A look at the programmatic future

This post also published on the BrightRoll blog.

The advertising industry has grown in leaps and bounds over the last decade, thanks in large part to the advent of programmatic advertising. Technology and consumer behaviors are always in flux, and as a whole, publishers, adtech providers, and advertisers have learned and adapted over the years.

I recently shared my own observations since the beginnings of BrightRoll in a Medium post, but what about the future? What can we expect from the next decade of digital advertising? We can tell a good deal about what’s to come from looking at where we’ve been. So we’ll begin by looking back.

Tod Sacerdoti explains how taking data-driven research a step further can unlock powerful insights about consumer behavior.

Looking back

At BrightRoll, we’ve seen the growth of our demand side platform through the integration of Yahoo data and partnerships with a number of analytics partners. We’ve seen the growth of our exchange with the integration of new and proprietary access to Yahoo inventory. New ad units—particularly native—have exploded, creating new monetization opportunities for publishers, and excellent results for advertisers.

According to eMarketer research, programmatic spending continues to grow year over year—from $10.32 billion in the US in 2013 to a projected $27.47 billion in 2017. Additionally, more than two-thirds of digital display ads are served programmatically.

Demand side platforms have also begun to integrate more services directly into themselves, increasing the overall utility of the platform by reducing the need to pass data from one service to another and back—if it’s all contained in a single place, analysis and reporting can be done much more quickly and reliably.

Looking ahead

The era of programmatic is in full-swing in the US, with display ad spending predicted to rise to over $22 billion by the end of this year, according to eMarketer—an almost 40% increase from last year. Programmatic makes up 67% of the display ad spend, 50% of video ad spend, and native—the newest player in the game—is already at 36% programmatic.

The industry support for programmatic is pushing the technology forward, and we’ve seen the growing capabilities of demand side platforms as they consolidate features. We have reached a point where every stage of your campaign can be managed from a single platform, including in-depth conversion analysis and reporting. Platforms will become more capable in time; all of your campaigns, across channels and devices, will be managed and tracked from a single interface, with insights that incorporate every element of your campaigns.

While these developments are before us, ensuring you’re buying programmatic intelligently is vital to your success now. Make sure your programmatic partner offers you:

  • Scale: your partner should have broad access to inventory options in the marketplace on both desktop and mobile.
  • Targeted reach: you should have access to audience data and be able to integrate your own to reach your audience effectively.
  • Efficiency: validated measurement and reporting should be available throughout your campaign, including third-party options.

I was on stage with our Chief Revenue Officer Lisa Utzschneider to discuss “The Next Era of Programmatic” on Wednesday, September 28 during Advertising Week 2016 in New York. You can now watch the session on the Advertising Week site.