Social networks will increasingly develop into shop system providers
Social networks will become indispensable as sales channels for retail in the future. At the same time, personalized advertising is becoming more difficult and requires new marketing strategies.
These are the key findings of a survey conducted by the Frankfurt-based advertising agency ZweiDigital among 200 experts from the German digital and marketing industries.
Social media platforms such as Instagram, Facebook and Tiktok are attracting a growing number of older users. 52% of experts surveyed agreed with the statement that the average age of social media users has increased due to the pandemic.
Industry experts highly rated the potential of social networks for retail. 65% believe that platforms such as Instagram, Facebook, and TikTok will be an important sales channel in the near future. Only 19% disagree with this statement. Similarly, 65% even think that social networks will increasingly become providers of shopping systems as well.
Survey participants are concerned that new privacy standards will make it significantly more difficult to track user activity, collect information, and personalize experiences. This is especially relevant with the upcoming iOS 14 update.
Nearly one in two respondents (48%) believe that it will become increasingly difficult to target customers with personalized ads due to stricter privacy measures. Only 27% disagree with this statement.
We believe that one-to-one communication is still possible. In our opinion, the importance of explicit personalization will increase significantly.
“Despite increasingly stringent data privacy regulations, we believe that one-to-one communication is still possible.” — said Gunnar Rohde, CEO Striped Giraffe. “It is crucial that customers can express their interests as well as their preferences for the content and products they want to see on platforms, online stores and websites. That is why we believe the relevance of explicit personalization will increase significantly.”
Explicit personalization is the best chance for an optimal user experience, especially in view of the more difficult tracking and higher data protection standards. In this context, digital marketing strategies should be thoroughly reconsidered and adapted, according to the experts. 66 % of respondents support this statement. Only 14 % say that a greater need for adaptation is not necessary.