How to Target Right Real-Time Audiences with Programmatic Advertising
Ever wondered how big brands make such a precise impact on their end audience that result with enormous ROI? There could be many key factors behind this, but the prime role is played by the marketing team who makes sure to promote their product or services in a way that it directly satiates the requirement of customers or clients, respectively.
Undoubtedly, it can be assumed that the current trend offers marketers a greater share of advertising budgets, especially for the digital channels. You must be thinking an apt reason is behind this, right? It’s just because majority of the digital advertising platforms offers almost precise data to the marketers which ultimately helps in reaching right target audience more easily and effectively at the same time.
Many companies have also experienced lack of desired results even though they have best of advertisements made and have not been able to display at right time and at right place.
Many things contribute to this kind of specific and controlled advertising. Regardless of company’s size and location, there is observed growing need of making advertisements more personal and at the same time more localised. This is where programmatic advertising comes into picture.
Programmatic Advertising - The Need of the Hour
[Image credit: Marketing Land]
The most effective advertising today is programmatic advertising that enables marketers to target specific category of audience. The end audience is evaluated on the basis of:
- Demographics - age, gender, social status and others
- Geographic location
Different advertisers of comparative sizes first evaluate how to identify target audience more effectively and reach them where they actually locate. This is done on the above mentioned two parameters. Usually, it has been observed that location-based advertising ends up with better performance along with deeper insights for marketers of all shapes and sizes that vary widely from state-to-state and city-to-city. Thus, briefly stating, programmatic advertising is location-based advertising.
According Kritter, "The history of programmatic advertising was somewhat linear, one innovation leading to another one. What you and I consider as "programmatic advertising" is real-time bidding."
Along with all these things, paid search helps to monitor the frequency of the ads as well as controlling the ads to a specific time of the day. This helps in deciding which platforms you want to display your ads for the specific publishers. Those days are gone where buyers need to remain in contract with specific publishers for running certain number of ads for a specific time period.
Programmatic Display Advertising: Understanding basics
Programmatic advertising helps to automate decision-making process of media buying by using software to target specific audiences- quoted by Marketing Land.
In other words, Digiday defines it as: “The use of software to purchase digital advertising, as opposed to the traditional process that involves RFPs, human negotiations, and manual insertion orders. It’s using machines to buy ads, basically.”
In simple words, this programmatic display advertising is when you use intelligent software to automatically buy digital advertisements. This is also known by other names that includes programmatic media buying, programmatic, real-time bidding (RTB) and of course programmatic advertising.
When you run any programmatic display advertising campaign, you will generally go through following-
- Buying an ad space through an ad exchange
- Entering your bid against your different competitors
- Serving of the ad in case if you are highest bidder
Reasons to Adopt Programmatic Display Advertising
Buying more ad impressions and paying less intermediary fees
The programmatic ad platforms provide complete transparency to the cost chain by helping you save some amount from the wasted budget. Generally, typical ad buy involves multiple intermediaries – such as agencies, DSP, Ad exchanges, SSP, and publishers that wastes almost 60% of the budget and goes towards intermediary fees.
Reduction in fraud AD display
A good programmatic ad display platform offers marketers with complete control of the publishers they want to use to target audience. On the other hand, by traditional ad display method, some significant proportion of display advertising budget is lost to invalid traffic that involves different fraudulent means and bots that are deployed to divert the hard-won budgets.
Delivery of ads in brand safe environment
Generally, with the help of a programmatic platform, one can minimize the possibility of your ads being run in an unsafe environment. On the other hand, the traditional advertisements sometimes end up with showing up alongside objectionable or offensive material such as racist, pirated, hate or adult content; which definitely is a huge point of concern.
Ads becoming contextual, relevant as well as respectful of consumer privacy
Programmatic ad platforms helps to avoid disconnected experiences by leveraging consumer and prospect data integrated from various sources. On the contrary, the traditional advertisement experiences enormous rise in ad-blocking behavior that is due to most irrelevant and non-contextual targeting.
Experiencing rapid advances in ad technology
Programmatic buying is heading towards rapid advancements in terms of technology too. One type of technology advancement is in the core programmatic tech stack through machine learning. The other one is advancement at the channel level where newer forms of digital channels are emerging that only programmatic can tap into.
Summary
Programmatic advertising not only helps in delivering a massive level of transparency along with detailed insight but it also creates an opportunity for many top as well as emerging brands to get engaged and also target in near real-time with the right audiences.