๐คArtificial intelligence is changing search behaviour, making search engine advertising less important. According to the trend monitor of the German Digital Industry Association (BVDW), the relevance of search advertising will fall by almost a quarter over the next five years – from 100 to 77 per cent. This forecast is based on a non-representative survey of digital marketing experts.
๐๐ฅ๐ฒ๐ฐ๐ผ๐ฟ๐ฑ๐ถ๐ป๐ด ๐ด๐ฟ๐ผ๐๐๐ต ๐ถ๐ป ๐ฝ๐ฎ๐ถ๐ฑ ๐๐ผ๐ฐ๐ถ๐ฎ๐น
The volume of paid social measures is expected to increase by ten per cent by 2025, while search engine advertising will only grow by three per cent. Standard display advertising such as banners, on the other hand, will lose three per cent of investment. Retail media, i.e. advertising on platforms such as Amazon or Obi, is expected to grow as advertisers reallocate their budgets accordingly.
๐ฉโ๐ป๐ฆ๐๐ฟ๐ผ๐ป๐ด ๐ด๐ฟ๐ผ๐๐๐ต ๐๐ฟ๐ฒ๐ป๐ฑ ๐ฎ๐ป๐ฑ ๐ฐ๐ต๐ฎ๐น๐น๐ฒ๐ป๐ด๐ฒ ๐ฎ๐ ๐๐ต๐ฒ ๐๐ฎ๐บ๐ฒ ๐๐ถ๐บ๐ฒ
Retail media is considered a promising growth market and is described in the trend monitor as the โdriving forceโ of digital marketing. However, this area has been criticised due to a lack of standards, a lack of transparency and insufficient proof of effectiveness. Despite these challenges, video advertising remains in high demand and continues to dominate the upper funnel, which promotes the first contact between consumers and companies.
๐๐๐ฑ๐๐ฒ๐ฟ๐๐ถ๐๐ถ๐ป๐ด ๐บ๐ฎ๐ฟ๐ธ๐ฒ๐ ๐ผ๐ป ๐๐ต๐ฒ ๐๐ฝ๐๐๐ถ๐ป๐ด
Although the respondents expect the advertising market to grow, they consider the demand for digital advertising to be excessive. Only just over half of the participants see an appropriate relationship to actual media usage. The trend monitor is based on a survey of over 50 participants, who were divided into six expert groups such as Future Signals, Retail Media and Video. According to the BVDW, these represent more than 90 per cent of the digital agency media volume in Germany, including well-known companies such as GroupM and Omnicom. However, the survey is not representative, as there are over 20,000 marketing companies in Germany, many of which are micro-enterprises. The trend monitor therefore primarily reflects the perspective of the market-dominating companies.
How do you see marketing in 2025? ๐Share your thoughts in the comments!๐๏ธ๐
