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The benefits of programmatic advertising are many, but you may not be aware of them yet. You may have heard that programmatic advertising is the ‘advertising age’ of the future, but what does that mean?
This type of advertising allows marketers to use real-time data to increase conversions and optimise their ad spend. It is a system that uses software platforms to automate aspects of marketing campaigns, such as targeting, bidding, optimisation, analytics and reporting.
Programmatic ads have been shown to be more effective than traditional ads because they are tailored to each individual user based on factors such as location, browsing history or online behaviour, not just demographics.
Programmatic can be your best ally if you make sure you exploit its benefits, so let’s take a closer look at what they are!
Programmatic Advertising Is More Profitable
More and more advertisers are choosing the programmatic advertising model because it is a cost-effective strategy. Most platforms allow advertisers to reach their potential customers easily, with no restrictions on size, position or media types.
The economy of scale focused on a significant target audience drastically reduces advertising costs compared to traditional campaigns, which are much more expensive due to mass fragmentation, meaning they do not get the same level of overall attention.
On the other hand, programmatic advertising reduces unnecessary costs. Some of these stem from advertising campaigns. For example, many advertisers often create mass mailing lists that are sent to potential users, resulting in tremendous expense and damaging brand image.
With programmatic ads, advertisers can target potential buyers more precisely and when they are most interested. These users become unique visitors because no one else receives those ads.
Programmatic Advertising Can Be Targeted To A Very Specific Type Of Target Audience
Another benefit of programmatic advertising is that it allows you to target your campaign to a very specific type of people. This marketing strategy creates profiles that categorise users and can distinguish their interests, behaviour and location.
Have you ever seen an ad for a product you knew you were not going to buy? This waste of resources can be avoided thanks to programmatic advertising. This type of advertising allows you to create lists of potential buyers that are tailored to your needs.
Who would want to chase an audience that is not interested in what you offer? It’s a waste of time that can be avoided by going directly to the people who want your product. With programmatic advertising, advertisers can target potential buyers more precisely and when they are most interested.
The Data Collected By Programmatic Advertising Is More Accurate
In the past, companies could collect information about potential buyers only through surveys. However, programmatic advertisers can see who is looking at which ads and determine if they are “friendly” or if it is a person who has no interest in buying that product before they even click.
At this point, an automatic auction determines how much to pay for the ad. The price is set based on the users’ previous advertising history and actions, as well as the terms of the auction. If users do not click on the ad, the cost is zero.
Programmatic advertising is based on credible data and gathers much more information than traditional campaigns. When comparing data between traditional and online advertising, it is clear that the latter is much more accurate.
This advertising model is fully transparent, so you can use the same channels to measure and analyse campaign results. The media agency does not need access to your personal data or your email lists, which means that programmatic advertising is completely neutral.
Therefore, the data collected is much more reliable and accurate.
It's Time To Start Reaping The Benefits Of Programmatic Advertising
We are talking about the future of digital marketing. The benefits of programmatic advertising are that it offers greater cost-effectiveness, better targeting and more accurate data, meaning you can reach your customers with a message they are more likely to engage with.
If this sounds like something you want for your business, get in touch with our team today – we’re happy to help you get started using programmatic ads in the most cost-effective way!