Internet Marketing in August 2021: 5 Key News Points

Contents:

• The latest Smart Design ad technology in the Yandex Advertising Network
• Google limits ad targeting for minors
• TripAdvisor launches advertising opportunities for Russian businesses
• Traffic analysis: Loss of users on many sites
• Alibaba launches NFT trading: A new era of digital assets
• Why are NFTs becoming an important part of business?
• Frequently asked questions about NFTs on Alibaba
• New features of the bonus program in Yandex.Direct
• Analysis of the growth of advertising prices on digital platforms according to Business Insider
• Wunderman Thompson Commerce Research: What really matters to buyers?
• Overview of current trends in advertising and consumer behavior

The Latest Smart Ads Technology Smart Design in the Yandex Advertising Network

Smart Design is an advanced technology created for the automated generation of advertisements individually tailored to each user. When a user visits a page, algorithms analyze user behavior and interests, and also consider the characteristics of the current platform in the Yandex Advertising Network. This allows for the creation of the most relevant and effective advertising messages, significantly increasing the likelihood of attracting the attention of the target audience and improving the results of advertising campaigns. Using Smart Design technology helps optimize advertising costs and increase conversion, making it an essential tool for any business seeking to successfully promote its products and services.

This technology gives advertisers the ability to choose elements for their ads, including images, videos, text, and buttons with quick links or calls to action. This allows each advertiser to customize their ad to best align with their business goals and attract their target audience. Customizable content can improve your advertising effectiveness and engagement with potential customers.

The vertical ad format, developed using Smart Design technology, is now available in the advertising network interface. In the near future, Yandex plans to implement this technology in other formats, which will provide advertisers with additional opportunities to personalize their offers. This innovation will help improve the effectiveness of advertising campaigns and increase audience engagement.

Yandex is actively implementing new solutions for users. The development of machine learning technologies, including Smart Design, significantly improves advertising personalization, which contributes to the growth of targeted actions on sites. The ability to test various additions gives advertisers the chance to determine the most effective methods for their advertising campaigns, which in turn improves their results. Natalia Kabina, head of the contextual advertising department at the Nectarin agency, emphasizes the importance of such innovations for achieving success in digital marketing.

Google limits advertising targeting to minors

In a recently published blog, Google presented an important initiative regarding targeted advertising. Now advertisers will not be able to target their campaigns to users under 18. This measure is aimed at protecting young people from inappropriate content and creating a safer environment for using the internet. Restricting access to certain advertising messages will help prevent negative influence on young audiences and increase their level of safety in the online space.

The changes will also affect the YouTube platform. Videos featuring minors will now be available only to users aged 13 to 17 by default. When Restricted Mode is enabled, only users approved by the video's creator will be able to access such content. This change is aimed at protecting children and adolescents from inappropriate content, ensuring a safer online environment.

Kirill Smolyakov, Managing Partner of Just Web Agency, commented on the current legislative changes regarding the use of personal data. He noted that this is a logical extension of existing restrictions. Smolyakov also predicted a possible tightening of retargeting policies in the future. In this regard, he recommends advertisers actively collect email address and phone number databases, as achieving conversions may become more challenging in this new environment.

According to Valeria Shukshina, Deputy Head of Contextual Advertising at Nectarin, new mechanisms aimed at protecting children from unwanted advertising have recently been introduced. This is a strategically important area, especially given that some advertisers are finding ways to circumvent moderation rules and display inappropriate ads. It is important to continue developing these mechanisms to ensure a safe advertising space for younger audiences and improve the overall effectiveness of advertising campaigns. Creating a safe environment for children should be a priority for all market participants.

The effectiveness of content moderation continues to raise questions. Despite the introduced restrictions on advertising targeting in children's videos, advertising is still actively displayed on children's channels. This is due to the fact that parents often hand over their devices to children for viewing, which makes it difficult to identify the real user. Therefore, the issue of monitoring advertising in children's content remains relevant and requires further analysis and improvement of moderation approaches.

The problem is that content moderation sometimes allows inappropriate videos, which raises doubts about Google's efforts to ensure children's safety online. Despite this, this step can be seen as a positive precedent, and it is important to hope that it will be implemented in practice and not remain only in theory. Ensuring a safe online environment for children requires ongoing attention and improved content control practices.

