Programmatic advertisement purchasing refers to the use of technology to automate and optimize the advertisement buying process. Simply put, it replaced the traditional ways which required human negotiations and manual insertion orders, with machines. It made life a whole lot easier and advertisers are effectively able to better engage with consumers – thanks to machines.
Many people have heard of programmatic advertisement purchasing, but few actually know what it is really about. It actually uses artificial intelligence (AI) which are simply put, are complicated algorithms performed by machines to analyze data. With the amount of big data accumulated, companies are able to use AI to reach a smaller targeted audience which are more highly likely to reciprocate. Thus companies are able to launch a more targeted and optimized advertising campaign with the use of programmatic advertising.
Programmatic ad purchasing promises two main objectives: efficiency and relevancy. It is more efficient as it cut down all the lag time and extra processes that are now not necessary. The traditional ad buying process required having to deal with a sales person, and having negotiate prices and impressions. When both parties are satisfied, they then sign an insertion order. With automation, all these processes have been made simplified.
Ads are also made more relevant through programmatic ad purchasing as the emphasis can be placed on who views the advertisement, rather than where an advertisement is placed. It uses automation together with data and uses predictive analysis to determine which audiences to target based on the company’s campaign goals and key performance indicators (KPIs). With programmatic ads, a company is able to reach target audience segments which are more likely to reciprocate. Thus, this helps get the brands to reach their KPIs faster, and it gets more bang for your dollar.
Some marketers are reluctant to try programmatic advertising because they are afraid of fraudulent ads. However, this is not a concern they should be having as it is programmatic ads can actually avoid that. The automated technology is better able to pick up fraudulent patterns and thus steer away from it.
Hence, it is definitely worthy for businesses to engage in programmatic marketing and the market for it is definitely increasing. It’s definitely time for those businesses who have yet to hop onto the bandwagon, to do so.