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Digital marketers face an ongoing challenge in the form of “walled gardens,” closed online ecosystems where it is difficult to access user data. As we get ready for 2024, it’s more important than ever for marketers to evaluate the current challenges and opportunities surrounding walled gardens and to take stock of the impact of walled gardens in marketing as an industry.
What is a walled garden?
A walled garden is a closed online ecosystem controlled entirely by one tech company. Advertising on these ecosystems is fairly locked down, as major tech companies with walled gardens tend to tightly control access to the user data, content, and advertising that appears within the ecosystems.
Some examples of walled garden ecosystems include Google, Facebook, Amazon, and Apple. These walled gardens have particular advantages, like access to massive user bases and precise targeting within the individual ecosystems. It can also be difficult to reach said audiences outside of the ecosystems, reducing the amount of control you have over your advertising strategies.
Learn more about walled gardens.
Learn the differences between walled gardens and hedged gardens.
Integrated marketing is more important than ever
Today, it’s become more crucial to connect with consumers over multiple touchpoints, which can be done from tech like connected TV (CTV) to websites, mobile devices, and even shopping in a physical store. However, as integrated marketing gains utility, many platforms with walled garden ecosystems have increased, making a truly integrated and personalized marketing strategy more difficult in many situations. As a result, many marketers have realized the value of a more streamlined marketing approach, emphasizing the importance of fully integrated advertising strategies.
Though there are surely marketing advantages to gain from walled garden ecosystems, especially in audience size, the challenges they pose will require you to innovate and find more creative ways to engage with your audience from platform to platform.
Perspectives on walled gardens from Cannes Lions 2023
Offering a poignant view of industry trends and ideas, the Cannes Lions International Festival of Creativity of 2023 had much to say about the significance of walled gardens in the marketing world. Let’s look at two key takeaways from this year’s festival.
Retail media
In recent years, many retail companies have started selling ad space within their own walled garden shopping platforms, dubbed “retail media.” Platforms like Amazon and Walmart have developed their own particular advertising ecosystems where they sell ads to marketers within the shopping environment itself.
Navigating the sell-side of retail media’s walled gardens
While retail media offers marketers unique opportunities, it’s not without its challenges. For one, ad space in these environments is limited, so the competition can be difficult on the sell-side, leading to higher ad costs. Additionally, this shift in dynamic also forces marketers to change how they prioritize their marketing channels, looking closer at the results of their efforts rather than focusing on particular channels within the platforms themselves.
Opportunities in the buy-side of retail media’s walled gardens
Brands on the buy-side see various benefits from advertising within retail media channels and walled gardens. By browsing in an online shopping environment, the users in these ecosystems are likely high-intent shoppers, people who are further down the sales funnel and who are ready to make a purchase soon. Shoppers can also be precisely targeted within these environments, as marketers are given the ability to access very specific audience segments based on details like shopping behavior, preferences, and even purchase history.
Omnichannel marketing
To more effectively engage audiences even among an abundance of walled garden ecosystems, speakers at the 2023 Cannes Lions Festival discussed the importance of omnichannel marketing. By emphasizing strategies that reach the consumer through multiple touchpoints, marketers can deliver a unified brand experience across channels. This allows marketers to focus more on results than specific advertising channels, including walled garden platforms.
Walled gardens aren’t going away in the near future
Though various challenges are associated with walled gardens in advertising, they aren’t going anywhere. So, what’s the current state of these environments throughout the industry?
Efforts are being made to break down walled gardens in tech
In a handful of countries, regulatory actions have been put forward to address how dominant many major tech companies are in their respective markets. One major example of this is Meta and Google’s entanglements in Canada. Currently, neither company can display news on their websites in the Canadian market. This decision was reached to give Canadian news agencies more control over their advertising revenue since, previously, the tech giants received more views and, therefore, gained the ad revenue. Though relatively small, this does indicate a certain shift in dynamic.
Why companies are resisting
Despite their challenges, walled gardens in 2023 persisted, mainly because they are particularly adept at generating revenue for the tech companies that control them. In 2022, 78 percent of global digital advertising revenue came from these closed ecosystems, and projections expect that figure to rise to 83 percent by 2027. From the viewpoint of a company that operates in a walled garden, the idea of releasing their control over their environment represents losing out on a stream of vast revenue, making letting go of a walled garden ecosystem an unattractive prospect.
The future of walled gardens
As time progresses, what can digital marketers like you expect from walled garden ecosystems in the near future?
A cookieless future
A huge element to consider is the transition to a cookieless future. Many major browsers have begun phasing out the use of third-party cookies. In the wake of this decision, many are looking for reasonable alternatives that allow for behavior tracking and more personalized advertising experiences. Solutions like Experian’s identity resolution can provide a strong alternative option, allowing marketing strategies to adapt to the current landscape.
An influx of mini gardens
You should also anticipate the proliferation of various smaller, specialized walled garden ecosystems in the future. These so-called “mini gardens” specialize in more niche audiences and industries, and they can present their own challenges and opportunities.
