TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award

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TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
TRENDS
                      2019

              Adsyndicate bags the
     ‘Most Innovative Technology
Initiative of the Year 2019’ Award
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
DIGITAL
MARKETING
TRENDS

About Adsyndicate's Digital Trends Report
Adsyndicate's team releases a Digital Trends Report annually covering major digital trends impacting the
industry in India over the next year. The report is prepared by in-house digital experts in discussion with
clients across a variety of Industries.

Printed at: Manipal Technologies Ltd., Manipal   |   Released: Feb - 2019
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
Akshay S Rao
FOREWORD   CHIEF DIGITAL OFFICER
           akshay.r@adsyndicate.in

           Dear Friends,
           The year 2018 was an eventful year with the digital advertising market
           size crossing a major milestone reaching Rs.10,819 crore for the first time.
           The coming years ahead will further fuel the growth momentum of digital
           to reach Rs.24,000 crore by 2021 at a CAGR of 32% on a base of 924 Mn
           connected users. The industry is poised to grow with the advent of
           smartphone penetration and internet connectivity due to affordability.
           The year also saw some major brands in India embracing new-age tech
           such as AR and VR to enable their communication apart from video and
           voice. One such instance, Nissan India partnered with Adsyndicate to
           develop India's first VR based test drive experience across major Indian
           cities putting to test technology to showcase its products in an innovative
           environment effectively.
           2019 will be an interesting year for digital marketers as markets grow
           bigger both vertically and horizontally. The growth witnessed in nos. will
           now drill down further giving shape to new platforms and extensions such
           as ShareChat – Regional social platform, SEO for voice enabled devices,
           Micro-influencers and local-regional video going mainstream.
           We are at an interesting cusp wherein brands will not only be required to
           be digital ready but ready for a digital future wherein the business model
           and competition is digital driven. The sheer amount of data generated will
           drive the next phase of marketing and communications decisions
           requiring even the agencies to be data driven.
           We wish you a successful year ahead.

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TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
INTR0DUCTION

                    With every passing year, the art of        entertainment sector, which will
                    digital marketing gets better and          witness a large flood of regional
                    better. This continuous change may         audiences. In this regard, regional
                    be attributed to two things: High-         content marketing will see immense
                    speed Internet Connectivity and            growth in 2019.
                    Accessibility of Smart Devices. 2018
                                                               In 2018, Start-ups/Apps sector were
                    was a milestone year in the growth of
                                                               amongst the top contributors to digital
                    Indian digital marketing sector, where
                                                               marketing. In 2019, the scope will
                    the sector witnessed a record growth
                                                               widen further due to the rapid growth
                    of 31.96%, reaching a mark of INR          of regional networking apps. The
                    10,819 crores.                             popular trend of 'going local' will
                    The major contributors of digital          impact influencer marketing. As a
                    marketing in 2018 were Start-ups,          result, micro-influencers will gain
                    Real Estate, Education,                    more credibility and will be reliable.
                    Media/Entertainment, BFSI, E-              To sum it up, 2019 will be a
                    Commerce, FMCG, Healthcare and             challenging yet fascinating year for
                    Tourism. The same sectors will             digital marketing. 'Convergence' will
                    continue as major contributors to          be the main keyword for digital
                    digital marketing, however their           marketing in 2019. Untapped
                    shares are set to alter. Particularly, a   potentials and possibilities will be
                    lot of changes can be expected in the      manifested, as a result of
                    ways education and e-commerce              convergence of technology, sectors,
                    sectors approach digital marketing.        domains, applications and strategies
                    Moreover, digital marketing will make      on the digital platform.
                    it possible to promote newer
                    interlinked sectors such as medical
                    tourism or VR/AR based education.
                    Amazing potential of these sectors
                    will be deemed as reality in 2019.
                    2019 will be an exciting year in terms
                    of technological growth. The
                    precursors of 5G broadband internet
                    will be introduced in the Indian
                    market, which will radically change
                    the way we approach digital
                    marketing. AR/VR technology will be a
                    common place whose applications
                    will alter the shopping experiences.
                    High speed internet also opens
                    broader doors for media/

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TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
VISUAL SEARCH

