Programmatic ad buying | 5 reasons to choose it

Compra Programatica

In our digital world today, since companies discovered that they could advertise on social networks, they opted for the most efficient way to do it, and then the programmatic purchase was born.

The processes of buying media manually, have evolved to give way to the Programmatic Purchase, well known as well as programmatic ad buying. This allows the design of advertising campaigns much more precise, and with scope projections.

The programmatic ad buying can be defined as the massive and automated purchase of advertising spaces in digital media.

Actors Involved in Programmatic Ad Buying

To develop the Programmatic ad buying, we need to establish an automated relationship between all the agents that interact with it.

  • Advertisers: The brands that want to make public a product or service through different media.
  • Editors: They are responsible for the media they place in relation to advertisers brands with users.
  • Users: They are potential customers. They are the fundamental element that interests brands so much, to impact their messages.

How does Programmatic ad buying work?

For programmatic ad buying, assigning a value to the printing in real time, we would be talking about RTB (real time bidding).

The RTB is known as an online advertising inventory purchase model, based on bids for each unique impression.

Also, different agents are involved for each transaction (agencies, advertisers, ad exchanges, DSP, trading desks, advertising networks, media, etc.).

It should be noted that RTB is carried out in very high volumes of purchase and sale, so we talk about mass purchases.

In order to offer adequate publicity to the interests of the target, there are used things such as location data, sociodemographic characteristics, purchase history, etc. On the other hand, knowing the previous data, increases the efficiency of advertising, and also the conversion probabilities.

Then, the purchase and sale of advertising is carried out through technological platforms.

These platforms have been designed to carry out transactions mechanically. We emphasize that without the need for human intervention, only through parameters, we can make the Programmatic ad buying.


5 Reasons to Choose Programmatic ad buying


If you are still not sure about using the Programmatic Purchase, take a look at the reasons why you should start:

  1. Each auction makes it easy for an advertiser to show a specific ad to a single consumer in a defined context.
  2. You can plan a campaign in real time, enabling the optimization of the campaign while it remains active.
  3. You can bid on digital media and buy them without previously negotiating a price, contracting a specific budget or a minimum number of impressions.
  4. Costs tend to be lower than in traditional advertising purchases, increasing budget performance.
  5. Each impression can be measured in real time, which makes it easy to define a clear objective and quantify it.

An important part that facilitates the Programmatic ad buying, is Big Data. This refers to the collection of millions of data done through the platforms.

This is why, it becomes necessary an intelligent reach of data flow. Besides, the data collected by the platforms, are grouped and related to create a supply and demand system.


programmatic media buying

Then, it is (in this new digital ecosystem) where data becomes our best ally. In addition, it allows us to reach many more digital media than with a manual purchase.

We must point out that the different processes of the traditional digital advertising buying and selling model, will continue to work.

However, the automation based on thousands of data on which the programmatic purchase is based, allows you to create smarter media buying strategies by bidding in real time.

Therefore, it is predicted that more and more actors will introduce it into their businesses, as the favorite way to maximize results and with more efficient campaigns.

Programmatic TV

During 2019, advertisers in the United States will invest 3.8 billion dollars in programmatic advertising on television, according to an eMarketer estimate, which will mean an increase of 236% compared to 2018. So, it is a new way that companies are betting on.

This increase will be benefited by the implementation of better tools to segment and deliver the ads. In addition, it allows to measure its effectiveness on all audiovisual platforms: Smart TV, mobile devices and computers.

In Spain, Smart TVs have become a reference for content consumption. In fact, a 57% of Internet users have a Smart TV and 62% have a subscription, both streaming video platforms (such as Netflix, HBO or Amazon Prime Video), and paid TV, according to The Cocktail Analysis.

There are almost 6.9 million people subscribed to  cable TV, according to the National Commission for Markets and Competition (CNMC).

A SpotX report estimates that “connected television” will generate advertising revenues in Spain of 105 million euros in 2020.


As in previous posts we’ve talked about the importance of training and knowledge, Google is a platform that is not far behind.

This is why we leave you a short summary to understand more the Programmatic ad buying.

Is Programmatic something that you wanna read about? This is the purchase and sale of advertising through data-based technology, cookies and Machine Learning algorithms. Do you want to know more or read more about this?

As a Performance Agency, we work to take your brand to the next level. Contact us!

How to improve your Omnichannel Strategy

Omnichannel Strategy

Talking about a good strategy focused on performance has to be integral.

But, what does this mean?

It means that all the strategies that involve the business target, can work as a team. Starting from this vision, not only digital marketing specialists and their variants, but also those who manage offline media, must join forces to draw effective strategies under the term Omnichannel Marketing (or multichannel).

Much has been said about the Omnichannel Marketing worldwide, but there is no doubt that Latin America is beginning to realize this. Today, large companies are becoming aware of the advantages of having an Omnichannel Marketing Strategy.

To create a good Omnichannel Marketing strategy, you must know how your product or service is performing in different channels. And nevertheless, to know how the customer journey is thorough.

What is the Omnichannel basis?

It consists of achieving to homogenize a message of your brand to all media where your consumer has a presence, in order to guide it to an action by the consumer. In easy words, with a good strategy of Omnichannel Marketing, you will give your consumer what he wants, when he wants and how he wants it.

omni channel strategy

With Omnichannel Marketing strategies, the journey of all customers starts with a channel. In this stage, the consumer is interacting but is not close to the purchase process. After this, he decides to review more information on another channel, and when he finds all homogenized, he decides to take action.

