Media Experts Cite Eroding Consumer Trust as Top Concern for Advertising on Social Media Platforms in 2023, IAS Industry Pulse Report Finds

Rhea-AI Summary

The IAS Industry Pulse Report reveals that 77% of media experts are concerned about declining consumer trust in social media advertising, potentially impacting media spending. Despite this, 91% still plan to advertise on social platforms in 2023 due to their reach and engagement. Key concerns include insufficient transparency, ad fraud, and brand risk. Growing trends include increased prioritization of digital audio and video game advertising, with 58% focusing on contextual targeting to address privacy issues. The report surveyed over 350 digital media experts to highlight these trends.

Positive

• 91% of media experts plan to advertise on social platforms in 2023.
• 77% express that declining consumer trust may impact their media spend.
• Growing demand for CTV, with 44% believing it holds innovation potential.
• 58% plan to prioritize contextual targeting amidst privacy concerns.
• Interest in video game advertising is rising, with 19% planning to prioritize it.

Negative

• 66% of respondents are worried that insufficient transparency will harm media spending.
• Concerns over ad fraud affecting digital audio advertising (66% of respondents).

An overwhelming majority of respondents still plan to advertise on social media, highlighting the importance of rigorous brand protection measures

NEW YORK, Dec. 16, 2022 /PRNewswire/ -- Integral Ad Science (Nasdaq: IAS), a global leader in digital media quality, today released its IAS Industry Pulse Report that found media experts called out declining consumer trust as a top concern with advertising on social media platforms. Despite that caution, the compelling reach and engagement of social media means the vast majority of media experts still plan to advertise on those same platforms next year. 

"IAS research found 77% of media experts agree that eroding consumer trust in major social media platforms may negatively impact their media spend," said Khurrum Malik, Chief Marketing Officer of IAS. "At the same time, marketers can't turn away from the allure of reach and engagement that social media can provide. This love / worry relationship highlights the need for increased transparency for social media advertisers."

Challenges for social platforms 

• While more than nine-in-ten respondents (91%) plan to advertise on social platforms in 2023, the study shows a decrease in monetization intent across platforms, except for a slight increase for WhatsApp (2% year-over-year).
• Two-thirds agree that insufficient transparency will negatively impact their media spend. 

Digital audio and video game advertising will continue to disrupt the digital media landscape in 2023

• Topping the priorities for 2023, a majority of media experts (70%) agree that audio listeners will continue to migrate to digital formats. 
• Industry experts foresee risks to media quality – a majority (66%) of respondents are concerned about ad fraud and brand risk in digital audio (55%).
• Publishers are bullish about video game advertising, with more than one-third (34%) recognizing the potential for opportunities in the year ahead. Nearly one-in-five (19%) media experts are planning to prioritize advertising in video game environments next year.

Additional key takeaways include: 

• Growing demand for CTV: Almost half of media experts (44%) agree that CTV and digital video hold the most potential for innovation in the coming year.
• Contextual targeting as a solution for privacy concerns: Nearly 6 out of 10 respondents (58%) will prioritize contextual targeting to combat consumer privacy issues and cookie deprecation while still targeting desired audiences at scale. 
• Mobile prioritization continues: Mobile remains a key priority for nearly half of media experts (47%), which is understandable considering consumers will continue spending more than 4.5 hours daily on their mobile devices. 

The IAS Industry Pulse Report provides key trends and emerging technologies expected to shape the advertising industry next year. In partnership with YouGov, IAS surveyed over 350 digital media experts including digital advertising professionals representing brands, agencies, and publishers, as well as ad tech vendors. 

Press Contact: press@integralads.com 

About Integral Ad Science
Integral Ad Science (IAS) is a global leader in digital media quality. IAS makes every impression count, ensuring that ads are viewable by real people in safe and suitable environments, activating contextual targeting, and driving supply path optimization. Our mission is to be the global benchmark for trust and transparency in digital media quality for the world's leading brands, publishers, and platforms. We do this through data-driven technologies with actionable real-time signals and insight. Founded in 2009, IAS works with thousands of top advertisers and premium publishers worldwide. For more information, visit www.integralads.com.

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SOURCE Integral Ad Science, Inc.

FAQ

What does the IAS Industry Pulse Report reveal about social media advertising for 2023?

The report shows that 91% of media experts plan to advertise on social platforms despite declining consumer trust.

What percentage of media experts are worried about consumer trust affecting advertising budgets?

77% of media experts are concerned that declining consumer trust in social media may negatively impact their media spend.

Are marketers increasing their focus on digital audio and video game advertising in 2023?

Yes, there is a growing focus on digital audio and video game advertising, with 70% of experts noting a shift towards digital formats.

How many media experts will prioritize contextual targeting in 2023?

Nearly 58% of media experts will prioritize contextual targeting to address consumer privacy issues.

What are the top concerns for advertisers according to the IAS report?

Top concerns include insufficient transparency and ad fraud, particularly within digital audio.