For detailed information on the new targeting rules and their impact on advertising strategies, we recommend reviewing Google's official article. This will help you better understand the current changes and adapt your advertising campaigns to meet the new requirements.

TripAdvisor Launches Advertising Opportunities for Russian Businesses

TripAdvisor, one of the world's leading travel services, has entered into an agreement with Httpool, creating new opportunities for advertisers in Russia. This significant development in the digital advertising market opens access to a wide range of advertising tools and solutions, allowing companies to effectively promote their services and products. A publication on the Cossa website confirms that this collaboration will be a significant step in the development of digital advertising strategies in the Russian segment.

Advertising is now available on all TripAdvisor platforms, including the mobile app and website. This opens up unique opportunities for promotion in industries such as aviation, hospitality, restaurants, and bars. Advertising will also be relevant for related sectors such as finance, automotive services, and consumer goods. Using TripAdvisor as an advertising platform allows you to effectively reach your target audience and increase your business's visibility in a competitive environment. Nailya Kapkaeva, Head of Media Planning at Nectarin, emphasizes that TripAdvisor's entry into the Russian direct advertising market is a significant development. The traveler audience spans a wide range of interests, making it attractive to advertisers in various segments, including fashion, financial services, and others. The platform offers precise targeting tools that take into account demographic data, geolocation, and language preferences. This allows advertisers to effectively reach their target audiences and improve the effectiveness of their advertising campaigns.

TripAdvisor, with its extensive database of user queries worldwide, will be able to target ads to the audiences most interested in offers. This will significantly improve the effectiveness of advertising campaigns. The launch of banner advertising is only the first step. In the future, we expect the introduction of video advertising, sponsored articles, and specialized projects, which will allow brands to more targetedly engage with potential customers and improve their marketing strategies.

Given the growing trend of digitalization and the increase in online advertising, TripAdvisor's move could be an important indicator of changes in the market. Advertisers can now use the platform to effectively reach their target audiences, opening up new business opportunities in today's economy. Successfully integrating advertising into platforms like TripAdvisor allows companies not only to increase the visibility of their offerings but also to improve interactions with potential customers, which in turn leads to increased sales and a stronger market position.

Traffic Analysis: Loss of Users on Many Sites

According to the latest research from Neil Patel, many web resources have experienced a noticeable loss of traffic over the past year and a half. The COVID-19 pandemic has significantly impacted user habits. During the self-isolation period, there was a sharp increase in site traffic, but after the lifting of restrictions and the introduction of vaccinations, audience behavior has changed. Users began to spend less time online, which negatively impacted the traffic of many resources. It is important to take these changes into account in content marketing strategies and site optimization to attract new audiences and retain existing ones.

Sectors that suffered the greatest losses include advertising, e-commerce, agriculture, education, media, technology, and finance. It's worth emphasizing that Asia is seeing steady growth in internet traffic. This creates opportunities for businesses in the region and highlights the importance of adapting strategies to successfully operate amid changes in the global economy.

Nevertheless, globally, a number of sectors, including tourism, transportation, and retail, continue to show positive trends. Moderate growth is also being seen in the pharmaceutical and insurance industries. These trends indicate the recovery and development of key areas of the economy, which may contribute to the overall improvement of the market situation.

There are encouraging trends confirming positive changes in the market. Research shows that conversion rates have increased across almost all sectors, by an average of 12.94%. This indicates that, despite a decline in overall traffic, users have become more interested in purchasing goods and services. This data highlights the importance of improving content quality and user experience, which contributes to increased conversions and improved business success.

During the 2020 lockdown, we conducted a study of traffic to popular RuNet sites across various categories. The results showed a significant increase in users of online cinemas, video conferencing platforms, and e-commerce. These changes highlight the growing interest in digital services and content amid restrictions, which opens up new opportunities for online businesses, notes Taisiya Stenkina, Leading Specialist in Media Planning at Nectarin.

