There are a lot of people tossing around the term "Programmatic" these days. Nonetheless, not everyone who has adopted this buzzword actually understands just what it is.
The idea of programmatic advertising spans a broad range of technologies that have virtually automated the methods of purchasing, placing and optimizing advertising. The human element has been replaced. Phone calls, faxing and lunch appointments are no longer a necessity for buying and selling advertising. With the new programmatic technology, marketers can purchase ads just like they would buy an item on Amazon or make a bid on eBay.
As much chatter as there is about this new form of marketing, you'd think that the entire advertising universe would have at least started to utilize it, but in actuality, it's still sitting on the ground floor. However, the elevator is rising and anyone who wants to stay competitive will soon be fully onboard. It is projected that in the U.S. alone, the spending on programmatic marketing will reach 9.8 billion by the end of 2014. That equates to approximately 20% of the digital ad market.Continue Reading
The technology that drives online advertising is continually improving. In an effort to make the purchasing of ad space more efficient, new methods are constantly being tried and tested. Currently, those that buy media ads are leaning heavily towards making programmatic buying a part of their online marketing program. Real-time bidding is the backbone of programmatic buying, and last year the revenue from this RTB reached $1.6 billion. It is speculated that by the year 2017, 34% of all display-advertising revenues will come from RTB, and soon, programmatic buying will be a must for anyone who purchases media.
Programmatic buying automates all of the processes that, in the past, have caused headaches for advertisers. This automation has made programmatic buying a very powerful tool. Now buyers using RTB can set parameters, such as bid price and network reach. A programmatic purchase can layer these parameters with data that reflects the behaviors and information of a targeted audience ... all within the same platform. According to CRO for Simpli.fi, James Moore, "This means marketing professionals can define the budget, goals, and attribution model while the platform rapidly adjusts dozens of variables in real time based on performance to determine the right campaign settings to achieve the desired ROI." Online advertisers can spend more time working on creativity and less time pouring over spreadsheets, thanks to the algorithms that filter impressions based on the behavioral data of the targeted demographic.Continue Reading