AdTech insights and trends for 2025 and beyond

The advertising technology (AdTech) ecosystem is undergoing a significant transformation, driven by advancements in technology, changing consumer behaviours and evolving privacy regulations. Understanding the interplay between demand-side platforms (DSPs), supply-side platforms (SSPs) and emerging trends is crucial for advertisers and publishers alike. This article explores the current state of the AdTech ecosystem, its key components and predictions for the future while highlighting the advantages of using programmatic advertising tailored for asset managers in different markets.

Understanding the AdTech ecosystem

AdTech encompasses the technologies used to automate the buying and selling of online advertising. It revolutionises how brands connect with consumers by allowing for precise targeting, improved efficiency and increased return on investment (ROI). The core technologies in this ecosystem include algorithms and automation, enabling advertisers to display the right messages to the right audience at the right time.

Key components of the AdTech ecosystem

1.      Demand-side platforms (DSPs)

DSPs are tools that enable advertisers to purchase ad space efficiently across multiple publishers. They automate bidding processes, allowing advertisers to set targeting criteria and manage multiple ad exchange accounts simultaneously. By utilising DSPs, advertisers can achieve precision targeting based on user behaviour, location and other data points.

2.      Supply-side platforms (SSPs)

SSPs help publishers manage and monetise their ad space. These platforms automate the selling process, connecting publishers to multiple DSPs and ad exchanges. SSPs allow publishers to set price floors and evaluate bids, maximising revenue from ad sales.

3.      Ad exchanges

Ad exchanges are digital marketplaces where advertisers and publishers transact. They facilitate the buying and selling of ad inventory through real-time bidding (RTB), ensuring transparency and optimising the ad buying process. Ad exchanges connect DSPs and SSPs, enabling automated transactions.

The role of data management platforms (DMPs)

DMPs are critical in the AdTech ecosystem, particularly for asset managers and financial services. They collect and organise audience data from various sources, focusing primarily on first-party data. This data is essential for creating accurate, verifiable audience profiles that enhance targeting capabilities.

• First-party data as a priority
  For asset managers and financial services, first-party data (information collected directly from customers) is invaluable. It allows for a deeper understanding of audience preferences, behaviours and investment interests. This data not only enhances targeting precision but also ensures compliance with privacy regulations, as it is gathered with user consent. First-party data is often seen as the gold standard in digital marketing, as it reflects actual audience interactions with a brand.

• Building trust with verifiable data
  Advertisers need verifiable data to ensure their marketing strategies are effective and trustworthy. First-party data provides a reliable foundation for creating tailored campaigns that resonate with the intended audience, ultimately improving engagement and conversion rates.
• Data integration and privacy compliance
  As regulations around data privacy tighten globally, integrating first-party data in a compliant manner has become essential. DMPs help organisations navigate these complexities by managing consent and ensuring that data usage aligns with legal standards.

The benefits of programmatic advertising

Programmatic advertising offers numerous advantages that significantly enhance the effectiveness of digital marketing efforts:

• Precision targeting
  Ads can be tailored to reach the most relevant audience, increasing engagement and ROI for both advertisers and publishers. By leveraging detailed audience insights, programmatic advertising allows marketers to focus their efforts on specific demographics, behaviours and interests.
• Efficiency and cost reduction
  Automation reduces operational costs and streamlines the ad buying and selling processes, allowing for better resource allocation. This efficiency not only saves time but also ensures that budget allocations are optimised for maximum impact.
• Data-driven insights
  Advertisers gain valuable insights into consumer behaviour, enabling them to refine their strategies based on real-time data. By analysing performance metrics, marketers can adjust campaigns on the fly, ensuring that their messaging remains relevant and effective.

The future of AdTech

In 2023, global programmatic ad spending reached an estimated $558 billion and is projected to exceed $700 billion by 2026. This growth underscores the increasing reliance on automated solutions in the advertising landscape.

One of the most significant trends is the consolidation of the AdTech industry. Economic pressures and a push for efficiency are driving this trend, which could streamline operations but also limit choices for advertisers and publishers. To thrive in this landscape, stakeholders must forge strategic alliances with partners offering robust data solutions.

Consolidation can lead to enhanced capabilities for advertisers, as larger platforms may offer more comprehensive data sets and advanced technology solutions. However, it may also reduce the diversity of options available, pushing smaller firms to innovate in niche markets.

