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Senior AdTech Executives Optimistic About Enhancing Advertising Budgets with Improved Data Quality

Advertising budgets are slowly normalizing as they were in the pre-COVID times. As per senior advertising leaders, the campaign budgets in the next few months would increase. According to Alfi, senior advertising executives are forecasting 24% growth. 61% of the respondents are predicting slight growth while just 15% believe advertising budgets will remain at around the same level as today.

Growing budgets for advertising mean the executives questioned in the UK, US, France, Germany, Canada, Australia are increasingly looking for better ways to measure the reach and effectiveness of campaigns.

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Alfi’s study shows executives are generally happy with the campaign data available but just 21% rate it as ‘excellent’ while 65% describe it as ‘good’. However, 14% say it is average or poor. That is driving increased interest in the use of QR codes in Digital Out of Home (DOOH) advertising, which enables advertisers to measure exactly how impactful their campaigns are through first-party data which is accessible instantly.

More than a third (34%) of senior executives believe the importance of QR codes in advertising will increase dramatically over the next two years while 56% believe it will increase slightly.

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“The global advertising industry is going from strength to strength after recovering strongly in 2021 to hit a new record high and the indications are that it will continue in 2022 and beyond,” said Peter Bordes, Interim CEO, Alfi.

Peter added, “Increased spending should mean increasing the focus on measurement and data, which explains the growing use of technology and QR codes in particular.”

The study found all the senior executives questioned agree that the use of QR codes in advertising will increase dramatically over the next two years with 50% strongly agreeing with the view. Bordes concluded: “Throughout the industry we can expect a higher focus on data-driven insights by expanding advertising capabilities, analytical sophistication and delivering it all seamlessly over multiple devices – thus leading to not only confident purchase behaviors but greater one-to-one connections with consumers.”

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[To share your insights with us, please write to sghosh@martechseries.com]

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