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An Insight into Programmatic Advertising and Programmatic Media Buying Experience

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What is Programmatic Advertising?

Programmatic advertising is an automated process in which ad inventory is bought and sold through a bidding system. Advertisers, brands, and publishers use this advertising to purchase ad impressions on websites. This is an advanced and highly efficient way of displaying ads across the internet. This allows companies to show hyper-relevant messages to their target audience in order to build a larger connection.

With the onset of various programmatic ad platforms, many smaller brands are able to build a strong connection with their audience by accessing the power of programmatic advertising. It has a strong presence on various digital channels like display, social, mobile, and so on.


The History of Programmatic Advertising

You can say that programmatic advertising is a much more progressive form of display advertising in all aspects. Earlier, ads were displayed on websites where the deal between the publisher and advertisers was done in a traditional way.

The number of websites willing to display your ads was greater than the number of advertisers. With the arrival of ad server platforms, the whole buying and selling process was turned upside down. These platforms give you a platform where you can advertise your product or services on multiple sites at a much more economical rate. This brought another term into existence called ‘Real-Time Bidding.’


Types of Programmatic Media Buying

Real-Time Bidding

Real-time bidding is the term used to buy and sell ads through live auctions. It is highly efficient for companies that want to re-target their potential customers. For instance, if a person visited a company’s website to check on a particular product but did not make a purchase, the company tries to retarget them on other websites by showing the exact product that they were looking for. This practice increases the chance of sales conversion to a great extent.

Real-time bidding is a type of programmatic advertising technology as it is a way to automate ad buying. Preferred deals, programmatic direct, and private marketplace are other types of programmatic advertising.

Private Marketplace (PMP)

As the name suggests, it is a closed auction where advertisers can buy premium ad inventory on an invite-only basis. It is a phenomenal option for targeting a mass audience. It is a much more refined approach that gives clear insight into the reach, conversion, and performance of the ads to the advertisers. The exact return on investment can be calculated using a PMP.

Preferred Deals

Advertisers can use preferred deals to select ad inventory before it is made available on a private marketplace. They can select the deals at a fixed price. The parties involved in this deal predetermine the price, target, and platform, which makes it a niche approach. An advertiser gets a glimpse of the ad inventory to make an informed decision. However, they are not obliged to make a purchase if the advertised goods do not solve their problem.

Programmatic Direct

This type of programmatic media buying does not have a bidding process. It is based on one-to-one interaction between the advertiser and publisher. Both parties agree to a common term and the ad inventory is sold. This is used by companies that have a huge advertising budget and know their target audience. It gives control of frequency capping, audience targeting, and prices.

Programmatic ads use multiple channels to reach a wider section of the audience. It is an innovative approach in the world of advertising.



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