5G’s Here, and How Will It Change The Future of Marketing?
“Today is the beginning of a new era for iPhone,” Apple chief executive Tim Cook said during the streaming launch of their new line of iPhones for the 5G Market in October 2020. This perhaps summarises and represents the market’s sentiments as a whole when it comes to 5G tech. With a promise of superior technology that leapfrogs 4G technology by over ten times, it is no surprise that marketers today are waiting with bated breath for its global unveiling and adoption.
With faster internet speeds, this 5th generation of cellular technology ushers in a true consumer’s wireless experience. With the ability to upload and download video content seamlessly and connect multi-devices, 5G impacts the entertainment industry and how marketers interact with their consumers.
There Is a The Difference Between 5G And Wi-Fi!
The 5th generation of wireless internet is genuinely a wireless cellular network that is considered more robust and faster than its previous generations. A cloud-based network, the 5th generation of cellular network, is considered so powerful that it is no longer restricted to just hand-held smart devices but can power all intelligent devices, from televisions to computers to even smart homes.
According to recent studies, the 5G Services Market size is expected to increase from USD 53.0 billion in 2020 to USD 249.2 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 29.4% forecast period. The future transformation to the 5G ecosystem is anticipated to witness a four-time accelerated growth rate than other connectivity transformations.
This is essentially due to accelerated innovation in virtualization in the networking domain, coupled with the increasing number of applications requiring a latent-free connection. The impact of 5G could be so powerful that it could potentially limit the need for Wi-Fi as we know it today. With speeds up to 20 GBPS at peak performance and an average speed of 100MBPS, the Wi-Fi we use today should certainly feel threatened.
What Are The Benefits Of 5G?
Every generation of cellular networks has been way ahead of the offerings of its predecessor, the 5G network market being no different. With this 5th generation, we can now experience
- Exceptional speed of transmission
- Increasing in the number of connected devices
- Connectivity with almost every smart device or machine in and around the network, including smart TVs, Smart Homes, computers, etc.
- Increased network capacity
- Reduced latency
In a nutshell, many users will enjoy much better connectivity which is a lot more stable for a longer time.
How 5G Will Impact Marketers?
Powered by an average speed of 100 MBPS, together with all the advantages listed above, the marketer’s dream on mobile-first will now see the light of day to its full potential. With the technological advancements of 5G, terms like 5G advertising, 5G marketing, and even 5G entertainment seem to be the flavor of the day today. Some of the significant 5G impacts on marketing include:
1. An Increased Use Of Personalised Marketing
With almost every smart device used by the consumer, like smartphones to smartwatches, from personal TVs to even smart home devices, 5G connects them all now. Better connectivity will lead to a larger amount of data about the consumers, allowing marketers to run more relatable campaigns. 5G is all set to increase personalized marketing use while helping in an improved marketing process.
2. Augmented Reality Will Become Even More Realistic
For many years now, marketers have been toying with immersive technologies like augmented reality(AR), mixed reality, and virtual reality(VR). With the 5G tech offering more incredible speeds and reduced latency, the use of these immersive technologies in paid advertisements is bound to rise shortly.
The development and growth of AR and VR technologies over the years will only add more teeth to the marketing arsenal. With immersive technologies, marketers will now not only be able to interact smarter with consumers, but they can also now make consumer interaction more fun and engaging. Not to mention the insights they can get about customers through these interactions. Consumers will now also shop on various e-commerce platforms using AR besides an increase in virtual shopping assistants.
3. Advertising Will Become More Interactive
Thanks to a dramatic increase in internet speeds with 5G technology, advertisements are bound to become more interactive. Marketers and advertisers will be able to experiment more with AR and VR technology. With more interactive advertisements, the advertisers and brands will gather more information about the consumer. With interactive advertisements, advertisers will also be able to engage their consumers better. These advertisements will result in better brand recall and a better understanding of the product for the consumers.
4. Video’s Will Dominate Social Media Marketing
Videos have been growing in demand for the past few years now. If you go by the numbers, a consumer will most likely purchase a product after watching a brand’s video. It is thus no surprise that YouTube features among the top 3 social platforms across the world. With 5G technology, video streaming for brands without buffering issues is bound to help brands and e-commerce alike.
5. Improved Marketing Process
Have you ever wondered about your customers, but you never had the time to track data?
5G will surpass all such problems with its high frequency and lower latency. This means that if you connect to the internet soon, you are likely to run into less time lag and more capabilities.
Simultaneously with high speed, 5G will allow marketers and cellular providers to accumulate more data than they could with Wi-Fi or earlier variants of cellular networks.
Challenges Of 5G Technology
While there are many advantages of the latest generation of mobile technology, it has its disadvantages.
- For starters, 5G is still not the most popular technology. The technology itself was introduced around April 2019. Yet, it is still not the most popular generation of mobile technology around the world. Even in regions where 5G has been introduced, the coverage is limited to select areas of the city only.
- 5G technology is also high-priced: Perhaps, this too contributes to the acceptance of technology worldwide. With a limited number of 5G users, marketers’ hands are tied for designing their campaigns.
- Developing infrastructure cost for 5G is an expensive affair for the service providers.
- As of today, not all devices are compatible with 5G, and only the newer and more expensive devices are 5G compatible.
5G technology comes with many advantages, both for consumers and brands and their team of marketers. However, there is still a long way to go for this technology to receive wider acceptance across the globe. With advantages like immersive technology, IoT, and many other features, marketers should make the most of this fantastic technology to improve their ROI. Given the slow adoption of the technology, adopting approached measures will go a long way in achieving success.
In the future, 5G will be a big game-changer, and technological advancements will enable marketers to be equipped to perform the most of what it brings to the table.
It’s time to get ready for 5G marketing!