Currently, marketers have numerous digital platforms and technology that drive more traffic on the website. Brands and organizations have started to allocate a larger portion of their income into digital advertising as those platforms offer concise data to markets so that brands can engage with customers easily.
According to PwC’s Global Entertainment reports, it is predicted that by 2022, more than 50% of companies will go digital and spend half of their budget into digital advertising.
Thus, marketers are now focusing on Programmatic advertising. It is one of the fastest-growing fields of digital marketing. It offers many benefits to the enterprise.
Programmatic advertising is different from traditional advertising, and it is an advanced version of digital advertising. It is one of the ideal ways to target certain consumers in order to generate quality leads.
Hence, the future of programmatic advertising is brighter, and it is the best time to get started with it. A marketer can target their consumers by different customer segmentation such as age, gender, interest, geographic location, etc.
How Does Programmatic Advertising Work?
Programmatic advertising is a popular form of digital advertising that uses smart algorithms in order to display ads on selected platforms. Usually, companies spend the majority of their time working with different media and publishers in order to get their ads to display on multiple platforms.
This process is time-wasting and expensive. It’s like you have started an ad, but nobody clicks on that; therefore, it does not earn you either lead or money.
On the other hand, programmatic advertising allows you to target certain quality customers, which saves time and money. This is the cutting edge technology that brings efficiency, performance, and makes your advertising campaign successful.
Programmatic advertising is the ultimate powerful way to increase customer retention ratio and display your ad on plenty of relevant websites without contacting them directly.
Once an ad is bought with programmatic advertising, then machine learning algorithms evaluate the ad campaign on the following basis:
- Customer behavior
- Engagement reach
- Social engagement
- Geographical location and
The above data helps the system in planning and deciding what ad content is relevant to a particular user. Based on that ad is displayed on multiple platforms and able to attract maximum users towards the product.
For example, a user searching some websites related to “ food delivery.” The algorithm understands the user’s behavior and displays ads related to “food delivery app development” or “online food delivery.” Hence, it increases the efficiency of ads and makes the campaign successful.
Since programmatic advertising automates the whole process and you don’t need any middleman or salesperson, it is more economical and more effective than the traditional way of advertising. It is a personalized way of marketing and avoids human errors.
Pros Of Leveraging Programmatic Advertising
Programmatic advertising offers many benefits to the enterprise, and it does not work how conventional online ads do. In short, it automates the process and delivers a better result within a short span of time.
Usually, traditional digital ads focusing on show advertising on random websites to random users, it’s a waste of time and money if you have not studied the market before starting ads.
On the other hand, programmatic advertising ensures trust, generates quality leads, and displays it in front of relevant users. Therefore it would be easy for brand owners to filter quality buyers. Hence it is also known as “audience buying.”
One of the basic and primary goals your brand will get is that you can target a small group of audiences. Before a couple of years, Google conducted a survey and asked markets what was the most useful feature of a programmatic advertising platform.
More than 75% of the owners answered that they love multiple targeting options.
Another benefit of leveraging programmatic advertising is it uses AI and ML algorithms to generate better results. It means your ad performs better with time.
It is highly concise, personalized, multi-channeled, and uses smart algorithms, hence any advertiser who uses this advertising method gets a maximum ROI, and this is the only reason why brand owners have spent more money in digital media than traditional.
The Future Of Programmatic Advertising
The world is moving towards automation and digitization and using advanced technology such as machine learning in all spheres. Online advertising is no exception and one of the leading domains that use smart technologies in their daily operations.
As the concept of online advertising is increasing daily, hence it is impossible to maintain the same quality level with traditional advertising, so the future of programmatic advertising is bright.
Thus, we can say that the future of programmatic is the bright and ultimate smart solution of ad technology. Statista revealed that programmatic ad spending will grow up to $147 billion by the end of 2020.
Programmatic advertising is continually evolving and new technologies, regulations, and customers demand to make it better. Programmatic advertising simplifies the process and allows brands to track the real-time data of your campaign and you can do modifications mid-stream. If it does not work as per your requirement, you can change or stop it anytime.
In today’s mobile advertising industry, this is the hottest trend to adopt. Hence, this is the right time to invest in programmatic advertising and we hope this article helps you to take advantage of this platform, you will be able to target more customers and boost your sales funnel.