Data has become a critical asset in the battle for consumer attention and retention. Today, having access to accurate customer data to inform a clear customer understanding, is necessary and crucial for data-driven marketing success.
Yet there are many trends impacting and influencing data-driven marketing. Below we outline three areas that must be considered for effective, compliant marketing that stays one step ahead.
With the implementation of Europe’s General Data Protection Regulation (GDPR), the conversation, and recognition of the importance of data governance at a global level – has been raised. Indeed, GDPR is a timely reminder of the importance of rigorous data security and privacy compliance.
Companies that use this period of heightened awareness to strengthen their data governance programs will have the best chance of building lasting trust with customers; ethical data use will give businesses a competitive advantage.
Brand Safety and Trust
Last year, brands came to recognise the power they have when they vote with their budgets. Publishers looked to implement better brand safely controls when stories about fake news threatened revenue streams, and agencies and tech platforms became more transparent about fees.
Viewability has become more necessary to mitigate the effects of fake news, with some vendors even giving viewability measurement away for free. As marketers develop a greater sense of what they can achieve, they’re willing to move their ad spend and, as a result, it’s likely that this emphasis on greater transparency and brand safety will grow, with viewability becoming an important stake in whether media buyers and sellers trust an ad platform.
Of course, even as aspects of the digital supply chain improve, marketers must continue to guard against ad fraud; some initiatives like the IAB Ads.txt program and RTB 3.0 will help to reduce some forms of fraud and fake news. Additional options for marketers include creating a publisher whitelist that meets reach and diversity goals, and developing an authentication process to reduce the risk of identity fraud.
Artificial Intelligence and Blockchain
Although data scientists have used machine learning for many years to model audiences and optimise RTB strategies, most uses for true artificial intelligence (AI) in marketing are still in the beta and early adopter stages. We can expect to wait three to five years before AI is commonly used to create audiences from hundreds of disparate data sources, personalise creatively for individual consumers, and optimise cross-channel campaign execution.
What can we expect from AI? Those seeking to get ahead of the game are testing new AI products as they come to market, though early adopters have found that AI is extremely data hungry and can contain unintentional bias if algorithms aren’t carefully developed. However, building high-quality first and third-party assets, with clean historical data, can help to train AI algorithms properly.
Blockchain is another upcoming technology with great potential for marketing in the next three to five years. By recording transactions in a way that is trusted and tamper-proof, blockchain presents opportunities to reduce fraud and simplify the digital supply chain. However, it will be several years before blockchain technology is able to handle the processing requirements for real-time bidding.
Consider Your Data-Driven Strategy
With marketing set to become increasingly data-driven and people-based, now is the time to consider your strategies, as well as the market trends impacting the direction that strategies head next.
To learn more about current trends influencing and affecting data-driven marketers, read more in our guide: Top 7 Trends For the Data-Driven Marketer.