Consumer Insights | 3 min read

WTF! Is Programmatic?

by Bench November 26, 2014

Online advertising is evolving rapidly.

Advertising technology is being constantly innovated and refined to enhance the efficiency of buying, and the effectiveness of serving digital ad media. Recently, more and more media buyers have been adding programmatic buying to their arsenals. However, with the growth and diversification of ad exchanges, RTB, DSPs, SSPs, DMPs (and many other three-letter acronyms) it can all get a little confusing.

So what exactly is Programmatic Media Buying?

Marketers define a sequence of rules which are automated and followed by a computer system to purchase media.

For the savvy marketer, this can make media buying incredibly efficient and cost effective. It’s possible to layer data from multiple dimensions, such as on-site behaviour or audience mapping, into one platform. With Real Time Bidding (RTB) we are able to define budgets and goals, and dynamically adjust bids to best optimise the spend to boost ROI above that of a traditional media buy.

Ok, well what are the benefits? Why should I bother?

By automating the media buying process, and leveraging more data insights, it’s possible to highly optimise the target audience, bid price and creative content at an individual impression level. For example, in a programmatic campaign, an ad may only show on a specific website if the correct person is browsing that site. This has the effect of removing a lot of the grunt work from media buying, and most importantly improving ROI.

Is programmatic advertising the future?

In short, yes. As ad platforms get more advanced, buyers will have the ability to perform more complex media buys. Attribution methods are also improving, making it possible to track a user across multiple channels and even across multiple platforms. This is the key when you are trying to work out your actual Cost Per Lead (CPL) or Cost Per Acquisition (CPA), by de-duplicating goal attributions. With more accurate reports and even more data insights, it will be possible for marketers to create exceptionally efficient media campaigns.

How does Benchmarketing fit into the picture?

When a media buy is placed, there are many different parties involved, including ad exchanges, DSPs, SSPs, trading desks and publisher networks. The cost, complexity and required training for each can often be a barrier for people to buy programmatically.

Bench’s in-house platform simplifies the programmatic purchasing process for brands and agencies by taking a top-down approach to our media partners and optimising each campaign at the source level. Even better, because we’re brave enough to make post-click goal attributions on your campaigns, we hold each ad placement to account on your behalf. This fluidity of ad spend means budgets will always pivot towards the best performance in real time.