AI Personalization Selected As Most Impactful Trend
AI-powered personalization has emerged as the dominant trend for agencies and marketers in 2024, surpassing short-form video, which had previously been a key focus. According to the latest RSW/US report, 73% of surveyed agencies in the US and Canada consider AI-powered personalization the most impactful trend for their clients, slightly up from 70% last year. In contrast, enthusiasm for short-form video has declined, with only 49% of respondents highlighting it as a top trend, down from 60% last year and 69% the year before.
Beyond AI, other trends gaining traction include story-driven content visualization (39%) and intent monitoring (30%), which has risen in importance from 22% last year. Meanwhile, first-party data strategy, once a critical focus due to Google’s planned removal of third-party cookies, has seen declining concern, with only 33% citing it as a key trend. Influencer marketing is also losing momentum, with only 31% of agencies prioritizing it this year, down from 43% in 2023.
In-housing is another significant trend, with 54% of marketers reporting that most of their marketing activities are now managed in-house, up from 44% last year. Agencies are increasingly feeling this shift, with 32% expecting more clients to bring agency-style work in-house this year, double the percentage from last year. However, despite these challenges, agencies remain optimistic, with 58% anticipating increased client marketing spend this year, a notable rise from 45% last year. Additionally, while only 44% of agencies saw business improvements last year, 78% expect growth in 2024.
As AI continues to reshape marketing strategies, agencies must adapt by integrating AI-driven personalization and intent monitoring into their services. At the same time, the decline of influencer marketing and first-party data concerns suggests that brands are shifting toward more direct and data-driven engagement strategies. Agencies should balance these shifts while preparing for increased competition from in-house teams.
Key Actionable Takeaways:
Embrace AI-Powered Personalization – Invest in AI-driven strategies to tailor content and ads to individual consumers for higher engagement.
Adapt to the Decline of Short-Form Video – While still valuable, prioritize AI-driven experiences and other emerging formats to stay ahead.
Leverage Story-Driven Content Visualization – Use visually compelling, narrative-based content to enhance brand messaging and customer engagement.
Monitor Audience Intent Data – As intent monitoring gains traction, utilize real-time data to optimize campaign targeting and conversion rates.
Shift Focus Away from Traditional Influencer Marketing – Explore alternative methods such as AI-generated content and niche micro-influencers for better ROI.
Prepare for Increased In-Housing by Clients – Offer specialized services and deeper expertise that in-house teams may struggle to replicate.
Stay Agile in First-Party Data Strategy – Even with reduced urgency, continue refining first-party data collection to future-proof marketing efforts.
Capitalize on Increased Marketing Budgets – With 58% of agencies expecting higher spending, develop proactive strategies to capture new opportunities.
Differentiate with AI and Automation – Agencies should integrate AI-powered automation tools to enhance efficiency and competitiveness.
Monitor Industry Shifts and Emerging Trends – Keep a close eye on evolving consumer behaviors and technological advancements to stay ahead of competitors.
