Q1 flew by, and it kept us on our toes! From rising ad costs to AI shaking up content strategies, the marketing world saw plenty of challenges, but also some big wins. At DSM, we worked alongside our clients to navigate shifting trends, fine-tune campaigns, and make the most of every opportunity. Now, as we look back at the first quarter, we’re analyzing key takeaways, celebrating some major client successes, and sharing our predictions for what’s coming in Q2.
Q1 Insights & Challenges
TikTok Ban & Shift In Platform Usage
The uncertainty around a potential TikTok ban had marketers, ourselves included, on high alert, forcing businesses to rethink their content strategies in case the platform disappeared overnight. While TikTok is still going strong (for now), we started diversifying, putting more effort into Instagram Reels, YouTube Shorts, and even LinkedIn videos. The key takeaway? Relying too heavily on one platform is a risk that is not worth taking. For our clients with a strong TikTok presence, we’ve focused on repurposing their content across multiple platforms to maximize reach and impact.
AI Content & Consumer Detection
AI-powered content tools have helped speed up production and become insanely popular, but if Q1 taught us anything, it’s that audiences can spot AI-generated content a mile away. That’s why we use AI as a tool to enhance creativity, not replace it. The most effective marketers leverage AI for research, outlines, and data analysis, but at the end of the day, content with a genuine, human touch still delivers the best results.
Algorithm Shift & Increased Meta Cost
Meta rolled out some subtle algorithm changes in Q1, which resulted in declining organic reach and increased costs for paid ads. Brands that stuck to traditional targeting methods found themselves facing higher CPCs and lower ROAS. To adapt, we focused on creative-first ads, continuous audience testing, and placing greater emphasis on first-party data. These strategies helped our clients optimize their ad spend and avoid missing out due to the rising costs across Meta’s platforms.
Short-Form Video Still Wins, But Trends Aren’t Enough
Short-form video remains a top performer, but in Q1, we noticed that simply jumping on every trending sound or challenge isn’t enough anymore. Audiences are drawn to authenticity, behind-the-scenes glimpses, and storytelling, rather than just following trends for the sake of it. To ensure our clients stood out in Q1, we worked on embracing their unique personalities and sharing genuine, engaging content. Instead of copying the latest viral trends, we focused on telling their own story, and it paid off with stronger connections and higher engagement.
Rising Costs in the Economy
There’s no denying it, 2025 came in hot with increased costs across the board. From ad platforms to general business expenses, marketing budgets had to stretch further than ever. But tighter budgets didn’t mean fewer wins. By doubling down on strategy, prioritizing high-impact efforts, and constantly refining our approach, we helped our clients maximize every dollar, and the results speak for themselves.
Client Wins
Med Spa Client
Our med spa client saw impressive growth, including a 50% YoY increase in January sales. This success was fueled by stronger paid and organic social strategies, along with targeted email campaigns. Their Google Business Profile also saw notable improvements, with 23.2% more views, 15.5% more searches, and 18.2% more phone calls. On Instagram, engagements skyrocketed 102%, thanks to an optimized content plan that delivered standout results.
Assisted Living & Care Client
For our assisted living client, Q1 delivered big results: branded search impressions jumped 50% YoY, while homepage visits from direct traffic rose 13% between 10/11/24-01/31/25, coinciding with new Hulu and CTV campaigns, a clear sign that the brand is becoming a household name. It’s a great example of how strategic CTV can drive real awareness.
Non-Profit Client
Between 12/1/24-2/15/25, our non-profit client saw steady growth across Facebook and Instagram. Organic engagement on Facebook rose from 1.9% to 2.8%, while Instagram engagements climbed 72%, and impressions increased 66.5%. This lift is a testament to our strategic content planning and the power of consistent, audience-focused storytelling.
Pediatric Healthcare Client
Q1 delivered an 84% increase in organic social engagements for our pediatric healthcare client compared to the same time last year. With improved content relevance and smarter audience targeting, we helped them create deeper connections with their community and significantly increase interaction across their platforms.
Roofing Client
For our roofing client, we saw a 21% increase in Google ad clicks YoY, driven by stronger campaign optimization and continuous testing. This led to a boost in website traffic and improved overall engagement with their ads, a great reminder that even in a highly competitive space, strategy wins.
Healthcare Client
January 2025 marked a major milestone for another healthcare client, with a 25% increase in impressions and a 115% jump in clicks YoY. Social media growth held strong as well, with a 10% increase in total followers since January 2024 and a 26% increase since January 2023. The standout stat? A 126% YoY boost in engagement rate, hitting an average of 6.6%, a major feat for organic social.
Asset of the Quarter
Competitive Intelligence
One of our MVPs from Q1? Our new competitive intelligence platform. It’s streamlined our research process by pulling data from digital ads, social media, emails, websites, and even news articles into one centralized dashboard. Thanks to smart filters powered by machine learning, we only see the most relevant insights, no fluff or wasted time.
Daily alerts and customizable updates have helped us stay a step ahead, identifying shifts in the market and responding faster to competitor moves. Whether tracking a new product launch or spotting changes in consumer sentiment, this tool has helped our team make smarter, more informed decisions. Bottom line: it’s boosted efficiency and elevated results across the board.
Q2 Predictions
Short-Form Video for Storytelling
In Q2, short-form video will continue to dominate, but audiences are craving more than just trends. We expect to see a surge in authentic, educational, and story-driven content and to benefit by leaning into behind-the-scenes moments and creating content that feels real and relatable, building stronger audience connections through transparency and value.
Increased Cost in Paid Ads
Paid ad prices are expected to keep climbing, so now more than ever, we need to be precise. That means laser-focused targeting, impactful creative, and constant performance tracking. With tighter budgets, it’s not about spending more, it’s about spending smarter.
Shift in SEO Due to AI Automations
AI-powered search tools like Google’s Search Generative Experience (SGE) are changing the SEO game. To stay visible, we will need to structure content with clarity and authority while adapting to how AI surfaces and summarizes information. It’s a new frontier, and staying ahead means staying flexible.
SMS & Email for Retention & Loyalty
Email and SMS aren’t just for promos anymore. In Q2, we expect to focus on retention, using these channels to build stronger relationships through education, updates, and conversation. It’s all about turning customers into loyal fans and keeping them engaged long after the sale.
Looking Ahead
Q1 brought change, challenge, and a whole lot of momentum. As we head into Q2, we’re more energized than ever. The marketing landscape is evolving fast, but with the right strategy, the right tools, and a whole lot of creativity, there’s endless opportunity to grow, connect, and win. Let’s get to work.
