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What’s in store for digital advertising in 2022?

Technology & Data

What’s in store for digital advertising in 2022?


To say the digital advertising landscape has changed over the last year is an understatement. As more players make moves to address consumer privacy concerns, the industry has once again transformed. Luke Dickens looks at how to bring to light new challenges and opportunities. 

One can only assume more of the same in 2022, there are always new things to consider as well. Here is some of what we can expect in the new year:


Social shakes things up

Privacy changes at tech giants will usher in a new reality for social media marketing. Constrained app monetization begins to cut into growth. Investors traditionally expect these companies to grow 10-30 percent annually, but in 2022 we predict a 5-15 percent shrinkage. That’s not devastating news for the industry as a whole, but nevertheless, we should keep an eye on how the behemoths of the tech world react, especially Google. No surprise that Google can benefit from pivoting to search advertising, or from putting restrictions on Android’s GAIDs. It’s anyone’s guess which path they’ll choose, if any. Maybe it helps to explain Facebook’s pivot towards VR, which presents a whole new realm of opportunity for brands to get involved in the new “metaverse.”


Small and independent publishers will finally be heard

Even though third-party cookies will disappear (we won’t be predicting whether Google will ever land on a final date), that doesn’t mean third-party data will. The reality is that third-party data will continue to stick around because the alternatives that will crop up in its absence aren’t feasible for smaller publishers. First-party data or contextual targeting can’t be the solution for publishers who don’t have enough data to scale. Contextual data works only inside one’s own domain, which for small publishers is, well, too small. Plus, marketers are less willing to engage with sites that don’t have as many monthly visitors as the larger ones. The industry as a whole seems to have forgotten about smaller publishers since they’re pushing ideas that won’t work for them, instead of ideas that will work for everyone. In 2022, the screams of these publishers will be better heard.


2022: The year of CTV. And 2023, 2024, 2025, etc..

We all remember the “year of mobile” in the ad tech world, since it lasted over a decade. We should all expect CTV to dominate the headlines for the foreseeable future. And why not? Australia is leading the world in CTV ad spend growth, with more companies seeing the value of one of the fastest growing channels in digital advertising. More inventory will become available as identity and connectivity solutions come to the forefront. And praise be, no third-party cookies to battle over. Ever.


Dear identity partners: stop the infighting!

ID solutions for the open web are going to be invaluable for publisher monetisation, so in 2022 collaboration will dramatically increase. ID partners in 2021 operated in the identity arena like a circular firing squad. Everyone claims their privacy is better than others, and everyone who has a solution wants to say theirs is the only one that works. In reality, all have to work together. Put down your arms, identity vendors, publishers and marketers. Instead, let’s focus on our common goal of giving the consumer transparency and control while making everything more efficient. The end result will be better for everyone involved.

As we head into the New Year, marketers and publishers have plenty to keep in mind. As we’ve seen in the past, the ad tech industry is fragmented in some places and on the same page in others but we’re now in a new era. Where we stand together and where we stay at odds will determine our collective future and opportunities going forward.

Luke Dickens is the managing director, Australia & New Zealand at Lotame.


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