Source: Mobile report 2017-2-24 19:21
Programmatic mobile advertising: challenges and opportunities
Programmatic mobile advertising: challenges and opportunities
Are you hearing the word ‘programmatic’ way too much in last few years? ‘Programmatic’ has been the hottest buzzword in the recent years for the advertising industry. If you don’t completely know what it is, fret not! You are not alone.
Programmatic mobile advertising is not a new thing. Although it has been there for a while now but it has become popular only in the past couple of years, substituting conventional media buys for mobile web and apps.
What is Programmatic advertising?
To put it simply, programmatic advertising allows you to target your preferred audience. It also includes demographics like age, sex, geography, social status, etc. Paid search also lets you decide the frequency of the ad per day. This way you are only spending your money on extremely effective ads that are shown to the right audience at the right time. This process is majorly different from conventional ad buying process. This tactic offers better accuracy and personalization of ads, ensuring efficient targeting.
The Benefits of Programmatic Advertising
So, why should advertisers use programmatic advertising? Programmatic targets particular audiences in real-time basis. The best thing that programmatic buying does is that it allows advertisers to decide specific audience for a particular ad.
It offers a big advantage over the conventional ad buying, where advertisers could only present a common ad to a large section of viewers. This ensures that you’re paying to reach your targeted audience and not spending on the wrong segment of audience.
Another revolutionary aspect of programmatic is that it works on automated technology, which ameliorates the efficiency of the media buying and optimizes ad campaign performance.
With programmatic advertising becoming increasingly popular, the inventory quality offered by ad publishers is also getting better each day. Even though advertisers had hesitations in accepting programmatic ads initially, but now it has made a huge impact in the ad industry.
Programmatic approach is quickly becoming the most essential part of every contemporary advertiser’s strategy. Here are the key benefits of Programmatic advertising:
· Cost effective
Having user’s data beforehand helps in purchasing impressions as per targeted requirement and it saves money on the unnecessary impressions.
· Better targeting of audiences
Programmatic buying helps advertisers in targeting the right audience in the right manner.
· Enhances the value of content
Programmatic buying improves the value and the quality of the content.
· More transparency.
It offers the advertiser more transparency on the inventory they are buying. This way, advertisers stay at peace that their brand equity is preserved.
· Efficient and integrated buying platform
Programmatic buying allows the advertiser to buy directly from the publisher. It has cut down on the unnecessary intermediaries from the ad buying process. This means, pointless negotiation on the pricing and positioning is removed from the process, which saves advertisers time and as well as money.
· Better monitoring of campaigns.
It allows you to run campaigns as per your requirement and convenience.
· Quality of the inventory
With Programmatic buying, inventories offered by publishers are getting more and more qualitative.
· Better tracking capacity
Advertisers can accurately track where and when an ad is shown. They can also track the engagement of that particular ad.
· Quick launch across all devices
Owing it to its automated nature, programmatic buying helps the advertiser to save time in launching a campaign.
Programmatic– the way forward
Programmatic advertising still has a long way to go. Nonetheless, the future is future of mobile advertising is clearly programmatic. eMarketer estimated that 83% of all media buying in 2017 will be in programmatic way. Recently, many advertisers have started to gauge the potential of programmatic approach.
Programmatic has a lot to offer to both advertisers and publishers. With mobile advertising landscape becoming more complicated and intricate, brands should take this opportunity to be the early adopters of programmatic, as it is all set to shape the ecosystem of ad world.
The development that programmatic offers clearly overshadow every challenge that comes in the way. Regardless of these problems, programmatic technology is growing dramatically. Additionally, programmatic is attracting a huge chunk of expenditure from the global digital advertising budget.
Programmatic advertising: Major Challenges
Undoubtedly, programmatic has transformed mobile media buying and it provides noteworthy benefits, but this path to success is full of challenges. While these short-term obstacles are tormenting, they are certainly not undefeatable.
· Display viewability of the ads
Ad viewability keeps track of the impressions that are actually viewed by human beings and is one of the important parts of online advertising. It remains an obstacle for programmatic advertisers because advertisers only want to pay for the impressions generated by humans, and not robots.
· Ad blocking
According to Adobe and PageFair, the global spends of ad blocking will touch $41.4 billion this year. And Ad-free media is a major threat to the advertising industry, especially for the programmatic advertising.
· Ad Fraud
Ad fraud is the most alarming challenge for programmatic advertising. However, this problem is therefor other type of advertising as well. As it turns out, the business for combating ad fraud is bigger than the advertising itself. Spotting and removing bots is essential to make sure advertisers only pay for legitimate human impressions.
Wrapping it up
In recent years, programmatic is likely to become a one-stop solution for every kind of online ads across platforms. There is no doubt that the future is bright for programmatic advertising. Although programmatic shift will bring challenges along the way but these challenges are nothing in comparison to the benefits that it has to offer. With creative solutions, programmatic advertisers can easily navigate though these obstacles and put themselves on the road to success.
References:
http://www.applift.com/blog/mobile-programmatic-advertising
http://mobilemarketingmagazine.com/the-programmatic-future-tealium-jen-brown/
https://www.kochava.com/programmatic-advertising-future-mobile-marketing/
