TLDR:
- Google Is Getting More Expensive, Explore Microsoft Ads
- Short-Form Content Is Still King
- Optimize Your Shopping Feed For The Best Results
- Google Will Take More Control Away From Advertisers
- Explore Other Paid Mediums Like Applovin
Big changes are coming to paid advertising in 2025, and if you don’t want to fall behind, it’s time to pay attention to the landscape. 2024 was a huge year for digital advertising platformsl like Google Ads & Microsoft Ads, and we anticipate that there will be a number of fundamental changes in the market this year.
Let’s break them down!
1. Google’s Getting More Expensive, and Bing Is Back in the Game
Why This Is Happening
Google Ads are already pricey, but with competition rising, expect CPCs to climb even higher. In Digital Position’s portfolio alone, we saw advertsing costs increase by 33% during Black Friday weekend, but clicks we’re nearly identical to 2023. There is not doubt that this trend will continue in 2025, making it that much harder to squeeze out your advertising goals in the new year.
On the flip side, Bing is making a quiet but meaningful comeback, largely due to its integration with ChatGPT/SearchGPT technology. Bing is evolving from Google’s lesser-known cousin into a legitimate contender, steadily gaining relevance with its unique features, even if it won’t take a massive share of the market overnight.
For advertisers, Bing is becoming an increasingly attractive platform because of its cost efficiency. With CPCs on Google steadily climbing, many should turn to Bing to stretch their budgets further. Bing ads often have lower competition, which translates into cheaper clicks and higher profitability. While Google Ads CPCs rose across our portfolio by 25%, Microsoft Ads only rise by an average of 7%, or $.08 across every account we manage.
What You Should Do
If you’ve been overlooking Bing in your advertising strategy, now’s the time to make a change. Bing’s growing innovation and solid performance are making it a must-have platform for businesses that want to stretch their ad dollars while maintaining quality results.
- Test Your Google Ads Strategies on Bing
- Replicate your top-performing Google campaigns on Bing to see how they perform.
- Monitor key metrics like CPC and conversion rates to evaluate potential profitability.
- Reallocate Budget for Better Results
- If Bing delivers strong performance, consider shifting more of your budget there to increase ROI.
- Bing’s lower competition often means cheaper clicks, making it a cost-effective way to grow.
- Optimize Bing as a Dedicated Channel
- Treat Bing as more than an afterthought—optimize and test new campaigns, keywords, and targeting specifically for its audience.
- Regularly refine and adjust your Bing strategy to ensure it’s driving maximum value.
With the right attention and effort, Bing can become a powerful addition to your advertising mix in 2025.
2. Short-Form Content Is Exploding (But TikTok Might Be History)
Why This Is Happening
If TikTok gets banned in the U.S. in 2025, short-form content will still thrive on YouTube Shorts and Instagram/Facebook Reels. These platforms offer massive audiences and underpriced placements, making them a great opportunity for advertisers.
If you’ve been running TikTok ads, now’s the time to start testing those strategies on YouTube and Meta platforms. The same creative that worked on TikTok—short, engaging videos that grab attention fast—will translate well to these spaces. Shift your budget to these platforms to stay ahead, lower costs, and keep your brand visible.
What You Should Do
If TikTok advertising has been a key part of your plan, there’s no need to panic. Here’s how to keep your momentum:
- Repurpose Your TikTok Strategies
- Apply your proven TikTok ad strategies to platforms like YouTube Shorts and Meta’s Instagram/Facebook Reels. The short, engaging videos you’ve created for TikTok can easily translate to these platforms.
- If TikTok’s costs have been rising, test shifting part of your budget to YouTube Shorts and Reels placements. These platforms offer cheaper reach, allowing you to maintain or even expand your audience while staying within budget.
- Focus on Optimization
- Analyze your performance on these new platforms and adjust your creative to suit their unique audiences. Keep experimenting to identify where your short-form content thrives the most.
