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How Small and Mid-Sized Publishers Are Turning to #Programmatic Advertising $GOOD.ca #adtech #digitaladvertising $TTD $RUBI $AT.ca $TRMR $FUEL

Posted by AGORACOM-JC at 11:09 AM on Friday, June 22nd, 2018
  • Programmatic advertising has become an ideal solution for small and mid-sized publishers, as it optimizes revenue and allows for more efficient sales processes
  • A few years ago, it was unthinkable for small sites and blogs to host ads on their pages from big advertisers
  • Arrival of specialized programmatic advertising platforms has revolutionized the landscape and brought new strategic opportunities for small and mid-sized publishers

Augustin Ory CEO, The Moneytizer

Augustin Ory, CEO, The Moneytizer, in this article talks about how small and mid-sized publishers are implementing/ adopting programmatic 

Programmatic advertising has become an ideal solution for small and mid-sized publishers, as it optimizes revenue and allows for more efficient sales processes. A few years ago, it was unthinkable for small sites and blogs to host ads on their pages from big advertisers. However, the arrival of specialized programmatic advertising platforms has revolutionized the landscape and brought new strategic opportunities for small and mid-sized publishers.

In fact, programmatic advertising has grown from being just a small component of a publisher’s advertising activity to becoming a priority area of their business strategies. According to a study by IAB Europe, 25% of the editors surveyed rated programmatic as a priority, while another 50% recognized it as being part of their top-five priority tasks. These results confirm that publishers already recognize the benefits of programmatic advertising, which is particularly advantageous when compared with selling inventory directly-providing a series of advantages that range from operational efficiency to a better return on investment for advertisers.

General trends suggest a sustained increased in programmatic advertising too. According to the latest eMarketer study about programmatic spending, ‘US Programmatic Ad Spending Forecast 2018: Private Setups Pull Even More Ad Dollars to Automation,’ more than 80% of digital display ads will be purchased through programmatic platforms in the United States in 2018. According to the same report, spending on programmatic advertising in the U.S. will increase by $10 billion to a total of $46 billion.

In short, programmatic advertising has created a new scenario that small and mid-sized publishers would be wise to exploit.

What advantages does programmatic offer to small and medium-sized publishers?

The main advantage of programmatic advertising is that it allows these publishers to save time. Until the arrival of this type of platform, the main way to generate advertising revenue for smaller publishers was through direct campaigns. Selling advertising in that fashion requires a significant investment in time to determine rates, find advertisers, process payments, etc. Direct campaigns also demand a skilled sales force that understands the marketplace and can capitalize on the media offering; the time and resources required to build this team can often place a strain on smaller publishers as well.

With the advent of programmatic advertising platforms, small and mid-sized publishers can focus on the task of developing compelling content while leaving aside more commercial tasks such as advertising operations and advertising revenue management to automated means.

Another advantage for smaller publishers has improved monetization of their inventory. When using other channels such as direct sales or affiliate systems, the income generated through advertising space is usually defined and agreed to in advance, limiting publishers’ ability to take advantage of more immediate short terms opportunities.

The arrival of Real-Time Bidding and Header Bidding to programmatic advertising has revolutionized the potential for revenue generation. Programmatic auctions increase the competition around each piece of inventory, maximizing revenue and leaving less inventory unsold. The bidding system increases the profitability of advertising spaces and provides more flexibility for advertisers and publishers alike.

In addition, programmatic advertising enables publishers to display more localized and personalized ads which improve interaction with and response to the advertising content.

Finally, programmatic advertising allows publishers to better integrate audience data into the purchasing process. As a result, they can package up their inventory much more efficiently and combine multiple platforms into one cohesive buy. They are also able to extract more value from their inventory, as they can leverage a more complete profile of their audience and allow advertisers to better target unique user groups within their broader audience.

Large publishers have already been reaping the benefits of programmatic advertising. As the technology becomes simpler and easier to deploy, small and mid-sized publishers are also seeing how programmatic advertising allows them to make operational processes more efficient; optimize revenues, and add value to their media. It behooves these smaller publishers to adopt and/or continue to make this transition to automated buying and selling as quickly as they can.

Source: https://www.martechadvisor.com/articles/ads/how-small-and-midsized-publishers-are-turning-to-programmatic-advertising/

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