Let's admit – our search for shopping         Pinterest Ads have a conversion rate of       Digital Marketing is driven by what is
seldom begins with text. It's the visual      8.5%. Visual Search is known to be            known as the ‘Micro-moment’: a new
search that comes to our aid. We put faith    majorly influencing the Lifestyle sector.      consumer behaviour that occurs when
in clear-cut visuals, rather than elongated   Business Insider indicates 39% of the         people reflexively turn to a smart-device
descriptive text. With newer digital trends   visual searches were related to Apparels,     to satisfy a need to learn, do, buy or get
emerging every day and innovative             while 31% of them were in search of           to know something. This momentary urge
progress occurring in the AI domain,          Home Décor. Electronics are leading the       is what draws the users to digital
marketers are in a constant race of           third-position by 24%                         platforms. According to Google, users
adopting new strategies to thrive in the                                                    experience an average of 150 micro-
                                              In 2018, Google, Snap, Inc. and Amazon
market. In Pinterest's CEO Ben                                                              moments every day. Given the
                                              revealed new visual search tools that
Silbermann's own words, ‘The future of        highlighted forthcoming changes in the        dominance of visuals over text, increase
search will be about pictures rather than     way consumers search for products and         in accessibility of smart-devices and the
keywords.’ In terms of visual search, we                                                    intensifying completion among digital
                                              information. Pinterest Lens alone has
are about to witness swift advancements                                                     marketers – Visual Search is one of the
                                              increased the rate of visual searches by
in a number of marketing strategies in                                                      fundamental areas that marketers need
                                              140% in 2018. In the fall of 2018, Google
2019.                                                                                       to focus on in 2019.
                                              introduced the release of Google Lens
A study conducted by MIT suggests, the        within Google images. This is good news,
human brain can classify images seen for      as it provides users a unique feature of
as little as 13 milliseconds. The report      identifying particular elements within an
states that visual data transmitted to the    image so as to search for additional
human brain comprises of 90% of the           relevant images or product pages.
overall information. As visuals have a        Similarly other players such as Amazon,
natural advantage over texts, visual-         Snapchat, Bing and eBay have also
based search are gaining popularity,          released visual search tools that are
especially after AI has begun to              increasing awareness of visual search
revolutionize digital marketing. In 2018,     among smartphone users. In 2018, visual
Pinterest reported that an average of 600
                                              search contributed to one billion queries
million visual searches is carried out
                                              per month. Although it is low compared
every month – and these statistics are
                                              to 105 billion text queries, the increasing
increasing ever since. In 2019, image
                                              numbers of visual search will soon
recognition market will grow to $ 25.65
                                              compete with text search along with its
billion with a CAGR of 21.6% from 2014-
                                              improved accuracy and utility. Since
2019 (MarketsandMarkets).
                                              visual search is on the rise, there will a
In order to capitalize on Visual Search,      significant change in SERPs rankings.
giant retailers including Google, Amazon,     Hence, marketers must employ high
Bing and Pinterest have already started       caution in deciding the descriptive image
developing in this area. For instance,        file names, descriptive alt text, image
using Pinterest Lens alone, brands can        titles, image sitemap, schema markup,
target over 5000 categories through           open graph tags in order to top the
visual search advertising. Image-based        rankings based on visual search.

                                                                                                                                         05
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
VOICE SEARCH
     AND THE ROLE OF
     SMART SPEAKERS

06
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
2019 holds high hopes for Voice Search,       Interestingly, though Apple has plans for    2019 for every aspiring business to thrive
which has now already surpassed by one        its HomePod, it is unlikely to enter the     in the market.
billion. It is estimated that voice           market in 2019 mainly because of its high    Indian regional market is not an
recognition market is going to cross the      price tag.                                   exception to voice search. In 2018,
$600 million mark in 2020. It is predicted    Until now, SEO was considered as the         Google had introduced voice search in
by 2020, nearly 50% of the searches will      elixir of digital marketing. With voice      eight Indian languages i.e. Bengali,
be voice based, while 30% of all the          searches marching their way as 'voice-to-    Gujarati, Kannada, Malayalam, Marathi,
searches will be done without a screen.       text' technology is being incorporated as    Tamil, Telugu and Urdu. Adding to this,
In this regard, smart speakers hold a         a fundamental feature of new smart-          the digital revolution invoked by Reliance
great advantage as they can be used by        devices, digital marketing is faced with a   Jio has created ripples in India, where
multiple people at once, unlike other         challenge to optimize the effects of voice    internet usage has been transforming
smart devices such as smart watch. Since      searches to its SEO strategy.                exponentially. By June 2018, there were
the full potentials of smart speakers are
                                              One example that reflects how virtual         500 million internet users in India, which
not explored yet, it is sure that they are                                                 is 35% of the total population. These two
here to stay in 2019.                         assistants are changing the dynamics of
                                              search queries is when you want to order     facts imply that Indians can now conduct
Perhaps the biggest challenge for smart       Chinese food. Generally, in text search      voice search in vernacular languages like
speaker developers is to get creative in      query, the input would be “Chinese           never before.
formulating efficient search techniques to      restaurant.” However, this would be          Google has declared that by 2019,
enable users to look for what they want.      replaced by a typical voice search query     Google Assistant will be able to speak 30
Although the popularity of smart              as “where's the closest Chinese food         languages, contributing to a reach of 95%
speakers continues to attract more            place?” Moreover, in many cases, what        Android smartphones worldwide. This
customers, a lot of development is yet to     the user utters would not be the             gives Google a clear edge over its rivals
be done, rather than simply inserting ads     keywords, as the virtual assistant may       like Siri and Alexa, whose language
into smart speaker's regular function of      rephrase the speech-to-text query before     support is limited and not localized.
entertainment.                                submitting a request to the search           Similarly, Indian e-commerce giant
Amazon is likely to reduce the prices of      engine.                                      Flipkart acquired AI company Liv.AI for $
its smart speakers due to the launch of       In 2019, user experience and intent will     40 million recently. Liv.AI's API is capable
Google's more affordable Home Mini             play a fundamental role in SEO, as the       of recognizing 10 Indian languages and
Speaker. Amazon continues to dominate         primary goal of Google is to encourage       their accents. This undermines the
the market share in 2019, despite Google      more people to conduct searches and          importance of voice search and scope of
challenging it as a new potential             thereby make them use its products. But      smart speakers in 2019.
competitor. Other players such as             user experience and intent are extensive
Microsoft's Cortana and Samsung's             and dynamic variables that depend on
Galaxy Home is set to compete with them       different target audience. Hence
too. It is also possible that Facebook will   optimising SEO to sync with voice search
be working on its own smart speaker.          is an art that needs to be mastered in

