Programmatic advertising means using AI to automate ad buying so you can target more specific audiences. Real-time bidding, for example, is a type of programmatic ad buying. This automation is much more efficient and fast, which means higher conversions and lower customer acquisition costs.
It’s changing the face of digital advertising so swiftly that, according to eMarketer, 86.2% of digital display ads in the U.S. will be programmatic by 2020.
According to Irina Kovalenko of SmartyAds:
“Most search-driven manual advertising campaigns (even those performed with professional tools) take into account three or four targets: the keyword, time of day, and location. Such tools like programmatic demand-side platforms can use hundreds of targeting signals to individualize the advertisement and even target according to lifestyle or behavior habits when integrated with customer data platforms.”
Here’s a quick look at how programmatic advertising works: