Programmatic advertising (PA) is something that you shall know if you are working in the area of online advertising. Back in 2013, only 8 billion US dollars were spent on PA ads, while it continued to grow through the years rapidly:
- 2014 = 10 billion dollars
- 2015 = 15 b.d.
- 2016 = 22 b.d.
- 2019 = 45 b.d. (estimated).
The reasons for the booming growth of PA
One can’t deny such a thing as Artificial Intelligence. Being kinda week in 2013, it did not do much for the improvement of programmatic platforms, being only at the beginning of its learning abilities. But now, in 2019, when Tesla’s cars drive million times safer thanks to AI than people do, and with AI that writes novels and makes paintings, which initially were considered impossible for a non-human brain, seems like AI in programmatic ad buying platforms area overtakes its efficiency over people too. The advantages that we currently see are:
- The preciseness of hitting into the target’s audience interests like no other tool can do
- The lesser % of fraud clicks than in any other type of adverts (16% only) – it’s the widely adopted standard in the area but it will definitely drop as years will pass
- Better protection of your brand – due to availability of black lists and white lists that largely narrow the ads impressions not only to your potential audience but also on the relevant sites, disallowing other sites to show your ad to avoid the provision of the wrong picture of your brand to your users
- Lesser human touch means no bureaucracy in the placement of ads, supreme efficiency of the bidding process, following the this-minute interest of your audience, provision of broad statistics online, and a possibility to fine-tune the outcome live, not post-factum.
Why do I need a PA as an advertiser?
With over 80% of programmatic advertising platform advertising share by the end of 2019 of the global market of advertising in the world, one can’t deny that this is no longer the future. This is happening today. Now. Right this minute as you read these lines – programmatic advertising may even be hidden in this very page as a native advert and nobody but robots of Artificial Intelligence online will know about it. Not even you or me. That’s the top-notch efficacy that advertisers of the entire world have been striving to since ancient times.
The PA ads are viewable between 44% and 55% – and this viewing rate is impossible for any other type of adverts. In AdSense, for instance, you would be banned and exiled from their network for such a high rate of viewing/clicking (average 5% in AdSense is considered a super perfect great rate).
If now, after all these, you still don’t see the need to use PA for you – you must be a mammoth that only met the Internet today. Otherwise, you would want to participate in this huge advertising market that by the end of 2019 will count for 45 billion dollars globally with more than double growth since 2017 (27.5 b.d.).
How to start with PA ads
First, set up your goals. You need to know what goals you want to reach with your ad campaign, what budget is allocated.
Second, build up the strategy that fits your goals within the programmatic advertising. Decide on how you can influence the chosen strategy depending on the first results of the campaign.
Third, select the marketplace and the platform suitable for your goals, strategy, vision, and the other things you have in mind. Please refer to our articles on how to choose the programmatic advertising platform for additional information.
Then, define the white and blacklists. There is a difference. Blacklists will circle up the web addresses, directions, and segments, which you want to avoid, allowing all other sites on the Web. While the white list only allows the specific sites or their areas, prohibiting all others.
White lists narrow your ads much bigger than blacklists do but it is a better chance that you will build up the correct image to your brand than in other cases while spending your budget more profoundly.