Digital Marketing Trends of 2021 – Until a few years ago, artificial intelligence, data-driven marketing or voice search optimization (VSEO) etc. technologies were perceived as ridiculously pretentious concepts.
Today, almost all of these innovative digital marketing methods are among the primary priorities of businesses. Because today’s competitive online environment requires businesses to keep up with the rapid change of digital marketing.
In today’s world where technology-based marketing is developing rapidly and consumer interests or behaviors are difficult to predict, most businesses are victims of “Digital Darwinism”. This concept, which digital marketing expert Brian Solis has brought to marketing and takes its source from Charles Darwin’s Theory of Evolution, expresses the change process that consumer behavior is exposed to as a result of the evolution of society and technology faster than some companies can adapt.
According to the theory of evolution, living things can only continue their lineage as long as they have the kind of evolution and adaptation skills that will make them advantageous over their competitors. Adaptation to the environment is as important for businesses as it is for living things. Adaptation dynamics i.e. innovation, R&D, artificial intelligence, etc.
While enterprises with sufficiently advanced technological skills survive, those who cannot catch up with the era are doomed to disappear or lag behind their competitors. The theory of evolution also applies to the hypercompetitive nature of the digital market. Because Darwinism does not discriminate, every business/business is faced with the same threat of extinction as every living thing.
As you can see, marketers can no longer bury their heads in the sand and hide in the shadow of the knowledge they have gained through years of experience and training, or in the shadow of stereotyped old methods, moreover, they cannot live under the assumption that these methods will work forever.
In this article, we will talk about digital marketing trends that will keep businesses alive and help them improve in this innovative age.
Please continue reading.
Digital Marketing Trends of 2021
1) Artificial Intelligence
The 2020s may be the years when most businesses will feel the power of artificial intelligence (AI) deeply. Artificial intelligence, which is certain to be at the heart of global trade and industry in the future, has already taken on many simple tasks.
For example, Microsoft and Uber are using artificial intelligence-powered Knightscope K5 robots to predict and prevent potential crime situations. These robots, patrolling parking lots or large venues/lands, have the ability to read license plates, report suspicious activity, and collect data to provide feedback to their owners. What’s more, these robots can be rented for $7 an hour – far less than the salary of a lively security guard.
Marketing analysts predict that by the end of 2021, AI technologies will be widely deployed in nearly every new software product and service. AI is predicted to be one of the biggest business opportunities for companies, industries and countries to take advantage of over the next two decades.
It is also expected to increase global gross domestic product by up to 14 percent by 2030. So businesses that are late in leveraging AI will find themselves at a serious disadvantage over the next few years, which is not pleasant in today’s competitive world.
We can list the reasons for the adoption of artificial intelligence as follows:
- It helps businesses gain a competitive advantage or become the leader of the industry.
- It makes it easier to start new jobs.
- Businesses that are new to the industry and using artificial intelligence can quickly enter the market and intensify the competition.
- The possibility that existing competitors can benefit from the benefits of artificial intelligence and gain competitive advantage forces businesses to improve themselves in this area.
- Pressure to reduce costs forces businesses to use artificial intelligence.
- It is highly likely that suppliers will offer AI-driven products and services in the near future.
- Customers can request artificial intelligence-driven products or services.
Artificial intelligence enables businesses to analyze consumer behavior and search patterns. Moreover, businesses use data from social media platforms and blog posts to understand how customers reach products or services.
Another exciting example of artificial intelligence is chatbots – chatbot software that communicates information or performs actions with the user, usually by text, and in some cases by conversation. For example, Mastercard has created a Facebook Messenger Chatbot that can decipher what a customer wants, respond like a real person, and uses natural language to automate payment transactions.
Artificial intelligence is predicted to be the driving force behind most services in the near future, and some areas where this prediction has been implemented include:
- Basic communication
- Product recommendations
- Content production
- Email personalization
- E-commerce transactions
Businesses that adopt artificial intelligence applications in 2021 will be able to reduce personnel costs and further accelerate their growth rates and stay ahead of their competitors.
2) Programmatic Advertising
Programmatic advertising means that businesses use artificial intelligence to automate the buying of ads that will allow them to target much more specific audiences. This is a kind of new practice where the ad buying and selling process happens between machines rather than humans. For example, instant offers are a programmatic ad purchase. Instant bid automation is much more efficient and faster – which means higher conversion rates and lower customer acquisition costs for businesses.
This model is claimed to be the changing face of digital advertising. Research indicates that 86.2 percent of digital ads will be programmatic by the end of 2020.
