The advertising industry has changed so much in the last 10 years. New technologies have made it easier to engage with customers and the competition has never been more fierce. That is why it is critical to stay current with marketing trends and ideas that will affect the industry in the coming decade.

In this blog post, we’ll cover some of the advertising technology trends that will shape the advertising industry in 2021.

1. Contextual Targeting

Contextual targeting is a popular trend that’s been around for years and one which won’t be going anywhere anytime soon. It’s targeting that allows adverts to be matched by keywords, location and a user’s browsing habits, to deliver advertising that a user will be interested in.

Your ad is displayed depending on the relevance of your website’s content and keywords, as well as how they relate to the user’s search. This leads to only those who may be interested in your offering being shown your ads. This type of targeting is privacy-friendly, which is a concern to more online users today.

IAB Europe’s 2020 report (Attitudes to Programmatic Advertising 2020), mentions that more agencies are embracing the trend of contextual targeting, with 71% of agencies considering this solution in 2020, compared to 57% in 2019.

2. Creative optimisation

In terms of automatic ad optimization, 2021 will ask for higher advertising efficiency and effectiveness, and creative optimization will play a part in this.

To build individualized advertising for customers, creative optimization combines data and creativity. With real-time analytics, your ad will adapt to reveal relevant information to your viewer based on their geolocation, frequently resulting in the presentation of excellent offers and relevant graphics. Personalizing your advertising for viewers is what creative optimization is all about.

Creative optimization is a smarter way to spend your advertising budget, as you know your ad is being displayed to relevant audiences likely to be interested in your brand. As we go through 2021, creative optimization is sure to be a priority for a lot of advertisers and media buying agencies.

3. Delivering Programmatic Advertising through AI Technology

The growth of programmatic advertising utilizing artificial intelligence (AI) to automate the ad purchasing process is one topic that everyone will be watching in 2021. With this development, advertisers will be able to target more specific demographics.

With advertisers adopting a variety of demand generation methods, maintaining multiple channels at once is getting increasingly complex. Advertisers may solve this problem by using AI to manage programmatic platforms, which use targeting signals and real-time adaptation for campaigns across all of these channels.

Advertisers could take advantage of AI-powered programmatic advertising to provide more customized communications with prospects and existing consumers through relevant content.

4. Self-serve makes it easier to use advertising as content

The deployment of self-serve advertising technologies will expand in 2021. Advertisers will be able to set up a campaign faster and more efficiently thanks to self-serve. Advertisers have complete control over their advertising campaigns, including budgeting, audience demographics, and geographic targeting.

Because self-serve requires relatively little input from the publisher, it saves them time and money. Publishers can serve more clients without having to hire additional workers. By making it simple for advertisers to set up and manage their own advertising campaigns, self-serve has increased income for publishers.

In addition to making it easier for advertisers to manage campaigns, self-serve has prompted many advertisers to consider advertising as another form of content. Users want content that is valuable to them, thus advertising that diverts their attention away from the content they want to read is unsuccessful. Advertisers are adopting self-serve as a simple way to share information through an advertising campaign to expand their reach with tactical targeting capabilities and the ease of setting up campaigns with self-serve. And this is likely to be a advertising technology trend that will grow throughout 2021.

5. Header bidding changing media buying

Advertisers will use header bidding more frequently in 2021. Even if RTB auctions improved digital advertising efficiency when they were first introduced, the disadvantages of RTB are that it does not generate the highest impressions and fill rates are insufficient.

Header bidding, on the other hand, is an automated auction system that compensates for RTB’s shortcomings. Publishers can receive bids from multiple advertisers at the same time via header bidding. All DSPs have the same opportunity to bid at the same time. Header bidding works by installing header wrapping on a web page. The header wrapper, which connects multiple bidders at once, is made up of a repository of tags.

By providing bidder identifiers on the wrapper, header bidding makes it easier for publishers to handle demand partners, and it’s simple for publishers to add more partners to the auction. This is anticipated to become more common in 2021, as it assures that the publisher receives a reasonable demand base price for their ad inventory.

The future of advertising technology

In 2021, classic concepts such as contextual targeting, creative optimization, and content advertising will become more popular, while new technologies such as header bidding and AI-powered programmatic advertising will begin to take their place. It’s an exciting moment to be a part of the advertising industry, and we at ADvendio are excited to see where the advertising technology trends in 2021 will take the industry.

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