What is programmatic advertising?
With the evolution of technologies, space has been created to develop new forms of advertising. In this sense, programmatic advertising is a type of online advertising that refers to an automated purchase of audience space on the Internet. It connects a brand with the user through a relevant ad at the right time and in the right place.
In other words, it is a form of display advertising that allows the advertiser to access a range of advertising space (called inventory) through website demand-side technology platforms.
Programmatic buying allows the advertiser to connect their brand with the target they want, at the time they want, and in the geographic location, they are most interested in.
Through Big Data, audience targeting is carried out, and the advertisement is directed to the right audience.
The programmatic advertising system is based on DSP (Demand Side Platform) algorithms that create relationships in the free spaces in different online media with the advertisers’ data regarding the target they are looking for.
Programmatic advertising seeks to establish a native advertising strategy, carry out good advertising planning in Social Ads, or create experts in the Google Ads display network.
Therefore, we could define programmatic buying as a new way of buying online advertising space automated.
Advantages of programmatic advertising.
Programmatic advertising offers a series of advantages. These include:
User targeting and personalized messages
With Big Data, we can get to know users in a much broader way regarding characteristics, uses, or type of online purchase. This data helps us carry out a greater segmentation of users that allows us to reach our target audience better.
In addition, segmentation facilitates better communication with our target audience and increases the precision in creating a campaign.
On the other hand, geolocation is one of the most widely used criteria, as it offers the possibility of providing the ideal product or service they are looking for it in a personalized way.
Various messages can be designed according to the profile of the audience.
1-Automation and agility in the buying process
Programmatic advertising is carried out in an automated way.
In this way, programmatic buying is managed through the combination of three platforms, which together offer a complete service: Ad Exchange, DSP’s and SSP’s.
2-Reach
Thanks to online platforms, we can reach a user anywhere in the world. This is due to the breadth of supply and demand in programmatic advertising in a globalized market.
The variety of media in which the different services can be offered increases this type of advertising; the reach is good.
3-Measuring results and optimization
Finally, data is abundant in programmatic campaigns, and for advertisers, this is of great value. Measuring this data offers the possibility to see what is working and what is not, as well as to readjust actions.
We are talking about campaigns that can be modified in real-time, so the time in which you can react is immediate.
This offers a great deal of control over advertising and the possibility of constant optimization.
How to develop an effective programmatic strategy
RTB and programmatic buying are becoming increasingly important for advertisers’ investment objectives by reaching an interested audience. But how do you get your target audience effectively?
1. Identify the campaign target well
First of all, as in any advertising strategy, we must define whom we want to target with our product or service. Therefore, we must establish our Buyer Persona to meet the needs.
To do this, the first step is to share points of view with the advertiser. Then, identify a moment to reach and match the customer persona with the programmatic strategy. This is a crucial phase that will determine the advertising campaign’s performance.
2. Select the channels
Secondly, we need to find a way to optimize our performance.
For example, a study on which channels are best suited to our campaign is a must to see how much to invest in each of them.
Factors such as price, click-through rate, number of impressions, or branding actions can help define the channels that best suit the strategy.
The tools used to achieve any action within the strategy offer a world of possibilities that evolves at a very high pace, so constant updating in this area is essential.
Programmatic advertising is based on agile optimizations, so it would be interesting to study the possibility of measuring results in real-time through the channels that are decided.
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