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Programmatic advertising is complicated. There's no doubt about that.
This complexity explains why there is quite a lot of terminology involved, but it can seem quite opaque to the newbie.
Luckily, Econsultancy has a wonderful and thorough discussion and explanation of programmatic - Programmatic Marketing: Beyond RTB.
As a taster, I thought I'd throw some important terms into a glossary. It's just the basics, but I hope it helps.
My last post covering the mechanics that underpin programmatic media provoked some interesting questions.
In particular, the following comment...
Before we start, thanks for the feedback on my first instalment on programmatic media, this was much appreciated and forms a useful basis for this next piece.
This post covers the mechanisms that underpin programmatic, and attempts to portray the varying perspectives of those involved.
Peter Wallace is Head of Performance at Total Media, a London-based media buying agency. I asked him a few questions to explain more about his role, focusing on a typical working day.
Last year, I wrote that the digital agency was dead. I was mostly talking about how platform technology was going to knock a lot of digital media agencies out of business. In a world where over five trillion banner impressions are available every month, I argued it was simply too much for humans to navigate through the choices and wring branding effect and performance out of campaigns.
Well, digital media agencies are still around—but they continue to lose share to platforms as the amount of programmatically bought media increases. With RTB-based spending estimated to rise at an annualized rate of nearly 60% a year, according to market intelligence firm IDC, we could see as much as $14 billion in spending by 2016, or 27% of total display spending. Looks like the machines are slowly taking over.
It's a seemingly great time to be a brand. Our digital world has created numerous challenges in reaching consumers, but thanks to digital channels like social and mobile, there are arguably more opportunities than ever to create connections.
For agencies, whether the digital revolution is a boon isn't always so clear. Yes, agency services are in great demand as a result, but the complexity of digital advertising is creating some significant pain.
With the advent of shopping related media in the ad market today, it’s no surprise that many people have a hard time defining the right expectations for performance from their retail publishing partners.
Not long ago, it was unheard of for a brand or agency to be purchasing digital media on a retailer’s website. However, with the amount of cross-channel shopping that consumers are doing, and with the amount of influence that websites have on in-store purchases, it’s no longer something brand advertisers can ignore.
When media buyers purchase inventory from television networks, they typically rely heavily on Gross Rating Point (GRP) metrics which are designed to reflect reach.
And for good reason: if you're buying media to get in front of consumers, you need to know how many consumers you can reach through various media channels and properties.
One company, Nielsen, dominates the television market, and its GRPs heavily influence how billions upon billions of dollars are spent each year.
Needless to say, the stakes are high and any mistakes could have a notable impact.
Here are the three reasons most of the companies within Terence Kawaja's display advertising landscape map will fail, and the three types of companies that will win big.
Three fundamental changes to the media business are threatening the current business model for digital media agencies.
These are: the ubiquity of platform technology, the shift back to premium placements as brand budgets return, and the coming threat from social media.
Getting RTB (real time bidding) right is the key to success for many of the companies in the digital media ecosystem.
This post explores the trends in real time bidding to look for over the next 18 months as systems provide more premium inventory; enable private exchange buying; move beyond display into other digital media types; and provide immediate buying opportunities.
As wonderful as the internet is for marketers, the digital media landscape is still very challenging.
From a lack of standards to metrics that don't really seem to provide much in the way of insight, marketers often have to balance the power of the internet with the flaws present in marketing.
But the IAB doesn't think it has to be that way. It recently collaborated with Bain & Company and MediaLink LLC to develop Making Measurement Make Sense, "an ecosystem-wide initiative" that seeks to improve digital media measurement.