Programmatic ads are using software to buy digital advertising. While the normal method includes requests for proposals, tenders, quotes, and human negotiation, programmatic purchasing makes use of computers and algorithms to get display space.
Nevertheless, the ad buying process is not entirely automated. Traditionally you would have prepared insertion orders or added tags manually, which can be menial but labor-intensive.
Programmatic media purchasing helps the “owner/company” to tailor a relevant and innovative message to the right person, in the right context at the right time – leveraging viewer knowledge from the client (the consumers you want to target) around the type of audience they want.
This approach will offer far more specificity and versatility of content and media, resulting in more effectively tailored ads, and less of digital advertising’s “spray and pray” technique – which is less targeted and dependent on sheer volume (mostly impressions).
What about Programmatic Advertising and RTB (Real-time buying)?
Programmatic RTB is different from PPC-just as it is done for advertising display only. It’s an automated way to buy media that is purchased and distributed in real-time across technology channels.
What is an Ad Exchange?
An Ad Exchange is where marketers negotiate with advertisers and agree to a price for showing their advertising. This functions much like a stock market’s trading floor but for ads on digital displays.
Many ad exchanges nowadays function via real-time auctions, where ad transactions are made while a visitor loads a website.
How are ad networks different from ad exchanges?
An ad network is a portal that is linked to a number of websites and sells inventory on those pages to advertisers, whereas an ad exchange is a trading floor where advertisers may purchase ad space from several ad networks.
Mobile Ad Exchanges
Traditionally, ad exchanges have been used as a means for advertisers to auction off unsold inventories to the highest bidder, after manually selling their premium inventory.
What is a Supply-Side Platform (SSP)?
In the same way, marketers handle their programmatic ad buying using Demand-Side Platforms, publishers use a Supply-Side Platform to manage their display space.
How can these types of ads be dangerous?
Big advertisers pulled YouTube advertising over fears that the video platform was unable to promise that advertisements would not be seen on extremist content.
Ad fraud happens when the advertisements are not seen or when non-human traffic is seen in the advertisement.
If advertisements are seen by non-human traffic (i.e. bots), the impressions and clicks are created by fake traffic. These are scripts that claim to be human by browsing websites, watching advertisements, imitating mouse movements and clicks, and even producing (therefore triggering conversions) fake form submissions.
When advertisements are not seen, this means ads are not available to the user but impressions (and sometimes clicks) are still produced. We use the phrase “visibility” to define whether the ad may have been viewable.
Here are some cases that give the impression of fraud:
- Only the top ad is clear when ads are put behind each other. The advertisements on the back have a viewability of zero percent. This is called “ad-stacking.”
- If dishonest publishers claim to be a different publisher by establishing a domain account they do not own. This is called “domain spoofing.” Advertisers purchase the inventory of those publishers who are not aware of what is wrong.
- Compared to domain spoofing, the RTB program may bundle several publishers and website networks under one Site ID. Inside the package, advertisers purchase inventory on this Site ID and do not know that their advertisements that appear on a different site. This is ‘ intentionally misrepresented ‘ inventory.
Difficult to set up:
It is difficult to set up. Establishing a campaign on Facebook or Google Adwords isn’t as difficult as it is. You need months of training to get to the level of technical expertise required to set up a programmatic campaign. Also, it takes years of experience to set up good campaigns.
Require specialists to set up campaigns
If you have no previous experience you will at best be very ineffective. Until you can log into your site, you need to have a very simple plan in place. You need to know which person has to be targeted, how much is the value of a click and what happens when a user clicks to get to your website.
Always do your due diligence before you choose any particular type of advertising tool for your campaigns. Perform a test campaign for a short period to determine results and other issues before investing your entire ad budget into it.
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