Will Collaborate for Cookies

Will Collaborate for Cookies. Brands will overcome third-party data woes through collaboration. Unstable markets are pushing consumers to try new brands.

During the pandemic, three out of four consumers tried a new brand, product, or purchase method. Once lockdowns eased up and borders opened, 41% of buyers broke with brand loyalty in favor of new options. But converting these potential customers is challenging: Already-high customer acquisition costs are on the rise as return on ad spend (ROAS) declines.

On top of this, tighter privacy regulations are forcing brands to rely less and less on third-party data to or get in front of the people most likely to buy. In response, brands are turning to collaborations. Brand-to-brand collabs, where non-competing brands co-create products or experiences to tap into each other’s audiences, allow for reciprocal exposure at a low cost.

Collaborating with influencers will also benefit brands in 2023 and beyond. Lockdowns catapulted the popularity of influencer marketing. In the absence of being able to touch, feel, and test products in store, consumers watched live streams of unboxings or product reviews to experience products by proxy.

Now, more than seven out of 1029 businesses expect online influencers to become even more important in the future..