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Artificial Intelligence Brand Strategy Open Mic

5 top digital advertising predictions for 2023

By Kaja Pryczkowska

RTB House


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January 26, 2023 | 8 min read

For The Drum's Predictions Deep Dive, the RTB House team looks at how digital advertising is set to change in 2023.

2023 predictions for digital advertising and marketing

As the world slowly got back to some semblance of normality in 2022, life for marketing professionals was tough as they tried to predict consumer behavior post-lockdown. With the demise of cookies pushed back to 2024, privacy-focused advertising emerged from the sidelines to take center stage. And this shift meant contextual targeting became considerably more important for branding campaigns, with video content continuing its surge in popularity as a consumer favorite.

But what will 2023 hold for the world of digital advertising? Where should brands be looking to improve their advertising efforts? Let’s take a look at the top five trends that will keep brands ahead of the competition in 2023.

#1 Brand safety will become a primary concern

In the modern world, consumers expect brands not just to deliver high-quality products but also to take a stance on various issues, such as cultural, ethical, environmental, etc. The last thing a brand wants is to be displayed in a compromising position that might go viral, which ultimately means brand safety is the primary concern for almost every brand when it comes to advertising.

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In a world where media consumption is ever-changing, and news headlines are unpredictable, it's not just about carefully created content. To maintain a coherent and safe brand image, companies also need to take steps to control where their ads appear.

This challenge is set to accelerate during 2023, and when selecting marketing partners, brands should look to those that offer brand safety solutions as a core offering.

#2 Short-form personalized video ads usage will increase

In 2022, 82% of all online activity involved some form of video content, and 96% of consumers will watch video explainers before purchasing a product. It’s unsurprising then that video ads have a significantly higher click-through rate than static ads.

This year, short-form, personalized video ads will come into their own.

While users are generally more willing to engage with content that is under 15 seconds, over 80% of videos, especially those longer than 15 seconds, are skipped and not watched.

However, if the ad is personalized, video completion rates increase to an average of 85%.

Brands using solutions that dynamically select and display content based on user preference will engage more users with video content.

#3 Contextual targeting becomes an important strategy

The cookieless future will happen.

While the next deadline for Google Chrome to phase out third-party cookies has been pushed back to the third quarter of 2024, it is predicted that 60% of web traffic will be cookieless by the end of 2023.

This means that brands looking for new, privacy-friendly ways to reach users will increasingly turn to contextual targeting that uses artificial intelligence (AI) and other new technologies, such as deep learning, to target ads to specific audiences based on the content being consumed and the original user’s search.

Contextual targeting makes it easier than ever for brands to predict what content publishers and visitors to specific sites are most likely to want to engage with, even without cookies.

#4 Brands will use CTV devices and in-game ads to reach users

Technology evolves, but one thing that is always constant is a brand’s need to reach users where they are, and that is always a moving target.

The latest major shift is the consumer preference for on-demand content, which has, in part, fueled the rise in the number of connected TV (CTV) devices in people’s homes.

Users are increasingly spending their leisure time with these devices and use them to browse many Over-The-Top media services, such as Netflix and Disney Plus. With the introduction of new ad-supported tiers on these platforms, brands have a great opportunity to reach customers in a fun and engaging way.

Brands looking to expand their reach and connect with a highly engaged and valuable audience should look into the power of gaming. With in-game advertising, they have the perfect opportunity to introduce themselves to a curious and financially stable group of consumers who are primed to make purchasing decisions.

#5 The rise of the AI Chatbot

Brands are no longer merely places that sell products or services they are entities that customers want to have real conversations with, and whether this is on social media or through chatbots, users increasingly want to interact directly with the brands they love, and expect swift responses in return. This became particularly visible during Covid when the volume of interactions with company chat platforms increased by 250% in many industries.

And the brand that taps into this growing trend will provide its users with the engaging experience they are seeking. A huge part of this will involve opening new lines of communication to customers, such as WhatsApp, Messenger, and Slack.

The best news is that this won’t require hiring an army of people to monitor the conversations 24/7. Instead, they can leverage sophisticated AI-powered chatbots that can answer many user questions with little or no intervention from the brand, such as the explosively popular ChatGPT that had one million users sign up within five days from launch. The AI chatbot market is predicted to grow to $32.62m by 2030.


While the success of these predictions will depend on many outside factors, one thing is certain, the way brands market is changing faster than ever before, and this can make it difficult for them to know where to focus.

Brands must stay up to date with the new technologies and options arising in the industry, and the ones that have an eye on the future and are open and flexible to change are the ones most likely to thrive.

As the market and the industry are evolving rapidly, it’s best to work with a trusted partner that is innovative and will allow a brand to thrive in the future - such as RTB House.

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RTB House

RTB House is a global company that provides state-of-the-art marketing technologies for top brands and agencies worldwide. Its proprietary ad buying engine is the...

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