Most research-based manual advertising campaigns (including those with professional tools) focus on a maximum of three or four goals: keyword, time zone, and location. Demand-side platforms that are part of programmatic advertising—platforms that allow advertisers to buy from different ad networks—can use hundreds of targeting signals to personalize ads or integrate into customer data platforms and target them based on a customer’s lifestyle or habits.
Finally, let’s take a look at how programmatic advertising works:
- The user clicks on the web page.
- The page owner delivers the ad impression.
- The ad marketplace organizes an auction between advertisers competing for impressions.
- The advertiser who will make the highest bid for the display is entitled to have their ad published.
- The advertisement is presented to the potential customer.
- The customer clicks on the ad and the advertiser converts the clicks into sales and ultimately profits.
Chatbots seem to be one of the favorites of digital marketing in 2021 as well. This artificial intelligence-based technology allows you to take advantage of the instant messaging system for a simultaneous chat with your customers or web visitors – day or night.
Chatbots are expected to take over 85 percent of customer service by 2020. Survey results also show users’ Chatbots with 24-hour uninterrupted service (64%), short response time (55%), and answers to simple questions (55%), etc. reveals that they find it advantageous in terms of its features.
It will happen that most of the customers prefer to interact with the businesses through Chatbots, which offer uninterrupted communication 24 hours a day, 7 days a week. Chatbot applications respond instantly to the customer, remember your purchase history clearly, and never, ever compromise their patience. These virtual assistants provide exceptional customer service by meeting customers’ expectations and automating repetitive tasks – meaning businesses can focus on much more important work.
Lyft company, which provides road and car sharing service, etc. most brands make use of chatbot technology. For example, you can request a ride or ride through Lyft Chatbots (via Facebook Messenger, Slack, or Amazon Echo). Chatbots will let you know the current location of your driver.
Passengers can also use this application to select the type of journey, request a vehicle/ride, track the location of the vehicle, inform their friends of the estimated time of arrival, and make payments.
Other brands that successfully use chatbot technology are Spotify, Sephora and Pizza Hut.
4) Chat Marketing
As can be understood from chatbots, the act of “speaking” forms the basis of modern marketing. Since people are now pursuing a conversational marketing, businesses or brands have to determine an approach to bring this understanding to life. Because almost every consumer – 82% of consumers – who has any problem or question demands an “instant” answer to the question or problem.
This is where chat marketing comes in, facilitating one-on-one and simultaneous connection between marketers and customers.
Unlike traditional strategies, chat marketing can be used across multiple channels, allowing brands to meet customer needs in their own unique way—through the devices, platforms, and timelines that best suit the customer:
Today’s buyers desire to be able to get what they are looking for in the present moment, not later. For this reason, it is more important than ever for businesses that want to survive to have a wide range of communication channels and try to reach people/customers in line with their communication preferences.
Ultimately, the primary goal of conversational marketing is to improve the user/customer experience through a feedback-driven model that encourages engagement and loyalty.
If you want to be one of the top businesses of 2021, you need to personalize your marketing – meaning you’ll need personalized content, products, emails and more.
In this process, you can consider the personalization statistics that we will list below:
- 63% of consumers are quite uncomfortable with generic ad credits.
- 80 percent of consumers say they are much more likely to do business with a company that offers personalized experiences.
- On the other hand, 90 percent stated that they find personalization attractive.
It is also claimed that behavioral personalized emails are 3 times better than standard batch emails.
If you want to examine examples of the power of personalization, you can scrutinize Amazon with personalized product recommendations and Netflix with movie titles.
Examples of different companies that have successfully used personalization are:
- Airline company EasyJet has launched an email campaign where they will leverage their customers’ travel history to create personalized customer stories and make travel recommendations based on data from it. Within the campaign, approximately 12.5 million e-mails were sent with a 25% higher click-through rate than non-personalized e-mails.
- Confectionery firm Cadbury’s has created a personalized video campaign that will pair users with one of the business’s daily milk flavors, based on data from users’ Facebook profiles. The campaign proved how important the personal touch is for businesses, with a 65% click-through rate and a 33.6% conversion rate.
- Famous for its coffees, Starbucks uses a mobile application that personalizes data such as purchase history or location as much as possible, allowing its customers to customize their drinks. Thanks to the reward/bonus system included in the application, it encourages customers to use the application.
Here ends our list of the 5 most important digital marketing trends of 2021 that you cannot ignore.
As the legendary president of the USA, John F. Kennedy said: “Change is the law of life. It is certain that those who are content to only look at the past or the present will yearn for the future. “
Change is an integral part of the process for everyone involved in digital marketing. Therefore, you should always keep looking ahead and try to adopt new technologies, tools or strategies as quickly as possible in order to put your business ahead of your competitors.