What’s Ahead For Programmatic


This is an exciting time to be watching what’s going on in advertising and media, especially when you consider the monumental growth programmatic advertising has been experiencing. Today’s programmatic is much more than just banner ads. Not all that long ago, programmatic was a side note in most marketing budgets, but that’s changing, and significantly so. This impressive growth rate is not taking place in a vacuum, nor is it simply a fluke or an idea whose time finally came. Programmatic marketers have spent a great deal of money and time finding new ways that companies everywhere can apply programmatic principles to their own campaigns.

Better data and better offerings lead growth.
There are two main factors leading the growth of programmatic marketing this year: an increasingly better data set and an ever-expanding offering of higher quality inventory. For programmatic to work as designed, it is vital that companies offering this service know more about their key demographics than just age, sex and media consumption habits.

The data sets required for proper programmatic placement is immense, but the “Internet of Things” has made it possible to collect actionable data about every-day spending and information consumption habits. In response to these increased opportunities, programmatic marketers are creating ever-expanding databases to record every bit of data they may need to put the right ad in front of the right customer at the right time.

Another major bottleneck that has been in play since programmatic became a viable marketing tool has been the limited pool of quality marketing outlets. To be able to compete with traditional marketing, programmatic marketing ad inventory must maintain the same level of quality and bring their ads to more respected formats. Until this year, the needed inventory of ad units simply has not been available. But, with companies like American Express crying out for more opportunities, outlets offering programmatic inventory are finding new ways to meet the increase in demand.

Political campaigns are going programmatic.
If there is one industry that needed pinpoint accurate data about their viewership, it is the political marketing segment. Not only do these campaigns consume hundreds of millions of dollars of advertising during major election years, but even with all that, they frequently fail to find their target market. There is absolutely no benefit to marketing to party-line voters from an advertising standpoint, as that is money that can be better spent elsewhere.

With the help of programmatics, political parties and allies can focus their efforts on the right voters and markets like never before. Instead of simply broadcasting their message to everyone, their data sets can tell them what behaviors are predictive of independent or undecided voters. They can also benefit from marketing that targets the most volatile areas in a swing state.

It stands to reason that this tool will make a real difference in future election cycles, while at the same time those same election cycles are going to push programmatic ahead by leaps and bounds. After all, once the hardest pushes are over, the marketing companies that expanded their programmatic ad units will find that they have a great deal of inventory on their hands.

That’s the same space that leading marketers long to expand into now. American Express wants to see 100% of its marketing spending going to programmatic — but there simply isn’t that much time available for any given company in these channels. Between increased corporate demand and the sudden expansion of inventory that 2016’s political campaign is going to require, programmatic is poised to become a major component of each and every successful marketing campaign of the future.



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