Programmatic advertising has become an indispensable element of digital advertising. Creating an effective programmatic advertising strategy is key to launching omnichannel campaigns, so you can be present in all devices and spaces where your target audience interacts. We show you the techniques, challenges and best practices that you should take into account to create a good strategy.
As we have told you in previous articles, programmatic advertising is a type of online advertising with a model of automated buying and selling of advertising space by crossing relevant data such as audience data, most important platforms or bids for advertising space for brands.
In order to really understand what programmatic advertising is and how to generate a good advertising strategy, it is necessary to consider certain techniques, challenges and best practices. We show them below.
Techniques to consider in your Programmatic Advertising Strategy
In order to develop an effective programmatic advertising strategy, there are certain aspects to take into account. Here are the most relevant techniques according to Adsmurai's team of programmatic experts:
RTB is a key component of programmatic advertising that allows advertisers to bid for ad impressions in real time. Advertisers can set parameters and bid on impressions that match their target audience, allowing them to place ads in a way that is effective and profitable.
Segmenting target audiences based on various parameters, such as demographics, interests, behaviour and intent, enables personalised and relevant ads to be delivered to different audience groups. To generate this targeting, data management platforms (DMPs) are used to collect and analyse data to generate effective audience targeting.
Retargeting y remarketing
Retargeting consists of showing ads to users who have previously interacted with the website or have shown interest in the products/services. On the other hand, remarketing extends this concept to other channels, such as social media advertising. By targeting users who have already shown interest, it can increase brand recall and conversions.
Dynamic Creative Optimisation
DCO (Dynamic Creative Optimisation) involves creating and delivering personalised advertising creatives in real time based on user data such as location, browsing history and past interactions.
Also known as multi-channel optimisation. Programmatic advertising can be used across multiple channels, including display, video, mobile, social media and audio. Campaigns must be optimised to ensure consistency and effectiveness across all these channels. Integrated platforms or demand-side platforms (DSPs) can be used to manage and optimise campaigns across different channels.
Data management platforms
These are the agents in charge of providing the DSP with data of interest on users and audiences. This information is made up of demographic data, user journey, cookie information, etc. and is key to deciding which advertising spaces to bid for.
Data analytics and insights should be leveraged to decide the programmatic advertising strategy. Use tracking pixels, conversion tracking and other measurement tools to collect data on ad performance, audience behaviour and campaign success.
Once the techniques that can be used to implement a programmatic advertising strategy are clear, it is necessary to identify the challenges that may arise once the strategy is chosen.
Main challenges of your Programmatic Strategy
Programmatic advertising has become a popular alternative for advertisers, but when defining a programmatic advertising strategy, there are certain challenges that need to be considered in order to achieve good results.
Ad fraud and viewability
Ad fraud is when fake impressions, clicks and conversions are created in order to eat up budget and make that impression worthless.
One way to combat ad fraud is to have programmatic experts ensure that ads are only shown in trusted and reliable environments.
To protect your brand and know exactly where your ads appear, make sure that the DSP (Demand Side Platform) only works with trusted and authorised publishers.
Brand safety is also related to contextual targeting. There are brand safety tools that ensure that online advertising is shown to real, physical users in the chosen geographic area.
The use of ad blocking software by users poses a challenge for programmatic advertising. Ad blockers prevent ads from being displayed, which affects their reach and effectiveness. Advertisers need to find creative ways to deliver their messages to users who have ad blockers installed, such as native advertising.
Lack of transparency
Lack of transparency in programmatic advertising is a challenge. Advertisers may find it difficult to understand where their ads are placed, the rates involved or the visibility of the bidding process. Advertisers should seek transparency from their partners, choose trusted platforms and use supply path optimisation (SPO) techniques to increase transparency and control over their programmatic campaigns.
Attribution and measurement
Accurately measuring ad viewability and attributing conversions to programmatic campaigns can be challenging. Advertisers should use third-party verification tools, set clear measurement objectives and work with partners to ensure accurate and reliable measurement of ad performance.
Ad Fatigue occurs when users see ads so often that they hate them and stop paying attention, making the ad less effective. Therefore, it is necessary to generate attractive and attention-grabbing content so that the ads do not go unnoticed, as well as changing it periodically.
Privacy and compliance
Programmatic advertising involves the collection and use of user data, which can raise data privacy and compliance issues. Advertisers must comply with data privacy regulations, obtain appropriate consent and ensure data security to maintain consumer trust.
Having identified the challenges that can arise when implementing a programmatic advertising strategy, we also show you the best practices that can be applied to implement a good strategy.
Best practices for your Programmatic Advertising Strategy
By following these best practices, you can get the most out of your programmatic advertising strategy and reach your desired goals.
Set clear objectives and KPIs
Defining objectives is one of the most important things to do before creating a strategy. To create a programmatic advertising strategy you can choose objectives such as increasing sales, generating more visits to the website or app, reducing the cost per user acquisition or generating brand awareness among others.
Once defined, you need to track and measure whether these objectives are working or not.
In order for your chosen targets to work properly, the next step is to define and segment the audience based on the information collected thanks to the DMP (Data Management Platform). This way you can define in the strategy exactly which messages to use for each chosen audience according to the profile they belong to.
The audience can be segmented according to: age group, gender, device, location, user behaviour or interests.
All these segments are compared with data from the SSP (Supply Side Platform), the platform that represents the sellers during the buying and selling process. There, the advertising space inventory of the publishers or media is collected and offered. And if the user profile matches the profile of the actual website visitor, the bidding starts. Once the advertiser wins the bid, the ad hits the most suitable user at the best price.
Ad placement is important to ensure that ads are shown in relevant and effective locations. By selecting the locations in which to show ads, advertisers can maximise their visibility and exposure to the target audience, which increases the chances that the ad will be noticed and have a positive impact.
Ongoing testing and optimisation
A/B testing should be done to experiment with different elements of your campaigns, such as ad creatives, messaging, targeting parameters and bidding strategies. Analyse results and optimise campaigns based on data to improve performance over time.
To maximise your programmatic advertising strategy, we recommend combining solid techniques, addressing challenges and following best practices to maximise the effectiveness and performance of your programmatic advertising strategy, achieving your business objectives and establishing a relevant connection with your target audience.