2021 YEAR IN REVIEW - Havas Edge

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2021 YEAR IN REVIEW - Havas Edge
1

2021 YEAR
IN REVIEW
2021 YEAR IN REVIEW - Havas Edge
As the year 2021 comes to a close, we look back and see the many new and emerging

trends that have been born out of advancements in tech, a pandemic, privacy concerns, and

 much more. Such advancements may be great for consumers, such as higher privacy and

availability of information, while others such as the upcoming removal of third-party cookies

could hinder the customer experience and marketers' ability to achieve profitable outcomes.

  No matter the trend, information and the ability to accurately analyze it will remain a top

priority for advertisers moving into the future. Within these slides is a look back on emerging

trends of 2021 as well as a glance forward into 2022. We at Havas Edge are blessed to have

               had such an amazing year and are excited for what is ahead!
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2021
4

             DIGITAL SPEND INCREASED NEARLY 16% IN 2021
                                        Breakout of US digital ad spend, by segment, at current prices, 2018-21
                          180
                                                                                                            $162B
                          160                                                                  15.9%
                                                                                   $139.8B
                          140                                          12.2%
                                                           $124.6B
                          120   $107.5B       15.9%
             $ Billions

                          100
                                                                                                                    Other
                           80                                                                                       Digital Video
                                                                                                                    Display
                           60                                                                                       Search

                           40

                           20

                            0
                                 2018                       2019                    2020                     2021

Source: Mintel Reports
5

                      AUDIO STREAMING UP, RADIO DOWN
                                     % of Individuals Who Listened to “X” in the Last Week

                       100%

                       80%

                                                                                                     Terrestrial Radio
                       60%
                                                                                                     Streamed Audio
                                                                                                     Podcast

                       40%

                       20%

                        0%
                              2013    2014    2015     2016    2017    2018    2019    2020   2021

Source: PewResearch
6

                                                                 INFLUENCER
                                                               Engagement Rate By # of Followers
                                       8%                                                                          Marketers have begun heavily
                                                                                                                  leveraging micro-influencers in
                                                                                                                   their campaigns. With micro-
                                                                                                                      influencers, brands can
                                       6%                                                                              achieve high levels of
       ItsLivB
                                                                                                                  engagement at a fraction of the
                                                                                                                  cost of celebrity endorsements.

                                       4%
     102,544 Followers
             Estimated Cost Per Post

             $308-$513
       kimkardashian                   2%

                                       0%
       177M Followers
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                                    2021, TIME SPENT: TV

                    Streaming            Network & Cable     Streaming could
                   accounts for          TV still reigning    reach as much
                  26% of all time           king and          as 33% of time
                   spent on TV           account for 64%        spent in the
                                          of time spent      coming months

Source: Nielsen
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                PERCEPTIONS & PREFERENCES IN ADVERTISING
                           SKIPPING ADS            SOCIAL RECALL        PERSONALIZATION

                         Podcasts have one                              “While the majority of
                         of the highest skip                               consumers agree
                          rates of any other    Social media ads have    that advertisements
                             ad channel           been touted as the    are a necessary part
                                                  having the highest     of the internet, they
                          Although skip rate    mental recall amongst   would like the ability
                         is high, consumers          consumers          to have more control
                         are likely to have a                             over what ads they
                         positive perception                            experience” (Mintel)
                         of ads on podcasts

Source: Mintel Reports
9

2022
10

   MEDIA CONSUMPTION 2022: CONSUMER ESTIMATES
                                                                                      In The Next 6 Months, Will You Watch/Listen More,
                                                                                           Less, Or The Same Amount of “X” Media
                                                                            60

                                      The Podcast Boom
                                                                            50
                                    53% of individuals
                                  surveyed believe that
                                 they will be listening to                  40
                                 more podcasts over the
                                     next 6 months
                                                                            30
                                                       EXTRA-EXTRA
                                                      Read all about it!    20
                         It’s LIVE!
                                                    Over 30% of those
             90% of traditional TV                surveyed are looking to
          viewers believe they will                                         10
                                                   consume more print
          watch the same amount,                     media including
             if not more, of such                 newspapers, books, &      0
                  programs.                             magazines                Traditional   Digital   Podcasts / Streaming Newspaper   Books   Magazines
                                                                                    TV         Video       Audio      Music
                                                                                                           Books
                                                                                                           More   No Change    Less

Source: Mintel Reports
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                                                    2022 CTV ESTIMATES

                                  80%                OVER 4                    60%                  OVER
                               of households will
                               have at least one
                                                       devices in the
                                                    average home will be
                                                                           of the US population
                                                                            will be CTV users       $19B
                                   CTV device         connected to the
                                                                                                  will be allocated to
                                                          internet
                                                                                                    CTV ad spend

