
The use of
artificial intelligence in digital advertising will contribute to an increase in the cost per ad, according to a new study by Juniper Research.
The cost of media acquisition space on desktop
and mobile is projected to increase along with the growth of digital advertising revenue in 2020.
By 2021, consumers are expected to continue to increase their awareness of the data being
collected on them, and digital ad publishers will be challenged by legislative action.
“The effectiveness of AI and machine learning solutions will be limited if this is not
mitigated,” states the study.
Media acquisition costs will rise as demand for ad space outpaces the supply of premium ad space by 2022, according to Juniper.
AI-created ads will
become more accepted by 2023 and they will be integrated into consumer devices such as smart TVs and digital assistants.
“If implemented correctly, the benefits that AI can bring to the
digital advertising industry cannot be overstated, enhancing advertising platforms’ ability to efficiently target the correct audience and detect fraudulent advertising activities,” the
report states.
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