Tuesday March 30, 2021

The Future of Programmatic Advertising is Now

For those in need of a quick crash course, programmatic advertising has been around since the start of the internet. It has seen many transformations, blossoming from static, online advertising to dynamic, real-time, data-driven media buying. Defined as the automated process of buying and selling digital advertising spaces, the main purpose of the programmatic advertising industry has always been to help brands reach target audiences in an automated manner with the help of algorithms. With an increasing number of internet users visiting websites, online advertising was the place to be in the 90s with its high click rates. Deemed more lucrative than print advertising, the modern programmatic industry was birthed.

At its core, programmatic advertising has a market where two groups gather to bid on and buy digital ad spaces. One group represents brands and agencies who, through a demand-side platform (DSP), bid on and buy ad space for advertising. The other side, the supply-side platform (SSP) represents publishers who offer ad spaces to monetize their inventory. Traditionally, human negotiations and manual labor were needed to connect a brand’s ad to the relevant publisher’s ad space. These negotiations were often held between individual brands and publishers in the 90s. This process has since been automated with the help of efficient ad buying technologies, along with techniques to optimize creatives and strategies to give brands the best possible results for their campaigns. Using real-time bidding on the open marketplace, or by securing deals with publishers in private marketplaces, brands can easily secure an effective media space for their advertisement through DSPs.

Programmatic media buying comes in different forms. From platforms that offer full-fledged managed service options to others who allow you to have more control with self-serve offerings, there’s something available for everyone to hit their marketing KPIs. 

It’s all about size

Daniel Knapp, Chief Economist at IAB Europe, said, “Programmatic is on the path to become the default infrastructure for digital advertising.” As we stand at the beginning of a brand new decade, the numbers speak for themselves and can attest to Knapp’s analysis. From weather-based creatives to cross-channel targeting to personalized display advertising, and now even digital out-of-home (DOOH), programmatic not only helps you plant a seed in your target audiences’ minds, but water it to its full buying potential across multiple channels and ad formats. Precise targeting with accurate measurement and reporting, while maximizing return on ad spend (ROAS) through optimizations towards multiple KPIs, are some of the benefits for marketers leveraging programmatic advertising for their campaign success. 

Global programmatic ad spend is expected to reach a whopping 147 billion U.S. dollars by the end of 2021, presenting huge opportunities for marketers to tap into an ever growing market. Worldwide traditional media is set to produce around 50 billion U.S. dollars in total, expected to fall behind programmatic ad spend for the third year in a row.

What’s next?

User privacy

With the surge of new privacy regulations, the industry has entered a phase of innovation. Coined as the ‘roaring twenties’ by Verve Group’s Chief Revenue Officer Sameer Sondhi, the advertising world is up for an interesting and exciting decade that already started with a focus on user privacy at its core. 

Recent changes in the advertising industry – whether it’s Google doing away with third-party cookies and ending behavioral targeting, or Apple deprecating the IDFA – have signaled a change in focus towards creating an anonymized ecosystem to ensure brands have access to audiences while preserving consumer privacy. These changes in the industry have encouraged programmatic platforms, such as Platform161 and Verve Group, to build products for the open internet that are not controlled by the walled gardens, allowing brands access to wider, global audiences.  

Omnichannel opportunities through consolidation

For a market as fragmented as ad tech, consolidation of different players will also be a major focus in the coming years. Omnichannel offerings – from mobile to desktop to digital out-of-home (DOOH) to connected TV (CTV) – will influence media consumption amongst consumers and inspire creative advertising.


As more marketers capitalize on the benefits of programmatic growth, global ad spend is expected to reach nearly 150 billion U.S dollars by the end of 2021. With the help of efficient ad buying techniques to optimize creatives and omnichannel opportunities, brands can tap into the best possible results for their campaigns while maximizing ROAS. Now is the time to make the most of it and incorporate it in your digital strategy. 

With our strong commitment to the open internet, Platform161 and Verve Group offer an independent full-stack programmatic solution, partnering with local and global publishers, to provide our clients with innovative, privacy-focused advertising opportunities. 

Are you looking for ways to scale your business with the help of programmatic? Get in touch with us below to find out how you can get started today.

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