JEDDAH — Responsible and transparent data handling will be even more decisive for marketing success than it was in 2018. In this context, topics such as artificial intelligence (AI), data collaboration and voice continue to gain importance. These are the findings of open advertising platform Criteo’s Commerce & Digital Marketing Outlook 2019. The report analyses the latest developments in commerce and digital marketing and shares predictions for the year ahead.

Alexander Gösswein, Regional Managing Director DACH, MEA & Russia at Criteo, said: “From video ad spend to data collaboration to AI usage, data is going to assume even greater significance in 2019. We’re going to see different ways of how data is treated, secured, collected, and used, especially in light of the developments of the previous year. We expect a coordinated effort by brands and retailers to restore lost trust in online advertising through standards and more user control, and to increase the acceptance of advertising in general through more relevance and better personalization.”

Key trends and predictions:

• Walled Gardens between control and controlling

After a series of data protection incidents, major technology companies have come under scrutiny for the way they procure, protect and use data. Therefore, in 2019, the likes of Facebook, Google and Amazon are expected to introduce new data sharing and privacy policies. This is likely to increase the ability of Walled Gardens to control and restrict which user data and information they store or provide to advertisers.

• Retailers and brands – together strong

To reduce dependency on Amazon, Facebook and Google, brands and retailers have to work together to find ways to maintain control of the customer relationship - and the data that comes with it. Therefore, many companies are looking to expand their omnichannel capabilities through cooperation and effective data usage. For example, retailers share their real-time POS and inventory data with brands. Both sides will have access to analytics and insights to better plan and efficiently implement promotions. Another big trend here is Retail Media, where retailers become publishers for big brands. This new type of advertising outside the traditional channels enables brands to better target relevant users based on real-time commerce data, while retailers unlock additional revenue streams while driving sales.

• AI for more ad revenues via online channels

In addition to transparency and control options for users, the relevance of advertising is another key to wider acceptance. With the aim of improving personalization through machine learning and increasing user engagement, several digital advertising companies in 2018 announced investments in the field of AI. This trend will redirect more advertising budget into online channels in 2019. Companies with large datasets and strong computer-aided resources will take the lead in developing and distributing improved AI-based solutions for digital advertising and anti-counterfeiting systems. — SG