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Online Advertising: Trends to Watch

As technology advances, the future of online advertising, how we consume and how we interact with it in Australia is changing, and small businesses need to stay ahead of trends to remain competitive.

This blog will explore the latest online advertising trends and what the future holds for small businesses.

AI-Driven Advertising

Artificial Intelligence (AI) continues to revolutionise how we think with platforms like ChatGPT and Clude already taking the tech world by storm.

It allows for hyper-personalised online advertising and efficient marketing strategies through content creation, ad targeting, and customer segmentation.

AI-powered advertising systems can analyse vast amounts of data in real time, providing businesses with the insights they need to make data-driven decisions and optimise their campaigns.

It also has the ability to predict consumer behavior and optimise ad performance in real-time means that businesses can achieve better ROI while reducing wasteful spending.

As AI integrates further into digital marketing, its influence will only grow, making it a crucial element in any advertising strategy​.

Programmatic Advertising

Programmatic advertising is an automated process of buying and selling online advertising, using algorithms and data to target specific audiences. 

By leveraging data and targeting capabilities, it allows businesses to reach highly specific audiences with greater accuracy and efficiency, making campaigns more relevant and personalised.

The key benefit of programmatic advertising is its ability to optimise campaigns in real-time, using data insights to make immediate adjustments.

This helps businesses improve performance, increase ROI, and reduce manual efforts involved in traditional ad buying, enhancing both efficiency and effectiveness.

Examples of programmatic advertising:

Google Ads: Offers programmatic capabilities via Display & Video 360 and provides detailed targeting with manageable budgets.

AdRoll: Focused on retargeting and display ads, it’s easy to use with advanced targeting features.

Centro (Basis): Great for small businesses looking for an all-in-one solution with programmatic, search, and social ads.

The Trade Desk: A user-friendly platform that provides robust audience insights and data-driven campaigns.

These tools cater to a variety of budgets and campaign needs, making them accessible for all businesses.

Voice Search Optimisation

As smart speakers and virtual assistants like Alexa, Siri, and Google Assistant become more integrated into Australian homes, businesses need to optimise their online advertising campaigns for voice search or risk missing out on a growing market segment.

Optimising for voice search means focusing on conversational language and long-tail keywords that match how people speak, rather than type.

For example, instead of simple keywords like “restaurant Sydney,” consider long-tail phrases like “What are the best restaurants in Sydney that deliver?” Additionally, ensuring your website is mobile-friendly, fast-loading, and easy to navigate by voice is critical.

By tailoring content to be conversational and relevant to common spoken queries, businesses can capture the attention of voice search users and avoid missing out on this growing segment.

The Rise of Connected TV (CTV)

Connected TV (CTV) advertising is experiencing explosive growth in Australia, with ad spending expected to reach $30 billion globally by 2026.

Platforms like 7Plus and 9Now are at the forefront of this shift, offering Australian advertisers new ways to reach audiences through interactive video ads.

For Australian businesses, this is a game-changer. Local brands are increasingly integrating CTV into their cross-channel marketing strategies, as it offers a unique combination of performance marketing and brand-building.

Advertisers should take advantage of the programmatic buying capabilities on CTV to maximise audience reach.

Social Commerce

Social commerce is transforming how consumers shop online, merging e-commerce with social media. Platforms like Instagram, Facebook, and TikTok are leading this charge, offering features that allow users to purchase products directly within the apps.

This seamless integration of shopping and social interaction not only enhances the user experience but also creates new opportunities for businesses to reach consumers at the moment of inspiration.

We expect social commerce to expand even further, with more brands leveraging influencer marketing and user-generated content to drive sales.

The convenience and immediacy of social commerce make it a powerful tool for businesses looking to connect with customers in more meaningful ways​.

Interactive Content

Interactive content, such as polls, quizzes, surveys, and games, is becoming increasingly popular to engage with target audiences and provide a more personalised experience.

For example, Elon Musk uses polls and surveys on X to get his message across or gain a better understanding of user preferences.

Interactive content allows businesses to gather data on their target audience and use it to create more relevant and targeted advertising campaigns.

In addition, interactive video ads allow viewers to engage with the content through clickable elements, polls, or quizzes.

Major brands are leveraging interactive formats to create personalised experiences and gather valuable user data.

As this trend grows in Australia, more businesses are incorporating interactive video ads across social platforms like TikTok and Snapchat.

Video Advertising

Video content remains a dominant force in advertising, but the format is evolving. Long-form videos are making a comeback, offering brands the opportunity to tell more compelling stories and engage viewers on a deeper level.

Platforms like YouTube and emerging video-focused apps are ideal for these narrative-driven ads, which can capture and hold attention better than shorter formats.

Here are a few examples of video advertising: 

Shoppable Video Ads

These format allow users to purchase directly from the video, and has grown in popularity on platforms like YouTube and Instagram, where Australian brands are incorporating it to streamline the consumer journey from inspiration to purchase.

Retailers can link products featured in videos, enabling a seamless shopping experience.

Silent Video Ads

With many users browsing on mobile devices or in public spaces, silent videos with captions are increasingly important.

Over 85% of Facebook videos are watched without sound​, making captioning and visual storytelling vital for engaging users who scroll through feeds silently.

Long-Form Videos

While short-form video (15-30 seconds) remains effective for grabbing attention, long-form video content makes a comeback. Australian consumers respond well to documentary-style ads and narrative-driven stories that allow brands to engage deeply.

Platforms like YouTube and Vimeo are ideal for this, offering brands space to build emotional connections and tell more complex stories.

Building Trust Through Authenticity

Probably one of the most important online advertising trends! Online consumers are bombarded with ads, and trust has become a critical currency.

The growing distrust in advertising means that business owners must prioritise authenticity in their messaging.

Consumers, particularly Millennials and Gen Z, are drawn to brands that are transparent, ethical, and genuinely engaged with social issues.

To build trust, brands should focus on storytelling that reflects their values and resonates with their audience.

This could involve leveraging user-generated content, engaging in social causes, or simply being more transparent about business practices.

Conclusion

Online advertising is constantly evolving, and businesses must stay ahead of the curve to remain competitive.

From programmatic advertising and video advertising to AI, voice search optimisation, and interactive content, the future of online advertising is looking bright.

By staying up-to-date on the latest trends and innovations, businesses can ensure they’re making the most of the opportunities available in the online advertising landscape.

To learn more about online advertising, book a free advisory session with our digital specialist to learn how to implement ad campaigns into your marketing strategy.