Key Programmatic Advertising Benefits

The newest wave of digital advertising is one you’ll want to take advantage of. Programmatic advertising is on the rise—and we wanted you to know how it can improve your ad investment. So, what is programmatic advertising? And how are programmatic advertising benefits relevant to you? Let’s take a look.  

First things first: What is Programmatic Advertising?

The simple version: Programmatic advertising refers to the process of how ads are bought and sold in the advertising world.

Programmatic advertising uses AI and real-time bidding to efficiently streamline the ad buying process. It is a true multi-channel strategy, as it casts a wider net on multiple platforms.  

Programmatic advertising differs from standard advertising platforms because this method uses real time data to analyze user behavior to ensure ads are shown to the right audience. With other platforms like Google, Meta, Amazon, etc, you are limited to stay within their own placements. But programmatic advertising allows you to break that wall and run your ads outside of those limitations. In other words: it’s helping to optimize ads to drive success.

Strong Programmatic Targeting Capabilities

Reaching the right people more effectively is just one programmatic advertising benefit. Unlike standard advertising platforms, programmatic advertising offers expanded targeting capabilities, which include:  

1. Audience targeting: Consumer characteristics like income, age, gender
2. Behavioral targeting: Website history, purchase history, product/service interest
3. Contextual targeting: Content relevance based on the page and the ad
4. Geotargeting: Location-based targeting like state, city, zip code
5. Retargeting: Based on users who have shown interest in your brand but have not taken action
6. Cross-device targeting: Shows ads between one consumer device to the next
7. Lookalike targeting: Shows ads to people who look and act like your target audience

Programmatic platforms combine media buying with data management platforms to collect and analyze cookie data. For example, after a user visits a website, a real-time auction happens to decide who “wins” the ad placement based on the targeted audience and bid strategy.

Different Types of Programmatic Ads

What’s the best way to get your ideal audience to your site? That depends. A large variety of creative formats can be run, based on what you think will resonate most with your target. Some types of programmatic ads include:

1. Display Ads: Eye-catching ads seamlessly displayed on websites
2. Native Ads: Ads made to match the natural content on your feed/website
3. Audio Ads: Ads inserted into digital audio content
4. Connected TV (CTV): Video ads are shown in a streaming service on a TV
5. Video Ads: Video content to show the products or services
6. Digital Out-of-Home ads (DOOH): Digital billboards, signage, and displays

Get Rid of Ad Fraud

If you’ve run display campaigns in the past, you know that some traffic can be fraudulent, aka bots. Programmatic technologies have shown to significantly reduce this problem by analyzing the behavior of the user to identify fraudulent traffic. The technology quickly learns which leads are lower quality, allowing you to stay in front of the people more likely to convert. Programmatic advertising will ultimately save you money and increase your ROI—especially important when marketing during a recession.

Efficient Use of Time & Resources

Using AI for your marketing can give you loads of segmented data about your audience. In the case of programmatic advertising, AI uses algorithms to secure the best placements and leads based on the information you provide about your campaign: budget, audience, goals, conversions, locations, and so on. The AI determines which ads will run and where they will be placed. Human analysis takes much longer. This platform is a time saver—allowing marketers to reduce tedious, manual tasks and focus more on the main goal of campaigns.

You maintain control over the campaign.

Take Action with These Programmatic Advertising Benefits

The world of digital advertising is constantly evolving, but programmatic advertising is here to stay. The key to being successful with this platform? Having a clear plan and end goal for your campaigns. With a partner like US Digital Partners, you can stay in the know and reach your programmatic advertising goals.