In case you’ve been online lately, you might have noticed that ads are getting a little weird. You might see ads for things you were talking about with your friends or for products that seem like they couldn’t possibly be relevant to you. This is programatic advertising in action, and it’s becoming an increasingly important part of marketing plans worldwide. But what is programatic advertising, exactly? And more importantly, how can you make sure that your company takes advantage of it? Stay tuned to find out!
What is Programatic Advertising?
Programatic advertising is a form of online advertising that automates the buying and selling of ad space. Using big data, computers match ads to relevant websites automatically, allowing companies to target consumers more closely than they ever could before. Say you notice an ad for something you were talking about with your friends or an ad for a product that seems like it couldn’t possibly be relevant to you, there’s a good chance that it’s because of programatic advertising.
For now, programatic advertising only really works on the internet (because that’s where all the data is). However, it has lots of potential uses in other media too. For example, if someone sees an ad for your company while watching TV, it might be because your company paid to have that ad put in front of them or they’re demographic.
For programatic advertising to work, companies have to collect much data about their consumers and what they’re interested in buying. Luckily, this isn’t a challenging task nowadays, thanks mainly to social media posts and internet browsing histories that users give up freely. That’s why you start seeing ads for things you were talking about with your friends or ads for products that seem like they couldn’t possibly be relevant to you.
But wait a minute…
If programatic advertising is so effective, why hasn’t everyone been using it from the beginning? Well, there’s no denying that it works. It brings in more money than other forms of advertising, and it helps advertisers reach consumers who would otherwise have been tough to target. As far as ROI goes, programatic advertising is probably the best way to spend your marketing dollars out there today.
The problem is that some people are worried about what happens with all this data. This advertising can easily lead to privacy violations if a company gets hacked. Also, there have been cases where a company has used consumers’ personal information to profile them unfairly or discriminate against them, which isn’t cool. Advertisers also need to be careful not to track people around the internet so much that they freak people out and lose their trust.
For programatic advertising to work without blowing up in your face (figuratively), you need to make sure that it’s transparent about what data it collects and how it uses it. Suppose someone sees an ad for something they were talking about with their friends or an ad for a product that seems like it couldn’t possibly be relevant to them. In that case, that should probably be fine (because companies don’t usually bother doing anything creepy with that sort of data). However, if someone sees an ad for something weird, make sure they know why it’s there.
But at the end of the day…
Programatic advertising is here to stay. If you want your advertising dollars to go as far as possible, programatic can’t be ignored anymore (especially since it will probably only get better and more accurate shortly). Your ads might get a few weird looks at first, but you’ll see results before too long! The most reasonable thing you could do is make sure that your corporation knows what it is and how it works (so that everyone stays happy) and start getting ready to do some online advertising.
What are the Pros and Cons of Programatic Advertising?
The pros of programatic advertising are pretty obvious. By allowing computers to match ads to relevant websites automatically, companies can target consumers more closely than they ever could before. Instead of buying ads on the TV in cities where they think people might buy their product (which is an inexact science at best), a company that uses programatic advertising can put their ad only in front of people who have already visited their website. This allows them to understand better how well a campaign is performing and what kind of ROI it’s giving them.
However, there are some significant cons as well. For one thing, it’s often not clear why specific demographics seem to be more susceptible to programatic advertising than others. This means that you have no way of knowing if your company’s ads are hitting the right people or wasting money on demographics that aren’t interested in their product. This makes it much more problematic to find out which campaigns are working well and which ones need improvement.
Another problem is that companies who use programatic advertising often don’t know anything about the websites where their ads appear. Since so many sites don’t disclose exactly what kind of information they collect from users, this can lead to some serious privacy concerns. Moreover, since companies don’t know where their ads appear, they also have no idea whether or not those sites are safe for viewing.
These are certainly issues worth thinking about before you jump into programatic advertising.
How Do I Start Using Programatic Advertising?
The first step in using programatic advertising is to decide what you want your ads to do. Are you trying to drive more traffic or sell a specific product? The answer to this question will help determine the data and metrics you need for your campaign to succeed. Once you’ve figured that out, it’s time to find a good ad platform where you can run those ads. These platforms usually allow bidding on specific demographics and setting up cap limits and budgets.
After that, please sit back and let the programatic advertising system do its thing! If everything goes well, your company could see an impressive ROI down the road.
If you’re still on the fence about programatic advertising, maybe some of this has helped tip things in favor of your decision. However, there’s a good chance that you may still have a few questions or concerns that need to be addressed before you make a decision either way. For example, does your business need to use programatic advertising? Are there any other options out there? What are the potential consequences involved with getting it wrong?
These are all valid questions, and they don’t necessarily have simple answers. Fortunately, we offer courses for those looking to get their feet wet with digital marketing.
What’s The Big Deal Using Programatic Advertising?
As mentioned above, programatic advertising allows companies to target consumers more closely than they ever could before. This means that you can get more people interested in what you’re selling while spending less money getting the word out there. But how does this work? Well…
If someone sees an ad for something on Facebook, it might be because they’ve been talking about similar products online or because they have a history of buying similar products. Yet, it might just be a coincidence! However, if someone is already thinking about buying a product when suddenly they see a Facebook advertisement for a better price elsewhere, they’re more likely to click on the ad.
Programatic advertising allows companies to target consumers on Facebook with explicitly designed messages. Either way, programatic advertising is helpful because it allows marketers to see if their messages are working. It helps them get their messages in front of more people who might be interested at the same time.
How Can You Get Started with Programatic Advertising?
Getting started with programatic advertising is surprisingly easy. Everything you have to do is sign up with a programatic advertising company like AdRoll or a bid manager. Then they’ll manage everything for you, giving you reports that show how many people clicked your ads every day! It’s that simple! Ensure your product or service is relevant to what people are searching for online (or that you advertise through alternate channels).
Programatic advertising will only grow in popularity over the next few years, so it’s essential to jump on board now if you’re interested. It allows businesses of all sizes to spend less money promoting themselves online while still getting their products out there for people who are more likely to buy them. If you’re a marketer, this is a good option for you. If you’re still not sure what programatic advertising is or if it’s right for your business, feel free to contact us today!