What Advertisers and Agencies need to know about Programmatic Advertising for India Market – Programmatic and Benefits

What is Programmatic Advertising?

Programmatic Advertising is frequently labeled as the future of digital marketing services.  Programmatic Advertising is a way of buying and selling media using automated technology.   In many cases, programmatic media is bought and sold in auction-like an environment that operates much like the stock market.  By large, programmatic media is bought and sold in auction-like situations that work much like the Stock Exchange.

Programmatic technology influences online and offline figures to constantly optimize ad campaigns based on performance over time.  It holds diverse prospects for tech marketers in the form of better-quality media buying and accuracy targeting – not just with display, but across a variety of channels including tablet, mobile, social, native, and even traditional mediums such as TV and Radio.


How does Programmatic Buying Works?

Programmatic ads are positioned using artificial intelligence (AI) and Real-Time Bidding (RTB).   The ads are placed for online display, social media advertising, mobile and video campaigns, and is growing to traditional TV advertising marketplaces.

When a web page loads with ad spaces on it, the information collected from the visitor and the context of the web page is sent to ad exchanges back and forth.  After this the highest bidder gets his ad placed, all of this is done within 200 microseconds.

Few Terms on Programmatic Adverting

  • Real Time Bidding (RTB): Refers to the means by which ad inventory is purchased and sold on a per-impression basis, via programmatic instantaneous auction, similar to financial markets.
  • Ad Network: The crucial purpose of an ad network is accumulation of ad space supply from publishers and matching it with advertiser request.  Ad Networks many times focus on a specific category of sites, eg, football, Fashion etc.
  • Ad Exchange: An ad exchange is a technology platform that helps the ad buying and selling of online media advertising inventory from multiple ad networks. It is basically a huge pool of impressions available for advertisers and publishers.
  • Private Deals: An agreement with a particular exchange or specific site to run campaigns on. Private deals are usually done to access inventory not readily available on the open exchanges.
  • Demand side platform (DSP): Technology that allows buyers of digital advertising inventory to manage multiple ad exchange and data exchange accounts through one interface.
  • Supply Side Platform (SSP): A technology platform with the single mission of permitting publishers to manage their advertising impression inventory and maximize revenue from digital media.
  • Data Management Platform (DMP): A warehouse where all the data for your campaign is kept, analysed, summarized, and made available for use in other campaigns.

It is estimated that US eMarketers have spent over $33 Billion in the Display Advertising space to get more impressions due to shift in spending more time on Mobile Devices and Video Content.   Indian Advertisers must be educated and enough money to leverage the power of Programmatic advertising for their Brand, and showing Ads to the right targeted customers.