The five ways marketing is heading in 2023

Loyalty programs, the implementation of AI and the creation of a misinformation task force are some of the marketing trends that Gartner predicts for 2023.

According to Gartner, these five predictions will help marketers drive results and regain business leaders' confidence.

Emily Weiss, principal researcher in the Gartner Marketing practice said, “Against a backdrop of unrelenting social and economic pressures, marketing leaders look toward a future where smarter marketing leads to deeper, more valuable connections between customers and brands.”

Implementing AI

Gartner said by 2025, organisations that use AI across the marketing function will shift 75 percent of their staff’s operations from production to more strategic activities. Using AI in marketing operations will reduce friction and eliminate redundancy, allowing marketers to shift their budgets and resources to activities that support a more dynamic marketing organisation.

Content authenticity

Gartner predicts that by 2027, 80 percent of enterprise marketers will establish a dedicated content authenticity function to combat misinformation and fake material.

As generative AI and user-generated content grow, it poses a challenge for the digital content ecosystem. Gartner said these tools will only make it more complex which means proactive reputation management is critical. However, scanning for inaccurate or defamatory content — at scale and in real-time — is increasingly difficult in a polarizing and high-velocity landscape.

Gartner said, “The advancement in the scope and sophistication of misinformation creates a growing concern for CMOs. Just as AI and other technologies contribute to the content problem, they will also be part of the solution, especially when complemented with dedicated teams that listen, engage and escalate brand interests across the digital content ecosystem.”

Product placement

According to Gartner, by 2024 70 percent of brands will redeploy at least 10 percent of their media budget to product placement in entertainment content. Consumers have ad fatigue, which means those that can get rid of ads will most definitely do so.

High-income consumers are more likely to say they “deliberately don’t pay attention” to ads and “try to multitask” if they’re stuck in front of one.

Gartner said that marketers who cling to traditional digital ad formats will increasingly reach an audience composed largely of digital have-nots.

Instead, brands that shift toward product placement (such as streaming TV) and sponsored content (such as posts from brands, influencers and other people) will persevere. This is a form of marketing that consumers say they see everywhere, and largely approve of.

Loyalty programs

Those brands that still do not have a loyalty program will most likely have one up and running by 2027, according to Gartner.

Loyalty programs are an effective strategy to reward customers and collect critical data for personalisation and enhancing customer experiences.

Effective loyalty content is often highly personalised and is best used to engage high-priority target audiences, improving retention and growth. Gartner noted by 2023, both B2B and B2C companies will increase their investments in loyalty programs as a percentage of their total marketing budget.

The competition for customers' attention and first-party data will increase as more companies launch and revamp loyalty programs. CMOs running best-in-class loyalty programs will elevate their approach beyond transactional benefits and recognise personalisation as a critical differentiator.

Ethical AI

Gartner predicts that by 2025, 70 percent of enterprise CMOs will identify accountability for ethical AI in marketing among their top concerns.

Gartner explained that privacy-related restrictions on data collection, economic pressures, and AI breakthroughs are driving marketing teams to rely more heavily on AI and machine learning to optimize campaign performance and lower costs.

At the same time, regulators and advocacy groups are highlighting their concerns over manipulative and biased uses of AI.

Several brands have come under fire over their use of advanced technology to influence consumers in creepy and inequitable ways.

“Marketing is uniquely positioned to understand the superior CX that AI affords as well as its trust and reputational risks. This puts the onus on marketers to address the ethical issues that AI is raising in their practices, and the impetus to do so must come from the top,” Weiss ended.