Ad-funded video platform is set to overtake subscription channels with time, as major streaming platforms are adding ad-funded tiers, hence placing advertisement video on demand (AVOD) over subscription video on demand (SVOD). This was stated in the 2023 Media Trends guide, which was published by dentsu international. The company claims that the guide examines 10 industry trends which will shape how brands tap into shifting consumer behaviour.
This year witnessed a very different geopolitical landscape and a new and challenging economic outlook, which has forced brands and people to really stop and re-evaluate many things, Peter Huijboom, global CEO – media and global clients, dentsu international, said. “Through all this uncertainty, we’ve been able to see the emergence of new consumer behaviours, tech innovations and the spark of profitable new media opportunities for brands,” he added.
According to the guide, the video-on-demand and gaming sector is an effective reason why shifting to digital platforms shows no signs of slowing down. As per the guide, gaming has become mainstream and games are becoming more prominent on content sites to drive repeat users. This falls in line with the guide that says, the advance of advertising streams may not only provide an alternative to consumers but will also provide brands with an opportunity to attract the attention of consumers and capitalise on advertising streams. Moreover, the guide reported that interest in attention is growing as brands look beyond metrics of reach and viewability to assess consumer engagement and make more effective decisions.
Under the banner of commerce, the guide stated that consumers are able to shop at any time from almost anywhere. This is paving the way for both retail sites and apps to expand their services and offerings to cater for shifting consumer demand and flexibility, it added. Therefore, retail platforms and sites are turning themselves into advertising platforms and becoming attractive propositions for brands due to retailers’ wealth of first-party data. Moreover, the guide observed that apps have evolved and retail platforms and sites are turning themselves into advertising platforms and becoming attractive propositions for brands due to retailers’ huge wealth of first-party data. For the company, the challenge for brands is to engage directly with consumers while planning and adapting for a cookieless future and respecting data privacy. Hence, the report claims that advertisers will explore and test the solutions that work best for their brands in a privacy-driven environment.
Additionally, the guide found that social media platforms are adopting their algorithms to encourage engagement and its ‘live’ events are spilling over to other platforms forming new communities. Hence, brands and platforms are increasingly using the ‘go live’ functions to build a community and create interest through live events, the guide stated. Moreover, as per the company, communities are emerging through a common emphasis on brand responsibility, and platforms are opportunities to share relevant content and increasingly measure the impacts of campaigns. The guide concludes with the point that social algorithms give users what they don’t know they want, and therefore it is not about who you follow in as much as what social media platforms want you to see.