What is Programmatic Marketing?

What is programmatic marketing? by TopRank Online Marketing

In today’s digital marketing world, marketers have to find ways to reach customers across multiple channels and devices. Due to the ever-changing landscape across mobile, tablet and laptop devices, marketers are increasingly depending on big data to help automate ad serving decisions and customization of relevant messages to their targeted audience. This practice is known as programmatic marketing.

A programmatic marketing platform (PMP) helps marketers with data organization and highly targeted marketing campaigns. PMPs use a network of data partners and ad servers to make on the fly buying and real-time ad buying decisions based on an algorithm that incorporates budgets, goals and targeting parameters. PMPs typically develop relationships with big data companies that allow for enhanced psychographic and demographic targeting.

While this practice is still emerging, programmatic marketing is arguably becoming the future of digital marketing.

Why people are moving to programmatic ad buying:

  • Programmatic Site Retargeting – Known as the go-to strategy, this marketing tactic allows you to target previous visitors to your site with display ads as they browse the web. The difference between standard search retargeting and programmatic retargeting is the level of targeting that one can achieve via most PMPs. The ability to layer on psychographic data, along with typical retargeting components, leads to a richer user experience with highly targeted messaging and results in better return on investment (ROI).
  • Programmatic Real-Time Bidding (RTB) and Direct Options – Programmatic RTB is the process of ad inventory being bought and sold in real-time in an auction setting. This typically allows for lower advertiser costs, while still delivering impressions based on your campaign parameters. With programmatic marketing, buyers have the option to place on direct and premium properties, each with varying degrees of cost and control. Many advertisers run congruent campaigns with RTB, supplementing the costs of must-have digital ad placements.

Programmatic marketing comes with many advantages, such as eliminating display waste and optimizing the user experience with tailored ads directed at consumers who are more likely to convert once on site. Programmatic marketing gives increased efficiency and improved ROI. Another benefit comes from the data collected and provided by the most PMPs, which gives marketers greater insight into display performance that can be applied to overall digital strategies.

As budget efficiency becomes increasingly more important in the more-for-less digital age, programmatic marketing can no longer be ignored. How will you embrace programmatic marketing?


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