Programmatic marketing is simply a method used to target your intended market by incorporating sectors across demographics such as gender, age, geographic location, or social standing. It is an advanced marketing strategy that enables brands to advertise to specific users and in a particular context. Similar to paid search, the frequency of the ads per day can also be limited. Furthermore, you have the choice to choose which publisher your advertisement will appear. This type of advertisement ensures that your money will not be wasted. The ads you release specifically target your intended market, thereby making your advertisements highly effective.
When we talk about programmatic media marketing, buying, and advertising, we refer to the buying and selling of advertising space in real-time through an auction. An important thing to know about programmatic marketing is that the whole process is automated and happens in milliseconds. It’s performed in real-time and does not require human intervention, manual trading, or manual insertions.
In Programmatic media purchasing, the purchaser or the brand is allowed to make a customized message and creative to a specific individual, who is part of your target market, at the right time and in the ideal context. The brand will use audience insight to ensure that the campaign is spot on since they explicitly target their intended market and allow their ads to be more precise and customizable. This method is unlike the so-called “spray-and-pray” method in marketing, which is essentially advertising everywhere. The approach is less targeted since it focuses more on gaining a broader audience.
What Makes Programmatic Media Different?
The typical way of buying ads is by purchasing digitals ad space by ad buyers for their clients who require human intervention. On the other hand, programmatic marketing is automated, making the whole process of buying, positioning, and optimization smoother and useful as it is done through technology. It removes from the equation the hassle of making tagging requests, or insertion orders. Programmatic marketing is very efficient and versatile and can be used on different mediums like videos, apps, mobile phones, or desktop computers. This allows a brand to acclimate their advertisements on a medium that best suits their needs and preferences.
What is Programmatic RTB and How Does it Work?
For display advertising, the method used is Pay Per Click. It is different from how Programmatic RTB (Real-Time Buying) works. It is an automatic way of buying and optimizing campaigns through innovative platforms instead of buying it directly from publishers. The publishers, the sellers of the ad space, will make the space available so that potential buyers, advertisers, and brands would bid for that ad area. The buyers would set variables such as the amount they want to pay, and the target audience they want to reach.
The process is done in real-time through auctions that happen simultaneously as a visitor loads a web page. It occurs in a matter of milliseconds. The winner of the sale is chosen before the web page loads for the user. While the user is waiting for the webpage to load, all pertinent information concerning the website and the user is sent to an advertisement exchange. If it so happens that the user is part of the intended target market of a brand, then that brand is entered into the auction. The brand with the highest bid will get the advertisement space, and their ad will appear on the webpage once it loads. While the whole process may seem like it takes quite some time, it happens in a matter of milliseconds without affecting user experience.
What’s excellent about Programmatic marketing is that you can set the frequency, time, and amount that you’re willing to pay. It allows you to bid only on spots that fit your qualifications to enable you to focus on your target market. The main goal of the whole process is to increase not only efficiency but also transparency.
How to Differentiate A Normal Display Advert from A Programmatic Advert
It’s hard to know from first glance if the advert that you’re seeing is a standard display advert or a programmatic advert. If you really want to figure it out, take the time to consider if you’re part of the advertisement’s target market based on your information, such as your demographic and occupation. Suppose you’re not part of the target market. In that case, chances are it is a “spray-and-pray” display, which essentially means advertising everywhere as it focuses more on gaining a broader audience.
Programmatic Marketing the future of advertising?
Programmatic marketing has vast potential and is already moving into radio, television, and out of house advertising. However, it is still not entirely up to par as display advertising. Reports show that companies invest 60 million dollars annually on programmatic marketing, with numbers continuing to increase. This is proof that programmatic marketing is on its way to becoming the future of advertising. The numbers are proof of its impact on advertising.
There are many advantages to Programmatic marketing, and the best part is that it won’t break the bank. It’s perfect even for brands with a tight budget since they can still cost-effectively reach their target market.