The importance of programmatic advertising in digital marketing is constantly growing. Many companies now recognise how programmatic campaigns increase their reach and efficiency. Programmatic advertising helps to reach potential customers at the right time and with customised messages. This often provides a competitive advantage and makes the competition look old.
What makes programmatic advertising so effective?
Programmatic advertising is based on the automated booking of advertising space in real time. Technologies such as demand-side platforms (DSPs) and data management platforms (DMPs) are used for this. With the help of these tools, advertisers can address specific target groups based on a wide range of data attributes such as interests, behaviour and demographics. This significantly reduces wastage and ensures precise campaign targeting.
One major advantage is flexibility: companies can adapt campaigns in real time and react immediately to changes in the market. Automated real-time bidding (RTB) makes it possible to buy advertising space dynamically and thus utilise budgets efficiently. The retail, financial and e-commerce sectors in particular have shown how programmatic advertising can significantly increase conversion rates.
BEST PRACTICE with one customer (name hidden due to NDA contract) A large online retailer used programmatic advertising to dynamically advertise seasonal promotions. By optimising the campaigns in real time, wastage was reduced by more than 30 %. This led to a significant increase in sales during the campaign period without having to increase the advertising budget.
Programmatic advertising compared to traditional forms of advertising
Traditional media buying relies on manual booking of fixed advertising spaces, e.g. in print or banner advertising. These methods are usually less flexible and offer no real-time control. In contrast, programmatic advertising automates the entire process from purchasing and playout to optimisation and is based on data-based algorithms.
Companies in the automotive industry, for example, use programmatic advertising to target regionally specific campaigns to interested parties with pinpoint accuracy. Pharmaceutical companies also benefit from the ability to use advertising only where a target group is precisely reached, without unnecessary coverage in regions without target persons, for example.
BEST PRACTICE with one customer (name hidden due to NDA contract) A medium-sized automotive supplier integrated programmatic advertising into its product campaigns. This not only increased its reach, but also boosted efficiency by 20 %, as adverts were targeted at tech-savvy specialists.
How programmatic advertising can improve your marketing strategy
The correct use of programmatic advertising supports companies in making the best possible use of advertising budgets and addressing target groups in an individualised way. This is particularly relevant in sectors with complex purchasing decisions, such as the financial and insurance market, where trust and relevance play a major role.
Service providers in particular can use data-driven adverts not only to increase awareness, but also to generate leads more efficiently. Dynamic retargeting campaigns remind potential customers of their previously shown interests. This strengthens customer loyalty and increases the likelihood of a purchase.
BEST PRACTICE with one customer (name hidden due to NDA contract) A financial services provider used programmatic advertising to target potential customers again with personalised offers after an initial consultation. The result: the completion rate increased significantly, despite an unchanged advertising budget.
Practical tips for getting started with programmatic advertising
The following steps are recommended in order to use advertising programmes successfully:
- Define target groups precisely and identify relevant data sources.
- Set realistic campaign goals and determine KPIs.
- Select a suitable demand-side platform (DSP) that meets the individual requirements.
- Start with small tests and monitor and optimise campaigns in real time.
- Pay attention to the quality of the creative in order to increase relevance for the user.
Companies also benefit from the support of experienced partners such as iROI-Coaching, who contribute to success with in-depth expertise and support when getting started. The complexity of programmatic advertising in particular makes professional advice valuable.
My analysis
Programmatic advertising is one of the most effective ways of targeting digital advertising campaigns today. The automated purchase of advertising space in real time gives companies a clearly measurable advantage over traditional advertising. Precise targeting and flexible optimisation enable many industries to sustainably increase their performance. The use in dynamic markets and with complex target groups in particular provides new impetus.
I recommend that companies integrate programmatic advertising into their marketing strategy and seek support from experienced coaches such as iROI-Coaching. This makes it easier to overcome technical and strategic challenges and fully utilise the benefits.
Further links from the text above:
Programmatic advertising explained simply - HubSpot Blog
Traditional media buying vs. programmatic advertising - Plenos Blog
Programmatic Advertising? Basics + advantages - Ads & Figures
Programmatic Advertising: A guide for pharmaceutical marketing - Coliquio Insights
Programmatic advertising: definition, advantages - Marketing Blatt
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