While traffic to video services is currently declining, interest in mobile apps and the mobile web continues to grow. Desktop website audiences remain stable, while mobile formats are showing significant growth in both user numbers and engagement. The mobile-only segment is also showing positive results. This trend highlights the need to optimize content for mobile platforms, which can drive traffic and improve the user experience. With the onset of the fall season, it's important to focus on video content, which helps increase brand awareness among the target audience. Effective use of video helps attract potential customers and strengthen a company's image. Mobile promotion should also be considered, as it provides access to new users and significantly expands the reach of your content. Optimizing video content for mobile devices is becoming a key factor in achieving successful results.

Alibaba Launches NFT Trading: A New Era of Digital Assets

Alibaba, one of the world's leading e-commerce companies, announced the launch of a new section dedicated to NFTs on the Alibaba Auction platform. According to the South China Morning Post, this move opens up new business opportunities by allowing the sale of digital versions of their products. This approach not only expands the range of products offered, but also creates unique conditions for collectors and investors interested in digital assets. The launch of NFTs on Alibaba Auction has the potential to significantly change the market, drawing attention to new forms of digital art and collectibles.

The starting price for auctions is 100 yuan (approximately $15), making bidding accessible to many users. However, a deposit of 500 yuan (US$77) is required to participate in bidding. This requirement is intended to ensure the seriousness of participants' intentions and increase the level of trust on the platform. This system makes auctions more reliable and transparent for all participants. Users now have the opportunity to upload their items, and bidding will begin this September. This announcement coincides with increased interest in NFTs and illustrates how major companies are responding to new trends in the digital economy. With demand for unique digital assets growing, it's important to note that adapting businesses to new trends can contribute to successful development and audience engagement.

Why are NFTs becoming an important part of business?

According to a study by Statista, the NFT market continues to show growth in 2023, with an 800% increase in sales compared to 2022. This significant growth confirms that digital assets are becoming an important part not only of art and entertainment, but also of traditional businesses. NFTs are attracting the attention of investors and entrepreneurs, opening up new opportunities for monetization and customer engagement. The market is expected to continue to develop in the future, making NFTs a key element in various industries.

Frequently Asked Questions about NFTs on Alibaba

To register for an NFT auction on Alibaba, you need to create an account on the platform. The registration process involves entering personal information and verifying your account. After that, a deposit of 500 yuan is required to activate the ability to participate in bidding.

Various types of NFTs can be sold on the Alibaba platform. Users have the opportunity to upload digital products such as artwork, collectibles, and other unique digital assets. This creates significant opportunities for artists and collectors looking to monetize their digital creations.

New Features of the Yandex.Direct Bonus Program

Recent changes to Yandex.Direct have opened up new opportunities for advertisers, providing access to two promotions that significantly increase bonus accumulation. Advertisers can now receive 6% of the total turnover of all advertising campaigns using retargeting, excluding campaigns with smart banners. Additionally, 12% is awarded on the turnover of campaigns that achieve conversion in accordance with the "Target Share of Advertising Spend." These bonuses can be used to finance new advertising activities, which facilitates more effective budget management and increases advertising profitability.

To start accumulating bonuses, simply launch an advertising campaign using one of the promotional tools. The bonus amount is calculated for a calendar month and is credited after the 10th of the following month. To activate bonuses, you must top up your advertising account balance with at least 300 rubles. This will help you effectively use your advertising budget and receive additional benefits from the loyalty program.

The Yandex bonus program is an effective tool for encouraging advertisers. Accumulated funds can be optimally used for further business promotion. This is confirmed by Maria Sergeeva, leading specialist in the contextual advertising department at the Nectarin agency. The program allows advertisers not only to increase their advertising budgets but also to improve the effectiveness of advertising campaigns, which contributes to business growth and improved online visibility. Sergeev notes that collected bonuses are usually used to launch new advertising campaigns for which there was no budget. This gives our clients the opportunity to increase conversions without additional expenses. To maximize the use of bonuses, it is necessary to actively participate in the program and optimize advertising strategies. Proper bonus management not only reduces costs but also significantly increases the effectiveness of advertising efforts. Stay up-to-date with Yandex.Direct news to ensure you don't miss out on the opportunity to take advantage of all the benefits of our bonus program. Regular updates will help you maximize the effectiveness of advertising tools and increase your profits. Subscribe to updates and stay up-to-date with the latest changes and opportunities.

