Programmatic Marketing Part 3 of 3

PROGRAMMAT
IC
MARKETING:
An overview of how
marketers can use
programmatic marketing,
advertising and buying.
There’s also some
information about digital
audio, the future of
television and more.

TABLE OF CONTENTS:
Page Title: Page Number:
Programmatic Marketing 4
Core Programmatic Concepts 6
Facts & Statistics 12
Consumers & Buyers 19
Creative Possibilities 25
Reaching Target Audiences 31
Programmatic Advertising 36
Programmatic Advertising Classifications 37
Types of Programmatic Advertising 45
Programmatic Buying 55
Programmatic Buying Steps 56
Step 1: Organize 58
Step 2: Design 67
Step 3: Execute 77
Step 4: Reach 87
Step 5: Measure 97
Programmatic Buying Steps to Improve
Campaigns
108 2

TABLE OF CONTENTS:
Page Title: Page Number:
Trends Affecting Programmatic Buying 117
Programmatic: Digital Audio & Television 126
Programmatic: Rise of Digital Audio 127
Statistics 128
Facts About Digital Audio 135
Programmatic & Digital Audio 143
Programmatic: Future of Television 151
Statistics 152
Facts About Television 157
Programmatic & Television 166
Programmatic: Viewability & Verification 181
Statistics 182
Facts About Viewability & Verification 187
Standards for Viewability & Verification 195
Concepts & Challenges 200
Viewability & Verification Fraud 207
Work Cited 211 3

TELEVISION:
20.0% of buyers TV
budgets is dedicated to
programmatic TV
43.1% of media buyers
are using programmatic
for TV buying and
selling
48.0% of media buyers
will be using
programmatic buying
and selling in the next
two years
52.0% will be adding
programmatic to their
upfront process
4COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER
PRINTED

TELEVISION:
25.60%
21.40%
14.40%
16.20%
14.80%
5.40% 2.10%
Advantages of Programmatic TV Buying/ Selling:
Advanced Audience Targeting
Technological Automation to Streamline the
Booking, Buying & Reporting of Advertising Buys
with the Inclusion of Data
The Use of Algorithms to Automate the Buying
Process & Improve Results
The Use of Big Data in the Buying Process for
TV/ Video Advertising
Real-time Ad Buying Through Exchanges Based
on Dynamic Results
PRINTED

TELEVISION:
64.90%
52.50%
51.50%
44.70%
40.20%
0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00%
OVER-THE-TOP/ STREAMING
NATIONAL CABLE NETWORKS
LOCAL CABLE NETWORKS
MULTICHANNEL VIDEO PROGRAM DISTRIBUTORS
NATIONAL BROADCAST
TV Types Bought Programmatically:
PRINTED

TELEVISION LIMITATIONS:
Lack in measurement options limits the abilities to make comparisons for media buyers today
As marketers think in practical terms about how to incorporate programmatic TV into their broader
strategies, cross-channel tracking has emerged as the most important issue for buyers and sellers
Roku and Hulu have great distribution but when microtargeting, buyers run into scale issues
It can be hard to attribute a purchase to a single spot but buyers can see a correlation between
exposure and conversion rate
There’s a good amount of collaboration between TV and content owners to integrate plans but it’s
difficult to manage frequency and measure conversions across screens
PRINTED

TELEVISION TREND:
Viewers are starting to consume
content away from linear TV
Networks have less content now
than before
Consumers are getting used to
being able to click on what they
want to watch and younger
consumers are avoiding
commercials all together
PRINTED

PROGRAMMATIC TELEVISION:
Programmatic Television:
This involves the automation of data-driven, audience-based ad buying for media
consumed through linear, addressable, over-the-top and streaming channels
The level of automation varies at different points on the spectrum, the central role
of data is a constant, enabling a shift from content buying to audience buying
Technology and audience data are what enable the transition to programmatic TV
and are changing the way TV inventory is bought and sold
PRINTED

PROGRAMMATIC TELEVISION
FACTS:
A large part of
programmatic TV
is about making
all inventory
available and
expressing it in
terms that are
more relevant to
clients beyond
just age and
gender
Programmatic can
make ads more
relevant for the
consumer and
keep those
viewers around
Programmatic
enables
marketers to
build schedules
on the fly based
on hundreds of
household or
viewer attributes
Local stations
have inventory
that they need
help moving and
programmatic
can be used to
sell it
PRINTED

