Programmatic Ad Tech or Programmatic Advertising is simply using an automated system to efficiently reach the right target audiences, at the right time, and in the right place by optimal management of your media purchasing efforts.
With the massive amount of available data, Programmatic Advertising has made it possible to reach target audience with relevant ads that serve their needs & interests. This enables win-win situation for both publishers as well as advertisers.
Major Constituents of Programmatic Ad Environment include:
How Programmatic Advertising works?
Programmatic ad buying is the automated process that uses DSPs, SSPs and DMPs to buy or sell online advertisements at scale in the most efficient way.
On the advertiser’s side, DSPs (demand side platforms) helps in buying ad inventory on the open market with the ability to reach target audience. From Publisher’s perspective, they can manage their unsold ad inventory (ad space) through an SSP (supply side platform). DMPs (data management platforms) helps in enriching DSPs, SSPs and Ad exchange with additional information to help make more informed decisions.
DSPs with DMPs analyses different advertiser’s data participating in real time bid to help select the best possible ad inventory that enables the advertiser to reach target audience. SSPs along with DMPs facilitates in picking the winning bid by analysing data from across various publishers participating in real time bidding and serving the winning ad on the publisher’s site.
Ad Tech Simplified Programmatic ads
Advertisers love programmatic, but what about publishers?
Programmatic Advertising provides an opportunity to publishers to effectively segment their target audience compared to traditional targeting methods. High targeting gets more effective audience for ads and thus publishers can sell their advertising space at higher cost, thus maximising their profit.
With the right programmatic strategy, it is an exciting time for a publisher to maximise the yield.
Programmatic Advertising helps publishers overcoming the huge task of managing yield through:
  • Monitoring and Reporting
Ad serving discrepancies need to be monitored, and each demand source across various cross device platforms must be checked daily to ensure yield is being maximized.
  • Analysing Ad Server
Traffic from various demand sources can be monitored and analysed appropriately which is a key factor in managing yield.
  • Identifying Top Performers and Under Performers
Programmatic Advertising helps identify over/under achievers in the ad tech stack by timely reviewing each partner’s performance.
  • Competitive Pricing
Through Programmatic Advertising, all the partners available on the network can compete in real time on the price the buyer is willing to pay.
  • Creating Competition
“One size fits all” has never been an effective publisher’s monetization strategy. To increase revenue, a publisher must have quality competition in to their stack.
  • Managing Floor Pricing
Setting optimal price floors is the key in maximising revenue. If a network is unable to reach the price floor set by publisher, the next network would have chance to serve the impression to maximise the yield.

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