                                                                                                                                          07
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
“    Bengali
               Hindi
                       Assamese
                    English
                        Gujarati
      Kannada Kashmiri Malayalam
     Maithili
                Manipuri   Marathi Oriya
         Punjabi            Rajasthani
                                   Sindhi
                                    Telugu
                 Urdu      Tamil
08
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
REGIONAL
LANGUAGE
MARKETING
India set a record in 2018 by acquiring    surpassing English users. 2019 will be     A distinctive trend in Indian local
number of internet users close to 500      a landmark year in this process. By        language marketing is the rise of
million. Among them, majority of the       2021, it is estimated that Hindi           social networking apps such as
users are vernacular language              speaking userbase will be 2.5 times        ShareChat, Roposo, Clip, Valmeeki,
speakers. It's also estimated that 95%     more than that of English. Thus, in        Shabd Nagari, Pratilipi and Dailyhunt.
of the video consumption among             2019, it will become more common to        For example, in Kerala alone,
Indians occur in vernacular                see content being driven by Hindi or       ShareChat has about 4 lakh active
languages. Interestingly, the mobile       other vernacular languages than by         users who converse, share news,
internet market is further triggered by    English. In 2019, the vernacular           posts, photos, ideas and jokes in
digital revolution brought in by faster    language trend can be predominantly        Malayalam. Other major local
connectivity, cheaper smartphones          observed in the increasing popularity      language apps offer services in
and affordable internet services.           of voice search and video                  Telugu, Bengali, Bhojpuri and Marathi
                                           consumption, since both the trends         among other prominent languages.
Given that mobile internet
                                           will dominate this year.                   This is a significant development,
penetration, voice search, video
                                                                                      especially when social networking
consumption and regional app usage         Among vernacular languages, Hindi
                                                                                      was primarily driven by English. It is
are on the rise, there lies an immense     will contribute more than others in
                                                                                      estimated that by 2020, Indian
scope for marketing in regional            terms of internet users. It is predicted
                                                                                      regional language networking and
languages in India. Google predicts        that by 2021, more than 201 million
                                                                                      content publishing apps will
that by 2023, 9 out of 10 internet         Hindi users will form 38% of the Indian
                                                                                      contribute to the digital ad spends
users are likely to be Indian language     internet userbase. Given that users
                                                                                      worth USD 1.5 billion, with an
users. There is an 88% chance that         are likely to respond to an ad in their
                                                                                      additional 250 million Indians
users respond to digital ads in their      native language, advertising and
                                                                                      subscribers. This reflects the
own language. Based on these               marketing sector in India will be going
                                                                                      potentials of app networking in terms
calculations, internet giants such as      through a huge vernacular makeover.
                                                                                      of local language marketing in India in
Google, Amazon, Facebook and
                                                                                      2019.
others have already started investing
in Indian vernacular content.
As a result, we will witness the rate of
internet adoption by vernacular users

                                                                                                                                09
TRENDS 20192019 Adsyndicate bags the 'Most Innovative Technology Initiative of the Year 2019' Award
SHORT AND
     LONG FORM VIDEOS
     Unlike other trends that generally have a shorter lifespan, video trends are not
     going to be deemed irrelevant any time soon, for a simple reason: videos are
     more appealing over texts, and visuals convey a message more clearly and
     creatively – two major elements that determine the success of every campaign.

                                                                                        9.7k views 188 comments

                                                                                   SHOR
                                                                                   LONG
                                                                                      V

10
Moreover, recent research conducted       will retain their popularity, but will be   with television for consumer attention.
            by established agencies yield the         replaced by short-form videos on            Some of the major categories of long-
            following statistics:                     social media. This will place long-         form videos that are certain to yield
            Ÿ   70% of consumers share their          form videos in the category of go-to        results in 2019 includes events, vlogs,
                brand's video on social media.        for brand communication on social           tutorials, interviews, product reviews
                                                      networks, which will be ruled by            etc.
            Ÿ   Videos boost conversion rate by       micro-moments.
                72%.                                                                              Short-form videos too continue to
                                                      While the attention span of online          prosper in 2019, particularly on social
            Ÿ   Videos are 52% more efficient in        users is decreasing, it naturally looks     media, where users tend to be quick
                persuading online customers and       like long-form videos will have the         in assessing news feed. Hence,
                instigate confidence in them to        tough task of standing the test of          shorter content suits social media
                make sales.                           time. But 2019 is definitely not that        users who have reduced attention
            Given the competitive edge of videos,     year. Despite the predominance of           span. Short-form video categories like
            two contradictory video forms are         micro moments on social media, long-        snaps, sizzles, live-streams and
            going to be talked about a lot in 2019.   form videos will succeed to stay;           teasers continue to continue the
            These are short-form videos and           thanks to the space it provides for         legacy of short-form videos into 2019.
            long-form videos. However, long-form      creativity and entertainment to thrive.     Nevertheless, YouTube continues to
            content, such as webinars and vlogs       Long-form video strategies are              be the dominant video platform
                                                      crafted to be new and motivated,            among the youth demographics.
                                                      allowing space for influencers and           A recent survey conducted among
                                                      marketers to find new brand partners.        youth of 18-24 age group revealed
 Browse                                               Perhaps, the advantage of long-form         that 94% of the respondents prefer to
                                                      videos is that it is capable of             stream videos on YouTube, while only
     2.30                                             delivering in-depth educational             80% prefer Facebook. This is an
                                                      content unlike short-form videos.           interesting fact that marketers need to
                                                      Thus, long-term videos continue to          keep in mind to promote their brands
                                                      remain central to many marketing            in 2019.

