«Top 5 challenges for advertisers and marketers in 2023»
October, 20 2023
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Top 5 challenges for advertisers and marketers in 2023

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The advertising industry in 2023 is the Minotaur’s labyrinth, where advertisers and marketers are trying to choose the right path to their audience and not to waste their budget. Moreover, the role of the Minotaur is played by Tim Cook, who in the new iOS 17 update limits the tracking of UTM parameters in advertising links.

In this article, we’ll not only look at the top 5 challenges for advertisers, but also learn how to turn these challenges into new opportunities.
What will the advertising market experience in 2023?
The main trends in the current market are the growth of digital advertising budgets, the use of new targeting and analytics technologies, and the introduction of artificial intelligence. There are also new challenges in tracking ad tags in iOS 17.
Increasingly, advertisers are using personalized marketing strategies and adopting new digital channels. In general, the advertising market in 2023 continues to develop and adapt to new realities, as evidenced by statistics:
Challenges for Marketers and Ways to Overcome Them
How to attract targeted and quality traffic? What to do with aggressive advertising, what analytics tools to use? How to cope with the growth of streaming platforms and finally overcome the cookie apocalypse? If you're familiar with these questions — you're definitely working in advertising and marketing in 2023! We decided to look at each of the challenges and find ways to overcome them.
1 — The Key Role of Analytics Platforms in Effective Marketing

Challenge: It's important to know your customer even better, rather than blindly wasting your budget on everyone else in times of crisis. According to BidsCube, 42.3% of top U.S. marketers are cutting costs in response to inflation, and nearly 65% of them are raising prices to deal with inflationary pressures.

How to overcome it? This is where DMP analytics platforms come to the rescue:
  • Aidata.me
  • myTarget DMP
  • Google Ad Manager
  • Weborama
  • Soloway, etc.
Their mission are:
  • Collect data from websites, apps, social networks on user behavior, demographics;
  • Secure storage and management ensures the security and privacy of customer data;
  • Audience segmentation based on specific characteristics and behaviors;
  • Analytics and personalization to better understand your audience and optimize advertising strategies.

This approach relies on big data analytics to help you track your customer pipeline in real time, identify trends and predict future user behavior.
«Leveraging customer analytics brings tremendous business benefits. In fact, data-driven organizations are 23 times more likely to acquire customers, 6 times more likely to retain customers, and 19 times more likely to generate revenue»McKinsey Global Institute
2 — Changes in User Behavior

Challenge: Today, inflation and rising costs of living are affecting shopping habits. People are optimizing costs, looking more towards white label and non-branded products, and seeking alternatives to popular, expensive products.
«Consumers share that they are increasingly driven to make a purchase by in-store entertainment (34%) and immersive digital experiences, such as VR, (30%). At the same time, 82% of respondents said they would be willing to share some personal data in exchange for a better customer experience»PwC
How to overcome it?

1. Track changes in user behavior. If a product has a drop in sales, it doesn't mean that the product has become bad. You need to dig deeper into analytics by creating a customer survey.
2. Improve personalization. Analytics has provided insight into changes in user behavior. Now you need to segment customers in a new way, personalize your offer and communications.
3. Introducing innovation. In 2023, there are many tools that are a must-have in marketing to not only track changing user behavior, but also to meet user expectations.
«70% of high-performing marketing teams claim to have a fully defined artificial intelligence strategy»Forbes
3 — Stop Aggressive Advertising!

Challenge: Forms of advertising such as pop-ups, interstitial ads, and autoplaying videos remain intrusive to users. They degrade user experience, increase customer churn, and worsen conversions.

How to overcome it?
Advertisers and marketers should explore alternative approaches and strategies for less aggressive native advertising, personalization, retargeting, and so on. User-centered methods will allow advertisers to create a more engaging and less disruptive advertising experience, and remain effective even in a fluctuating advertising market.
«The point is to send the right ad to the right person at the right time»The Power Business School
4 — Growth of Streaming Platforms

Challenge: The growth of CTV, or Connected TV, as a digital advertising channel, broke all records in the third quarter of 2023. Streaming services are becoming popular, and viewers are increasingly using Internet-connected devices to access their favorite movies and shows.
Investments in CTV are growing at a mind-boggling rate
On the one hand, the popularization of CTV has created excellent opportunities for advertisers to effectively target and attract audiences. On the other hand, it has created a global problem: how to deal with fraudulent activity?
Today, ~60% of advertisers in the US are switching from linear TV to CTV. Lack of protection and regulatory systems has attracted the attention of fraudsters and launched ad fraud (device tampering, simulated viewing from multiple devices, SDK hacking).

How to overcome it?
To prevent CTV fraud it’s important to establish clear requirements for working with partners, reliable CTV providers, MMP platforms for data accuracy and protection of user privacy. Today 90% of marketers don't know how to advertise in streaming services, so what can we say about ways to protect against such attacks.
Integration with other channels: social networks, search advertising and email to create a multichannel experience for users when interacting with brands is not unreasonable. The AdSkill team is ready to provide about 20 different sources for a single successful marketing strategy.
5 — Cookie Apocalypse and iOS 17

Challenge: Adapting to a world without third-party cookies is yet another challenge for advertisers. The familiar method of targeting has worn out its welcome amid the gradual blocking of cookies in Safari and, from 2024, Google. In 2023, Tim Cook has also prepared some difficulties: iPhones with iOS 17 firmware will block UTM tags!

How to overcome it?
To maintain their position, brands will have to work with first-party data, new analytics tools or information that the company collects directly from the audience through:
  • Web analytics and new tools that can partially compensate for the lack of cookies and utm tags;
  • Site registrations, purchases, surveys, other forms of customer interaction - everything through which the user consents to the collection of personal data;
  • Contextual advertising solutions where advertisers can leverage news cycles and popular content. Without cookies, ads are based on users' interests rather than their past activity.
To Summarize
Digital marketing is evolving, introducing new challenges in the promotional landscape each year. The primary objective for marketers in 2023 is to adjust to shifts and patterns in consumer behavior, social media, customization, and the intricacies of tracking advertising impact.
First, you need to assess which issues and trends are directly affecting your business, then you need to find effective solutions for them. Advertisers and marketers must adapt their strategies to the development of streaming platforms, the transition to cookie-free advertising, and even utm tags. AI technologies, personalization, and multichannel experiences will help them remain popular and in demand.
Email our sales-manager now sales@adskill.io or follow our instagram page - @adskill.agency! Be ready for the challenges of digital marketing right now, while staying ahead of your competitors!