Alternative IDs
As you search for new identification methods outside cookies, various alternatives have presented themselves, requiring further exploration and experimentation. Among these are privacy-compliant solutions like Unified ID 2.0, which allow you to serve more personalized ads without compromising the consumer’s privacy.
Navigating the evolving landscape of walled gardens in 2024
As we begin 2024, you will continue facing opportunities and challenges regarding walled gardens. The 2023 Cannes Lions International Festival of Creativity re-emphasized how important it is for marketers to stress omnichannel marketing within walled garden environments and become well acquainted with identity resolution solutions as we move into a cookie-less future. All of this requires you to become comfortable with walled gardens being here to stay and innovate to navigate an evolving and developing landscape.
We’re here to help you navigate the evolving landscape of walled gardens in 2024. Contact us today.
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In case you missed it, Facebook recently announced that it would begin supporting animated GIF images and GIF-fanatics everywhere went: The decision by Facebook, which is rather late to the GIF party given that animated GIFs are already commonly used on sites like Tumblr, Reddit, Twitter, Imgur, BuzzFeed and more, virtually guarantees that animated GIFs will soon be commonplace (like it or not) for nearly everyone. It may even give Facebook an opportunity to re-engage Millennials who already frequently communicate using stickers, emoji, emoticons and animated GIFs. To make use of the new feature right away, Facebook users will need to paste a link to an existing GIF into their status update box. Users who have the “auto-play” setting activated will see GIFs posted by their Facebook friends looping through the animation automatically as they scroll through their news feed or a friend’s timeline. For the time being, at least, users are not allowed to upload GIFs to Facebook. While Facebook has not yet allowed animated GIFs to be used by Page operators, there’s still a huge opportunity for marketers in this move. That’s because marketers can still create their own clever animated GIFs hosted away from Facebook either on their own website or through partnerships with sites like Giphy — which already has a Facebook Messenger add-on. They can then encourage consumers to say what’s on their mind — via Facebook, text/chat, Twitter, etc. — using their branded animated GIFs instead of words. Subway, for instance, has a set of GIFs in Giphy that allow consumers to say they’re hungry by sending GIFs of animated sub sandwiches and people eating them to others. And Experian Marketing Services found that users of animated GIFs are hungry for branded content. In fact, they’re already seeking out branded GIFs to share in this way. Media and entertainment brands, of course, have a natural play in the animated GIF space since they already have content developed. They merely need to convert it into a few seconds of animation and fans of the show, movie, game, musician, etc. will take it and run. But even for marketers who don’t have existing content, animated GIFs present an option for producing rich (if not always the highest quality), engaging visual content that’s more affordable than video but a step up from fixed images. They also present on-the-go consumers who are increasingly looking for shorter more “snackable” content with a quick way to engage with a brand when they don’t have the time or interest in watching an actual video. To help marketers test the waters and create relevant GIFs, we looked at online search variations of “GIF” during the 12 weeks ending May 30, 2015 using our Hitwise® online intelligence platform. Some of the top variations and a few popular GIFs in each category are below. Funny GIFs: Animated GIFs are often used to put a smile on people’s face, so it’s no wonder that “funny” GIFs are the most commonly sought out. Babies and cats feature prominently in this category. Reaction GIFs: Among users, animated GIFs are a natural way to react to something a friend has said or shared. Reactions can run the gamut of emotions from “meh” to “oh no you didn’t.” Happy Birthday GIFs: Want your Happy Birthday wishes to be memorable and unique. Don’t say it with words; say it with an animated GIF! Does your brand play a role in helping people celebrate their birthday? Then why not help people say it as well. Crying GIFs: That teary emoji can only express so much emotional depth. Show you know how someone really feels with a crying animated GIF instead. Mind blown GIFs: Saying “OMG” is so yesterday. Why would anyone just tell someone they blew your mind when they can show them? No wonder “mind blown” animated GIFs are among the most commonly sought out. Source: Experian Marketing Services It’s still early days for animated GIFs in Facebook, but the opening of the door by the social media giant could prove to be the tipping point in the mass adoption of this medium that lies somewhere between an image and a video. In fact, animated GIFs may eventually prove so popular that consumers may come to expect and prefer them over non-animated content. For more information about how Experian Marketing Services can provide marketers with insights into the types of GIFs consumers are looking for, click here.

