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Six Digital Trends that Will Take Over Advertising Agencies in 2023

In 2023, the U.S. ad marketplace is facing a vacuum of heavy hitters. There are no major elections, the Olympics and World Cup soccer are over, and a recession looms.  

Despite the headwinds, media spend is still forecasted to grow, albeit at a slower pace than in 2022.  

There’s an opportunity here for advertisers. “77% of people globally believe global brands have a greater ability to create positive change than the government does. There’s a lesson there…when crisis hits, brands can make people’s lives better and the meaningful role they earn in people’s lives in those difficult moments will likely continue long after crises subside, as they inevitably do,” Greg Walsh, CEO of Havas Media Group North America, told Forbes 

But without the right focus, organizations might miss opportunities.  

It’s important to understand which digital trends are sure to shape the future of agencies in a major way—and what you can do now to prepare.  

In this blog post, we’ll explore six key digital trends that will impact advertising agencies this year. 

User Generated Content

User-generated content – also known as UGC – is content created and shared by unpaid contributors or “users” rather than by the brand itself. UGC includes reviews, ratings, comments, social media posts, and other forms of media like photos and videos.  

Over the last several years, as the value of social media rises, so has the importance of UGC.  

Media marketing strategies that leverage content created by everyday people have become more successful than ever, providing executives with highly effective and influential campaigns while building true customer loyalty in the process.  

One reason is that UGC can be a powerful form of social proof, as it is seen as more authentic and trustworthy than content that is directly created and promoted by the brand. In a time when consumers are increasingly wary of traditional advertising, UGC can be an effective way to build trust and credibility with potential customers. 

Effective advertising executives will recognize the value of UGC and incorporate it into their campaigns.  

Video Advertising

Eighty-four percent of people say they’ve been convinced to buy a product or service by watching a brand’s video. The Instagram algorithm favors video reels and TikTok continues to rise in popularity.  

Video is not going anywhere.  

From B2B to B2C to D2C, it’s an extremely powerful medium. Advertisers use it to convey engaging, entertaining, and easily digestible media. With the proliferation of online video platforms and the widespread use of mobile devices, it has become easier to reach target audiences through video advertising.  

Advertising agencies need talented teams to create videos – and capitalize on opportunities in places like streaming services.  

“The media options available to brands will increase significantly in 2023, from retailers launching media networks to streaming services opening up ad inventory. As each of these walled ecosystems will have its own rules and metrics, identity resolution will be critical for brands to drive true value,” Megan Jones, EVP Head of Media, Digitas, told Forbes 

Decline of Cookies

In case you missed it, “Google is slowly phasing out third-party cookies. This development is a significant digital marketing trend for 2023 because it will limit companies’ ability to send out personalized advertising. As a result, many businesses will have to significantly alter their marketing strategies.”  

Cookies were a convenient tool for companies to track customer behaviors, which helped them reach more targeted audiences and understand their customers better.  

Now agencies must find alternative tracking methods and analytics technologies that can provide a competitive advantage over traditional analytical methodologies. One avenue they can explore is the use of alternate identifiers like advertiser IDs, which are more private and provide more information than traditional cookies.  


Chatbot technology can be used to benefit advertising agencies.  

What are these tools? According to Oracle, “At the most basic level, a chatbot is a computer program that simulates and processes human conversation (either written or spoken), allowing humans to interact with digital devices as if they were communicating with a real person.”  

For marketers, chatbots are all about generating sales. 

The technology has become a cost-effective innovation for marketing initiatives because of its ability to provide pertinent information quickly and accurately. With their natural language capabilities and contextual understanding, chatbots can offer advertisers a powerful tool for reaching out to potential customers and engaging with current ones.  

By taking advantage of these technologies, agencies can give their company’s campaigns access to more customers than ever before. 


Streaming has become a way of reaching an audience that is increasingly shifting away from traditional media platforms. A successful stream should blend creative marketing with strong analytics when it comes to sharing content and measuring its impact.  

Agencies can play with two-way live chats between their clients and the audience or generate innovative experiences by combining video game elements into sponsored streams.  

“Streaming will become a more viable option for end-to-end commerce. As platforms and consumers embrace the notion of streaming as a proverbial storefront opportunity, the ability to showcase relevant products and offers will drive viewers deeper down the funnel. Building on the advances we’ve seen in social commerce, customized storefront-esque experiences and addressable messaging within streaming offerings will give both brands the exposure they need to close the purchase opportunity and consumers the ability to discover relevant products and services,” Amy Lanzi, Chief Operating Officer, Publicis Commerce, told Forbes.   

Ultimately, understanding what format is most effective for each setting and how to monetize it is the challenge that executives in advertising agencies will have to tackle to succeed.  

Predictive Analytics

Advertising agencies can leverage predictive analytics to bolster business practices and maximize customer engagement.  

Predictive analytics is an important tool for agencies as it enables them to create strategic plans based on customer behavior, market fluctuations, and industry trends. This type of data-driven approach allows executives to make decisions with confidence by considering real-time consumer information.  

 Predictive analytics is quickly becoming the go-to tactic for executives who want to stay ahead of the curve in terms of budgeting, messaging, and execution for consumer-focused campaigns. 

Armed with such valuable insights about their customer’s needs, executives can start building relationships that last long after a single campaign has run its course. 

Advertising Agencies in 2023

As we move into a new year, advertising agencies need to be prepared for these six digital trends that will impact businesses.  

User Generated Content will become increasingly important, cookies are on the decline, and chatbots will become a staple. Are you ready for these changes? Do you have the right talent on your team? If not, Talentfoot can help.  

We are the leading executive search firm for creative and advertising professionals. We work with companies of all sizes to find them the perfect match for their needs.  

Contact us today to learn more about how we can help you find the advertising talent you need to stay ahead of the curve in 2023 and beyond.