The word programmatic is derived when two critical terms in the digital advertising world are clubbed together: program and automatic. It has become an integral part of marketers and advertisers worldwide, ensuring businesses of all types reach their target audiences.
But, what is programmatic? While the term may seem very complex and hard-hitting, the concept is pretty simple. Even amateur advertisers can quickly grasp it and effectively use it to further brand names.
Understanding Programmatic
Advertisements are critical to any business as they hold the power to make a powerful and lasting impression on the minds of audiences. Invariably, marketers use various tools to make the most of their ads. Programmatic is one such powerful tool, and although the concept is relatively new, it has already started making massive ways in the digital advertising world.
Programmatic is the use of sophisticated software to automate advertisement management and purchase and measurement processes effectively. In straightforward terms, it means to buy digital advertising using the software.
It does not involve proposals, quotes, negotiations, and tenders like traditional advertising. In contrast, it uses algorithms to buy and sell valuable ad space online. The process is highly effective as it uses online targeting and traffic data to drive better ad results, enabling marketers to enjoy a greater return on investment (ROI).
How to Use It Best?
Based on data, marketers in the US spend a whopping $61 billion annually on programmatic advertising. That’s how effective this form of digital advertising is, with estimates stating that the above amount will double over the next few years.
The following are critical steps to ensure that you use programmatic to the best of your ability in your digital marketing campaigns:
- Research Your Market
No matter the effort you put into creating an advertisement, it will not succeed unless you know enough about the marketplace. Therefore, the importance of thorough market research can never be overstated, especially if you are venturing into the field for the first time.
Get to know various marketing spaces, tactics, and terms as a first step. Next, determine what type of advertising will work best for your company and which markets to target. Finally, ensure to collect the performance data of each advertisement, as it will help you determine what kind of ads to plan for next.
- Know Your Advertising Goals
You now understand what is programmatic advertising, how it works, and which ads to create. The next pivotal thing to do is chart out your advertising goals as clearly as possible. For instance, plan a reasonable budget, have detailed discussions with your marketing team, and set achievable targets for all. You can use existing data to determine these things and increase awareness among your team. All this will eventually help you determine your long-term and short-term advertising goals.
- Keep Your Target Audience in Mind
Creating ads for diverse audiences for its sake will not make them effective. You need to know what will click with your target audience and jolt them into action. So, always feel the pulse of your existing clients and create ads that will work to keep them loyal to your brand. Moreover, such reach will help you draw in new customers quickly.
Similarly, programmatic advertising should not necessarily lack human touch simply because it uses algorithms to manage ads. You can choose platforms that offer half-automated and half-managed services for a more creative approach. Here, you can designate skilled and experienced marketers to control, plan, and optimize your ad buying power. This is an excellent way to perfect the combination of automation and human intelligence.
- Protect Yourself from Fraud
It is a bitter reality that not every online platform is reliable and genuine. Online ad frauds can cost markets millions of dollars in losses each year, causing a strain on hardworking and diligent marketing employees. Therefore, it is essential to protect your business and brand from ad frauds of all types.
But how can that be done?
You should compare the budget with the reach because marketers often become obsessed with the reach and neglect to pay attention to the budget details. This leaves their programmatic advertising vulnerable to fraud through bots. So, if a digital marketing deal looks suspiciously good, it may not be a wise decision to trust it.
- Use the Right Platforms
Sometimes, good-quality ads end up on websites that promote unverified news and other gossips. This can end badly for the marketer in question, affecting their brand name and overall value. Therefore, always ensure to have your blocklist updated, as it can effectively monitor fake, inappropriate, and poor-quality sites.
Alternatively, you can have a safelist to access a list of safe sites rather than disapproved or denied ones.
Also Read: Effective Channels for Display Advertising
