What is programmatic advertising?

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Digital ads have changed the landscape of advertising. Most of the advertiser’s digital investments are now focused online and exceed those dedicated to television advertising. The main evolution concerns display and the role of programmatic advertising. Based on algorithms, big data and human expertise it is a boon for advertisers wishing to reach a specific target group as programmatic allows them to serve a banner to the right audience, at the right time, and the right place.

How does programmatic advertising work?

Programmatic facilitates the purchase of advertising placement. Unlike conventional display, which offers the possibility of booking them in advance, programmatic advertising allows publishers to sell their advertising space via a bidding system to the highest buyers sometimes in real time (RTB). A wide range of tools allows media trader to reach targets in a precise way by targeting device, demographic, localisation… or using relevant formats and algorithms according to the advertiser’s objectives.

Programmatic’s vocabulary

Programmatic has changed the face of online advertising and brought a specific and technical vocabulary along the way. Adexchanges are automated platforms connecting buyers (advertisers, agency) and sellers (advertising agency, publisher support site). Trading desks handle the purchase of advertising space on behalf of advertisers using a DSP (Demand-Side Platform) which allows them to manage campaigns on interfaces such as Appnexus or DV 360… Publishers monetize their site’s advertising spaces via selling them on a SSP (Supply-Side-Platform) in an automatic way. Data management can be done on a DMP (Data Management Platform) in order to use those data for targeting purposes such as sociodemographic profiles, interest, purchase intentions and so on…

Why start programmatic advertising?

Programmatic advertising optimizes brands and advertisers’ strategies and adapt them according to the target audiences. With programmatic, advertisers are buying “audience” instead of advertising placement (classic media planning). There are different reasons why you should go for programmatic campaigns. Brands have the opportunity to reach their target on every device (desktop, mobile, radio, TV, social network, tablet…), to connect with their audience and to deliver engaging content in order to gain notoriety or get new leads. Personalisation is the future of marketing and programmatic advertising is the answer to this problematic. Thanks to technologies, using data allows us to customise messages in real time to show ads that are relevant and less intrusive. Generic messages have less impact whereas customised content can create engagement. The goal is to get an audience that participate and interact with the brand.
The concept of “lovebrand” is growing in the digital age. Consumers no longer want to be passive, but they want to get an active role for the brands they like. They are able to alter or elevate the image of a brand. With this new dynamic, it is imperative for brands to create relevant experiences for their target. Programmatic can make brands access quality inventories in a multitude of formats and generates engagement while being able to measure the benefits. With algorithms and data, programmatic advertising enables publishers to reach their objectives effectively. Thanks to new technologies, they can reach/contact their target on a range of media with customised, relevant and engaging messages.

You would also want to start programmatic advertising? Contact Gamned! experts to talk about your next campaigns.

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