Digital advertising is a rapidly growing sphere and marketing on digital platforms today is more exciting than ever. With the growing demands of the people online, marketers need to catch up with trends, make sure the audience is kept engaged and also not overspend the budget. Let’s be honest, there is a lot going on here.
The solution to keeping the stress levels down is to adopt new technology that makes our lives easier. Programmatic advertising is one such boon to an advertiser. It is a fast-paced technology that puts the control of spending back in the hands of the advertiser or digital marketer. Quoting our favourite friendly neighbourhood superhero, “with great power comes great responsibility” and it is the duty of the advertiser to be transparent. This, unfortunately, is not the case every time.
With growing demands, we see less and fewer people being transparent. We can address this issue by automation and therefore reducing ad fraud by increasing transparency. This also helps us to measure the return on ad spend with maximum accuracy.
What is programmatic advertising?
Programmatic advertising is the automated purchasing of media or ads on the different digital platforms such as social, mobile apps, display and even audio. It is the new rage of buying and optimizing ads in digital advertising today. It is the process of selling ad inventory on publishing sites, buying inventory and placing it on third party sites.
This has multiple advantages as an advertiser can create an ad impression when a user visits a website using programmatic advertising. With this type of advertising, you can get a more targeted or focused response in real-time leading to increased conversions and higher engagement. Programmatic advertising is different than Google Display advertising as it allows the marketer to place ads on high content publisher web pages like newspaper sites, web magazines etc that have high user engagement.
Here are the top 5 reasons why you as a digital marketer must adopt programmatic advertising today:
1. Reduce Ad Fraud
Did you know that a good chunk of display advertising is lost to unwanted and invalid traffic hence wasting budget? A research says that 22% of video spending and 9% of display ad traffic is wasted on bots. In a huge advertising country like India, the numbers are even higher. What is the solution to this? Programmatic advertising helps eliminate this by giving publishers complete control on their target audience. They can also block bots and other types of fraud using this platform. Programmatic advertising reduces budget wastage, avoids slip through and gives focused results.
2. More Relevant and Contextual Ads
More than 50% of Indians use an ad-blocking tool. The reason behind this is that they are bombarded with unwanted ads from the moment they are on the internet. Some advertisers do not give heed to consumer privacy. Users are almost every time shown ads that are completely irrelevant to them. Offers that have long expired, products that they’ve already purchased or not interested in and tickets that they’ve already bought. These negative experiences by consumers leads to them blocking ads on their browsers. Programmatic ads use CRM and customer loyalty data to target the audience and increase relevance. This helps advertising run smoothly and bring the right ads to the right audience. These ads help you focus on strategy while they do all the heavy lifting. Unlike Google Display ads that scream that they are an ad to the user, programmatic ads are subtle native ads that create a positive experience to the user. They mimic the web pages they’re displayed on thus being contextual and in alignment with the look and feel of the page.
3. Ads Are Delivered In A Brand Safe Environment
What is brand safety? It is to stay within the limits of what a brand has to offer without false advertising. This is one of the top concerns of digital marketers today. Advertisers feel that the content and the essence of the brand is being lost along the way through advertising what the brand format stands for. They need to be vary of the fact that their ads shouldn’t be shown alongside content that is racist, pirated, adult or objectionable. Programmatic advertising can help with this by reducing the likelihood of their ads being shown at unwanted places, increasing brand safety. The platform has standard quality bars and screen the ads to eliminate any unsafe ones.
4. Buy More and Pay Less
More than 60% of the advertising budget goes in intermediate fees. Programmatic advertising is transparent and allows you to see how much is really being spent on the ads. It gives back at least 20% of the ad budget! With this, one is able to judge if they are getting back the right results for the amount they put in. The excess money that is remaining can be used to buy more ad inventory thus reducing your overall CPM.
5. Advancements in Ad Technology
Machine learning today has made the unimaginable possible in the advertising sector. It’s predictive spend recommendations and forecasting campaign performance is helping advertisers run ads better. Ads today are becoming smarter, faster, programmatic and mobile. The path is only upward from here.
What does the future hold for programmatic advertising?
Top marketers have already started to see the advantages of programmatic advertising and it is here to stay. By the end of this year, we would have reached $84.9 billion in ad spend with two-thirds of all display advertising turning programmatic. If you are a digital marketer and aren’t already aboard this train, we suggest you get on it asap! Take charge of your advertising, be safe and enable more automation through programmatic advertising.
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