What is Programmatic Media Buying? And why you should care!
Updated: Jun 21, 2022
Do you struggle with Digital Ads? Let us guide you.
Any organization can move forward with small incremental changes, but building for the future in today’s rapidly evolving environment means taking bold chances and making insightful decisions.
You might ask what Programmatic Display Ads are in the first place? Well, let us explain.
Simply put, programmatic display advertising is a way to automatically buy and optimise digital campaigns, rather than buying directly from publishers. It’s designed to replace human negotiations with machine learning and Artificial Intelligence (AI) optimisation. The goal is to increase efficiency and transparency to both the advertiser and the publisher. This is done through real-time auctions where ads are bought at the same time as a visitor loads a website.
Definition of Programmatic Display Advertising:
"The use of Artificial Intelligence and machine learning to buy advertising in real-time, instead of going through human negotiations and pre-set prices."
Who uses programmatic?
Programmatic advertising exists in a wide range of digital channels, including display, mobile, video and social. Traditional offline channels are well on their way to become digitized, too.
We’re starting to see out-of-home channels advertise programmatically through digital screens on bus stations, shopping malls, and billboards.
Previously, programmatic display ads were reserved for larger budgets, but the rapid rise of self-service tools gives smaller brands increased access to the technology and offers them the ability to compete with larger brands without going through expensive middlemen.
There are many benefits of Programmatic Ad’s which definitely override the traditional form of advertising.
Enhanced targeting strategies, programmatic abilities to target the right audience is unmatched by other forms of advertising and one can quite literally target any number of demographics, as well as choose the time of day you’d prefer your advertisement to be seen. (refer for more strategies below)
You can even target users based on their interests, browsing behavior and the location.
Making use of Programmatic Advertising can also give you a better return on investment, by the reduced waste and targeting, this allows you to create a more effective campaign with a smaller budget. Compared to traditional marketing means of buying ad space, programmatic advertising is considerably cheaper.
Another major advantage is tracking capabilities. One literally has the ability to track those users who have been served the ad, this grants you to not only look at the total number of conversions, but also the value and category of each individual conversion you’ve gained from those who have clicked on your ad’s.
Is Google Adwords a DSP?
Technically, yes, Adwords (or Google Ads as it is now called) is a type of Demand-Side Platform – but it’s only limited to Google’s inventory. Even though the Google Display Network has access to a large percentage of the world’s websites, there are places where they have no reach. One of the main benefits of using a 3rd-party self-service programmatic DSP is you get access to inventory that isn’t covered by Google’s ad network. Facebook display ads, for instance, are not part of Google’s ad inventory. This means if you run your campaigns through the Google Display Network they will not be displayed on Facebook.
As an advertiser you’d generally want to have access to as much inventory as possible.
Especially when running programmatic advertising campaigns, since this increases your chances of finding profitable placements.
Example of Programmatic Display Ads and Strategies
V5 Digital, your Programmatic Display Partner in Sub-Saharan Africa
Together with our collaboration partner, we have more than 13 years’ experience in the Southern Africa Region and we understand the need for Ad’s that need to be built with a strict Corporate Identity.
Our Dynamic creative Optimization (DCO) offers full-on customization on your template so that it sticks to the Company CI. Dynamic creative is the ability to build a mass amount of banner versions and assign a custom targeting to each audience. This results in an increase in the click-through rate. We can also use the different versions and run Auto-Optimization, to see which version performs best.
Many Programmatic ad-serving tools use a templated approach that produce very similar looking ads across all the brands that they serve. V5 Digital recommends our ad-serving tool which is a non-templated approach to programmatic display.
This means that we build the ads according to your company CI, and you can determine which elements are dynamic.
Contact V5 Digital today and get started with Programmatic Marketing.