Braindrop: What Is Programmatic?

Hi there. I'm Jenna Jares, a marketing engineer here at Click Rain. I'm going to talk to you today about programmatic advertising.

What is programmatic advertising?

So what does this buzzword really mean? Programmatic advertising is the algorithmic purchase and sale of digital space. Come again? This means software is used to automate the process, rather than relying on humans, manual insertion orders, or trading. Programmatic advertising allows for buying, placement, and optimizations in realtime.

Programmatic advertising in actiion

Now let's talk about how this really works. Say you're trying to sell memberships to a yoga studio and your predefined audience is free-spirited, foodie females. In the traditional placement, you would try to guess which websites these people visit and buy individual ad placement on those sites. However, with programmatic a pixel is placed on your site, allowing you to see the audiences that are actually converting and from this show that converting audience more ads. By the end of your campaign, you may be surprised to find athletic males are actually your top-converting audience. Just like you would notice this change in an actual storefront location, programmatic picks up on these audience nuances in realtime and helps you drive more conversions. So it can be a really smart investment.

Is programmatic right for me?

Now you may be wondering is programmatic advertising right for my company? Two years ago programmatic advertising was only available to those willing to spend big budgets. Today the number of resources have grown exponentially and programmatic is available to budgets big or small.

Lastly, is this just a fad? Google Trends shows that interest in programmatic advertising continues to increase year over year. Not only that it is estimated that by 2018 programmatic will account for 80% of marketing spend, compared to 2013 when it was at 28%. As marketing technologies continue to break down barriers, ad placement is only going to continue to evolve, allowing us to market smarter. I'm no Patriots fan but I would recommend jumping on this bandwagon.

Stay tuned for more marketing technology tips from the Click Rain crew. Thanks for watching.