Dentsu Media Trends 2023

What media trends await us in 2024 and which of them should advertisers keep an eye on? In the current dentsu Media Trend Report "The Pace of Progress", media experts from Carat, dentsu X and iProspect have identified the most important developments and present 10 trends that will be of decisive importance for advertising and brand communication in the medium to long term.

Breakthrough of generative AI

Media and advertising are constantly evolving due to technological advances and changing consumer behavior. Both are becoming increasingly individualized, with the aim of better understanding consumers and strengthening relationships with them. The use of artificial intelligence will play a significant role here, making both areas increasingly efficient and effective.

Generative search is revolutionizing the Internet:

Artificial intelligence (AI) has already begun to transform the field of online search, especially in the area of search engine marketing (SEO), and will continue to do so in the future. It is penetrating ever deeper into search engines and virtual assistants and will revolutionize the way we use the Internet. Industry giants such as Microsoft (Bing) or Google have already started to integrate generative AI into their search engines. AI-powered search algorithms will be able to better understand even complex search queries in the context of more natural and conversational input, and deliver more relevant results. Advertisers will have the opportunity to use AI to improve the efficiency of their search campaigns through high-quality and relevant content, and also to create it faster. SEO professionals need to adapt to these developments and integrate AI-based tools and strategies into their way of working to remain successful. The use of chat assistants will also experience a renaissance. AI will help to significantly improve the customer experience when using them and provide customers with faster and more efficient support.

With AI, creativity is rethought

The use of generative AI in the creative industry has already begun and it will have a significant impact in the coming years. For example, it offers the possibility of automated and faster content creation of texts, images, videos and even 2 music. Whether to help with ideation or to optimize designs and concepts, creative processes will be able to be made much more efficient. Generative AI can also be used as part of the creative process to generate personalized content based on the preferences and behavior of the target audience. This improves the relevance of content and increases user engagement. In the area of storytelling, AI is already capable of writing stories or even novels. This can be applied in the entertainment industry as well as in advertising. However, caution is still required here with regard to copyrights and the authenticity of content. Overall, however, the use of generative AI in the creative industry will not only change the way creatives work, but also open up new opportunities for innovative projects and products. At the same time, however, ethical issues must be considered to ensure that creativity and the rights of creators are respected.

Generative campaign optimization

Generative AI will have a significant impact on advertising and has the potential to improve its efficiency and effectiveness. With Meta Advantage+ and Google's Product Studio, these platforms are already using AI to help optimize and measure campaigns. In the course of this, AI could lead to a shift of power to the larger advertising providers, who have high resources and the most data. To prevent smaller providers from falling behind, strategic alliances will be formed with the aim of offering their own generative AI advertising solutions.

Competition between tech giants intensifies

Another trend looks at the future of the big tech giants. Forecasts from dentsu predict that digital advertising spending will slow between 2023 and 2025, with an average annual growth rate of 6.6 percent - significantly lower than in the last 20 years. Faced with this slowdown in growth and increasing competition among themselves, digital platforms are already working to further improve the value of their services, content, data and offerings. In an effort to better monetize their services even in a more difficult economic environment, platforms will increase their investments in functionalities - keyword AI - in order to increase the attractiveness for their users and to expand advertising opportunities.

Climate change and polarizing events impact brand positioning

Climate change will continue to be strongly embedded in consumer awareness, so brands for 2024 would be well advised to continue their strategies to increase CO2 efficiency and to better align their economic efficiency with the issue of sustainability. In a world that 3 is characterized by highly polarizing conflicts around the world in addition to this issue, however, growth will no longer be defined solely as the immediate financial performance of brands. This is because growth also includes the contribution that brands make to improving a society. Companies that create a positive value cycle make themselves and their brands more relevant and crisis-proof.

"Of all the trends, generative AI is the most groundbreaking technological breakthrough of the last decade. Six out of ten respondents to the in-house dentsu 2023 Global Media Client Survey said they are already integrating generative AI into their marketing activities, which means this technology will be front and center in the coming months and years. From search to creative to media planning and production, generative AI will take media efficiency to a new level," comments Robin Jansen Chief Client Officer Media at dentsu Germany & DACH.