In 2024, the retail marketing world is changing fast. Old strategies are being replaced by new tech and fresh approaches, and marketers need to keep up to stay ahead. Recently, Wunderkind and studioID surveyed 101 retail executives to see how they’re navigating these changes. In the 2024 CMO State of the Union research report, we dive into these shifts, offering practical tips and insights to help marketers succeed in this ever-evolving landscape. Read on to understand the top takeaways and get your copy of the report.
Embracing a Cookieless Future
One of the most significant shifts in the marketing landscape is the deprecation of third-party cookies. Historically, third-party cookies have been a cornerstone of digital marketing, enabling brands to track users and deliver targeted advertising. However, growing privacy concerns and regulatory changes are pushing browsers like Firefox and Safari to block third-party cookies, with Google set to follow suit by 2025.
The report reveals that 61% of retail executives are extremely or very concerned about this shift. As a result, marketers are increasingly turning to first-party and zero-party data to fill the gap left by third-party cookies. First-party data, collected directly from consumer interactions, and zero-party data, willingly shared by consumers, offer more ethical and sustainable ways to understand and engage with audiences.
The Rise of Artificial Intelligence
Artificial intelligence (AI) is revolutionizing marketing, providing new tools and capabilities that were unimaginable just a few years ago. Since the launch of generative AI tools like ChatGPT, AI adoption has surged across industries. According to the report, 97% of retail marketing executives are implementing AI in their operations, with applications ranging from data analysis to content creation.
AI is helping marketers save time, enhance productivity, and deliver more personalized experiences. However, the report cautions that not all AI tools are created equal. The quality of AI outputs depends heavily on the quality of the data fed into these systems. Therefore, choosing the right AI tools and partners is crucial for achieving meaningful results.
Managing Marketing in an Election Year
The 2024 election cycle adds another layer of complexity to the marketing landscape. Political ad spending is expected to exceed $12 billion, increasing competition for ad space and driving up costs. As a result, 72% of retail marketing executives express significant concern about developing advertising strategies during this period.
To navigate these challenges, marketers are leaning more on owned channels such as email and SMS. These channels offer a safer environment for brand messaging, free from the risks associated with political advertising. Additionally, they provide direct, personalized communication with consumers, which is increasingly valuable in a privacy-conscious world.
The Importance of Identity Resolution
With the decline of third-party data, contextual identity resolution has become a critical tool for marketers. Identity resolution partners help brands identify unknown users in a privacy-compliant manner, leveraging rich consumer profiles to build long-term relationships. The report notes that 47% of retail executives are turning to identity resolution partners in 2024.
These partners offer a deep understanding of consumer behaviors and preferences, enabling brands to deliver more relevant and personalized experiences. By integrating identity resolution into their strategies, marketers can navigate the transition away from third-party cookies more effectively.
Your Path Forward
The 2024 CMO State of the Union report provides a comprehensive overview of the current state of retail marketing and offers practical guidance for navigating the challenges and opportunities ahead. From embracing first-party data to leveraging AI and managing marketing during an election year, the insights in this report are invaluable for any marketer looking to stay ahead in 2024.
Don’t miss out on these critical insights. Download your free copy of the 2024 CMO State of the Union report today and equip yourself with the knowledge to drive your marketing strategy forward in this transformative year.