At this point, the consumer is already more receptive and ready to buy. He goes to another channel to make the purchase, and let’s say that this consumer decides to talk to the customer because he began to doubt making the purchase online. Then, a persuasion channel is opened.

Once you’re there, you already have the consumer in the final stage. All you need is a “push”. Then, the consumer could continue the operation talking to the customer and collect the product in a physical store or make their payment online.

In the opposite way to what really happens in a single-channel strategy or even a multi-channel (different channels that operate autonomously) in Omnichannel Marketing strategies, the consumer no longer perceives which one is the sales channel, but he rather focuses on the experience consisting of having the brand blurring the channels thanks to the fact that the information flows naturally in the channel and precise moment.

omni channel experience

 

Do you know the benefits of managing an Omnichannel Strategy?

  • To improve the perception that the consumer has of your brand and can generate loyalty:
    Current consumers seek to have a unique, personalized and consistent experience regarding the brand’s message, no matter which channel they’re using.
  • It makes your database more robust and in a more efficient way:

The main objective of an Omnichannel Marketing strategy is being able to detect or track your customers by implementing multiple channels, not only to know where they come but its preferences, so the client basically feels that you know him maybe better than he knows himself.

  • Help for increasing sales:
    This point goes hand in hand with the previous one: The more you know your consumer, the better you will be when detecting sales opportunities. And not only recurring or unitary sales, but also complementary sales.

omnichannel strategy

While these strategies of Omnichannel Marketing can be used in different industrial areas, there is no doubt that they can be seen implemented more often in the retail industry, which migration to e-commerce, projects a 20% growth.

At LDM, we had the opportunity to apply an Omnichannel Marketing and machine learning strategy for this industry. This allowed us to cross data from online campaigns with purchases made in any of its channels. By doing this, was possible to identify the online and offline behavior to know what were the opportunity areas for our client.

In the same way, efforts were made with another retail brand with a great presence in its territory, (in this case, in Mexico) last year during the Football World Cup. What was sought in this particular case was to enrich the database and boost the purchase at a point of sale (POS).

Through a strategy of omnichannel marketing, it was achieved (through digital interaction) the enriching of the database and at the same time, began a massive mailing campaign that detonated a benefit, allowing the consumer could see it reflected only in offline shopping.

In both cases, sales were increased and the relationship between the brand and the final consumer was strengthened, having as common denominator an effective omnichannel strategy.

An Omni-Channel Marketing strategy doesn’t mean that your brand must be in all media, but it applies an action plan where the points of contact between the consumer and the brand are active and coordinated with defined objectives.

If a brand wants to start thinking about omnichannel, it must be open and involved, so the customer’s experience is pleasantly personalized, continuous and universal.

omnichannel commerce

And if your company already has an Omnichannel Marketing strategy, we recommend you implement the following tips:

  • Take into consideration the content
    As with any campaign, the content will be the soul of your omnichannel efforts. First, you must analyze the content you have, and if this is able to have the attention of your buyer. It is important to remember that when you work with attractive and quality content, it speaks well of your brand.

 

  • Base your strategy on Customer Service

It is essential that the Omnichannel Marketing experience focuses on the customer. First, you must know your target customer and the preferred channels. Once you know them, you must improve response times in all areas. Faster responses not only improve engagement with potential customers but also reduce the turnover of existing ones.

  • All channels must be in the same line

Imagine that you send an email to your potential client who recently subscribed to your newsletter. After reading the email, they access their Facebook page, and it has a different logo on the profile. Remember: Visual consistency is not only a priority: It also needs your message and language to be aligned across all channels. By doing this, you avoid conflicting messages and prevent campaigns from competing with each other without knowing it.

  • Improve customer service in-store

Optimization through digital channels is important, but for those with physical stores, all work doesn’t stop there. Customers want a perfect shopping experience: It is vital to maintain brand and message consistency between the digital and the physical world. The integration of technology in the store experience presents an excellent opportunity to maintain the momentum established before the purchase.

  • Use integrated systems

To put everything together and track the success of your Omnichannel Marketing strategy, you must be able to measure and act with the correct metrics. However, this will not be possible unless all of your relevant marketing tools are integrated. Doing this also decreases ambiguity and cleans up your data. Some platforms make this process accessible to companies of all sizes. There is a lot at stake in your business to delay the first step for more time. The only way to prosper is to fulfill the promise of personal, omnichannel experience.

Success Case in LDM: Novey, The Power to Carry Everything

Novey omnichannel strategy

One case of success we had in the work in Omnichannel was the Campaign of Novey: The Power to Carry Everything.

The first campaign with stickers made by the company offered its customers the possibility of buying and receiving them in-store or at home to their address. Only in its first week, they achieved 185,000 reproductions, more than 1,600 interactions with the ads of the promotion and 150% of the expected sales.

Customers prefer to shop at companies that provide excellent customer service experience. While companies have been focused on working on their Omnichannel Marketing strategy for more than a decade, not many have been able to offer a transition according to their needs. That’s why today we leave you a super short video so you can learn more about the buyers’ journey in Omnichannel Marketing.

Dare to create Omnichannel Marketing strategies and achieve your business targets: Let’s start the conversation!