RT AND
                                                      strategies.
                                                      In terms of the type of content, it is
                                                      evident by now that users desire to
                                                      know completely about a topic or

G FORM
                                                      video that draws their interest. Some
                                                      of the key video trends for 2019
                                                      include infotainment videos in form of
                                                      Q&A, Behind-the-scenes, feature
                                                      videos, live videos, user generated

VIDEOS
                                                      content, trending/breaking news,
                                                      how-tos videos and events.
                                                      Long-form videos continue to
                                                      dominate in 2019 with a significant
                                                      rate. About one-third of the total view
                                                      time in Youtube – world's largest
                                                      video platform is attributed to long-
                                                      form videos alone. The major reason
                                                      behind this figure is Youtube's
                                                      personal support to publishers to
                                                      upload broadcast-like programs,
                                                      since Youtube intends to compete

                                                                                                                                            11
LIVE VIDEOS

12
In terms of digital revolution, we have reached a state           users involve in commentary, debate and discussions
where we cannot escape coming across live videos as we            about the video. This is not always the case with pre-
navigate across any social network. Although live video is        recorded videos.
a big technology trend that began in 2017, its popularity is   Live streaming is becoming popular on social media like
still increasing as we embrace 2019. The main reasons for      Facebook and Instagram. A research by Impactbnd
this growing trend are the swelling number of high-speed       suggests live videos promote audience engagement and
internet users brought about by telecom companies that         retains the viewers for a longer time compared to pre-
offers 4G for an affordable price.                               recorded videos. In fact, 8 out of 10 users would rather
Many marketers feel sharing live video is the most             watch live video from a brand than read a blog, while 82%
suitable way to connect and communicate with the               of them expect a brand to post live video on social media.
audience in real-time. This is why brands, businesses and      This means, live videos are not only a part of effective
even social media users utilise live videos to deliver real-   marketing strategy, but also an obligation to keep the
time experience. One cannot deny the fact that                 customers and potential stakeholders informed and
technology is the fastest growing sector and hence a           entertained.
successful business always makes constant attempts to          Live streaming is also a good method of persuasion. 67%
leverage its potential by utilising technology.                of the live viewers agree that they are more likely to
Ÿ   Live video has become an integral part of every            purchase a ticket or attend an event if they have watched
    effective marketing strategy. Live videos help              a similar event live online. Further, 45% of the live
    promoters who seek to stand out and receive instant        audience is willing to pay to watch their favourite
    attention from the audience whose attention span is        celebrity/persona on live streaming. Realising its potential,
    diminishing in the high-speed internet era. Moreover,      organizers of ICC Cricket World Cup 2019 and IPL 2019
    live videos have been successful in achieving the          have decided to stream the matches in real-time.
    objectives because of three main reasons:                  Additionally, this can also serve as an advertising channel.
Ÿ   Live Videos are economical. Unlike pre-recorded            Live videos have arrived at a time where smart-age
    videos, broadcasting a live video is economical            customers dislike watching generic marketing content, as
    because of time and money spent on production and          they wish to engage and connect with a brand on a
    editing.                                                   deeper level. Considering the current 4G wave sweeping
Ÿ   Live videos are authentic since target audience is         across India, live videos are the best way to introduce
    more likely to trust it. Unlike pre-recorded videos,       products and services, interact and engage the users in
    there is no conspiracy such as vomiting undesired and      2019. Live videos have the potential to reach out to
    misleading content involved in live video streaming.       thousands of new customers with a click of a button in
    Hence live video is perceived to be authentic.             real-time. Moreover, it is almost a free way of generating
                                                               tons of revenue; raking in the moolah. Within two years of
Ÿ   Live videos are compelling as they trigger spontaneity     its introduction, live streaming market has been growing
    and instant discussion from the audience. In fact, users   at an alarming rate and has already been established as a
    spend three times longer watching live videos              USD 30 billion industry. But, this is just the icing on the
    compared to pre-recorded videos.                           cake. 2019 is going to be a year of advancement,
Ÿ   Live videos increase the quality of the views as most      expansion and growth for live-streaming.