The importance of data curation

For asset managers, finding the right audience is paramount to ensuring that marketing budgets are spent effectively. In a competitive landscape, targeting high-value audiences can significantly enhance ROI. Data curation plays a critical role in this process by enabling marketers to create tailored audience profiles that align with their specific marketing goals.

• Identifying high-value audiences
  By leveraging curated data, asset managers can pinpoint and target individuals who are most likely to engage with investment products. This focused strategy reduces wasted ad spending and ensures that marketing efforts are concentrated on segments with the highest potential for conversion.

1.      Institutional Investors
Institutional investors form a highly specialised audience that demands precise targeting. With their varied investment strategies and unique risk profiles, they require communications that are finely tuned to their specific needs. For instance, an investor from a sovereign wealth fund will prioritise different metrics for success than a pension fund manager. This audience is relatively small, making it essential for asset managers to adopt an intensely focused approach. The limited number of institutional investors enhances their value and elevates the cost associated with engaging them. Understanding these nuances enables asset managers to develop outreach strategies that align closely with the strategic objectives of this group.

2.      Intermediaries
Intermediaries, including advisers and wealth managers, form another critical audience segment. This group is characterised by their role as facilitators between asset managers and individual clients. They are often driven by the need to provide relevant, timely information to their clients. Targeting this audience requires a keen understanding of their unique operational challenges and the regulatory landscape they navigate.

3.      Individual investors
The rise of technology has made individual investors, including millennials using robo-advisors and high-net-worth retirees, increasingly common. These groups demonstrate a diverse array of behaviours and preferences, each with unique motivations and engagement levels. For example, millennials typically gravitate towards digital and interactive content, while older investors often favour more conventional communication methods. By acknowledging these differences in engagement styles, asset managers can fine-tune their targeting strategies, ensuring that their outreach effectively resonates with each distinct investor profile.

By thoroughly understanding the differences within these audience segments, asset managers can enhance their targeting strategies and improve their overall marketing effectiveness, leading to stronger connections and better results.

• Enhancing campaign effectiveness with contextual

Utilising deep contextual targeting such as Alphix Solutions’ Semantix, allows for the delivery of ads in the most relevant environments, ensuring alignment with key themes and minimising wastage. Advertisers can benefit from transparency down to the article level, facilitating more informed decisions about where to place their ads.

Semantix helps marketers understand the context in which their ads appear, thereby enhancing relevance and engagement. This contextual targeting is crucial in a landscape where consumers are bombarded with information.

• Utilising industry overlays

By employing industry overlays, advertisers can specifically reach users from targeted sectors such as asset management, financial advisors and wealth managers. This targeted strategy minimises irrelevant impressions and aligns closely with account-based marketing (ABM) strategies, allowing advertisers to fine-tune their targeting.

Industry overlays allow advertisers to fine-tune their targeting, ensuring that their messages reach the most pertinent audiences based on their specific needs and interests.

• Firmographic targeting

An advanced approach allows for targeting based on various categories, such as sales targets, content engagement and interaction frequency. This hyper-targeting capability ensures that campaigns reach the exact companies desired, reporting interactions at a granular level.

By focusing on firmographic data, asset managers can tailor their marketing strategies to specific organisations, enhancing the likelihood of successful engagement.

The need for quality, not just quantity

In asset management, emphasising quality over quantity is essential. Buying at low cost does not guarantee success, particularly when competition for target audiences is fierce. Solutions prioritising quality end users ensure marketing efforts yield better results.

• Understanding audience intent
  It's crucial to understand the intent behind audience engagement. High-quality leads are those that not only show interest but are also more likely to convert. This requires a deeper analysis of user behaviour and preferences, particularly within the diverse APAC and European markets, where investor expectations can vary significantly.
• Investment in quality data
  Investing in high-quality data sources is vital for effective targeting. Advertisers should prioritise partnerships with data providers that offer reliable, verified information to enhance their campaigns. In regions where cultural and regulatory differences exist, having accurate data can make a significant difference in campaign success.
• Long-term relationship building
  Focusing on quality also involves building long-term relationships with clients. By providing valuable content and services that meet their needs, asset managers can foster loyalty and trust, leading to higher retention rates.

AI-powered solutions

Artificial intelligence (AI) and machine learning are set to have a transformative impact on AdTech. Advertisers are increasingly adopting AI to automate processes, optimise bidding and enhance audience segmentation. This shift allows for faster campaign setups and improved decision-making based on data-driven insights.

