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The Future of Programmatic Advertising

By Chetan Saxena
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The other day I was reading 5 Lessons That Disrupters Like Facebook Teach About Succeeding Now and there was an extremely important point that made me think for a long time. The article talks about the importance of giving what your customer wishes to be served. This is what Facebook does with its remarkable feature called News Feeds. The key is to understand what your users can digest, and give them what they really care about rather than too many options, and hence adding complexity to their already complicated lives.

The key is to empower, not just interrupt.

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In my opinion, it is exactly this reason that makes Programmatic Advertising so popular. It is an attempt to present the right ad to the right person at the right time. Or like we defined in our blog, Programmatic advertising is the online ad bidding and buying system that allows marketers to reach the audience they’ve selected as valuable at the ideal time with a specified message. This system is automated by machines and touches online users across multiple device platforms. Programmatic Advertising alleviates marketers of the administrative tasks that come with traditional marketing strategies. With the use of automated technology, you can have media space that is specifically targeted to your intended audience.

Programmatic lies at the intersection of technology and data and leverages both.

Experts say the programmatic advertising is set to grow in a big way. Trends show how organizations are spending more on programmatic than even before. With a maturity in the tools and technologies that come with it, programmatic advertising will become more sophisticated, and make advertising even more relevant, useful and effective for the users.

What are some the key trends that will dominate the future of Programmatic Advertising?

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Data Collaboration

More data points help in better analysis and customer profiling. Smaller organizations, however, just don’t have so much data to analyze. There’s a lot of data (especially related to customers) that is internalized but in the coming days, the focus will be to collaborate all this data. It will provide useful insights into user behavior (across devices), improved understanding and reaching the potential customers.

Mobile first

You cannot ignore mobile anymore. In fact, ad spend on mobile devices is increasing compared to desktop spending on Ads.

When everybody is focusing on mobile experience (including social media channels), why should programmatic be left behind? Cookie-based targeting and attribution as per the browser are still important techniques but brands should focus more on mobile-centric techniques.

Perfecting user engagement

Brands need the permission of the customers or users before they can display the ads. It’s a legal requirement. It is mandatory to seek permission of the user and programmatic advertising can help convince them to give that consent. If a user (based on an analysis of their personal data) can see deals and discounts for precisely what they’ve been searching for – chances are they will go for it. Brands that can master personalization of data for their users are most likely to lead the pack.

Programmatic will spread to other devices

Experts predict that by 2018 television ad spending in the US will reach $84 billion. The way TV ads will evolve in the future is an entirely different story. You will see technology-automated and data-driven ads on TV. More and more devices are getting connected like television and audio devices. Programmatic will enter all of these terrains and impact the way advertising is happening on all mediums.

Traditional Advertising methods have always focused on knowing the medium. Programmatic Advertising, on the other hand, focuses on knowing your customer, which is why it is widely accepted and now being predicted to dominate the future of advertising.

Schedule a meeting with our Programmatic Advertising expert to understand how your brand can gear up for the future.

Tags:- ad spend on mobile devicesautomated technologyCookie-based targeting and attributionData Collaboration

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