                                                                                                                               13
MICRO-INFLUENCERS

     Ever since the advent of digital          micro influencer is someone who may      could be paid a kind sum, or even be
     marketing, influencers have always         have less than 10 thousand followers    offered free products in return for
     been the most efficient way to              on social media. Micro-influencers       their endorsements. Micro-influencers
     connect with a community. 2018 was        necessarily need not be famous or       are not only more affordable but also
     not an exception for the growing          have many fans. Their followers are     are cost-effective and have higher
     popularity and reliability of influencer   less in number and generally share      ROI than that of mega-influencers with
     marketing. By 2018, India had over        some sort of tie such as friends,       over million followers. In 2019, we will
     200 million active social media users     family, colleagues. Micro-influencers    see brands hiring about ten micro-
     among whom 12 million were college        have a high degree of influence over     influencers instead of one mega-
     students alone. The scope of              them. Marketers have realized the       influencer. Or at least, brands now
     influencer marketing is high in India. A   advantages of micro-influencers to       have the option to choose between
     recent research reveals that about        drive sales more effectively than        mega-influencers and micro-
     70% of the teenage YouTube                mega influencers. The major              influencers in a more efficient way.
     subscribers in India trust influencer      advantage is that micro-influencers      Due to the dominance of visuals over
     opinions, while 71% of the overall        are perceived to have more              texts in terms of appealing to the
     consumers are highly influenced to         credibility, more knowledge and         users, Instagram has been the more
     make a purchase based on social           passion about the specific niche that    reliable platform for influencers to
     media reference.                          they discuss. For this reason, online   reach out to target audience in India.
                                               users regard them as experts of         Hence, in 2019 Instagram will be a
     This success can be attributed to
                                               subject matter and trusted sources of   popular choice for micro-influencers,
     influencer marketing, who are
                                               information. Studies also reveal that   followed by Facebook, Twitter,
     capable of persuading consumers to
                                               increase in followers leads to          Pinterest, YouTube and Snapchat.
     make a purchase by connecting with
                                               decrease in engagement rate; thus       Fashion will be the major industry that
     them on a more intimate level than
                                               audience find micro-influencers more      will dominate micro-influencer
     that of a celebrity. The greatest
                                               relatable.                              marketing sector. Followed by beauty,
     benefit of influencer marketing is that
     unlike celebrity endorsed ads, the        In 2019, micro-influencers will be the   food, travel and home/design. Thus,
     common consumers can relate with          buzzword in influencer marketing for     in 2019, we will see influencers
     the influencer, whose traits match up      several reasons. One reason is that     connecting with the audience in a
     with that of regular users. Until 2018,   they have higher authenticity and       more personalized way than before.
     we have witnessed several influencer       appeal to the users as “genuine
     marketers with over a million             people who are passionate about
     followers persuading customers to         what they speak and do.” It is no
     “try-out” a new product. But this trend   secret that micro-influencer marketing
     is on the verge of extinction. 2019 is    is highly personalized like never
     all about micro-influencers.               before. The industry trends are also
                                               shifting from mega-influencers to
     Micro-influencers can be considered
                                               micro-influencers for economic
     as people that have much lesser
                                               reasons as well. Micro-influencers
     following than mega influencers. A
14
CHATBOTS
IN 2019
Chatbots are on the rise and are exceeding voicebots and       “conversational advertising,” where customers shall be
visual search in the race of AI. Chatbots are already taking   able to 'converse' with an ad while watching it.
over customer service for many global brands. By 2020, it      Embedding a chatbot at the bottom of an ad will allow the
is predicted that 85% of the customer interactions will be     consumers to ask questions and more details regarding
done via chatbots. This means, 2019 is going to be a year      the ad.
of transition in terms of proliferating chatbots.              However, considering the context of multi-lingualism in
The main reason for their increasing reliability is that       India, chatbots have a long way to go. Until now, chatbots
chatbots are not only an effective way of mass                  primarily functioned in English. But, given the scope of
communication, but also a 24/7 channel for bi-directional      regional marketing in India, developing chatbots to
communication between the audience and a firm. Thus,            function in regional languages seems to be highly
two advantages arise from utilising chatbots: enhanced         beneficial in the business. In fact, India is a key player of
customer satisfaction and increased response rate that         the chatbot market, with chatbots launched by the Indian
improves SEO.                                                  startups not only in India, but also across the globe. In
According to Facebook IQ, more than 2 billion business         India alone, where there are 300 million smartphone
related messages are sent by Facebook Messenger                users currently, introducing chatbots to take care of their
chats. Chatbots are found to be extremely helpful in           daily chores can generate business in a great way.
online retail, healthcare, telecommunications, banking,        In this regard, Ola app and HDFC Securities have
financial advice, insurance, car dealership and e-              launched their apps in Indian regional languages. In fact,
governance, as chatbots hold a huge potential in terms of      on a daily basis, close to one million bookings are done in
assuring faster response to customer inquiries. This is        local languages using Ola app that functions in 11 different
significant, as a study be Harvard Business Review and          Indian languages. Similarly, HDFC Sec is an android app
InsideSales indicates a five minute delay to respond to a       that offers stock trading facilities in 12 Indian languages.
customer inquiry results in the low chances to attract lead    Hike and BHIM UPI have also found success in catering to
conversion. A 10 minute delay to answer a query reduces        the needs of regional audience in local languages.
one's chances to get effective contact by 400%.
With the development of AI, chatbots are set to initiate                                                                      15
Earlier, Microsoft had launched Ruuh, India's first chatbot
     operating in Hinglish. Ruuh's quick, friendly and witty
     responses have been winning the hearts of the Indians
     who love talking on wide range of topics like cricket or
     sharing intimate emotions. Within a year of launch, Ruuh
     had 40 million conversations, and is highly active on
     social media.
     Similarly, Oxford University Press has launched a Hindi
     Chatbot to converse Hindi language data and transfer it to
     online Hindi dictionary. Microsoft, Amazon and Google too
     have applied enormous linguistic data accumulated by
     OUP. It is interesting to know that the chatbot's
     conversational interface is a 'user magnet' for the
     development of Hindi dictionary website. Hindi chatbot
     makes use of gamification to draw Hindi speakers,
     language learners and scholars to the webpage which
     offers a wide range of facilities such as to learn Hindi
     online, enlarge their vocabulary or contribute to Hindi
     language database.
     Employing gamification is interesting to improve language
     database. For instance, a Hindi chatbot pops up as a
     plugin and offers the visitors a guessing game or a puzzle.
     This is an entertaining way of teaching them to converse
     in Hindi. In this way, a simple Hindi chatbot can transform
     into a huge regional marketing tool that is capable of
     generating more quality traffic on the internet. This same
     strategy can be used to develop chatbots in other Indian
     languages.
     Given the potential of regional content marketing and
     personalized ads, chatbots when developed in local
     languages can generate more business, especially in a
     multilingual diverse nation like India. Although a lot has to
     be done in this regard, it is clear that the revolution has
     only just begun. In 2019, we are going to witness more
     desi-chatbots, as leading firms have realized the
     importance and benefits of appealing to the customers in
     their local language.

