Explore the term 'Programmatic Advertising', its usage, benefits, related software, and frequently asked questions in the field of digital marketing.

Definition

Programmatic advertising is the automated buying and selling of online advertising. This automation makes transactions efficient and more effective, streamlining the process and consolidating your digital advertising efforts in one technology platform.

Usage and Context

In the context of digital marketing, programmatic advertising is used to automate the decision-making process of media buying by targeting specific audiences and demographics. Programmatic ads are placed using artificial intelligence (AI) and real-time bidding (RTB) for online display, social media advertising, mobile and video campaigns, and is expanding to traditional TV advertising marketplaces.

FAQ

What is real-time bidding in programmatic advertising?

Real-time bidding is a type of programmatic ad buying. This process involves an auction where advertising inventory is bought and sold on a per-impression basis. It occurs in the time it takes a webpage to load.

How does programmatic advertising work?

Programmatic advertising involves the use of software to purchase digital advertising. It's a way to automate the manual process and reduce the time it takes to find and acquire ad spaces.

Related Software

There are various software available for programmatic advertising including Demand Side Platforms (DSPs) like MediaMath, DataXu, and Trade Desk. These platforms allow users to buy ad inventory in an automated fashion.

Benefits

Programmatic advertising offers several benefits. It's efficient as it replaces the traditional and time-consuming processes such as requests for proposals, quotes, tenders, and negotiation. It also offers real-time measurement and optimization, allowing advertisers to adjust campaigns based on performance.

Conclusion

In conclusion, programmatic advertising is a crucial component of modern advertising strategies. It streamlines the ad buying process, reduces costs, and improves targeting capabilities. With the rapid advancement in technology, the scope and reach of programmatic advertising are set to increase.

Related Terms

AI (Artificial Intelligence)

AI, or Artificial Intelligence, is a branch of computer science that aims to create intelligent machines capable of mimicking human intelligence.

DSP (Demand Side Platform)

A Demand Side Platform (DSP) is a system that allows buyers of digital advertising inventory to manage multiple ad exchange and data exchange accounts.

RTB (Real-Time Bidding)

RTB or Real-Time Bidding is a digital advertising method where ad inventory is bought and sold on a per-impression basis, in real time.

Real-Time Bidding

Real-Time Bidding (RTB) is a dynamic and automated process in digital advertising where ad impressions are auctioned in real time.
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