For Carole Hayek, General Manager, Magna, “There is no doubt that technology has or will very soon reconfigure the dynamics and the way relationships are transformed among customers, brands and firms.” Here she shares her thoughts on the role technology will be playing in the communication industry, and how it is redefining the rules of the business.
All the technology used in movies and in our imagination to interact or communicate is either currently under development or already in use.
There is no doubt that technology has or will very soon reconfigure the dynamics and the way relationships are transformed among customers, brands and firms. Thus, reshaping and creating new business models in the market and certainly in the advertising and media industry.
Therefore, the digital evolution is getting the highest attention and focus of the entire ad industry. Both clients and agencies should invest into understanding this continuous changing environment and create accordingly the solutions for future brand-customer successful communication relationship.
The digital transformation has serious consequences on the quality of perceiving and receiving the ads.
Kids raised in the midst of this tech environment, unlike adults, have no idea about how life is without. This iGeneration will most probably show modifications in their psychological and physical development, creating new needs and new behaviors. Considering, the change might affect the emotional part of the brain, we will need to understand how to create successful bonds in different ways than advertising used to operate, hence a new school of advertising needs to be established.
Older generations getting affected by this trend are also showing a shift in habits, behavior and experiences related to their personal, social or business life.
With the presence of powerful data analytics and machine learning (programmatic), the challenge today is not about investigating which channel reaches the target audience, but rather about the quality of the message that will create attention, engage, convince, and maybe convert. The new path to purchase is changing, and there should be new patterns for consumer acquisition, satisfaction and retention. Data is available and we can use it to create finely targeted marketing, but often the messages are blunted by consumer’s cognitive limitations and attention on digital channels.
Many other trends are to watch, like the new big thing of today, AI. Tech giants like Google, Amazon, and others have launched already their AI platforms for digital assistance. Hence, we are moving more and more towards a single platform or channel that will facilitate the consumer online experience.
Among this overall global change, and while the market is lacking maturity and nothing is certain yet, advertisers are still relying on traditional media to convey their messages. The bulk of media budgets this year will continue to be invested on the less risky channels, which enjoy also a remarkable penetration in Lebanon and the region and are considered as trustful sources for measurements and brand safety image.