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Introduction

The digital advertising market has evolved rapidly each year since its inception, and 2017 will be no exception. Ovum expects to see continued M&A activity alongside further launches of intelligent agents and chat bots.

Highlights

  • Publishers should continue to invest in their video operations but take a measured approach to advertising.
  • Intelligent agents have great potential, but beware the hype.

Features and Benefits

  • Identifies 2017 advertising strategies for both content providers and brands.
  • Evaluates major trends in the digital advertising market for 2017.

Key questions answered

  • What will be the biggest market trends for digital advertising in 2017?
  • How should brands and content providers cope with changes in the digital advertising market?

Table of contents

Summary

  • In brief
  • Ovum view
  • Key messages
  • Recommendations

Video advertising will be everywhere in 2017

  • Continued growth will drive video to represent half of US display spending by 2020
  • Consolidation in mobile advertising will continue, led by US and Chinese giants

Bots on messaging platforms will create new models of engagement

  • Intelligent agents will enable more meaningful personalization and smarter targeting
  • Intelligent agents face challenges around privacy

Ad blocking will cost $28.3bn in lost revenue in 2017

  • Facebook’s battle with Adblock Plus showed that online publishers need a different strategy
  • Digital advertising needs to engage and inspire consumers to fulfil its potential

As personalization grows, tensions around data privacy will intensify

  • “The API of Me”: Redefining data trade-off terms

Mobile ad revenues will be boosted by new formats

  • Mobile to account for half of US total online advertising by 2020
  • Vertical ads, sponsored filters, 360-degree and VR content will attract consumers and advertisers

Appendix

  • Further reading
  • Author

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