23.7.2024
Digital advertising has undergone a radical transformation over the past decade. What began as an emerging alternative to traditional media now dominates the global advertising landscape. This evolution has not only changed the way brands interact with their audiences, but it has also created new opportunities, challenges and responsibilities for advertisers.
With the emergence of new technologies, the change in consumer habits, and a stricter regulatory environment in terms of data privacy, companies must be more agile than ever. To thrive in this dynamic ecosystem, it's essential to understand how digital advertising has changed and what strategies to adopt to stay competitive.
In this article, we address the main milestones of this evolution, as well as the trends, technologies and regulatory changes that are redefining the industry.
For decades, traditional media such as television, radio and the written press were the favorite channels for advertising campaigns. However, the rise of the internet and the mass adoption of mobile devices transformed this logic. Today, consumers spend more time on digital platforms than on any other medium, and this has led to a shift in advertising investment on a large scale.
This change was not immediate. In its early days, digital advertising was limited to static banners and mass emails. But the possibility of segmenting audiences, measuring results in real time and dynamically adjusting campaigns made the digital ecosystem a much more attractive alternative. Unlike a television commercial that reaches millions without distinction, a digital ad can only target women between 25 and 35 years old who live in Mexico City, have searched for beauty products on Google and follow certain brands on Instagram.
The capacity for segmentation and measurement, combined with the exponential growth of e-commerce, has led to a structural transformation in the way we do marketing. According to Statista, in 2023, global investment in digital advertising exceeded 600 billion dollars, and this figure is expected to continue to grow year after year.
One of the great advantages of the digital environment is the ability to offer personalized experiences. Consumers are no longer satisfied with generic ads: they expect relevant content, adapted to their interests, behaviors and context.
Using data, brands can create highly detailed user profiles and use algorithms to predict which message will have the most impact. For example, a user who has been looking for flights to Madrid and follows travel accounts may receive an advertisement for travel insurance or credit cards with airline benefits.
Personalization doesn't just improve the user experience, it also increases conversion rates. An Epsilon study revealed that 80% of consumers are more likely to buy from a brand that offers personalized experiences. In addition, personalization makes it possible to optimize advertising budgets, by focusing resources on higher-value audiences.
Tools such as Google Ads, Meta Ads, and Customer Data Platforms (CDP) platforms allow you to cross browsing data, purchase history, previous interactions and more, to design hyperrelevant campaigns. This ability, however, comes with a great responsibility: to respect the user's privacy.
The omnipresence of smartphones has completely changed the way we consume content. Today, 70% of global web traffic comes from mobile devices. This has forced brands to adopt a “mobile-first” mentality, both in design and in advertising strategy.
Ads must be responsive, load quickly and adapt to device characteristics. In addition, it is essential to understand the behavior of the mobile user: shorter attention times, multitasking, and a preference for visual formats such as vertical video or stories.
Geolocation is another key resource. Thanks to GPS, brands can show ads that are relevant to the user's location. For example, a coffee shop can activate promotional campaigns when a user is less than 500 meters away from the premises.
In 2024, more than 55% of digital advertising spending goes to mobile campaigns, and platforms such as TikTok, Instagram Reels and YouTube Shorts have become essential in marketing strategies. Companies that don't optimize their mobile campaigns run the risk of being left out of the game.
Data-based advertising faces a new reality: user privacy has become a global priority. Laws such as the General Data Protection Regulation (GDPR) in Europe, and the California Consumer Privacy Act (CCPA), have raised data protection standards.
These regulations require companies to be transparent about how they collect and use user information, and to obtain their explicit consent to do so. The “cookie consent” model is already a common practice on thousands of websites, but it is not enough to implement it: brands must ensure that they comply with all legal and ethical provisions.
The shift to a “cookieless” environment—that is, without third-party cookies—also requires a rethink of the way in which it is measured and segmented. Platforms such as Apple and Google have started to limit tracking between applications, reducing the ability to do traditional retargeting.
Faced with this scenario, brands must bet on “first-party data” strategies, that is, collecting data directly from the user through their own interactions such as forms, surveys or registrations. Not only is this safer, it also creates more authentic and lasting relationships.
Video has established itself as the most effective format in digital advertising. It's no coincidence that platforms like YouTube, TikTok, Instagram and Facebook prioritize this type of content. A well-produced video can communicate an idea, thrill and generate action in a few seconds.
Studies show that users retain 95% of the message when they watch it on video, compared to only 10% when they read it in text. In addition, video ads generate up to three times higher click rates than display ads.
Interactive content—such as surveys, tests, games, or sliders—has also become an effective way to capture attention. Not only do these formats entertain, they also allow us to collect valuable user data.
For example, a cosmetics brand may offer a “quiz” about skin type, and then recommend personalized products. This interaction not only improves the user experience, it also increases the likelihood of conversion and loyalty.
Artificial intelligence (AI) has changed the rules of the game. From ad creation to real-time optimization, AI empowers brands to make faster, smarter and more profitable decisions.
Today there are tools that can write ads, select winning creatives, distribute the budget among different channels and audiences, and even predict the results of a campaign before launching it. This does not mean eliminating the human factor, but freeing up time and resources for strategic tasks.
Automation also makes scaling easier. A small business can manage hundreds of ads on different platforms with just a few clicks. For example, Google Performance Max allows you to launch multichannel campaigns with minimal manual intervention, while Meta Advantage+ offers automatic segmentation based on machine learning.
On platforms such as VoiceTune, AI is used to optimize advertising campaigns, reducing manual effort and improving results in a sustained manner. This trend will only grow: the use of AI in digital marketing is expected to triple in the next five years.
Digital advertising isn't just another channel, it's the heart of modern communication between brands and consumers. But this heart beats in an environment that is constantly changing. What worked yesterday may not be enough today.
Companies that thrive will be those that understand this dynamism and adapt with agility. This involves investing in technology, but also in talent, creativity and strategy. It involves leaving behind old formulas and adopting a mindset of continuous experimentation.
To achieve this, it is essential to:
In 2024, digital marketing offers more opportunities than ever to grow, innovate and connect. But only those who are willing to evolve with the environment will be able to stay relevant.