Home Top Stories CMOs Must Prioritize Strategically Critical Platforms and Strengthen Independent Measurement

CMOs Must Prioritize Strategically Critical Platforms and Strengthen Independent Measurement

Gartner Predicts More Than 70% of Global Ad Spend Will Flow Through AI-Influenced Self-Serve Advertising Platforms by 2028.

By 2028, more than 70% of global ad spend and 80% of U.S. ad spend will flow through self-serve advertising platforms in which AI materially influences media buying, cost and outcomes, according to Gartner, Inc., a business and technology insights company.

AI is deeply embedded in the algorithms that advertising platforms use to determine which ads are shown, to whom and at what cost. This “back-office” AI is distinct from GenAI used to develop advertising creative. It operates behind the scenes to influence how advertising is bought, priced and delivered.

“AI is not merely helping marketers execute campaigns faster. Advertising platforms are using it to exert greater influence over how marketers reach their audiences, what they pay, and the outcomes they achieve,” said Eric Schmitt, VP Analyst in the Gartner Marketing practice. 

“AI was expected to make advertising more efficient, but improved platform economics does not necessarily translate into lower costs for the advertiser. CMOs need independent evidence that they’re getting the returns they expect,” said Schmitt.

Advertisers and agencies are increasingly buying and managing media through advertising platform interfaces and APIs. Over time, AI will become more deeply embedded in decisions involving ad delivery, audience selection and pricing.

To improve transparency, measurement and accountability, CMOs should:

  • Prioritize the advertising platforms most strategically important to the business. Concentrate investment, talent and management attention on the platforms most critical to reaching priority audiences and driving results.
  • Curate a portfolio of additional platforms. Use additional platforms selectively to expand reach, test new opportunities and capture incremental performance.
  • Favor platforms that support transparency and independent measurement. Direct more investment toward platforms that enable meaningful performance comparisons and independent evaluation of results.

“The more influence AI has over advertising decisions, the more important independent measurement becomes,” said Schmitt. “CMOs need confidence that platform performance reflects real business impact, not just platform-reported results.”

LEAVE A REPLY

Please enter your comment!
Please enter your name here