Marketers are steering their advertising budgets towards digital channels more than ever before. Why?

The answer is simple.

The projected growth in the Global Programmatic Digital Display Advertising Market indicates that it is set to achieve a market size of $2772.7 billion by 2028, as a result of an impressive compound annual growth rate (CAGR) of 31.9% during the forecast period.

But what exactly is programmatic display advertising?

Like programmatic, programmatic display advertising goes heavy on implementing automation in the process of buying digital advertisements with the aid of intelligent software. Let us take a closer look at this noble marketing strategy. 

Simplifying Programmatic Digital Display Advertising 

In the realm of digital advertising, programmatic display advertising is a game-changer. As mentioned before, it uses automated tools to buy and sell desktop displays, video, and mobile ads through real-time bidding. With programmatic digital display advertising, one has access to a large plethora of compelling advantages.

The most important factor programmatic display advertising brings to the table is efficiency. Leveraging the best of marketing technology, this mode of advertising can cut down the wastage of resources, which in turn allows brands to focus their efforts toward actions that are actually fruitful. Moreover, the rise of mobile technology and digital media has made advertising more personalized and engaging. With programmatic advertising, you can target specific audiences and demographics based on their preferences. This precision is a game-changer for brands looking to connect with the right consumers.

Factors Driving Market Growth 

The growth of programmatic display advertising can be credited to the rapid increase in the number of smart device users, who now have access to the Internet 24/7. While previously the primary point of interaction between consumers and brands was through advertisements on traditional television, now consumers dialogue with brands on a regular basis through their smart devices. This shift in consumer behavior makes it imperative to understand the consumers precisely before having them engage with display ads on smart devices. 

The step to digitalize is now being taken by several industries, which is also a significant contributor to the growth of programmatic display advertising. As more businesses embrace digital tools to share data, the foundation for programmatic advertising’s expansion grows stronger and more pronounced. Industries such as construction, healthcare, and more are capitalizing on digital marketing strategies.

Factors Challenging the Progression of Programmatic Digital Display Advertising 

Before adopting programmatic digital display advertising, one must understand the challenges this mode of marketing is often riddled with. The key to a successful campaign lies in understanding the following hurdles. 

Resistance to Technological Adoption

While technology advances at a maddening rate, there are still some fractions of the population who have not taken to these advancements. The same applies to a certain section of advertisers and marketers who are not ready to embrace new technological tools. This reluctance could be attributed to concerns about the learning curve and the cost associated with adopting these technologies. Overcoming this resistance is crucial to unlocking the full potential of programmatic advertising.

Regional Disparities in Smart Device Adoption

Since the success of programmatic display advertising heavily depends on reaching the target consumer base through smart devices, it indirectly also depends on how many of these consumers have smart devices. However, smart device adoption varies across regions, with some areas lagging behind. In regions where smart device adoption is limited, the reach and effectiveness of programmatic advertising are constrained. Addressing this challenge involves promoting smart device adoption in these regions.

Human Resource Management Costs

In industries heavily reliant on programmatic advertising, high turnover rates can lead to increased human resource management costs. Employee turnover disrupts long-term strategies, impacting campaign consistency. To mitigate this challenge, businesses must implement effective personnel retention strategies and invest in professional development programs.

The Variety in Programmatic Digital Display Advertising 

Types of Programmatic Advertising

There are mainly three categories types of programmatic advertising: private marketplaces, real-time bidding, and automated guaranteed. Private marketplaces are on the rise because they bridge the gap between traditional direct sales and programmatic advertising. They offer advertisers the benefits of the open market while ensuring high ad quality.

Verticals and Programmatic Advertising

Various brands are embracing programmatic display advertising. In 2021, programmatic advertising in the IT & telecom sector got a big boost. The flexibility and scalability of programmatic digital out-of-home (DOOH) advertising have made it easier for telecom operators to effectively engage with their audiences. Through audience data and targeting, telecom marketing has become more relevant and measurable, resulting in more effective campaigns.

Regional Insights

In terms of regional growth, North America is leading the programmatic display advertising market. The presence of major advertising solution providers in the region has driven the demand for programmatic advertising technology.

Market Leaders

Google LLC stands as the industry leader in programmatic display advertising. Alongside Google, other key innovators in the field include Verizon Communications, Inc., Samsung Electronics Co., Ltd., and LG Electronics.

Using Programmatic Digital Display Advertising 

Now that you know the nitty-gritty of programmatic digital display advertising, let’s understand how we can put this knowledge into practice. One of the best ways to leverage all the benefits of programmatic digital display advertising is retargeting.

How? 

Digital marketing is a powerful tool, but without an effective retargeting strategy it can quickly become a waste of money. The key to launching marketing campaigns that deliver a consistent return on investment (ROI) is to retarget users who did not initially convert.

For example, in your first ad campaign, you may have targeted your audience on desktop devices. But in the retargeting phase, you can modify your strategy a bit and make them available on mobile devices or connected TVs. This flexibility makes programmatic advertising more attractive and profitable for advertisers, ad networks, and ad exchanges.

Also Read- Shattering Google’s Ad Benchmarks: The Programmatic Advertising Revolution

Here’s how to get the most out of retargeting!

Push Your Best Services First

Start by analyzing your product and service offerings to identify the best sellers that generate the most revenue. Once you identify these, incorporate them into your remarketing and advertising campaigns.

Explore New Programmatic Channels

Before setting up a retargeting campaign, look for new channels where your target audience is more active. Expand your reach by launching campaigns along these lines.

Incentivize with a discount

Engaging art engages the audience. This may involve offering discounts, using an attractive advertising strategy, or offering other incentives to increase conversion rates.

Experiment with Ad Formats

Experiment with ads to optimize your campaigns. Make incremental changes like changing the position of your call to action (CTA), tweaking graphics, or optimizing a billboard, and see what combinations best resonate with your audience

Tailor Creatives to the Channel

When launching campaigns across multiple channels such as mobile, make sure your creative assets are sized appropriately to provide a seamless and highly variable programmatic advertising experience

Optimize Ad Frequency

Find the sweet spot of ad frequency and make sure you don’t overwhelm users with too many ads. Balance is essential to staying engaged.

Apply these strategies and see your campaign shine!
Still need help? Reach out to experts or agencies like 9MediaOnline, where we are ready to extend a helping hand to your programmatic endeavors. 

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