Opinion: Want to thrive in 2022? Here are 4 trends to take notice of

From rapid experimentation to reinvention, marketers in Southeast Asia doubled down on elevating experiences online in 2021 as they kept pace with fast-changing consumer digital habits. No surprise there, given that the number of digital consumers in SEA is skyrocketing, estimated to soon reach 350 million. The possibilities are set to grow exponentially in 2022, as 5G rollouts intersect changing customer trends.

Armed with an upgraded toolkit and the metaverse as their canvas, advertisers will soon be able to entirely reimagine storytelling, engagement and interactivity for always-on consumers. And this opportunity comes with the chance to wipe the slate clean, rebuilding consumer trust in a cookie-less world. Looking at the year ahead, here are four trends that will amplify opportunities for brands to thrive in a digital future.

1. An old-is-new twist for anytime, anywhere commerce access

Retail eCommerce has been on a roll in SEA -- eMarketer estimates sales grew by 35.2% in the region last year and forecasts an additional 14.3% rise in 2021. Now, as countries open up and consumers strike a new balance between physical and online shopping, their expectations will be very different from before the pandemic. In this new landscape, commerce will be more direct and personalised. Consumers will look for shopping experiences that speak to them -- tailored for how they want to shop, interact, and build a relationship with a brand. Brands, in turn, will need to finetune their data-driven retail strategy in 2022 to deliver this level of personalisation.

Retailers will need to single out advertising opportunities that deliver even more customer touchpoints and provide greater personalisation at scale -- from in-app and loyalty programs that enable faster checkouts to real-time in-store pushes offering product suggestions based on a customer’s unique needs. We’ll see more "old-is-new" twists in the resurgence of tech such as QR codes, for instance, that make it easier to get brand experiences into consumers’ hands. Amidst changing preferences, contextual shopping experiences, that don’t feel like advertising, will rise through native ads, dynamic PDAs or dynamic creative.

In the new identity era without cookies, first-party data and direct consumer relationships will be crucial. Given the current focus on third-party cookie deprecation, it may seem as though the future of personalisation is uncertain. But addressability is here to stay and will thrive. Our research tells us consumers understand the value of ads when the trade-off is free content and as long as brands respect consumer privacy while delivering value.

2. Made for the metaverse: Coming soon to a world near you

When the Singapore Tourism Board (STB) wanted to make tourism more experiential, it built an immersive world through AR, encouraging people to hunt for Pokémon. The campaign creatively leveraged Pokemon GO at virtual pitstops, unobtrusively steering footfalls to support local businesses. AR has been rapidly gaining ground in the region for its immersive appeal and practical benefits -- notably "try-ons" and contactless engagement. Yahoo research has found that 46% of shoppers are interested in AR content, with 80% saying they want a 360-degree view of products before buying.

In 2022, brands will be able to significantly level up immersive experiences in digital worlds with 5G technologies. Marketers will be able to deliver a slate of fully interactive experiences that are not just convenient, but just plain fun for shoppers, or even SEA’s rapidly-growing community of gamers -- think interactive gaming worlds with in-game shows, concerts, parties, and digital ownership via non-fungible tokens for everything, from cool gear to the venue itself!

The metaverse speaks to a larger trend -- the demand we are seeing amongst consumers for immersive, personalised experiences. Brands that adapt to new mediums and technologies such as the metaverse will more effectively engage and potentially convert their target audiences.

3. Identity evolution: Everyone wants a bite of this non-cookie

The race to find a replacement for the cookie is on. As the industry evaluates new approaches to audience creation, engagement and measurement, in 2022, the discussion on "value exchange" is set to deepen. Until a couple of years ago, a simple online transaction would have justified a brand’s use of cookies. Not anymore. With evolving perceptions on privacy and a sea-change in consumer expectations, the value a brand provides, what they stand for, combined with the strength of their offerings, will inspire brand loyalty and advocacy -- the new "trust elements" that will incentivise consumers to come on board with their consent.

Moving forward, advanced contextual targeting will enable advertisers to deliver relevant experiences and publishers to monetise better when an ID isn't present, as non-addressable inventory eventually overtakes addressable. Contextual paired with rich and real-time data signals -- weather, location, and device types, for instance -- will create opportunities for brands to meaningfully connect with their most relevant audiences while supporting consumer trust in 2022 and beyond.

4. CTV: Can’t take your eyes off this opportunity

Even in mobile-friendly SEA, TV viewership is having a moment, with CTV spurring growth and consumer engagement among elusive cord-cutters -- in countries such asVietnam, the APAC leader for CTV viewership, Singapore and Indonesia, where alongside the popularity of smart TVs, studies show CTV owners are veering towards ad-supported services. Brands have the opportunity to refine their strategies to capitalise on this trend and unlock incremental linear reach with CTV spend in 2022.

IAB research for SEA on the rising OTT/CTV opportunity shows the need to break silos to enable data-driven buys and increased media buying efficiency. The crucial task of eliminating overlap and excess household frequency will require advertisers to ramp up the sophistication of their CTV buys. This will include a higher percentage of CTV being activated programmatically instead of agreements through insertion orders. It will also lead to a decrease in programmatic guaranteed spending and an increase in bidded private or open marketplaces.

Such changes will enable advertisers to manage reach and frequency for their campaigns both dynamically and at a granular level in 2022. As more consumers shift to streaming and with ad-supported content reporting strong growth, interactive CTV ads will be a growing opportunity with technology unlocking greater customisation and data-targeting -- think real omnichannel engagement, where consumers can be invited to engage with TV ads using mobile devices to accelerate their path to purchase.

The combination of rapidly advancing technology and consumer habits that have settled in the new normal will continue to transform the customer journey in 2022. By positioning themselves to take advantage of emerging trends, marketers can rethink how to serve consumers, pushing the boundaries on experience, even as they rewrite the rules of engagement and put the consumer first.

The writer is Iván Markman, chief business officer, Yahoo.