Companies are investing a lot more in marketing solutions that eliminate human error, inefficiency and time wasting with programmatic advertising.
While the future of ad-buying most likely includes artificially intelligent robots, don’t go and eliminate your marketing team just yet! While ad-buying becomes backed by AI, humans are still necessary to strategize and optimize ads along with working out the kinks.
How Does Programmatic Advertising Work?
Programmatic” ad buying typically refers to the use of software to purchase digital advertising, as opposed to the traditional process that involves RFPs, human negotiations and manual insertion orders. It’s using machines to buy ads, basically. Programmatic ad buying is widely accepted in the digital ad buying industry and is shaking up the e-Commerce world in a major way.
Data is a Key Component
If you needed another reason to invest in a data-driven marketing approach, then programmatic advertising is it. While automated software is smart, thanks to a little help from artificial intelligence, it still relies upon large quantities of data. If you don’t spend time gathering the necessary metrics from different demographics, then you can expect your media buying efforts to be all for naught.
Data will allow your digital ad buyers to promote and create custom, targeted campaigns to get more impressions and conversions on your ads to make the most of your ad spending.
The Key to Getting More Personal
Publishers and advertisers have long looked for a way to make advertising more personal. In fact, 71 percent of consumers prefer personalized ads. Why? Nearly half cite the fact that personalized ads reduce the number of irrelevant ads.
Artificial intelligence and big data will help further play into the shopper’s desire for tailored content in the world of e-Commerce. Individualized display ads and data-driven product recommendations are just the beginning, and AI is already key to a personalized user experience. Programmatic online advertising will only increase the level of personalization moving forward.
Programmatic Advertising Makes Things Easier & More Cost Effective
While programmatic technology won’t replace in-house teams, new programmatic solutions are picking up a lot of slack for the everyday marketer by intelligently automating ad exchanges, discounts and A/B testing. With help from AI enabled advertising software, companies can do more with less in terms of manpower, overall campaign effectiveness, and cost effectiveness. With programmatic advertising, not only do you have the ability to better target the right customers, but these technologies help improve your clock-through rates while maximizing ROI.