Programmatic advertising refers to the use of software-driven technology to automate and optimize the ad buying process in real time. Think of it in terms of economics – programmatic connects the supplier (seller or publisher) to demand (buyer or advertiser).
This method of digital media buying is growing at a steady pace, and Forrester predicts that programmatic will account for most of all digital advertising spend over the next few years. More than $65 billion is estimated to be invested in programmatic advertising by 2020, and over 86% of total digital display ads will be purchased programmatically in the U.S., according to the latest eMarketer report.
By using a mixture of data sources to give us and our programmatic partners an edge over the competition, we can target those audiences that are most likely to respond to your ad when it is displayed. This data is collected from:
- Website cookies that track user behavior
- First-party data, like your email list
- Third-party data, like demographic, income, credit info and more from data aggregators like Acxion, Datalogix, BlueKai, comScore, Experian and LiveRamp
This data is collected and used to make informed ad buying decisions. Now, if a person were to try to sift through all that data, they would never get anything else done, let alone launch an informed and strategic ad campaign. But with programmatic and the software-driven technology working on your behalf, you can ensure clicks and traffic to your site that lead to conversions.
Save time and increase ROI
Publishers focus on yield and want to sell their ad space for the most money possible, and advertisers focus on their key performance indicators (KPIs) and want to pay the least amount of money as possible for the exact right audience. What’s so great about programmatic is that it connects buyer and seller, allowing for an open biddable marketplace, and essentially democratizes media buying.
Perhaps the most important distinction is that instead of buying a specific site the traditional way, hoping you’re reaching your exact audience, programmatic is audience-based and data-driven, so the process uses advanced algorithms and rich data integrations to find your exact audience, regardless of site, across the internet. Because of this, you’re buying more efficiently and eliminating a lot of media waste.
Ad buying efficiency - Programmatic allow for better cost efficiencies, real time reporting and optimizations and overall more flexibility to work with dozens of media outlets, data partners, and of course tactic and targeting types.
Speed and scale - The programmatic advertising method automates the ad buying and selling, eliminating the unreliability and slowdowns that humans bring to the process.
Targeting relevancy - Programmatic helps advertisers leverage data to serve users with ads that are more relevant to them based on demographic, behavioral and intent signals. It allows you to choose exactly who sees your ads, meaning that you only pay for those ads that your chosen audience gets to see.
Programmatic advertising offers so many great digital media platforms and options for you to consider, from display, native, mobile, social, video out-of-home, streaming audio and even advanced TV (OTT). Plus, with programmatic, you’ll be able to track your audience across all their devices. Providing them a consistent message path and clear messaging will only make their journey to conversion easier.
To learn more about programmatic and discuss what options align with your strategy and goals, contact New Angle today!