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What is Programmatic Advertising and How it is Changing the AdTech Domain

Remember the times when placing an ad on a platform seemed like an arduous task which meant going through a series of tedious, time-consuming tasks, dodging through never-ending negotiations and proposal requests? Well, not anymore, for the world of advertising is blessed with the magical term called programmatic advertising. Now, the task of placing an ad on a given platform can be accomplished in just a few simple steps.

Defining Programmatic Advertising 

For the uninitiated, let’s begin by defining the term programmatic advertising. Programmatic advertising is a streamlined process of automated bidding and placement of an ad for small, mid-size as well as big-budget brands. This type of advertising uses the two favorite technologies of the moment – artificial intelligence and machine learning. AI and ML work together to manage the sale and placement of ads. To be more precise, this emergent technology adopts two methods – historical traffic data and digital target method – to strategically place the ads in front of the most relevant audience at the right time. This method in turn directly impacts the ROI and improves conversions.

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To put it in simple terms, programmatic advertising, also known as real-time advertising, is the process of enabling consumers and buyers to fulfill buying and selling decisions in real time. This new instrument of the media and ad world offers a seamless advertising campaign, saves time, reduces costs, and amplifies conversions.

Benefits of Programmatic Advertising

Efficient and relevant

Programmatic advertising is touted as one of the most efficient technologies when it comes to running a campaign. With this, brands can place the ad in front of the right target audience and send the right message at the right time, hence optimally using the budget while maintaining the relevancy of the campaign.

Transparency in ROI

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While several advertising methods revolve around the number of clicks, programmatic advertising, however, has a keen eye for conversions. Clicks are vital and valuable to reach out to the maximum number of consumers, but their value diminishes if the clicks are not converted to leads. With programmatic advertising, the chances of conversions are more likely if the ads are placed statistically.

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Instantaneous bidding

One of the reasons why programmatic advertising will always have an edge over traditional advertising methods is that it is real-time. As a user, when you visit a website, you wish to discover new products that are relevant to you. From an advertiser’s perspective; the main goal is to optimize targeting and work with the appropriate audience segments. Real-time bidding or TRB does just this.

Larger audience reach

In the rules of the ad tech world, the primary mantra to crack is to reach out to a larger audience. If you go by the traditional advertising methods, you can connect with the sellers from a specific location but you will not be able to connect with sellers from a different locality which eventually will limit your audience reach. Programmatic advertising enables sellers to connect with sellers from different localities, allowing connections to global consumers.


To summarise, programmatic advertising is an essential advancement in the ad domain that has the potential how people buy and sell in the digital space. It is imperative for businesses to observe, understand and implement programmatic advertising and reach newer target audiences.

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