTV (55%) and search (47%) also expected to see significant increases.
Interestingly, retail media, digital out-of-home, radio and audio, and television are among the channels expected to see a decline in ad spend, with 59%, 58%, 56% and 61% of marketers planning to reduce their investment in each channel respectively.
Aaron Goldman, CMO at Mediaocean, said: “Performance-driven paid media has become the dominant focus for advertisers, reflecting the industry-wide scrutiny of which channels deliver measurable business results.”
Currently second on the list of consumer trends for marketers to watch, AI is increasingly being used within marketing itself, with data analytics (45%), market research (40%) and copywriting (27%) among the most popular use cases for the technology by marketers.
Additionally, the report also found that with growing consumer demand for privacy and changes in how third-party cookies are managed, 2024 saw a rise in multi-ID advertising, with many brands now saying they are prioritizing first-party data strategies despite Google stopping Chrome’s deprecation of third-party cookies.
Goldman concludes: “To thrive in the final months of this year, advertisers must prioritize creative ad tech solutions that use AI and automation to engage consumers in the moment with relevant messages and orchestrate cohesive omnichannel experiences.”
