Digital advancements continue to reshape how we create, deliver, and measure advertising campaigns, and there remains substantial room for innovation. From harnessing first-party data to enhance audience targeting to leveraging AI-driven personalisation, AdTech offers significant opportunities for more efficient and impactful advertising strategies.
While the advertising industry is immense, AdTech (Advertising Technology) is still a specialised sector with enormous potential for further innovation. As privacy regulations tighten and third-party cookies phase out, the industry is pivoting toward privacy-friendly solutions, making AdTech crucial to the future of digital marketing.
AdTech is gaining increasing recognition as a driving force behind innovations in digital marketing, including AI-enhanced ad targeting, real-time bidding systems, and advanced data analytics for personalised content delivery. As consumers demand more engaging and relevant ad experiences across multiple platforms, AdTech is well-positioned to explore new frontiers, creating more effective and data-driven campaigns that boost both brand awareness and customer engagement.
However, the sector must also navigate significant challenges, such as growing concerns around user privacy and the evolving landscape of data regulation. As AdTech continues to transform the advertising ecosystem, it must balance innovation with ethical responsibility, ensuring transparency and compliance with regulations like GDPR, while safeguarding consumer trust through secure and privacy-conscious solutions.
Recent industry shifts, such as tightening privacy regulations and the phase-out of third-party cookies, have exposed the limitations of traditional advertising approaches, pushing the need for more efficient, privacy-conscious solutions. This has fueled innovations in AI-driven targeting, first-party data strategies, and cross-platform advertising. Companies are increasingly focusing on omnichannel strategies to deliver a seamless, personalised experience across digital touchpoints, while startups are exploring different tools and algorithms which may enhance bidding strategies and dynamic content delivery.
According to data made available by IAB Europe, the European digital advertising market industry is expanding at a significant pace, having grown by 11% to just under €100 billion. Other industry research shows that one of the major drivers for growth in the industry is the increased adoption of programmatic advertising, and the use of digital outdoor advertising spaces. The industry’s shift to first-party data is also reshaping the European AdTech landscape, prompting companies to adopt privacy-first technologies that prioritise user control and transparency.
While the EU offers numerous funding opportunities through programmes like Horizon Europe and the Digital Europe Programme, these initiatives do not specifically address AdTech as a distinct sector. Instead, they focus on broader digital transformation themes, such as AI, data privacy, cybersecurity, and other emerging technologies that can indirectly benefit AdTech. Cluster 4 (Digital, Industry, and Space), in particular focuses on AI, data management, and digital advancements, which are key to driving innovations in AdTech. Similarly, the Digital Europe Programme supports the development and implementation of advanced digital technologies, which AdTech companies can leverage.
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