24 October 2022 |
Display, Video, Audio
Buy media instantly
Programmatic advertising is a means for advertisers to buy digital ad space instantly; ensuring that the right user is reached at the right time, in the right place. Before programmatic, all digital advertising was bought directly and required a direct contractual agreement between publisher & advertiser; which made for human errors and inefficiencies. Programmatic acts as a digital auction space for advertisers to bid for ad space in real-time, and in the process, overlay targeting to ensure the ad reaches the ideal user.
The programmatic ecosystem
The programmatic landscape is an entire digital ecosystem in and of itself. It consists of advertisers (such as ADMATIC), DSPs (Demand Side Platforms), SSPs (Supply Side Platforms), Publishers, and somewhere along the line, DMPs (Data Management Platforms). The workflow between the different pillars of the supply chain is both complex and seamless. DSPs are a platform that facilitates the buying of programmatic and SSPs will represent the publishers and automate the selling of online inventory. DMPs are typically a third party to the event of programmatic buying and can be leveraged in instances requiring specific data to target your desired target audience.
How to buy programmatic media
Programmatic can also be bought in several ways. The most commonly used is the open auction. The open auction facilitates the greatest scale for RTB (real-time bidding) and operates across the full expanse of the programmatic landscape; depending on where you are trading. In the open marketplace, impressions are available to all, however, publishers have complete control over floor pricing and inventory. For those wanting more ‘premium’ or ‘negotiated’ inventory, a PMP may be the way to go. Private marketplace deals are invite-only auction spaces and can be much more restricted in terms of scale. PMPs can oftentimes be more expensive & highly competitive. Next along the line are preferred deals, which are exclusive to the one buyer as a ‘first chance’ buy. The pricing for preferred is fixed, however, CPMs (cost per 1,000 impressions) may be higher and still not 100% guaranteed. Finally, is the guaranteed deal. As the name suggests, this is a non-auction approach to buying and is quite similar to buying directly. Both the price and the inventory are negotiated and guaranteed within the deal itself. Buying a guaranteed deal programmatically still allows for a more streamlined & automated trading experience.
While programmatic is undeniably beneficial to the capabilities and efficiencies of digital advertising, it is not all sunshine and rainbows. There are several adversities the industry collectively is working to iron out. One of the main trials was ad fraud. When running your digital ads programmatically, we want to ensure that the ad is actually being seen by human eyes and generating valid traffic, is viewable on screen, and is safe. ADMATIC has an arsenal of digital defenses in place to protect the impressions we serve for our brands.
Reach out to your ADMATICian for more information on navigating the programmatic landscape.Next Article