16
DATA DRIVEN
MARKETING

It has been become very common that while surfing internet, almost every
webpage you visit o ers you cookies i.e. in other words the webpage seeks your
browsing details. Marketers have realised that by using these data, it will be
much easier for them to present you with more personalized ads. 2019 is the
year where Data Driven Marketing continues to sustain its relevance as more
marketers and retailers are seeking out newer data driven ways to achieve
competitive advantage by understanding customers' behaviour.

                                                                                 17
These are the following predictions that are deemed to             common that whenever you log on to LinkedIn, you
     occur in 2019.                                                     come across news on “retail apocalypse.” In reality,
     Ÿ   You will start seeing only those advertisements that           these are the brands which are unsuccessful to clasp
         “get you,” as the digital marketing campaigns in 2019          omnichannel marketing. In 2019, omnichannel
         will be organized based on your proximity and daily            marketing will be the fundamental part of every
         habits. Modifying advertisements based on your                 marketing strategy.
         location, where you eat, shop and hang-out will            Ÿ   Account-Based Marketing will embrace Predictive
         become a standard practice.                                    Analytics. In simple terms, predictive analytics refers
     Ÿ   Streaming Analytics will open new revenue streams for          to the use of data, statistics, algorithms and machine
         marketers. Streaming services are an unexplored pool           learning techniques to determine the probability of
         of psychographic data that more marketers will dive            future outcomes based on historical data. The
         into to analyse and identify target segments based on          objective is to surpass the knowledge about past in
         lifestyle, values, views and preferences.                      order to deliver the best assessment about the
                                                                        future. Predictive analytics will rise in 2019.
     Ÿ   Opportunities for data driven marketing will rise with
         the increasing POS devices, thanks to the                  Ÿ   Data onboarding will determine the path of ad
         developments in location intelligence. This will help to       campaigns. Data onboarding is a data driven
         build more vigorous customer profiles at a larger level         marketing trend that transfers offline customer data
         that has higher accuracy of ROI estimation.                    to online platforms and identifies them online. There
                                                                        is a correlation between data onboarding,
     Ÿ   Personalized user experiences are created by the               omnichannel marketing and identity resolution: as
         data gathered. For instance, when you log on to your           their collaboration helps to reach the same target
         Amazon account, you can see personalized product               audience across multiple channels with more
         recommendation based on your shopping and                      personalization.
         browsing history. This is done with the help of your
         browser cookies. Tools such as Optimizely will make        Ÿ   Machine Learning will continue to grow gigantically.
         user experiences more personalized in 2019.                    For example, in order to improve the quality and
                                                                        personalization of voice search and chatbots, it is
     Ÿ   Identity Resolution (i.e. recognising user behaviours on       very essential to gather a user's preference details.
         both online and offline platforms) will create a 360             Hence, data-driven marketing will assist machine
         degree profile of your customers. This will help to             learning and artificial intelligence.
         deliver the best experience to your customers on
         multiple channels as identity resolution determines        If a brand wants to attract new customers, it is vital to
         their identities on those channels and provides you        make a lasting impression at the starting point. In this
         with a heightened understanding of your customers,         regard, data driven marketing helps to achieve that
         their interests and app usage. Identity resolution helps   objective. Moreover, understanding the preferences of
         in increased precision in targeting and enhanced           your customers helps to retain their trust in you. In 2019,
         personalization.                                           data driven marketing continues to be the backbone of
                                                                    ad personalization in a more profound way.
     Ÿ   Omnichannel Marketing will become the fundamental
         criteria in data driven marketing because of its ability
         to reach the same target audience effortlessly across
         multiple channels. For instance, it has become

