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Programmatic advertising, what are its advantages and disadvantages?

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Programmatic advertising, what are its advantages and disadvantages?

Today, companies have to find the best way to show our products and / or services to potential customers , without seeming to want to sell something so that they do not feel threatened.The user commands on the Internet, and it is he who chooses the information he wants to see. This is a constant challenge for companies, which need to reinvent themselves almost continuously to advertise in line with the times.Today I want to talk to you about programmatic advertising, a different way to bring your products and / or services closer to your Denmark Phone Number List potential customers . We will see how it works, and I will tell you about the good and not so good that this programmatic advertising means for companies.What is programmatic advertising?Programmatic advertising is a variant of online advertising where companies buy automated advertising from audience spaces on the network. That is, the objective is to connect your brand with users through an advertisement related to them, at the right time and place .To achieve this, this advertising system uses Big Data with which it segments the audience and directs advertising towards the indicated target. For more information, we leave you here a guide on programmatic advertising from Think with Google, which reflects some success stories. On the other hand, when doing any programmatic advertising campaign, you need to hire a media agency that will be in charge of choosing the websites where your advertising can appear.Let’s look at a very simple example. Imagine that a user has entered your website and has not bought anything; Thanks to the information that is saved after the behavior of this user in their browsing habits, the media agencies can decide on which web pages your advertising should appear.Once the user enters any of these websites, the automatic bidding begins in real time, where the brands that are interested in showing their ad to our potential client, including your company, participate in the auction to get that advertising space.As you can imagine, the brand that offers the most money is the one that will win the prize for showing its advertising to the user. And the other companies that have participated in the auction, enter the queue in descending order of bidding.What is Programmatic Advertising The advantages and disadvantages of this way of advertising When it comes to measuring the effectiveness of programmatic advertising, the most interesting thing is that it does not seek an exposure of the product or service to as many people as possible, as traditional advertising has been doing.

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In reality, it is focused on finding potential customers for your brand and the right time to present your product or service to them. This idea works very well because it increases the conversion rate.You already know that nobody likes to feel that they are selling us something; For this reason, the way and the moment in which your ad appears before the user, will make him believe that he himself has found your company. However, the way in which the whole process is carried out is not always very orthodox . So I want to share with you the advantages and disadvantages of this controversial way of advertising.These are the most important advantages that you should know about programmatic advertising:Programmatic buying : the fact that you can make a massive purchase of advertising space is a great advantage that leads you to advertise on a multitude of pages where it would be impossible to do it manually.Reach audiences that are interested in your brand : thanks to the ability to collect user data, you can perfectly know your audience. And this helps you greatly in the segmentation of your potential customers to whom you can offer your products based on their real needs.It gives you a real view of prices : since programmatic advertising is based on a bidding system, the final price of the ad is what the market is willing to pay. Therefore, the adjustment is very efficient; Although it can also be a double-edged sword, as I will explain to you in a moment when I talk about the disadvantages.You save money compared to other types of online advertising : programmatic advertising brings together advertisers, channels and platforms in a unified system.Programmatic advertising has a number of disadvantages that you cannot ignore. And it is very easy to be a victim of fraud or, as we will see immediately, it can damage your brand image .Let’s see in detail why programmatic advertising is not as interesting as it is presented to us:You can’t control where your ads appear : Once you hire the media agency, you can’t choose or control the pages where your ad will appear. This is a huge risk for your company because it could be the victim of a scam.The segmentation of your potential customers is in the hands of the algorithms : as I mentioned above, it is Big Data that is responsible for segmentation of the target audiences, and it may be wrong.I’m not saying this happens regularly, but it happened a few years ago when YouTube’s algorithm displayed a series of banner ads in places where companies didn’t want to appear. This could have happened, either due to a programming error, or due to a wrong selection of the algorithm. The rejection of customers : not all users feel comfortable when they enter a website and see ads for pages they have just visited; and, above all, when that product that you have been seeing a moment ago appears.This can generate a rejection of the brand by the user; it is not good for you to feel persecuted and watched. Especially at a time where awareness about the privacy of movements is latent.The price can overflow : it is true that, at first, the price can be very fair as it is a bidding system, as I mentioned in the previous section.However, these auctions run the risk of raising costs to the benefit of intermediaries and the media agencies themselves. Therefore, I cannot tell you if the bidding system is an advantage or a disadvantage for you; therefore, I wanted to put it in both sections.You can be a victim of fraud : you already know that you cannot control where your advertisements appear. This is a very high risk that can lead to outright failure.There are pages that sell advertising services that are never seen. And it can also happen that your ads appear in places where the audience has nothing to do with your potential customers. Programmatic advertising is a different way to bring your brand closer to the sensitive users of becoming customers of the company.A priori, it’s fine because it saves you a lot of time and focuses your efforts on showing your ads to potential customers.It is good that you contemplate the creation of a programmatic advertising campaign at specific times , where you need to increase your sales with a certain guarantee of a good conversion.However, you must weigh the cons of this form of advertising. Remember that you lose all control over where the ads are published, and if you don’t prepare it well, you can pay a very high price for ads that may not appear where they should.Have you launched a programmatic advertising campaign in your
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