Programmatic ad buying: Future of advertising | OOm Pte Ltd

Jan 30 2019

Programmatic ad buying: Future of advertising

Written by Carlo Angelo Suñga

The world of advertising is at the peak of progress. It continues to grow with endless opportunities awaiting ahead. More methods of advertising have shaped into one of the industry’s leading tools. One of these methods is called programmatic advertising or programmatic ad (media) buying.


Programmatic ad buying is one of the industry’s most versatile tools online. Its capabilities reach massive heights in terms of customer engagement. More businesses are leaning towards digital marketing strategies, such as programmatic ad buying, as the world turns into more of a digital playground. What is programmatic advertising anyway?


Programmatic advertising 101


Simply put, programmatic ad buying refers to machines and software purchasing digital advertising. In other words, you could say that with programmatic advertising, you’re basically letting machines buy ads.


Programmatic ad buying allows a software or machine to focus on demographics to find the ideal audience for advertisements to show up. Demographics include gender, age, and even social status to fully determine which audience suits the target market of an ad.


An algorithm is utilised to purchase advertising space. This happens in real time while a software automates the Optimization of media inventory through a bidding system. Manual labour is no longer required since the software can consummate the tasks at maximum efficiency. All humans have to do is improve the Optimization of the ads.


Programmatic marketing is an efficient technique because you’re able to find out which specific audience fits your ad best. Also, ads are able to reach a wide range from social media and television marketplaces, to mobile and video campaigns.


There are two key components of programmatic advertising. There’s the artificial intelligence (AI) and real-time bidding (RTB). AI refers to the placement of ads by the software’s actions, while RTB is used for online display in marketplaces.


Artificial intelligence is one of the driving forces of an efficient programmatic campaign. The AI determines the which algorithm fits best to give them the capability to analyse data in real time. The market is a vast pool of data and information. Without the need for humans to analyse and compute, an AI will do the task for them.


Is programmatic ad buying effective?


If you feel like the ads that suddenly show up are just educational guesses made by advertisers, they’re not. Well, not entirely. The algorithm is utilised by a programmatic software to analyse and compute consumer data to fully specify which audience fits a certain target market. These ads are intentionally placed by the AI because of the results given by the algorithm.


Long story short, yes. In this day and age, programmatic advertising is one of the industry’s most innovative tools. This method enables people to deliver ads to the perfect audience without succumbing to the daunting task of data gathering because the AI will do it for them.


Investing in programmatic advertising is also cost-effective. You’ll be reducing the tasks needed to gather information needed to seek a target audience. The AI will do it in real-time, which will save a lot of money and time.


Nowadays, it’s programmatic advertising is a smart way to build a guaranteed marketing tactic that will deliver ads. If efficiency and productivity is your priority, then now is the time to invest in programmatic advertising.


The efficiency of programmatic advertising

It’s a simple task to incorporate programmatic marketing into a business, but it’s complicated to truly master its techniques. Some brands take full advantage of technology by utilising programmatic advertising to its full extent.


One brand that got programmatic ad buying right is Audi. As the famous car brand was about to launch its new vehicle, the Q2, they wanted to engage with their customers more. They integrated personalised marketing techniques to stay true with their brand slogan “Advancement through technology”, so they partnered up with Google to analyse data from their customers.



Audi’s website allowed customers to customise their own personal car so the brand could gather key details and information regarding the consumer’s taste and preference. In return, the brand was able to track and analyse customer behaviour. Audi was able to quickly collect valuable information about their customers. Compared to traditional media buying, programmatic methods saved the brand a lot of precious information with more than satisfying results.


Another brand, Amanda Foundation, was able to efficiently utilise programmatic media buying. Their “Digital Pawprint” campaign allowed people to match their preferences based on characteristics and traits. Same with Audi, the non-profit organisation created a personalised marketing campaign to collect valuable consumer information. The results of the campaign are positive as more people were able to match their preferences with their desired pets.



Brands like the aforementioned are great examples of how programmatic ad buying is the way of the future for advertising. If more brands are able to utilise personalised marketing campaigns in their businesses, manual labour will no longer be a problem in the future. Why let a human work for more if a machine can do it more efficiently with better results?

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