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Cookieless solutions are taking off and Topics API the enter next stage- Data & Programmatic news in a nutshell

6th June 2022

Topic: Data & Programmatic News
  • Post-cookies alternatives are taking-off 
  • Marketing Budgets are growing steadily
  • Display hits nearly 60% of US Digital Ad Spendings
  • Next stage in testing Topics API - a cookieless solution by Google
  • Over $9 trillion in additional sales

OnAudience: Data & Programmatic news in a nutshell – 25.05.2022 – 03.06.2022

We have compiled the most important news from the data, online advertising and programmatic market from 25th May 2022 to 3rd June 2022. Check out what happened in the last two weeks on the data & programmatic market.

Post-cookies alternatives are taking-off 

Cookieless solutions are gaining popularity. According to the MediaOcean report, marketers are clearly preparing for a world beyond cookies. With 60% of a 600-plus sample of marketers from around the world expressing confidence in the industry’s new solutions. However, this does not exclude concerns that also appear in the report. One of them is the decrease in effectiveness of measuring results or the difficulty in finding the right employees.  However, there are also investment plans, e.g. 70% of respondents intend to increase spending on display and video advertising. Additional, 60% will increase the budget for CTV advertising.

Marketing Budgets are growing steadily

According to the annual CMO Spend Survey by research firm Gartner Inc. companies are prone to dedicate more and more of their budgets to marketing. 

Marketing budgets increased to 9.5% of total company revenue in 2022. This represents an increase from the 6.4% reported in 2021, but still lags behind the pre-pandemic level. From 2018 to 2020, marketing spending averaged 10.9% of company revenue. Advertising spending will continue to grow in every industry and the trend will continue in the coming years. Despite the unfavorable economic situation, the marketing industry will continue to grow. Even though the pandemic situation has turned the tide, investments in marketing, also in programmatic market, will slowly become more and more visible. 

Display hits nearly 60% of US Digital Ad Spendings

Linear TV ad spending will peak in 2022, social media will increasingly focus on video, and e-commerce ad spending will nearly triple from its 2019 peak. Per capita ad spending in the U.S. will surpass $1,000 in 2022 and grow more than 8% the following year. An important core of growth is the ever-increasing popularity of video forms. Videos are gaining importance in the advertising industry not only because of their attractive form but also because of the growing popularity of CTV. Thanks to this form of advertising, video will strengthen its position in the advertising industry in the coming years. 

Next stage in testing Topics API – a cookieless solution by Google

Google is starting a new phase of Sandbox testing. Half of Chrome’s beta users – developers who signed up to participate in the initial testing – will begin testing the new solution. The Topics API will be tested.

Topics is Google’s proposed privacy-friendly replacement for third-party cookies. It is a browser-based system that assigns a user a set of interests based on the sites they visit. In this solution, the mechanism is to match the top 5 topics that have appeared most frequently to the user in the last 3 weeks based on the browser history. 

Over $9 trillion in additional sales

 Advertising spending is estimated to reach $465.6 billion in 2026, helping to generate more than $9 trillion in additional U.S. sales.

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