What is programmatic advertising?
It seems like the term pops ups everywhere when talking to digital marketers, but most people are not too clear of what this could mean for them and their organizations. In simple English, programmatic advertising is the new way of buying digital media through the use of technology like software, really? is it that easy?
If this still doesn’t make sense let’s do an experiment together, go into your browser, type www.news.com.au and wait for it to load. Can you see the top horizontal advertising banner and the right side square banners on the page? Now refresh this website, is there a difference?
This is the magic of programmatic advertising, as you enter into this page the banner spaces available were bidding with each other and what you got to see were the ads that won this bet in real time; hence why, every time you refresh the website the advertising banners will change.
So, why the word programmatic advertising seems to be so confusing sometimes? The main problem is that people often referred to it as a type of digital media like SEO, Facebook, eDMS, but the term programmatic refers to the possibility to program the way you buy your digital media inventory to serve the right ads, to the right people, at the right time. Although it is not a type of media, it does allow you to purchase display, video, catch up tv, audio, OOH, native content and more and more channels are becoming available now.
Programmatic advertising Mythbusting
With the confusion of the role of programmatic in media we have four myths to bust:
1- Usually people refer to programmatic as display only, myth or true? myth
Remember that programmatic advertising is an efficient way to buy digital media and scale it to a wide range of inventory (different channels) all at once.
2- Programmatic advertising allows you to target specific audience in real time, myth or true? true
Through the use of programmatic advertising the buyer can target and segment audiences to reach the right type of consumers, anywhere, anytime.
3- Real time bidding and programmatic are the same, myth or true? myth
You can buy programmatic advertising in different ways like: automated guaranteed, private auction marketplaces, preferred auctions or RTB.
4- Programmatic advertising can use machine learning to optimize budget and enhance the media buy into a cross-channel unifications, myth or true? true
With the use of this smart type of buying digital campaigns, you can more effectively achieve customer’s goals and implement technology like machine learning to eliminate wastage by having more efficient buys. As a consequence, this has allowed the cross-channel unification of media buy, this means that a single targeting layer can apply across all the digital media channels you decide to target, for example: display, catch up tv and radio, which will give you a unified view of the performance of your media buys.
Programmatic advertising and Nonprofit organisations is the new match!
And with all this digital transformation, organizations often go through shifts that require consensus to move beyond status quo. According to M+R’s benchmark report, digital advertising spend in the nonprofits sector grew by 69% over the last years. Not all sectors grew at the same time, the biggest investor was the cultural sector with a massive jump of 159% increase in digital ad spend. At the bottom, we have the international sector, still with a nice boost of 53% increase in digital spend. It is also noted a discrepancy between digital ad spend growth vs organization size. The largest nonprofits increased their spending by more than half as much as the smaller organizations.
The non-profit surveyed for M+R’s benchmark digital advertising spend summary looks like this:
- 46% of the digital ad dollars were invested in acquiring new donors.
- 22% was used for branding
- 18% on lead generation
- 14% in existing supporter conversation.
On summary 60% of nonprofits digital ads were spent in driving donations, generating 26% of all online revenue coming from email solicitations and 74% came through other channels.
Two effective ways Viewspotter can help you use programmatic
1- Every digital ad campaign we work on has a defined goal and clear target market. We spend time with our clients discussing what are the metrics that will indicate campaign success, the budget and timelines. On the other hand, we also have a team that can help with creating best qualified content that aligns with your campaign and can be used in social media ads and landing pages, to increase engagement
2- Although nonprofits are hit with the biggest challenge of all: small or no budget at all, sometimes is important to understand you pay-to-play in order to get meaningful digital advertising engagement. For example, lead generation is accounted for 25% of digital ad spending. The reason why this type of advertising is so popular in nonprofits, is because it drives users to sign a petition, be part of a poll, sign up for newsletter or take action providing their details for you to later reach them out again. You can also persuade single gifts or donations through display and on average 38% of donors who made an online gift to a nonprofit last year, will do it again this year.
Under all this different opportunities programmatic advertising can offer, it is always important to ensure there is someone like Viewspotter leading and overseeing this digital media buy to have an optimal campaign and successfully accomplish your business goals. That’s why Viewspotter likes to spend time with their clients to discuss and understand the right mix between the use of media to target, type of audience to engage with and variety of segments. By doing this Viewspotter can ensure the initial designed strategy will be successful and accurate for your organization. Depending on how this is appled, programmatic media buying can benefit your company at any point of the sales funnel, the importance is to define the right target and match it to the right goal, like awareness, consideration or intent of purchase.
Call or email us today – Viewspotter, spot your audience anytime, anywhere !
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