You may be called up to justify programmatic advertising to someone higher up in your organization. This blog offers ways to make your business case. Programmatic advertising refers to automated, algorithm-based processes of selling and buying digital ad space. Advertisers use hyper-targeting tactics to reach in-market audiences with relevant content.
This technologically advanced and often innovative advertising strategy doesn’t follow the traditional “spray and pray” play. Users only pay for ads delivered to their desired viewers. Publishers connect with advertisers via supply-side and demand-side platforms — SSPs and DSPs, respectively. (For other related terms, read “Do You Know These 17 Programmatic Marketing Terms?”)
The Gartner Hype Cycle for Digital Advertising 2020 reveals “significant changes” in the adtech segment, as businesses worldwide scramble to implement effective, scalable digital advertising. The same report points out that a few select technologies like advanced supply-side bidding dominate the emerging trends.
Making a business case for Programmatic Advertising
B2B marketers drive more ROI by putting in the work to optimize digital advertising through programmatic. But that requires investments of time and money, plus the uncertainty of today’s volatile market conditions.
It also requires convincing other stakeholders, like your boss, perhaps. So what can you say to satisfy them and receive a big fat YES to programmatic advertising? Try these seven business case justifications.
1. High Performance Campaign Design
Here’s one thing to share with the boss: Intent-based research on buyer personas gives a realistic, timely picture of your customers and what they want. This insight translates into effective targeting and from that, tangible results.
In a previous blog, we shared ideas on “How To Optimize Digital Advertising Through Intent Signals.” It explains how to display specific ads to a specific user base identified as your most likely prospects. This strategy has an upper hand over traditional advertising campaigns that can’t pivot around this intelligence. You can drive higher customer engagement rates, conversions and thus better ROI.
2. Data Insights for Real-Time Optimization
With more traditional advertising campaigns, marketers could analyze campaigns only when they were tested and over. You would design your ad within a fixed budget and for a fixed time, and then wait for the campaign to finish its run. Then with results in hand, you evaluate your campaign performance for “next time.”
Now you don’t have to wait, thanks to programmatic advertising. You can observe campaign performance in real-time, and adapt campaigns in realtime based on feedback. You can initiate A/B testing, experimenting and analyzing which campaign works and what’s not working. That way, you get to the most effective programmatic approach faster. Even minor changes can have a noticeable impact on engagement rates.
3. Better Targeting and Wider Reach
Through programmatic methods and intent data, B2B marketers place targeted ads with higher precision. Automated processes and algorithms can segment advertiser audiences by demographics, geolocation, gender, age, online behavior and browsing habits. You can retarget your website visitors, increasing the chance of conversion.
Programmatic allows you to reach a wider spectrum of audiences across multi-channel networks, sites, apps and other digital spaces. The transparent, data-driven programmatic approach reveals how many users look at ad campaigns, their locations, which devices accessed the ad, and other crucial information. This article by our COO, Craig Weiss, “Programmatic Display Targeting Is About Reaching Prospects Where They Live” dives into the topic in more depth.
4. Develop Contextual Ad Campaigns
The goal of contextual ad campaigns is to display relevant ads to interested readers at the right time. Programmatic advertising can control which user sees which message and when, giving ads a dynamic context around actual buyer behavior. From lead generation to lead nurturing and lead conversion, you can be omnipresent in the whole process, courtesy of programmatic agility. Expect results like increased CTR, brand awareness and conversion.
5. Relevant Impressions at Higher Efficiency
As mentioned, you can adjust and alter programmatic ad campaigns in real-time. The automation of a programmatic approach lets you analyze data more efficiently, and hopefully drive more positive outcomes. As you monitor overall campaign performance (perhaps through a marketing cloud), your team can make changes as needed. They can purchase digital ad space cost effectively via programmatic techniques, paying for only the most relevant impressions. Intent-driven advertisers and marketers enjoy greater flexibility, knowing their spend is being used effectively and wisely.
6. More Streamlined Processes Allow More Time for Strategy
Programmatic advertising is a fully automated process that relies on powerful algorithms to remove the pangs of manual negotiations. The buying and selling of ad spaces, real-time bidding processes, and other operations are less time-consuming and more streamlined. Thus, your marketing and advertising teams will have more time at their disposal to develop and analyze different advertising strategies, campaigns, markets and buyers.
7. Increased Tracking and More Transparency
The tracking capabilities of programmatic advertising show details like:
- Total number of conversions
- Category and value of each conversion
- Who viewed and clicked your ads
- Who viewed your website
You can access ad exchanges, ad networks, marketplaces and inventory to find the suitable digital space for your ad campaigns. The transparency of the data is the result of best practices in programmatic advertising.
Is there any other approach that can do all this at such scale? Share that with your boss. Have a look at our other programmatic blogs and resources on programmatic techniques, too, then you’ll be fully prepared to make your case.