18
PROGRAMMATIC
MARKETING
Programmatic Marketing continues to gain momentum in
every sector for three basic reasons:
Ÿ   It presents an opportunity to leverage connections
    with an audience across multiple platforms
Ÿ   It enables the purchase of inventory in real-time
Ÿ   It makes the process of measuring campaign
    performance very easy.
Programmatic is digital advertising and is set to extend its
scope in 2019, with two-third of digital media embracing it.
In other words, about 66% of the money invested in digital
advertising will be traded programmatically in 2019. This is
a giant leap for advertisers, clients and marketers,
especially during the time where the threats of ad fraud,
brand safety and misplacement are still prevalent. Industry
experts predict Programmatic ad spend will reach USD 84
billion mark, with a growth of 19% in 2019.
Further, the breadth of existing ad formats in
programmatic trading is getting better, which can include
more mobile, audio and video formats online. This is one
of the major factors that will drive the programmatic ad
revenue. However, firms and enterprises intending to
monetize via programmatic advertising must now focus on
improving the quality of their inventory, which must at
least be secure and viewable. In fact, customers are
seven times less likely to consider a brand if the ads are
served against inappropriate content. Thus, brands with
ineffective brand safety strategy will now have to confront        Since quality inventory is the key criteria in programmatic,
a lot of stakes.                                                  valuable data will be prized by every organization. In
Particularly, in the Indian ad market, programmatic is still in   2019, we will witness newer trends in data collection
its infancy and hence has a great potential in the coming         techniques. First-party data will continue to be the most
days. Currently, in India only 20% of the ad budgets are          valuable form of data, gathered explicitly either through
allocated to programmatic advertising. Yet, one must note         customers themselves, or gained by tracking their activity.
that India is still on a learning curve and is increasingly       Second-party data collections will become more
becoming aware of its immense scope, thanks to the                commonplace among brands and online retailers by
digital revolution sweeping across India. In terms of             forming wider data sharing partnerships. Because of
prominent programmatic trends that will become                    these developments, third-party data will be less
commonplace in 2019, videos will retain their popularity          beneficial for brands to gain a competitive edge, although
among all ad formats. Increasing rate of mobile video             these data will be widely available.
consumption can be attributed as the leading cause of
this trend. Similarly, in-apps will be buzzing in 2019, due to
rise in mobile internet consumption and deviation in
preferences of users from mobile browsers to wide array
of in-apps.

                                                                                                                                 19
MARKETING AUTOMATION
     ‘Marketing Automation' is the word that created a lot of           information etc. and evaluates them to give a score.
     buzz in 2018. According to Radicati Group Email Statistics         This score will determine whether a lead is qualified or
     Report, 281 billion emails were sent every day in 2018.            not. This is very useful to determine the right content
     This massive statistics indicates email is still vital for a       for the target audience across various channels,
     strong marketing strategy.                                         particularly in sector based targeting and demographic
     Marketing Automation is inevitably deemed to be the                based targeting.
     future of marketing. The new-age marketing automation          Ÿ   The role of AI in marketing automation will enhance as
     tools such as WishPond, SalesManago, GetResponse and               it tracks user behaviour, requirements & needs and
     SimplyCast are steadily gaining devoted users and                  delivers the right content to the user when the user
     commencing to begin a new era of marketing automation.             wants something.
     However, there are a lot of things to be done in terms of      Ÿ   2019 is going to witness smart chatbots playing a
     technological development. Industry expert, David Raab             crucial role in generation of lead, as chatbots have the
     opines that over 70% of marketers are either unhappy or            ability to analyse user needs, requirements and can
     marginally happy with their marketing automation                   engage users with a brand. Integrating AI with
     software. Moreover, experts hold a view that there is a            chatbots will surely increase sales. Further, it can be
     'lack of automation' in marketing automation.                      observed that there were 2 billion users who availed
     Nevertheless, marketing automation is a technology that            messaging apps. In 2019, this number shall increase,
     is still in the progress of development, and has not               and so does the potential of chatbots to engage with
     achieved its full potential yet. Given its increasing              them.
     popularity and its capabilities, marketing automation is       Ÿ    Cross-channel marketing is going to dominate
     'the' marketing technology of the future that promises              marketing automation in 2019. Marketers have found
     several marvellous possibilities. So what can we expect in          that rather than a solo strategy, incorporating multiple
     2019 in terms of marketing automation? Here are some of             channels such as mobile marketing, email marketing,
     the trends that will pave way for marketing automation to           social media marketing and content marketing will
     reach its potential:                                                intensify user engagement with a brand. As a user is
     Ÿ   Personalization is the key to marketing automation in           exposed to a brand 24/7 due to various channels, the
         2019. Litmus' State of Email Survey revealed that               business is set to leverage.
         targeted emails are 108.5% more likely to generate         Despite several speculations, marketing automation is
         almost half of a company's email marketing revenue         growing at a rate of 8.55% transforming itself into USD 5.5
         via automated emails than other types of emails.           billion industry in 2019. In fact, 51% of the industries across
     Ÿ   Technology has enabled marketing automation to             the world are already using marketing automation in their
         occur across multiple channels, be it a landing page or    business strategy.
         social media. In 2019, there is no escaping marketing
         automation.
     Ÿ   Until now, email marketing had limited effect since
         most of the emails in an inbox go unread. But thanks
         to the developing marketing automation tools,
         marketers have realized it's the quality of a mail and
         not the quantity that determines the outcome. Here
         too, personalization is the key. A good example for this
         is Spotify, a music platform that sends users a
         personalised playlist based on their taste on a weekly
         basis.
     Ÿ   Predictive Lead Scoring will lead marketing
         automation in 2019. It is a tool that records factors
         such as behavioural data, demographics, social

