Ads on Platforms, influencers, short-format videos, OTT saw growth in 2022: Alok Pandey

It’s time to review the most significant industry developments as the year 2022 draws to a close. Adgully is reviewing the year 2022 for the M&E, advertising, digital, marketing, PR, and communications, along with leading names in the industry as part of our annual Rewind series.

Recapping the year, Alok Pandey, Vice President - Sales & Marketing, Xapads, shares how the year 2022 was a pivotal year for the Media Industry, his projections for the trends in 2023, and much more.

Media, Marketing, and Advertising ecosystem in 2022

In terms of Ad spending, digital media is set to take over traditional TV media for the first time this year. Over 75,000 brands advertised through digital media during the period, with Amazon being the most advertised digital brand. During January-June 2022, digital ad insertions surged by 109% compared to the same period last year: TAM Media report.

The top two sectors – that is, services sector with 46% and education with 13% – together accounted for more than 55% share of ad insertions on digital media. Amazon India and Grammarly Inc retained the top two positions among the top 10 advertisers and together accounted for a 14% share of ad insertions on digital media.

Key trends and developments in Digital

Digital media is estimated to become the lead media with an estimated share of 45%, driven by 33% growth during 2022. Advertising on Platforms, the rise of influencers, short-format videos, and OTT platforms witnessed growth in 2022. Total App installs grew 10% in 2022 despite a post-COVID digital cooldown, privacy changes, and economic downturn. The digital advertising industry reached a market size of Rs 21,353 crore in 2021 from Rs 15,782 crore in 2020 in India and is estimated to grow to Rs 35,809 crore by 2023.

For 2023: There is a shift in focus from growth to profitability and ROI and alternative targeting approaches are coming to the fore. Data collection methods are getting re-imagined for better accessibility. In the coming year, constant experimentation will define data management and consumer persona building.

For the Gaming Sector: A series of macroeconomic challenges may continue to affect the gaming industry throughout 2023. Platform privacy changes, globally rising inflation, economic slowdown, and return to real-life experiences – are all due to reshaping the marketing of games in 2023.

Lastly, despite a relative slowdown in mobile engagement as compared to pre-pandemic, the share of mobile media hours will increase versus that of other channels in 2023.

Xapads’ performance in 2022

We are “leading with an ‘automation first’ mindset when it comes to future planning” and are focusing on careful planning and spending strategies. We are investing in retention just as much as UA, finding creative ways to drive ROI, and diversifying the channel mix to expand reach more effectively.

We are working closely with vendors and brands to solve challenges as Cross-org alignment will be essential. We understand everything is cyclical so we are ensuring that supply and demand are efficiently connected in the marketplace.

Besides this, we are shifting to modern measurement and best practices around data integrity and working towards AI-driven marketing – towards hyper-personalisation, with the ability to create not hundreds, but millions of ad variations from a few images and prompts.