Mumbai: In the recently expired spectrum sale, India sold 51,236MHz of spectrum to existing operators for Rs 1,50,173 crore across several 5G networks. This means a faster customer experience, as mobile devices interact with wireless networks faster and users see improved download and upload speeds. According to Deloitte’s analysis, India’s digital economy is expected to reach $1 trillion by 2025 as a result of increasing smartphone use, rapid internet penetration, and acceleration of mobile broadband and data connectivity. However, 5G is expected to be the primary driver for this expansion.
5G, like radio, the Internet, and other disruptive technologies before it, will allow advertisers to better interact with customers by sending massive amounts of data at speeds much faster than current 4G technologies allow. Although 78 percent believe that 5G technology will outperform 4G, 95 percent do not know which 4G features are currently available on their devices. More than 70 percent are willing to pay for new technologies (using payment as a substitute for perceived value). Faster downloads matter to 71 percent 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 using the new 5G technology:
Make your designs suitable for 5G users.
5G users interact with devices in a unique way, which can help personalize ads for what they care about most. 5G has many tangible benefits, such as downloading a 2-hour HD movie in about 18 minutes, streaming a concert or live event to friends or family in high definition, and gaming with low latency from 30 to 50 milliseconds ping. However, tailoring your ads to suit consumers’ preferences is critical to 5G over 4G. Users with a keen interest in gaming, entertainment and streaming (92 percent) are more likely to pay for 5G and buy a 5G-enabled phone early, compared to the overall average (81 percent). With all the new 5G updates, there is also a great opportunity to get creative with branding ads and innovate with new features.
5G technology opens up AR/VR ads
Due to the lower latency and fast download rates of 5G, advertisers and publishers will have more options to create new streaming media formats with better capabilities. As customers spend more time using 5G phones, they want new experiences to justify the higher cost. Therefore, advertising should benefit from that. AR and VR have many applications. Over the next year, 100 million consumers are expected to use augmented reality to make purchases. Creating increasingly immersive and meaningful experiences is the future of online sharing, and 5G will usher in these capabilities more naturally.
Analytics will run in real time
Indeed, a fraction of the data that we can process and analyze is real-time data. 5G will enable the integration of a variety of activities and impressions in real time. If a consumer makes a purchase in the future, they may not get any advertising related to that product or product category. Essentially, this will improve targeting, segmentation, customer experience, the customer journey, as well as brand and consumer efficiency.
Advertising service that takes advantage of the advantages of the fifth generation network
Users may interact with ads in new ways thanks to 5G’s ability for advertisers to create more creative and original immersive content. Realistic and on-device ad experiences can be possible in a variety of ways and with minimal latency. Advertisers may display full-screen commercials that allow viewers to see how a character or product will appear in different settings that they can design and modify directly from the design. Additionally, brands may use virtual reality to present a 360-degree image of a gaming or social environment. The larger capacity also allows for advertisements to be produced in a variety of audio and video formats. 5G technology has a lot of unrealized potential, so companies must commit to inventing new ways of interacting with consumers through advertising.
As with previous technology breakthroughs, advertisers will need to put their fingers on the pulse in order to take full advantage of the new opportunities that 5G offers and to avoid being left behind. Essentially, it’s great for innovation that our most creative ideas face fewer technological constraints. However, adapting our strategy to the new digital context will be problematic.
The author of this article is Arun Fernandes, founder and CEO of Hotstuff Medialabs.