In the first part of this article, I wrote about how SPAR Slovenia placed the SPAR Plus loyalty program and first-party customer data at the heart of its media strategy, enabling the expansion of personalized offers to more than one million user profiles. In this instalment, I will explain why SPAR Slovenia decided to build its own advertising infrastructure and which technological solutions enable real-time micro-segmentation and personalization.

In the digital world, where user attention is fragmented and competition is only a click away, the most important factor is no longer who advertises louder, but who understands the user better and addresses their needs effectively at the right moment. Data, especially that which companies collect directly from their customers (so-called first-party data), has become the foundation of trust and relevant communication. Particularly valuable are data gathered through loyalty programs, which are now becoming a central pillar of advertising and media strategies.

Today, the question is no longer whether to advertise on digital channels, but whether to do so as a first and deliberate strategic choice. The focus has shifted from justifying digital advertising to evaluating the maturity and targeting of the digital approach. Businesses that do not yet recognise the importance of digital today risk losing visibility, market presence, and effectiveness tomorrow. Although market conditions are unpredictable and change rapidly, digital advertising remains a rare constant. Its value is not derived from its current popularity, but from its ability to connect data sources, advanced technologies and business objectives in real time. Compared to traditional channels, digital advertising offers faster response times, a higher degree of flexibility and more precise targeting. Today, it is a key tool for resilience and long-term growth.

Display advertising will remain the dominant form of digital advertising in 2025. Today, its role is reinforced by first-party data, artificial intelligence and new technological capabilities. Advertisers are increasingly using enriched data, predictive analytics and AI tools to segment audiences, dynamically adapt creatives and optimise media budgets in real time. This combination allows display advertising to function as a precisely targeted, measurable and effective tactic within the modern digital media ecosystem.

Simon Cetin, founder and partner at iPROM and head of the Retoba Lab, emphasized the importance of data sovereignty in digital advertising in an article for Marketing magazin. He argued that companies without the vision to build their own data ecosystems end up paying others to access and activate their own data, which in the long run puts them in a dependent position and drives up marketing costs.

Advances in artificial intelligence and machine learning are having a significant impact on the evolution of digital advertising. With sophisticated algorithms, advertisers can better understand user behaviour, predict purchase intent more accurately and create more relevant and effective advertising messages. These innovations are driving better results and an improved user experience. However, many advertisers still have limited access to their own data, which is often locked within the closed ecosystems of global platforms. In this blog, I will outline how companies that want more control over their data and greater independence in their digital advertising can use iPROM Private DMP to develop their own data management strategy.

Hyper-personalization of advertising uses advanced data technologies to create advertising messages that are precisely tailored to individual users. While we’ve been discussing this concept in digital advertising circles for some time, the use of artificial intelligence (AI) takes it to a whole new level. Rather than relying on generic ads that appeal to a broad audience, hyper-personalization enables the creation of content that responds directly to users’ unique interests, behaviors and needs.

Writing for Marketing magazin, Simon Cetin, Partner at iPROM and Head of Retoba, summed up the key achievements and projects that defined 2024 and outlined the trends set to shape the future of advertising in the coming years. He highlighted the innovative use of first-party data and advanced AI solutions, poised to define new standards in personalisation and user experience.

Display advertising remains a key investment area for companies in the retail and FMCG industries. According to E-Marketer, these industries are expected to invest an increasing share of their digital advertising budgets this year and beyond. A primary driver is their focus on top-of-funnel advertising with the main objective of building brand awareness. Display advertising is particularly effective for creating a visual and emotional connection with target audiences, making it very important for consumer products like cosmetics, food, and beverages.

First-party data is becoming central to business processes and protecting user privacy is becoming increasingly important for companies. As third-party cookies are being phased out opportunities for targeting users are diminishing, creating new challenges for companies. They must balance the demands for personalized content with the growing need for data protection and data privacy.