These trends will determine performance marketing in 2024
Experts at Nexoya, an AI marketing analytics startup, highlight five trends that could be important for performance marketing professionals in the new year.
According to Nexoya, artificial intelligence (AI) will continue to bring about far-reaching changes in the marketing world in 2024. Strategic performance marketing in particular will benefit from this. This is because algorithms are unbeatable when it comes to analysing large amounts of data on interactions, interest-driven behaviour and customer transactions and optimizing marketing activities across the board. AI will accompany and support the work of marketing experts like a co-pilot and thus increasingly optimize operational activities independently. In addition, a new form of communication between man and machine is gaining in importance with voice-controlled and personalized platforms. Channels that offer AI-generated, personalized experiences and content will experience a surge in popularity. They may soon be available as new advertising channels for marketing. Thanks to these technological developments, performance marketers will be able to focus more on their strategic tasks. The experts at AI marketing analytics start-up Nexoya show which five trends will become important for performance marketing experts in 2024 as a result of this development.
1. new advertising-relevant channels are created
The rapid evolution of information through generative AI can create new platforms in a short space of time. Generative AI models learn patterns and structures of input data such as texts, images or other media. On this basis, they automatically develop new data - including personalized content or advertising that is generated and displayed in real time. The rapid growth of the audio platform Clubhouse, for example, has shown how an extreme network effect can suddenly arise. Such a dynamic community magically attracts end users - a new advertising platform is born. This is exactly the effect we expect to see with AI-driven network-based platforms from next year.
2. generative AI determines the content
This trend is the logical progression of what we observed in 2023: AI is creating more and better text, image and video content. In the field of video production, we are already seeing platforms such as Synthesia and HeyGen. They create content with avatars based on real people. AI tools and generative AI will be increasingly tailored to specific industries, brands and target groups. The goal is highly personalized and contextual content. A current example is the launch of Performance Max for Google campaigns with AI-generated images for advertising material. Soon, the generation of texts, graphics and videos will be available as standard on every advertising platform and will be tested and applied automatically. This means a new way of working and additional opportunities for content marketing experts.
3. display-free access to the AI
The technology will become independent of the displays on smartphones or tablets. We are seeing the development of new carriers with which technology will constantly accompany people. One example is the "Humane AI Pin", a chip with integrated AI that can be worn on clothing and projects content onto the hand. This makes AI more accessible and wearable. This will greatly change the way marketing interacts with technology and in people's lives. The advertising played out will also adapt: Without a fixed display, formats will change from image to sound. Completely new formats are also conceivable, such as holograms or large-scale LED formats like the spherical multi-purpose hall Sphere in Las Vegas.
4. omnichannel approach becomes mandatory
Cross-platform integration for a consistent customer brand experience and holistic analysis by marketing experts will be crucial. This is the only way for performance marketers to recognize and react to trends quickly. Marco Hochstrasser, co-founder and CEO of Nexoya, explains: "In concrete terms, the development is also moving completely away from static and flight-based budget planning towards a dynamic, data-driven, always-on approach. Marketing teams can no longer manually evaluate which channel is most important given the multitude of channels. Instead, budgets are increasingly being used intelligently and automatically in the right place - across all regions, channels and campaigns. This is most effectively achieved with the help of AI-based campaign optimization solutions." The technology relieves performance marketers of time-consuming routine tasks. This frees up time for important strategic tasks.
5 AI becomes a strategic co-pilot
When using AI, a larger number of channels typically leads to more testability, better reach and offers more opportunities to optimize the return on investment (ROI), as there is simply more "moving mass". The technology also enables simulations: What-if scenarios can be tested and planned. Thinking in such scenarios also makes it easier for performance marketers to communicate with management: before the budget is actually spent and predictions are made regarding the expected effect - such as the number of leads or the return on advertising spend (ROAS) - various possible realities can be mapped in this way. In the end, the decision made is based on data, not on assumptions.
