Programmatic has been the buzzword in the ad tech industry for quite some time now. However, many publishers still struggle to work with programmatic and understand how they could benefit from it. Here’s an article that dives deeper into programmatic ads and highlights why it must be in your ad stack to increase your revenue in 2020.
What is Programmatic?
Programmatic involves automated purchase and sale of ad inventory in the digital space through a bidding system. This is done by opening up the inventory to a wide range of advertisers where they can bid on ad space to connect with their relevant audience. The higher the number of advertisers, the more the competition for publishers’ inventory, thereby resulting in better bids and greater revenue. There is a reasonable push for programmatic advertising as it is automated, is conducted in milliseconds and is a fairly transparent process.
3 Reasons Why You Should Make Programmatic a Part of Your Ad Strategy Today!
- Highest possible revenue with effective targeting
The biggest advantage of programmatic advertising is that it allows you to open up your ad inventory to a wide network of advertisers which is not humanly possible with any other form of digital advertising. This is done by an automated bidding system where a number of advertisers can optimally bid for online real estate to ensure their ads are seen only by a relevant audience. Programmatic advertising also allows you to be as precise as you want in your targeting. This means you can target your audience with the right message, in the right place and the right time. With the help of IP targeting, you can aim your campaign towards an exact IP address as well. Advertisers can also target consumers according to their interests and now wish to spend more to capture the attention of users displaying high-intent. Higher bids from competing advertisers lead to an increase in the value of ad inventory, thereby boosting publisher revenue.
- Expansive channel and format reach
Programmatic advertising is one of the most sophisticated and effective ways of reaching out to your potential customers. With programmatic, you can connect with your audience on various devices such as mobile, desktop, tablets, via TV or even out-of-home and via various formats such as display, video, native and social, digital out-of-home or television. Recent introductions in these ad formats are Connected TV where brands can reach out to their audience via their Smart TVs or OTT devices, and Voice where brands can interact with consumers about their product over smart voice devices like Amazon Alexa. Hence, the possibilities of reaching out to relevant audiences expand, programmatic is gaining much more importance in the digital advertising space.
- Greater transparency and control
Unlike traditional advertising, programmatic offers more transparency as you always know where the ads are showing up on your websites. With programmatic, transparency is front-and-center and this helps publishers get a clearer picture of the path their ad revenue takes and cuts out any chances of ad fraud. There is a significant push from ad partners for programmatic as this transparency is a key factor in strengthening relationships between SSPs and publishers. Another major advantage of programmatic advertising is that you can track your ad revenues in real-time via a dashboard. You get to monitor and control the ads being shown on your websites, also in real-time. This helps publishers stay on top of the creatives shown to their audience, and the advertisers involved in this process. Blocklists help publishers keep certain types of creatives (possibly offensive) and advertisers (competing brands) from showing up on their sites. This goes a long way in keeping user experience intact, building a brand-safe environment, and making the most efficient use of your ad inventory.
The days of exhaustive manual dealings are now behind us as publishers and advertisers are now consistently leveraging the benefits of programmatic advertising. If you’re a publisher who hasn’t jumped on the bandwagon yet, then you are not only losing out on revenue but also run the risk of playing catch-up in an industry where programmatic has become a standard form of effective digital advertising at scale.