How you approach digital marketing just might change with this week’s significant updates. Our tech giants never sleep, as seen in Meta’s new ad restrictions, Google’s platform experiments, and Amazon further expanding its influence.

Meanwhile, two interesting studies on AI predictions and consumer loyalty reflect wider industry developments. Here’s everything you need to know about what’s happening.

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1. What’s New This Week With Meta and Google

Google Ads has rolled out a new tool allowing advertisers to experiment with budget reallocation between Dynamic Search Ads (DSA) or Display campaigns and Performance Max (PMax) campaigns. With this update, you can evaluate whether PMax’s AI-generated ads can outperform traditional campaigns.

In other news, Meta’s new rules that limit health-related advertising are now in effect. Spurred by recent FTC scrutiny on companies like BetterHelp and GoodRx, these rules restrict advertisers from using sensitive health-related data for ad targeting on Facebook and Instagram.

What this means for you:

Google’s update makes it easy for you to test whether using AI-powered ads results in better ROAS (Return on Ad Spend) or if it’s still better to develop your own campaigns.

On the other hand, Meta’s ever evolving content moderation policies can make strategising ad campaigns rather unpredictable. Hence, if you run campaigns on Meta, be on your toes and always stay updated to avoid getting penalised.

2. Amazon Expands Advertising Reach

Digital retail giant Amazon has just opened its advertising technology to other retailers. Its new Retail Ad Service lets retailers display targeted ads on their own websites using Amazon’s tools for ad placement, design, and measurement. Some companies who have adopted this technology include iHerb, Oriental Trading Co., and Asian grocer Weee!

Retailers will likely benefit from this service and possibly see better ad revenues and targeting precision. That said, it’s important to remember that this move is far from charity—with this service, Amazon’s influence over the retail media space will definitely grow by having access to even more consumer data.

What this means for you:

There’s a compelling opportunity to leverage Amazon’s proven ad tech without being confined to its platform. By using their tools on external retail sites, you can reach specific audiences with the precision Amazon is known for.

However, remember that you will also be feeding valuable consumer data back to Amazon, so weigh the benefits of better targeting vs. potentially strengthening an already strong advertising giant.

3. A Bold Marketing Forecast in the AI Era 

Gartner, a technological research and consulting firm in the US, predicts that by 2027, mobile app usage will drop by 25% as consumers increasingly rely on AI assistants like ChatGPT, Google Gemini, and Meta AI for everyday tasks.

In line with this, over a third of web content will be created specifically to cater to AI-powered search by 2026. The firm adds that by 2027, 85% of customer data will come from AI-led interactions.

The firm also makes another prediction outside of AI. By 2028, 30% of digital marketers’ paid social budgets will shift towards subscription-based channels like Substack and Discord—and away from traditional social media platforms.

What this means for you:

What seems to be unthinkable today just might be the reality in a few years. Study how you’ll need to engage with audiences in a world with reduced reliance on social media apps and increased dependence on AI assistance.

On the other hand, if these predictions are true, it may be worth advertising within the aforementioned subscription-based media to reach niche audiences.

4. Brands Struggle to Connect With Customers, a UK Study Says

New research reveals a surprising wakeup call to many brands: 83% of UK consumers feel undervalued by the very brands they regularly support. According to SAP Emarsys’ study, only 17% of these consumers reported feeling a genuine sense of appreciation from these brands.

These figures reveal a less obvious truth. While we typically assess loyalty through measurable metrics like repeat purchases and app usage, the emotional component falls short. There is clearly a gap between brands and customers, one that could affect long-term loyalty later on.

In the age of AI, meaningful, human-centric engagement becomes more critical than ever. This means understanding customers as individuals, not data—valuing their preferences, addressing their concerns, and delivering genuine experiences.

What this means for you:

Don’t rest on your laurels just yet. Even if your metrics show healthy consumer engagement, the real victory is winning over your customers on an emotional level.

Yes, AI can help simulate experiences, but customers are not just numbers to be analysed and optimised. These are people who want to feel genuinely valued, and right now, 83% of them are telling us we’re missing the mark.

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