Business Insider Analysis of Digital Advertising Price Growth

According to the latest research published by Business Insider, the cost of online advertising continues to rise across all key platforms. Data from digital marketing analytics companies shows that the cost per click (CPC) on Amazon increased by 20% from the first to the second quarter of 2021. This indicates increasing competition for advertising space and the need for businesses to adapt their strategies to a changing market. Rising advertising costs highlight the importance of effectively managing advertising budgets and optimizing advertising campaigns to achieve maximum return on investment.

Facebook has shown significant growth, with an 89% increase in cost per click (CPC) over the past year, demonstrating increasing competition among advertisers. YouTube isn't far behind, with a 108% increase in cost per thousand impressions (CPM) during the same period. TikTok is showing impressive results, with a 92% increase in CPM. These data highlight the importance of adapting advertising strategies to effectively promote themselves in the increasingly competitive digital environment.

Google Ads provides impressive statistics: cost per thousand impressions (CPM) across the search and display networks increased by 198%. The average cost per click reached $1, 40% higher than the same period last year. These changes highlight the importance of reviewing and adapting digital marketing strategies to new market conditions. Successful companies must take these trends into account and adjust their advertising campaigns to improve efficiency and achieve better results.

Wunderman Thompson Commerce Research: What Really Matters to Shoppers?

A recent global A study conducted by Wunderman Thompson Commerce surveyed 28,000 consumers from 17 countries. The main goal of the study is to provide businesses with effective recommendations for optimizing digital strategies, improving customer service, and implementing modern technologies. The data obtained will help companies adapt to changing market conditions and meet customer needs, which in turn will increase competitiveness and ensure long-term success.

The study found that 30% of respondents expect to receive their orders within 24 hours. At the same time, 41% of customers continue to feel uncertain about shopping in offline stores. Nevertheless, 64% of respondents prefer brands that offer both online and offline shopping. This underscores the importance of a multichannel approach for modern companies seeking to satisfy customer needs and strengthen their market position.

According to statistics, 51% of shoppers say that free delivery is a key factor in their purchase decisions. 61% of consumers have a positive attitude toward cashier-free stores, where payment occurs automatically upon exit. Additionally, 64% of users prefer to shop on marketplaces, citing the convenience of finding all the products they need in one place. These data highlight the importance of convenience and savings for today's consumers, which should be considered when developing sales strategies and improving the customer experience. Kirill Smolyakov, Managing Partner of Just Web Agency in North America, argues that consumer trust is a key factor for online shopping. The pandemic has changed consumer habits, leading people to increasingly purchase certain product categories online. This trend will fuel the further development and growth of the e-commerce sector. With the increase in online shopping, it is important to understand how to build trust with customers to strengthen their loyalty and increase sales.

During the pandemic, online sales increased by 16%, driven by restrictions on offline retail and shoppers' desire for safer purchasing methods. According to our agency, the B2C segment saw a significant increase in online purchases, particularly in the grocery delivery and prepared food categories. This trend highlights the importance of digital channels for businesses, as consumers increasingly choose convenient and safe shopping methods. Companies that adapted to the new conditions and offered high-quality online service were able not only to survive but also to significantly increase their sales.

In April 2020, at the height of the pandemic, there was a sharp increase in grocery orders, reaching 118% compared to February of the same year. At the same time, customer acquisition cost (CPO) decreased by 41%. These changes demonstrate how the pandemic has impacted the grocery market and changed consumer habits. Growing interest in online shopping and reduced marketing costs have opened up new opportunities for grocery delivery companies.

Despite the lifting of most COVID-19 restrictions, online shopping remains higher than pre-pandemic levels. According to recent data, people continue to shop 6% more online than in physical stores. This confirms that shopping habits have changed, with many consumers preferring online shopping even after restrictions have been lifted. These changes in consumer behavior highlight the importance of businesses adapting to new market realities and optimizing their online platforms to meet customer demand.

