Digital Marketing Trends in 2023

New technologies open up more opportunities for business development, and the world of digital marketing also depends on them. Technology generates trends, but not all trends find their place in a specific industry. This is the choice of marketers, which trends to follow and which ones to ignore. The main thing is not to find yourself behind competitors one day.

In 2023, digital marketing will take a stronger position in the virtual world with VR and AR. Companies will also have to change the approach to data. NFT will remain popular, omnichannel and short video will continue to gain momentum.

In this post we will tell you what digital trends to pay attention to next year.

Short videos

The greater the flow of information, the less time to view content. Therefore, short video formats (up to two minutes) will remain in trend. This type of content shows a higher ROI than others. That’s why even YouTube, along with long videos, promotes Shorts. At the same time, TikTok remains one of the fastest growing media platforms in the world.

Short formats are cheap and quickly created. By the way, 72% of users choose video over text when learning a new product. This is a reason to create such content in 2023.

Omnichannel marketing

It is not efficient to communicate with users in one channel. Customers buy both offline and online. Today they message your brand in apps, tomorrow they call, and the day after tomorrow they check out in the online store. Everyone chooses a convenient way to communicate, so it is not surprising that omnichannel marketing is becoming a trend.

The company collects information from different touch points in order to know the context of each customer: when and with what issue a person applied, what he or she bought and how often. This helps the brand provide a high level of service, and in return receives both income and a loyal audience.

First party data priority

Google’s new 3rd party data collection rules, as well as GDPR and CCPA regulations, are forcing companies to change the way they collect and store information. Now the priority is the data that businesses receive directly from users: names, phone numbers, addresses, demographics, data on user behavior on the site or in the app. This information is accurate and useful for personalizing marketing offers and content.

Data storage is a serious responsibility for a company. This is the reason why, along with the trend to collect your own databases, more attention is also paid to the secure storage of information. Modern CDPs must quickly collect data from different sources and ensure its privacy. There should be no leaks of information that can result in loss of reputation.

Augmented and Virtual Reality

AR will continue to conquer the digital world in 2023. The mobile app market for augmented reality reached $16 billion in 2022 and will grow to $21 billion next year. AR is used to improve the customer experience. Users try on clothes or cosmetics online through the app, see how furniture and other items look in the interior. Visibility increases sales and simplifies the customer journey.

Virtual reality is not inferior to augmented reality. The VR market in 2022 is $12 billion, in 2023 it will be $16 billion.

Metaverses

AR and VR technologies influence the development of the metaverses. Metaverses are digital spaces that simulate the real world. Marketers will continue to “catch” customers in virtual stores and sell brand products through advertising in the digital space.

This format is relevant for the younger generation, which is looking for a new experience in the metaverse. For example, users have already spent $500 million on virtual real estate.

Well-known brands are already investing and developing in the metaverse. For example, Nike has been investing in the digital space for a long time. At the end of 2022, it announced that the company’s developers had created their own metaverse .Swoosh. Fans will be able to buy their favorite sneakers or even participate in their creation.

In the future, the time that users spend in Metaverse will increase. By 2026, 25% of people will go there for an hour or more every day. Also, the trend towards online education will increase the audience of the “parallel world”. Universities will begin to think about working in a virtual format.

Chatbots

In 2023, chatbots are also in trend, because it is more profitable for businesses to respond to users 24/7 and not depend on the work schedule of managers. Bots will become smarter due to artificial intelligence. They will begin to communicate with customers in a more personalized way and even help solve complex tasks (for example, money transactions in banks).

Robots will better understand human speech. Thus, the number of chatbots with the function of a voice assistant will grow. Voice search in ecommerce will continue to evolve and improve.

Artificial Intelligence

AI is taking over targeted advertising, content creation, email marketing, automating sales. Technologies already generate creative ads without a designer, optimize campaigns and predict user behavior, which enhances the personalization of service and sales. According to statistics, the AI software market will grow to $791 billion by 2025.

NFT

The technology of non-fungible NFT tokens will remain popular in the coming year. Brands are already selling replicas of their real-life items as NFTs and creating virtual-only fashion collections. The technology “records” the authorship of the content, which is important for protecting the rights of content makers and increasing the value of digital items. Now, when customers buy digital products (pictures, virtual clothes or accessories), they secure ownership and protect themselves from theft of the object.

The cost of NFT is growing, so the rental of tokens is developing. Now you can simply rent a digital outfit or avatar instead of buying it.

User-generated content

The content that users themselves create for the brand works like a new word of mouth. Promotion through customers includes a product photo, product unboxing, reviews and special hashtags, comments. The advantage of such content is nativeness. People perceive the posts of other users as recommendations. 84% of customers say they trust other people’s posts more than ads. This is how social proof works.

Internet of Things

Internet of Things describes everyday household devices that connect via a network to smartphones and computers. These can be alarm clocks, lighting fixtures, robotic vacuum cleaners, and even cars.

Now there are 13 billion smart things in operation, in 2023 there will be 15 billion, and by 2030–29 billion. The items themselves are unlikely to learn to sell or advertise anything, but they can collect and transmit data about user behavior to marketers. Brands will use the collected data to predict the actions of customers and enhance the personalization.

Podcasting

Podcasts will continue to play an important role in brand promotion. “Radio of the 21st century” is very popular. On average, one person listens to eight audio broadcasts per week. And all over the world, about 383 million users choose podcasts. This is an easy way to consume content in transport, during training, and so on. Companies create their own podcasts or sponsor releases from authors and make collaborations. Advertising is smoothly embedded in the conversation of the speakers, so it is less annoying for users. The podcasting industry is projected to grow to $4 billion by 2024.

Conclusion

In 2023, companies will continue to implement AR and VR technologies to sell products that can be tested virtually. Marketing will have to master the metaverses and look for new techniques there. For example, create NFT products of their brand.

1st party data that includes information companies collect from customers will play an important role. Brands will improve customer experience by using chatbots, artificial intelligence and the Internet of things. Omnichannel marketing is a valuable data resource next year.

Short videos and podcasts will remain in the content trend. Meanwhile, user-generated content will become a popular promotion method.

The article was originally published here.