What Is Programmatic Advertising?
“Big data” is a term that you’ve likely heard before – but what it actually represents will still come as a surprise to many people. Thanks largely to the mobile world that we’re now living in, data is being created at an almost alarming rate – more data was created during the last 24 months alone than in the entirety of human history leading up to that point, for example.
By as soon as 2020, there will be about 1.7 new megabytes of data created for every single person on the planet – every SECOND. This is hugely intimate data, too. Information about what people like, what they don’t like, what they’ve purchased and what they one day hope to buy. Information that can be used to learn more about their buying habits, why they make decisions and when they might make certain decisions related to your brand in the future.
This is also, in one small part, what programmatic advertising is all about.
At its core, programmatic advertising isn’t JUST about using all of that data to your advantage to make your marketing tactics better, more efficient and more targeted than ever before. It’s also about allowing that data to give way to a world where many of the menial tasks of advertisers are automated, freeing up more time in your day to move onto bigger and more important issues.
Take shopping cart abandonment, for example. In the “old days” when someone came to your site, added a product to your cart and then left, you were at something of a crossroads. For starters, you had to think about WHY they left and never returned in the first place. Did they find a better price elsewhere? Did life get in the way? Next, you had to manually reach out to that person – usually with an email – and gently nudge them back towards their original intention of the sale in the first place. But you had to do it at just the right time – wait too long and they’re gone forever, pull the trigger too early and you come off as pushy.
With programmatic advertising, all of this can happen instantly – and WITHOUT any effort required on your part. A system can see that someone abandoned their shopping cart and send a series of expertly timed, properly targeted emails to the customer. To put this all into perspective, one study estimates that shopping cart abandonment rates usually hover at about 68% for most businesses. The right programmatic campaign, on the other hand, can save up to 65% of those carts – if not more.
But again, that’s just one small part of a much larger story.
The Power Of Programmatic Advertising: By The Numbers
To get an idea of the true power of programmatic in action, consider the following statistics:
Programmatic advertising is gaining in popularity all the time. 76% of marketers who responded to one recent poll cited it as very important for their mobile spend in particular.
Mobile Programmatic Buying
Mobile programmatic buying alone accounted for roughly $4.44 billion last year.
The vast majority of today’s marketers are managing at least 20% of their media spend programmatically these days, with many managing up to 40% or more.
Programmatic is popular not only because it takes a lot of the stress off of the collective plates of marketers, but because it also lets them focus their attention on the areas of their enterprise where it is needed the most. This does, however, require you to keep a few key things in mind.
Shopping cart abandonment email campaigns are just one example of programmatic advertising in action, but there are many more you’ll need to concern yourself with. Programmatic retargeting, for example, is an efficient way to keep your brand at the forefront of a person’s mind long after they’ve left your site.
With retargeting, you can essentially use someone’s own Web browsing histories to make your own campaigns more effective. If someone goes to your site and browses the product page for “Product A,” you can make sure that they see ads for that same product as they continue to use the Internet – even when they’re on other domains or are conducting Google searches.
Another key part of the programmatic process is RTB, or real-time bidding. This again allows you to leverage data to not only make sure that your ads end up in front of the right people at the right time, but to also automate the bidding process to make it more efficient and more cost effective as well. RTB allows you to show specific ads to specific people based on information you already know about your audience, driving down the cost per click and driving up impact and efficiency at the same time.
All of this will be very difficult to manage on your own, however, which is why teaming with the right digital advertising agency is so important.
C1 Partners – Your Programmatic Experts
Based out of beautiful Denver, Colorado, C1 Partners is a digital marketing company dedicated to helping small and medium-sized businesses just like yours succeed via state-of-the-art marketing strategies. In addition to display advertising and Google Display Ad services, we also offer SEO, PPC (pay per click), social media marketing, lead nurturing and so much more.
If you have any additional questions about our display advertising services, or if you’d like to sit down and speak to someone about your own goals in a little more detail, please don’t delay – contact us today.