We have heard about programmatic media buying many times, especially within the digital marketing space. Experts are saying that it is a game changer and that it will be the future of online advertising. One of the greatest advantages of programmatic advertising is that it removes the need for manual processes.
Even though programmatic media buying is gaining popularity, there is still some confusion about it. To put it simply, it is the optimization of the ad-buying process in real time with the help of technology/software.#Programmatic is the optimization of the ad-buying process using #technology & #software. Click To Tweet
How does programmatic advertising work?
In programmatic advertising, ads are bought through software/technology. Software/technology has replaced part of the traditional manual process that requires human involvement (negotiations and manually inserting orders for advertisements).
Programmatic advertising is all about targeting the right audience. It uses metrics to show specific target demographics based on user behavior. This is why you may see ads such as “Best Hotel Deals” (or something else that is of interest to you) every time you browse the internet. These kinds of advertisements are placed by programmatic software. This software detects your interests and behavior so that you are more compelled to click content that is relevant for you.
Advantages of Programmatic Advertising
- It is faster, more cost effective, and can target more efficiently compared to the traditional ad-buying methods. Its technology is continuously working on process improvement, which over time results in an increase in overall return on investment.
- Programmatic advertising is the solution to evenly distributing your advertising spend across all campaigns.
- It provides larger scalability, and you can reach a larger audience across multiple websites in a timely and cost-effective manner.
Programmatic Advertising in India
In 2017, programmatic display spending will reach almost $33 billion. In their latest forecast, eMarketer estimates nearly 4 of every 5 digital display dollars will transact programmatically in 2017, totaling $32.56 billion.
However, in India, online advertising has a very small market. Marketers in India are still using traditional methods of online advertisement. Slowly and steadily, things are now changing, and we can see a shift from traditional to programmatic media buying.
Programmatic advertising has been around for a while now, but in India it was only introduced a couple of years ago. It has yet to pick up pace as marketers are not yet aware of its benefits. Marketers need to be educated about the benefits of programmatic media.#Marketers in #India are not yet fully aware of the benefits of #programmatic. Click To Tweet
One of the main reasons that programmatic advertising is not catching on in India is that marketers in India feel programmatic media has limited reach and the data they get back is not relevant. In addition, marketers have limited budget for media spending.
People need to understand that programmatic is not only about automated buying – it also includes other important factors as well. For example, real-time data helps optimize the advertisement campaign by matching advertisements to audience requirements. In order for programmatic to work in India, people must be educated about it.
What’s your take on the international adoption of programmatic? Share in the comments or let us know on Twitter!