By adapting your TikTok strategies, you’ll keep driving results on other platforms while navigating changes in the digital ad landscape.
3. Feed Optimization for E-Commerce Will Be Non-Negotiable
Why This Is Happening
Poorly-optimized product feeds are a silent killer for e-commerce businesses, and in 2025, you can’t afford to let this slide. With Google expanding its shopping inventory, their algorithm needs detailed product data to place your ads effectively. Incomplete feeds mean wasted budget and missed opportunities.
Your priority should be ensuring your feed is as complete and detailed as possible. Use accurate descriptions, quality images, and competitive pricing. A complete feed helps Google’s automation connect your products with the right audience, boosting visibility and sales. Don’t leave this to chance—your product feed is your lifeline in 2025.
What You Should Do
If you’re running Google Shopping campaigns, a well-optimized product feed is critical for success. Here’s how to ensure your feed is working as hard as it can:
- Fill Out Every Field Possible
- Use Google’s documentation to identify all available fields for your product feed.
- Include detailed product descriptions, accurate pricing, and relevant categories.
- Add attributes like sizes, colors, materials, and any unique identifiers.
- Use High-Quality Data
- Ensure all product information is accurate and up-to-date.
- Include clear, professional product images that meet Google’s specifications.
- Leverage Third-Party Tools
- Avoid manual feed updates, which can be time-consuming and error-prone.
- Use platforms like Datafeedwatch or Feedonomics to automate feed management.
- These tools ensure your feed stays optimized, updated, and compliant with Google’s requirements.
- Test and Refine Regularly
- Monitor your feed’s performance and adjust fields based on what’s driving the most clicks and sales.
- Stay on top of updates in Google’s shopping inventory to ensure your feed remains competitive.
By putting these practices in place, you’ll give Google everything it needs to showcase your products to the right audience at the right time.
4. Google’s Simplifying Campaign Types (and Taking More Control)
Via WebSavvy
Why This Is Happening
Google is likely consolidating its campaigns into three main types: Video Views, Demand Gen, and Performance Max. We’ve already seen one of these transpire as Google announced that Video Action Campaigns will be going away and consolidated into Demand Gen.
It’s a move designed to attract more small businesses to the platform while squeezing even more revenue out of their ad inventory. The downside? You’re going to lose some control over your campaigns.
What You Should Do
Google is expected to consolidate campaign types into Performance Max, Demand Gen, and Video Views in 2025. If this happens, here’s what your business needs to do:
- Understand Performance Max and Demand Gen
- Learn the ins and outs of these campaign types, including targeting inputs and customization options.
- Focus on mid- and lower-funnel strategies, as they’ll likely deliver the best ROI for small to medium-sized businesses.
- Prioritize Expertise
- Google’s automation means you’ll need a deeper understanding of how to guide campaigns effectively.
- Consider working with a team that knows the ropes—Digital Position can help you maximize these campaigns for better results.
By mastering these changes, your business can stay competitive while navigating Google’s evolving ad landscape.
5. AppLovin Will Be The Breakout Advertsing Platform in 2025
Why This Is Happening
It’s been a while since a new advertising platform made waves, but AppLovin is stepping up. With rising costs and uncertainty on traditional platforms, apps are emerging as the next big opportunity—and AppLovin is leading the way.
Our early tests show AppLovin delivers impressive results, with strong metrics in Shopify Analytics and post-purchase surveys showing an incremental impact on your business. By offering access to unique app inventory, it’s proving to be a game-changer for businesses ready to explore new opportunities.
What You Should Do
AppLovin is super easy to test, especially if you’re already running Facebook ads. Use the same creatives and see how they perform—it’s that simple. Not sure how to get started? We can help you get set up and rolling in no time.
Don’t Wait to Jump on These Trends—Let’s Chat!
2025 is going to be all about staying ahead, and these trends are just the tip of the iceberg. If you’re not sure how to tackle them on your own, we’re here to help. Reach out today to set up a call, and let’s figure out how to make this your biggest year yet.
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