20
05
VIRTUAL REALITY
Virtual Reality (VR) has been buzzing in marketing since few          Due to the limitations of internet speed, VR was perceived
years. In fact, its applications have become common place by the      more as a fad and was limited to gaming and
end of 2018. However, it must be noted that VR is a technology        entertainment. Tech giants such as Facebook, Microsoft,
that is driven by fast speed internet. Although, VR and 4G            Samsung and others were pioneering by developing VR-
continue to conquer the Indian digital market, the real potentials    enabled headsets that generated significantly better
of VR will be brought by the adoption of 5G, predicted to be          gaming ecosystems. But as the technological changes are
launched in 2020. As a precursor, the base for mobile network         occurring in broadband internet sectors, VR will soon set
assisted VR applications will be launched in 2019. This network       its footsteps in sectors such as retail, real estate,
functions as ever-present and uninterrupted. Later this network       automotive, ecommerce, film and entertainment. This will
will be leveraged by 5G by adding more spectral bands of wider        not only enhance the customer experience, but also
bandwidths to boost its capacity.                                     impacts their buying behaviour and reduces cost involved
The current limitations of VR until now are due to the inability of   in the process as well.
4G to provide wider bandwidth, latency and uniform experience.        Hence, it is crystal clear that VR is not a fad, and is here to
But VR devices can function differently with 5G network which          stay for a long time to come. As an indicator, it is
can drive 100 times improvement in traffic capacity and network         estimated that VR market will grow by 76% in the next five
efficiency. It will also decrease the existing latency by 10 times.     years, crossing a networth line of USD 120 billion. The
These facts suggest, the original glory of VR will be witnessed in    year 2019, in this regard will be an important year where
2019.                                                                 the greater potentials of VR begins to unfold.

                                                                                                                                        21
AI POWERED
     SOLUTIONS

22
AI was the magic mantra in digital        Natural Language Processing (NPL),        successful in driving the average
marketing in 2018, as AI technology       Natural Language Generation (NLG)         sales by 40%. Similarly, there are a lot
was implemented into digital              and computer vision. These will           of successful stories of AI
products like there's no tomorrow. Be     minimize human intervention and           implementation in marketing:
it through chatbots, voicebots, Virtual   boost other tasks by assisting            voice/visual based search,
Assistants or Visual Search, AI has       employees with their assignments. In      prevention of data breaches and
promised to be the next big               a nutshell, MLaaS will make an            fraud.
technology trend: The Future of           impression in businesses                  Industry reports suggest, the deep
Computing. But one needs to               predominantly across healthcare,          learning market is predicted to
ponder; ask questions such as, how        cyber-security and automobile             exceed USD 18 billion by 2024,
powerful is AI in reality? To what        industries. From 2019, what qualifies      expanding at a CAGR of 42%. Deep
extent can AI be implemented in the       as a 'technological innovation' will be   learning algorithms have great
marketing arena? And, are we really       built on cloud adoption capabilities,     potential to evaluate disorganized
up and about to embrace AI in 2019?       due to the progress in machine            data such as videos, images, verbal
                                          learning.
Undoubtedly, AI is fast and furiously                                               texts, audio recording and transform
becoming an integral part of digital      In 2019, AI will make the process of      them into business-friendly
products. This is why we are              content generation more proficient.        predictions. As a result, digital
witnessing more and more number of        In this direction, AI powered solutions   workflow will be made convenient
start-ups leveraging AI on their          such as Articoolo and Quill have          with simple-to-deploy AI powered
marketing platforms. Even giants like     already made it easier to generate        solutions. One instance could be
Amazon and Apple are focusing on          whimsical content. 2019 is going to       optimization of paid advertising
further development of AI to increase     witness more of such tools with           campaigns by media agencies for
the quality of voice-based search.        increased efficiency. However, given        their clients using AI algorithms to
Just two years ago, AI was merely         the increasing popularity of regional     examine the performance of a
seen as a “nice-to-have” feature on       content marketing in India, it has to     campaign in motion, social
digital platforms. But today, AI is       go the whole nine yards to develop        semantics, website design, product
viewed as an integral part of             AI technology, in order to cater to the   pricing, customer service predictions,
functionality and as an everyday          need for content in regional              ad targeting, speech and language
utility. This has driven all the          languages.                                recognition, to name a few.
marketers to enhance their                Apart from content creation, AI will      However, revolutions can be
marketing strategies by utilising AI to   be utilized to leverage email             intermittent and unpredictable. In a
boost sales.                              marketing for further personalization     roadmap for Artificial Intelligence
One strong term in AI domain that's       of content, in addition to maximizing     programme is laid down by NITI
going to be commonplace in 2019 is        the conversion rates on the web.          Aayog to being a revolution in fifth
'Machine Learning as a Service            There is also an immense scope to         generation technology (i.e. Artificial
(MLaaS).' MLaaS is a digital              craft AI powered digital experiences      Intelligence, Machine Learning,
transformation space linked to cloud      for the customers that can be             Internet of Things, 3D printing and
computing, which has the potential to     thought of as a conversion funnel.        Blockchain) by allocating INR 3073
rapidly trigger the existing cloud        For instance, Olay, the dominant          crores. On a larger perspective, 2019
computing process. As a result, we        player in cosmetics, in collaboration     is poised to be the year where the
will witness traditional players          with Nara Logistics developed Skin        applications of AI will be emphasized
adopting MLaaS, since it will be a        Care Analysis tool that evaluates the     and executed; giving it a whole new
crucial factor for all businesses to      customers' skin and recommends the        dimension.
thrive. Some of the features of MLaaS     type of skin care products suitable
that will gain popularity include         for them. This AI tool has been

                                                                                                                               23
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