As programmatic is becoming more sophisticated, spend on ads served with this technology is growing. According to recent forecasts, programmatic this year is expected to account for two-thirds of all digital display advertising in the US, reaching 22,10 billion dollars. With this in mind, it’s high time that advertisers figured out the proper ways to execute their campaigns and shift their strategies with “digital 1st” in focus.
Even though programmatic doesn’t come with a lifetime warranty of campaign success, it does ensure improved ROI if properly implemented. Here are the most important takeaways that advertisers should have in mind if they want to improve their ROI.
First and foremost, the biggest advantage of programmatic technology in digital advertising is the automated way of media buying. This made things easier for media buyers, as they now could easily buy inventory.
- Despite the various sophisticated opportunities it offers, programmatic is still perceived by some as a means to buy cheap inventory. Programmatic is not just bidding and audience scaling, even though these are its major benefits. However, they’ve contributed to a narrow standpoint about the industry. Programmatic creates much bigger opportunities for all key players. With sophisticated targeting options, creative solutions and data at disposal, programmatic has already restructured the digital advertising industry. Rising way above its modest beginnings, it has completely shifted the way in which the industry functions. Those marketers who are reluctant to make the switch should know that programmatic is much more than cheap inventory.
- One of the issues with programmatic not so long ago was creativity. Namely, some argued that automation will bury the creative touch of the campaign. However, it practice, programmatic actually brings together the media buying and creative teams. Their cooperation ends in creating creative messages that are placed in an automated fashion before their desired audience. What marketers need to do is to join their teams and inspire them to think beyond simple ad sale and purchase. Instead, this talk should focus on audience targeting, scaling, and segmentation, and how the story behind the campaign can appeal to audiences. In doing so, teams will not only encourage each other’s’ work but will be also accountable for the success of the campaign.
- Tailor your message to specific audiences. With programmatic, you can select and optimize your audience in real time, which allows you to follow the signals your audiences gives you. Use these to create messages that will be meaningful and that will resonate with their intention. Many marketers, despite having well-developed media plans, fail to achieve the desired results, because they deliver the same creative to all of their target consumers. If you’re not willing to tailor your creative in a way that will be suitable for different audience segments, you won’t get the results you want.
- Data-driven marketing is so overly discussed nowadays, it’s no wonder marketers are getting the wrong idea about its practical functioning. What you can do as a marketer is to use the data at your disposal and create insights for your strategy. Then, apply these insights into your campaign. If the data you collected reveals segments of your audience that respond in different ways when engaging with your brand, apply this knowledge to the message you’re about to create with paid media.
- Joining team forces alone won’t do the trick. While it is true that the gap between media and creative teams is surely closing, there’s still a lot of work to be done. Breaking team barriers is just the start. Next, teams should discuss the details such as audience segmentation, targeting and retargeting, performance data, and how to deliver more engaging stories to the target audience.
- With programmatic, you have the liberty to test many aspects of your campaign before it goes live. This ability to find out what works best already puts you way ahead of your competition. With the data you’ll receive from the early performance of your campaign, you can optimize the future performance of your campaign.
- Reevaluate your creative messaging over time. It has its own lifespan, so at a certain time period, your audience has seen enough. Keep a close eye on the performance of your campaign by setting a specific time frame over which you’ll check how well it goes. If you notice any falls, refresh it with new creatives.
- Restructure, redefine, all in real-time. Rebalancing is key in programmatic. Keeping outdated, stale, and simply poorly responsive creatives it a recipe for disaster. Shift your budget to higher performing ads, and bear in mind that you can always refresh your creatives with those ads that don’t perform well.
Come for the lower CPMs, stay for the improved ROI
Many marketers who shifted to programmatic media buying have already felt the benefits of it, especially in terms of their ROI. Initially attracted to the lower CPMs, many of them stay largely because of the factors stated above, which in the end contribute to the overall success of their digital strategy.