IT News Online – How does the advertising industry benefit from new 5G technology?


In the recently completed spectrum sale, India auctioned off 51,236 MHz of spectrum to incumbents for Rs. 150,173 crores across multiple 5G networks. This means a faster experience for customers, with mobile devices interacting with wireless networks much faster, and users benefiting from improved upload and download speeds.

According to Deloitte analysis, India’s digital economy is expected to reach $1 trillion by 2025 due to growing smartphone usage, rapid internet penetration and accelerating mobile broadband and data connectivity. However, 5G is expected to be the main driver of this expansion.

5G, like radio, the internet and other disruptive technologies before it, will allow advertisers to better engage customers by sending massive amounts of data at significantly faster speeds than current 4G technologies allow. 78% think 5G technology would be superior to 4G, but 95% don’t know what 4G features are currently available on their devices. More than 70% are willing to pay for new technologies (payment being used as an indicator of perceived value). Faster downloads are important to 71% of 5G users. Respondents do not understand the terms “connectivity”, “capacity” and “latency” and place a low value on these benefits.

Here are the advantages of the advertising industry with the new 5G technology:

Adapt your creations to 5G users
5G users interact with gadgets in unique ways, which can help tailor ads to what interests them most. 5G has several tangible benefits, such as downloading a two-hour HD movie in about 18 minutes, live streaming a concert or livestreaming an event to friends or family in HD, and low latency games with a ping of 30-50 milliseconds. However, tailoring your ads to consumer preferences is extremely critical for 5G over 4G. Users with a strong interest in gaming, entertainment and live streaming are more likely (92%) to pay for 5G technology and buy a 5G-capable phone early on, compared to the overall average ( 81%). With all the new 5G updates, there is also a huge opportunity to get creative with brand ads and innovate with new benefits.

5G technology unlocks AR/VR advertising
Due to 5G’s low latency and fast download rates, advertisers and publishers will have more options to create new media streaming formats with better capabilities. As customers spend more time on 5G phones, they want new experiences to justify the higher cost. Advertising must therefore take advantage of this. AR and VR have several applications. Over the next year, 100 million consumers are expected to use augmented reality to shop. Creating increasingly meaningful immersive experiences is the future of online engagement, and 5G will introduce these capabilities more naturally.

Analytics will go in real time
Already, a fraction of the data we can manage and analyze is considered real-time data. 5G will enable the integration of a greater variety of real-time activities and impressions. If a consumer makes a purchase in the future, they may no longer receive advertising related to that product or category of products. Basically, it will improve targeting, segmentation, customer experience and customer journey, as well as brand and consumer effectiveness.

Run ads that leverage the benefits of 5G
Users can interact with ads in innovative ways thanks to 5G’s ability for advertisers to create more creative and original immersive content. Real and realistic on-device advertising experiences can be made possible in a variety of ways with minimal latency. Advertisers can display full-screen ads that allow viewers to see how a character or product appears in various settings that they can design and edit directly from creative. Additionally, brands can use virtual reality to present a 360-degree image of the gaming or social environment. Greater capacity also allows production of advertisements in a wide variety of audio and video formats. 5G technology has a ton of unrealized potential, which is why companies should commit to new approaches to engaging with consumers through advertising.

As with previous technological advancements, advertisers will need to be on the lookout in order to take full advantage of the new opportunities offered by 5G and avoid falling behind. Basically, it’s fantastic for innovation that our most imaginative ideas now face fewer technological constraints. However, adapting our strategy to the new digital context will be a problem.


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