September 2014

There are a lot of people tossing around the term “Programmatic” these days. Nonetheless, not everyone who has adopted this buzzword actually understands just what it is. The idea of programmatic advertising spans a broad range of technologies that have virtually automated the methods of purchasing, placing and optimizing advertising. The human element has been replaced. Phone calls, faxing and lunch appointments are no longer a necessity for buying and selling advertising.

The technology that drives online advertising is continually improving. In an effort to make the purchasing of ad space more efficient, new methods are constantly being tried and tested. Currently, those that buy media ads are leaning heavily towards making programmatic buying a part of their online marketing program. Real-time bidding is the backbone of programmatic buying, and last year the revenue from this RTB reached $1.6 billion. It is speculated that by the year 2017, 34% of all display-advertising revenues will come from RTB, and soon, programmatic buying will be a must for anyone who purchases media.