The digital advertising industry continues to evolve. Online marketers have been consistently finding ways to offer a better user experience for online consumers while earning promising revenue. Over the past five years, programmatic buying has been proven to fulfill the needs of both advertisers and publishers.
Since its emergence, programmatic was initially used to reach target consumers as effective as possible. According to eMarketer, programmatic ad spending in 2011 in the U.S. was only at 11%. Later in 2017, these numbers more than doubled.
The programmatic evolve
As we previously discussed, programmatic advertising is an automated method of buying digital advertising in which supply and demand partners make decisions on a per-impression basis. More developed technology nowadays, such as artificial intelligence, means that marketers can now personalize and recommend relevant content to users. This progresses into an accessible system of valuable data segments. Still a cost-efficient method, programmatic has now evolved into a household name among the digital advertising industry.
The status of programmatic
As a huge hit, programmatic ad spending worldwide was recently forecasted to reach an increased high of $71.46 billion by 2018. From this year onward, programmatic ad spending will continue to grow. eMarketer has recently revealed that since 2015, programmatic ad spending in the U.S. has continuously increased up to 78% by 2017. Simultaneously, there has been a consistent decrease in overall ad spending. It is also projected that global ad spending will not change and continue to decrease down to 16.9% while programmatic ad spending will continue to rise up to 83.6% by 2019.
A win-win for supply partners, demand partners, and online consumers
With its consistent and efficient method, programmatic buying will not go away anytime soon. Programmatic benefits all participants involved in the process: advertisers, publishers, and consumers. Ultimately, the goal to provide online consumers with the best user experience yields a promising reception of user response. Programmatic aims to help advertisers find top-notch ad slots within publisher content. This ensures advertisers to have a better target reach by matching their ads with relevant inventory for users who potentially have interest. Meanwhile, for publishers, programmatic buying enables a high exposure of inventory. Through the method of programmatic, publishers’ inventories become high in demand for advertisers bidding with high-quality ads. This makes way for publishers to have an opportunity in obtaining quality ads while making more revenue. Stakeholders involved with programmatic are sure to not only benefit individually, but to also help the digital advertising industry remain strong.
Taking it to the next level with native programmatic
Programmatic continues to prove its delivery in earning revenue for all online marketing participants. However, something to consider still stands: going native. With mobile usage continuously dominating the consumer scene, sticky ads and banners are not as effective or compatible with the mobile format, let alone they can annoy users. Therefore, media buyers should consider going native programmatic since the look and feel of native advertorials promote and contribute to ensuring a better user experience amongst online consumers.
Native programmatic is beneficial for many reasons. Programmatic as an automatic and cost-efficient process can further optimize reach with native advertising. This is because native advertising stands as a bridge between format, creativity, and data.
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