Big Tech’s Next Move

DALL·E 2024 05 31 00.41.41 A futuristic, realistic image featuring a smartphone with a clean, empty screen, and elements representing AI and its growth. The background is sleek,

Welcome to Katalys Connect – your weekly shortcut to the latest in performance marketing.

[Read time: 3 minutes]

What’s in this issue? Each Tuesday, we pack the latest trends, actionable insights, and industry breakthroughs into a quick read – ensuring you’re not just keeping up, you’re staying ahead.

  • Monetization: Learn how Google’s new policy, tech giants’ AI investments, and the shift to first-party data are reshaping the landscape for affiliates.
  • Growth: Uncover the importance of permissioned data for engaging Gen-Z, the mixed reactions to Google Marketing Live 2024, and the rise of retail media networks.
  • The Future of Commerce: Discover TikTok’s new AI ad tools, the scrutiny on Google’s AI search feature, and how AI is transforming demand generation and lead conversion.
Monetization

Google Tightens Affiliate Rules Google’s new policy targets sites using deceptive third-party content, urging affiliates to adapt and ensure content quality for better search rankings.

  • Affiliates need closer oversight of third-party content to avoid penalties and maintain visibility.

  • Following Google’s guidelines is key to preserving organic traffic and sustaining revenue.

Tech Giants Invest Big • Big Tech’s major investments in AI startups aim to dodge antitrust scrutiny and shape the future of technology.

  • Companies like Amazon and Meta are investing heavily in AI startups to influence innovation without triggering antitrust alarms.

  • These strategic investments allow tech giants to subtly steer AI development, avoiding outright acquisitions’ pitfalls.

First-Party Data Takes Over With third-party cookies fading, brands must harness first-party data to build trust and deepen customer loyalty.

  • Companies using first-party data report higher revenue and better customer engagement.

  • Shifting to first-party data helps brands comply with privacy laws and build lasting trust with their customers.
Growth

Winning Over Gen-Z • Permissioned data breaks through ad clutter, directly connecting to the elusive Gen-Z audience.

  • Gen-Z’s 8-second attention span demands authenticity, making permissioned data crucial for genuine engagement.

  • This method ensures compliance with privacy laws while enabling precise targeting and higher data accuracy.

Google AI Updates Underwhelm • Advertisers find Google Marketing Live 2024 underwhelming, with AI-driven changes sparking interest and concern.

  • Advertisers appreciate some new features but feel Google Marketing Live 2024 lacked groundbreaking updates, especially for B2B.

  • Smaller brands and B2B advertisers express frustration over the need for targeted solutions, highlighting a gap in Google’s approach.

Retail Media Networks Rise • As third-party cookies fade, retail media networks are set to dominate the advertising landscape.

  • Retailers like Wal-Mart and Amazon leverage their rich first-party data to create powerful advertising platforms.

  • With Google phasing out third-party cookies, retail media networks offer a solution for precise targeting and consumer engagement.
Future of Commerce

New TikTok Ad Tools Shine • TikTok’s new AI-driven ad automation tools aim to boost ad creation and effectiveness for brands on the platform.

  • TikTok introduced tools like TikTok One and Symphony to streamline ad creation, targeting, and optimization using AI.

  • Despite potential U.S. regulatory challenges, TikTok positions itself as a key player in ad tech.

Google’s AI Under Fire • Google’s new AI search feature faces criticism for bizarre, inaccurate responses like suggesting non-toxic glue for pizza.

  • Google’s AI search tool, meant to simplify searches, is under fire for providing absurd answers based on unreliable sources.

  • The backlash highlights the challenges and scrutiny facing AI-driven search technologies as they become more integrated into everyday use.

AI Transforms Lead Generation AI-powered tools are revolutionizing demand generation, making it easier for businesses to attract and convert high-quality leads.

  • Predictive analytics offer deep insights into customer behavior, helping businesses anticipate needs and refine marketing strategies.

  • AI automates data analysis, enhancing targeting and personalizing content to boost engagement and conversions.

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