                              MORE HOUSHOLDS         MORE DEVICES           MORE VIEWERS           MORE MONEY

                                    01                     02                     03                    04

Source: Emarketer, Simplifi
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                    ADOPTING HOLISTIC TV STRATEGIES IN 2022

                       89%
                                                     100

                                                      80

              of advertisers believe that linear &
                streaming should be managed           60
                          holistically
                                                      40

                                                      20

                       76%                             0
                                                           “TV” is now defined Upfronts need to be Achieving cross-
                                                               as linear &
                                                               streaming.
                                                                                more data-driven.     platform TV
                                                                                                                          All forms of TV,
                                                                                                                        including linear &
                                                                                                                                           Upfronts need to be
                                                                                                                                             more flexible &
                                                                                                   measurement is a streaming, should easier to transact
              of buyers believe that linear & CTV                                                  leading priority for     be sold on     across both linear &
              should be grouped as “Television”                                                   my company/clients.      impressions          streaming

                                                                Completely Agree       Somewhat Agree       Somewhat Disagree        Completely Disagree

Source: TVSquared
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                                                                           INFLUENCER

                                      GAMING                          YOUTUBE                 BRANDS/SHOPPING                    MACRO/MICRO

                        2.9 billion gamers entering             47% of US consumers feel       Consumers are trusting        Although macro-influencers
                                    2022                         personal connections to       their favorite creators to      cast enormous nets over
                                                                  brands used by their        find new favorite brands.          their large following,
                          46% of gamers are now
                                                                    favorite creators        Brands utilize influencers to    advertisers in 2022 will be
                                  female
                                                                Brands are seeing massive    drive tremendous amounts           heavily leveraging the
                       The rapid rise in viewership                                                                           fractional cost and higher
                                                                awareness and viewership        of branded searches,
                         offers new platforms for                                                                               engagement of micro-
                                                                 reach lifts using macro &       sometimes 10X over
                          advertiser/influencer                                                                                       influencers
                                                                  micro content creators               baseline
                               relationships

Source: Think with Google 1,2,3. Influencer Marketing Hub 1,2
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                                                                      DIGITAL
                                             MILK &                     ZER0-                   FACING THE
                                            COOKIES                     PARTY                   UNKNOWN

                                               Google will begin        Zero-party data is        Browsers will begin
                                               removing cookies       info given voluntarily        offering different
                                                   in 2022                by consumers             levels of analytics

                                             Marketers will need to   Data can be bought &         Differing data will
                                                find new ways to       sold via collection       lead to inconsistent &
                                             target without cookies         services               skewed site data

                                              2022 will likely see      Will likely be highly    Clean data will be a
                                             the rise of zero-party   leveraged to continue       rare and valuable
                                                      data               a seamless CX           commodity in 2022

Source: Goodway Group, Digiday, StatsCounter, Toolbox
15

                  COLLECTING DATA IN A COOKIE-LESS WORLD

                      2021
                      WHERE WE ARE
                                                   2022
                                                   WHERE WE ARE
                                                                            2023
                                                                           WHERE WE WILL BE
                                                     HEADING

                  3rd party data (“cookies”)    Add: Zero-party data         Zero-party data
                              +                           +                         +
                        1 party data
                          st                        1st party data            1st party data
                                                          +
                                               Phase out: 3rd party data

Source: Toolbox
16

           INCREASING NEED TO CONFIDENTLY AND ACCURATELY
                MEASURE ROI WHILE SCALING CAMPAIGNS
                                          Among Those Planning To Increase Budget,

                                                                                                                                 DIGITAL
                                           Who Is Confident They Can Measure ROI
            80%

            60%                                                                                                                  appears to be the most
                                                                                                                              controversial when it comes to
            40%                                                                                                                confidence in measurement

            20%

               0%                                                                                                                           LESS THAN
                                                                                                                                               10%
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                                                            Very Confident           Not Very Confident

Source: Nielsen Annual Marketing Report
A WORD FROM OUR DIRECTOR
As we look to 2022, we are energized by the new opportunities that will sprout up from the evolving
media landscape. Havas Edge has seen and will continue to deliver success for our clients by being a
collaborative, flexible, and forward-thinking partner, which is the blueprint to success in a shifting media
environment.
We take an audience-first approach to determine the most effective media channels for your brand,
while continuously and meticulously optimizing based on performance.
Contact me today if you would like to hear more about how we can accelerate profitable outcomes at
scale for your brand.

Best,

Allie Wiggins
Director of Growth, Havas Edge
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THANK YOU!
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