As part of our ongoing series which focuses on consumer and marketing trends around major holidays throughout the year, we’ve just released the Father’s Day Hot Sheet. Father’s Day gift-related searches Now that Mother’s Day has come and gone, consumers will be shifting their focus to dad. According to Experian Marketing Services’ Hitwise® online intelligence tool, searches for “Father’s Day” typically start to pop up on Mother’s Day. And searches for “Father’s Day gifts” tend to focus on affordable gift ideas that are personalized, unique and often handmade. In fact, two of the top variations of Father’s Day gift-related searches from 2014 were for “DIY” and “homemade” gifts. While many shoppers wanted the “best” gift for dad, others simply wanted something “cheap” or “last minute.” Finding a gift that dad will appreciate means looking for something that is personalized to him. As such, searches for Father’s Day gifts often contain additional information about the dad or, in many cases, grandpa. Examples commonly used in 2014 were “Christian dad,” “new dads,” “outdoorsy dads” as well dads who are wine or BBQ lovers. While many gift searches include information about the intended recipient, others mention details about the gift-giver or their relationship to the father. Among last year’s variations that included such details, nearly a third focused on gifts that were intended to be given by a “daughter.” Genderless references, such as “kids” or “children” were almost as common. Interestingly, fewer than ten percent were for gifts to be given by a “son.” About a fifth of searches included details about the age of the gift-giver (e.g.: “baby,” “toddler” or “first grader”), while others specified that the gift was to be given by the dad’s wife or girlfriend. Go, go, gadget dad! Gadgets and gizmos are always popular gifts for the techie dad. In fact, during the week immediately preceding Father’s Day last year, visits to Electronics and Appliance websites were up a relative eight percent from two weeks prior. Visits subsequently tapered off the following week. An analysis of search terms driving traffic to the Hitwise Electronics and Appliance industry the week ending June 14 versus May 13, 2014 also sheds some light on the specific items that Father’s Day gift-givers were likely to have been seeking out. Two GPS systems (“Magellan GPS” and “Tom Tom”) were among the top terms that grew search share in the weeks leading into Father’s Day last year. Likewise, “GoPro” appeared in two separate fast growing search terms. Gadgets like these and others listed in the adjacent table may be big gifts for the gadget-loving dad again this year. Gone fishin’ Fishing is a timeless family pastime enjoyed by millions of Americans. According to Experian Marketing Services’ Simmons® National Consumer Study, 28 percent of dads and 26 percent of kids ages six to 17 went fishing last year. As such, it’s no surprise that online searches related to fishing spike over Father’s Day weekend. On the Saturday before Father’s Day in 2014, searches including “fishing” were a relative 28 percent higher than they were the Saturday prior and 64 percent higher than they were the following Saturday. To better understand what kids and dads were seeking out for their fishing plans, Experian Marketing Services conducted an analysis comparing variations of “fishing” searches immediately before Father’s Day last year to those performed two weeks prior. It turns out the word “techniques” was almost 8.6 times more likely to appear in fishing-related searches just before Father’s Day than it was two weeks earlier and “tips” was four times more likely to be used. Likewise, “licenses” was used 2.3 times more frequently, which along with the higher use of “techniques” and “tips” is evidence that many would-be fishermen and women are occasional participants at best. The fact that “charter” and “cabins” were used at higher rates however suggests that other children and/or dads had something in mind beyond a lazy (and likely more affordable) afternoon at the local fishing hole. Gift items, too, like “reels,” “gear” and “tackle” were among those most disproportionately used in searches heading into Father’s Day.

Welcome! Who doesn’t like a warm welcome? Whether your customer is walking into your store or just signed up on your website to receive communications from you, she expects a warm reception. It’s important to make that first impression count. A welcome series helps the conversation open up between the customer and your brand. It sets expectations on the types and cadence of content the customer will receive. Welcome emails also garner 86 percent higher open rates than regular promotional mailings – not too shabby! In a recent webinar, Saks Fifth Avenue shared that they are constantly testing new and current programs to optimize the customer experience. As a result, they discovered that switching from batch-sending welcome emails to sending welcome messages in real time increased open, click and redemption rates significantly. Here’s an example of their welcome series: Saks’ results are consistent with Experian Marketing Services’ welcome email findings which indicate that emails triggered in real time receive up to 10 times the transaction rates and revenue per email vs. those that are batched. A welcome series has also been shown to increase retention by educating customers on new ways to use products and services they’ve purchased from your brand. These emails also can remind customers of the benefits they’ll reap from enrolling in your loyalty programs or credit card. … and welcome back Even if a customer has been welcomed and has interacted with your programs, a day may come when the customer goes silent. Reactivation campaigns are an effective way to get them to re-engage. Naturally, it’s important to target your dormant customers in a variety of channels so you can reach them more effectively. Maybe you’re wondering why I jumped from the warmth of a welcome series right into reality of needing a reactivation campaign. The reason? Marketers need to understand where a customer is in their lifecycle and come full circle with customers if they have parted ways. Marketers can pique the interest of a returning customer by telling them what’s new and reintroducing them to their brand. Carnival® Cruise Lines, for example, sends a welcome-back email that features the newest social networks, offers and deals its customers can take advantage of immediately. At the end of the day, customers expect to receive relevant and engaging messages throughout their entire relationship with a brand. Customer life cycle programs deliver just that. If you’re interested in learning more about welcome campaigns, waitlist/back-in-stock programs and other remarketing strategies, check out our webcast,