Ekaterina Apletova, contextual advertising expert at Nectarin, notes that changes in consumer habits are creating new opportunities for businesses. It is crucial for companies to adapt to new market conditions to remain competitive and effectively attract customers. Adapting to current trends and consumer needs will not only maintain market position but also significantly increase revenue.

Overview of Current Trends in Advertising and Consumer Behavior

According to information from the Telega.in advertising exchange, the advertising market in Russian-language Telegram channels in the second quarter of 2021 amounted to 4.94 billion rubles. The most popular topics among advertisers were "Business and Startups," "Investments," and "Marketing and PR." These areas are attracting attention due to their relevance and potential for reaching the target audience. Advertising on Telegram channels is becoming an important tool for businesses, allowing them to effectively promote services and products and build long-term relationships with customers.

A study by EPAM found that for Generation Z, the key factors influencing purchasing decisions are price, ethical standards, comfort, social activity, and peer opinions. At the same time, many millennials face challenges related to mistrust of brands and restrictions caused by the COVID-19 pandemic. These aspects significantly shape consumer preferences and behavior, which is important to consider when developing marketing strategies for these generations.

According to a study by YuMoney, the volume of purchases using Apple Pay and Google Pay has increased 2.4 times over the past six months. Particularly noteworthy is the 24.5-fold increase in the number of contactless transactions between 1 million and 10 million rubles. These data highlight the growing popularity of contactless payments and confirm the trend of increasing mobile wallet usage in Russia.

In response to growing criticism, the US Senate has introduced a bill that would require Apple and Google to allow the use of third-party payment systems in mobile apps. This change could significantly impact the business models and ecosystems of these tech giants. The bill aims to create a more competitive environment for developers, which could lead to lower fees and an improved user experience.

The Federation of Creative Industries announced a new service, presented at a Skillbox lecture. This tool aggregates information on projects in the creative industry, offering users a customized search option. This facilitates the discovery of unique ideas and solutions for market participants. The beta version of the service is available exclusively to Federation members, allowing them to be the first to try out new features and improvements in the creative industries.

According to AdColony, mobile app users respond positively to rewarded advertising, video advertising, and interactive formats. This highlights the need to develop high-quality advertising content that will attract users' attention and increase their engagement. Effective advertising in mobile apps not only improves the user experience but also contributes to increased conversions.

Samsung announced that it will stop placing ads in its apps, such as Samsung Music and Samsung Pay. This decision was the result of a negative user reaction to the introduction of advertising in 2020, as reported by Tae Mun Roh, head of the company's mobile division. The elimination of in-app advertising is a step towards improving the user experience and customer satisfaction. Samsung is committed to maintaining high service quality standards and taking user feedback into account.

Yandex intends to invest $650 million in the development of its e-commerce segment by the end of 2021, according to CFO Svetlana Demyashkevich. As part of this strategy, it is planned to merge the Market marketplace with the foodtech services Eda and Lavka, which will improve the user experience and expand the range of services offered. The investments are aimed at creating more efficient and integrated solutions for online commerce and grocery delivery, which will significantly strengthen Yandex's position in the e-commerce market.

According to NielsenIQ, the FMCG market in Russia has shown positive growth for the first time this year. Sales volumes have almost returned to pre-COVID levels, with a difference of only 0.2% between the second quarter of 2019 and the same period in 2021. In monetary terms, sales increased by 3.9%. This growth indicates a recovery in consumer activity and a strengthening economy, which is an important signal for market participants and investors.

Starting in 2022, users will be able to easily verify product certifications thanks to a new labeling system. Rosaccreditation will provide product quality data, making it possible to verify certificates and view declarations of conformity online. This innovation will increase transparency and trust in products on the market, allowing consumers to make informed choices.

The new automated media mix technology for the Russian FMCG sector, developed by the Media Instinct team, offers a unique opportunity to evaluate media effectiveness and optimize the ROI of advertising projects. This solution significantly simplifies the work of marketers, especially in an increasingly competitive market. An innovative approach to media planning not only improves the effectiveness of advertising campaigns, but also ensures more accurate budget allocation, which in turn leads to an increase in the overall effectiveness of marketing efforts.