Advertising Digital Transformation

A more honest future for programmatic advertising



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October 14, 2015 | 4 min read

Programmatic advertising - we all know that it’s ‘kind of a big deal’. But despite all the industry and media hype, there’s a big chance that you’re still in the dark about it.

When we surveyed UK marketers with the team at The Drum, the findings made for pretty shocking reading. We found levels of understanding were low and barriers still existed to more marketers investing in what is one of the fastest growing digital channels today.

In my mind, this should be a rallying call for the industry to dramatically up its game and is also a reminder of why I founded Admedo. The growth of most digital marketing channels has been driven by marketers at mid-market brands, so the time has long passed for vendors to do more to help these organisations get on track with seeing the benefits that bigger brands have already had with programmatic advertising.

The first thing the industry needs to do better is explain exactly what programmatic advertising is. At it’s most basic, it’s the automated buying and selling of online display media through technology. The marketer is still in control – the technology works with them to drive efficiency and performance.

Other than not understanding programmatic, what else is preventing marketers investing more of their budget in this channel? Here’s what we discovered:

Where’s my budget going?

In 2015, it’s shocking that transparency remains a concern when it comes to online advertising. Only 11 per cent of the respondents believed they had full insight into where their ad budget was actually being spent, with confusion about the various fees like ad serving costs or third-party data costs.

An anecdotal example I heard recently that highlights the poor transparency in the industry was from a respected UK newspaper brand. They reportedly booked advertising on their own website anonymously through a trading desk, and only saw 15 per cent of the advertising revenue themselves. So where did the rest of the money actually go?

The new generation of programmatic vendors are committed to a more open approach, giving customers the clarity they deserve and doing away with the smoke and mirrors that have plagued the industry for far too long.

I can’t afford it!

Until fairly recently, demand side platforms (DSPs) have only been accessible to those with deep advertising pockets, with some providers requiring a minimum spend of £70,000 per month and long-term contracts. This is crazy. We believe that future growth of programmatic advertising is going to come from mid-market firms, who demand more flexibility.

At Admedo, we’re committed to demystifying programmatic advertising, and putting you, the marketer, back in control. We created our eBook to show how the barriers to this digital channel are being broken, and discuss how you can make the right decision when selecting your ideal programmatic partner.

Want to learn more about Programmatic? Download our FREE eBook, Five Steps to Programmatic Success

Nick Moutter, CEO & Co-Founder, Admedo

Tel: +44 (0) 20 3603 8610



Twitter: @thisisadmedo

Advertising Digital Transformation

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