Programmatic Display Advertising

Until the early 2000s, there were more advertisers than publishers on the Internet. That quickly changed when the number of websites grew exponentially as more people learned how to code. But then, there was a new problem. With more websites publishing ads than advertisers, there was now an oversupply of ad space

Publishers considered it as a crisis, but they came up with an ingenious solution. They created ad networks that pooled and sold the remaining ad space at a discounted rate. Premium ad space was still available, and they auctioned off the leftovers to the highest bidders.

The problem with this type of ad space is it didn’t support targeting. You could buy a few slots, but there was no way of knowing where and when they would appear.

Programmatic display advertising, however, is different. This type of display advertising targets specific types of audience instead of showing ads indiscriminately. Here’s how it works:

How Programmatic Display Advertising Works

A website with a programmatic display capability automatically sends a request to an ad exchange whenever someone visits it.
The request contains information about the website and available visitor data.
The ad exchange matches this information with advertisers belonging to the same category.
The advertisers then bid for their ad to be displayed on the websites the visitor will explore next.

For instance, you visit a website that offers washing machines. After exploring several pages, you decide to leave because you can’t find what you’re looking for. A few hours later, you go online again, visit a gardening site, and unexpectedly see washing machine ads on every page of that site.

Between the time you visited the website, and the moment you left, an auction was taking place with the ad exchange awarding the display positions to the winning bidder. When carried out properly, this form of advertising can significantly increase your brand awareness at a fraction of the cost of other data based advertising mediums.

How We Can Help

TRD Digital Marketing can help you maximize programmatic display advertising. We have the means and expertise to bid for the most relevant publishing opportunities and manage your accounts properly. Contact us to learn more about programmatic display advertising and how it can benefit your business.