• Predictive analytics
  AI can analyse vast amounts of data to predict future consumer behaviours, enabling advertisers to tailor their strategies proactively. This predictive capability enhances the relevance of marketing efforts, especially in a rapidly evolving landscape like asset management, where investor profiles are becoming more complex.
• Real-time optimisation
  AI-powered tools can monitor campaign performance in real time, making adjustments to bidding strategies and targeting criteria as needed. This adaptability is crucial in a fast-paced digital landscape, allowing advertisers to respond quickly to changing market conditions.
• Personalised messaging
  AI can help create personalised messaging at scale, ensuring that each user receives content that resonates with them. This level of personalisation enhances engagement and drives conversion rates, particularly when targeting high-net-worth individuals (HNWIs) and other sophisticated investors.

Growth of CTV advertising

Connected TV (CTV) advertising is expected to see significant growth, with spending projected to reach $34.49 billion by 2025. This increase is fuelled by the rising number of cord-cutters and the popularity of ad-supported streaming services. Advertisers are drawn to CTV for its precise targeting capabilities and measurable ROI.

• Shifting consumer habits
  As consumers shift away from traditional cable to streaming services, advertisers must adapt their strategies to effectively reach these audiences. CTV provides opportunities to engage viewers in a more intimate and direct manner, particularly appealing to younger demographics who prefer on-demand content.
• Enhanced measurement tools
  CTV advertising offers sophisticated measurement tools that allow advertisers to track the effectiveness of their campaigns in real-time. This data-driven approach enables continuous optimisation, allowing advertisers to refine their strategies based on immediate feedback.
• Integration with digital campaigns
  CTV can be integrated with broader digital marketing strategies, allowing for cohesive messaging across multiple platforms. This cross-channel approach enhances overall campaign effectiveness and ensures that brands maintain consistent messaging across various touchpoints.

Geo-targeting advances

The global location-based advertising market is forecasted to reach $75.8 billion by 2030, driven by advancements in GPS technology and the proliferation of smart devices. Hyper-localised advertising will allow brands to deliver personalised messages based on real-time user locations.

• Real-time location data
  Utilising real-time location data allows advertisers to send relevant messages to consumers at the right moment. This immediacy can greatly enhance the effectiveness of campaigns, particularly in urban areas where consumer behaviour is influenced by immediate surroundings.
• Contextual advertising
  Geo-targeting enables contextual advertising, where ads are served based on the consumer's immediate environment. For example, a restaurant may target users within a specific radius with special offers, significantly increasing the chances of attracting foot traffic.
• Privacy considerations
  As location-based advertising grows, privacy concerns remain paramount. Advertisers must ensure compliance with regulations and respect consumer preferences regarding location data usage. This is particularly important as privacy laws continue to evolve, and consumer awareness of data usage is increasing.

Navigating a cookieless future

With the myriad of issues facing third-party cookies, AdTech firms are developing cookieless solutions. Companies are focusing on alternative targeting methods that respect user privacy while maintaining advertising effectiveness. In this context, tools like Alphix Solutions can play a vital role by providing cookie-free site performance measurement that empower marketers with accurate insights into site traffic and user interactions. This approach not only enhances targeting strategies but also supports real-time intelligence for campaign attribution and market positioning.  

• Emphasising privacy-first solutions
  As cookies become less viable, the focus shifts to privacy-first solutions that prioritise user consent and data security. This transition requires a rethinking of how data is collected and utilised in advertising, particularly in light of stringent regulations in markets like Europe and APAC.
• Innovative tracking methods
  Alternative tracking methods, such as device fingerprinting and server-side tracking, are emerging as viable solutions. These techniques can provide insights without infringing on user privacy, allowing advertisers to maintain effectiveness while respecting consumer data rights.
• Building consumer trust
  Transparency about data usage is essential for building consumer trust in a cookieless future. Advertisers must communicate clearly how data is collected and how it benefits users. In APAC, where consumer behaviour is heavily influenced by cultural factors, building this trust is crucial for long-term success.

Summary

The AdTech landscape is evolving rapidly. Key trends include the consolidation of the industry, the increasing importance of data quality and the rise of AI-powered solutions. Understanding the interplay between DSPs, SSPs and the critical role of DMPs will be essential for advertisers and publishers navigating this changing environment.

As asset managers focus on effective targeting and building robust strategies, they must prioritise first-party data and adapt to the shifting regulatory landscape. Opportunities for growth and engagement remain abundant for those willing to innovate and invest in the future of advertising technology. By embracing these insights and trends, stakeholders can position themselves for success in an increasingly competitive digital landscape.