ADVANTAGES OF PROGRAMMATIC:
Advantages of Programmatic TV:
Data and the targeting
it makes possible
Advanced audience
targeting
Technological
automation to
streamline the booking,
buying and reporting of
advertising buys with
the inclusion of data
The use of big data in
the buying process for
TV/ Video advertising
PRINTED

CHANGES IS PROGRAMMATIC:
How Programmatic TV has Changed:
More inventory
Better
targeting
Attribution
tools have
been
developed
More
automation
More options
and partners in
the category
offering
solutions for
agencies
PRINTED

OPPORTUNITIES IN
PROGRAMMATIC:
In local broadcast space, agencies are responsive to the ability to measure and
adjust campaigns midflight instead of having to wait till the end of the year
There are opportunities to match first-party data from providers with sales data
to see who bought a product after seeing an ad
There’s a role for audience buying in cross-screen, screen-agnostic investment
strategy that’s applicable today
Introducing an element of addressability also makes it possible to target at a
geographic level
Across the industry, vendors are working to help unify inventory across every
part of the TV spectrum and make it available for unified buys across platforms
PRINTED

Areas most important
to buyers and sellers:
Targeting options
Analytics and
reporting capabilities
Reach or scale
PRINTED

Media buyers are more
interested in programmatic
buys on:
Over-the-top
Roku
Hulu
SamsungNational Cable Networks
Local Cable Networks
PRINTED

VIEWABILITY & VERIFICATION:
16
Verification:
That the ad will be or has been served in a place that can be seen by a real human
not a bot and that it adheres to the advertisers specified brand safety guidelines
Viewability:
The opportunity for an ad to be seen by a consumer
COMPILED BY AUTHOR FROM: AD AGE CONTENT STRATEGY STUDIO WHITE PAPER
PRINTED

VIEWABILITY CONCERNS:
47.4%
58.8%
59.6%
59.6%
60.5%
61.4%
63.2%
64.0%
0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0%
DESKTOP NATIVE
DESKTOP RICH MEDIA
MOBILE STATIC BANNER
MOBILE NATIVE
MOBILE RICH MEDIA
DESKTOP STATIC BANNER
DESKTOP VIDEO
MOBILE VIDEO
Viewability Concerns for Heavy Programmatic Users by
Platform:
PRINTED

HEAVY USERS PRIORITIES:
0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0%
To Offer Inventory from Wearables
To Offer Inventory from Connected TV
To Offer Inventory from Digital Out-of-home
To be Able to Buy Native
To be Able to Buy Video In-stream
To be Able to Buy Rich Media
To be Able to Buy Inventory Across Channels via a Single…
To be Able to Buy Display
Priorities for Buying Programmatically:
Heavy Users of Programmatic All Respondents
PRINTED

VIEWABILITY & VERIFICATION
GOAL:
Goal: Having the confidence to know exactly what the
company is buying
This goal will help programmatic
reach it’s full transformative
potential
The main step to reaching this
goal: is to ensure that players
throughout the ecosystem are
educated and speaking the same
language about: viewability,
verification and programmatic
PRINTED

ADVANTAGES OF VERIFICATION:
Advantages to Verification
before Serving:
A DSP can be set up to bid only on
inventory that meets quality
standards
It can optimize more effectively in
real time
Advantages to Post-bid
Verification:
Can be valuable for checking the
accuracy of prediction algorithms
It can also guide the evaluation and
optimization of supply partners
PRINTED

VIEWABILITY & VERIFICATION:
•They are less likely to value unique inventory when making a buy
•Its about reaching the right target than getting their ads onto a specific site
Power users are more likely to pay a premium for custom data segments
•Likely smaller companies that are nimble enough to adopt new technologies faster
•They are more likely to be focusing on maximum efficiency for their limited media budgets and less likely to
rely on the nonstandard units that pose challenges
Heavy users of programmatic show particular interest in guaranteeing viewability
PRINTED

STANDARDS:
•It requires an ad to be at least 50% in view for at
least one second and a similar standard for video
ads calling for two seconds of viewability
Media Rating Council
made initial progress
with a standard for
desktop ad viewability
•Mobile represents the fastest-growing segment
digital advertising
The lack of standards
for mobile or
nonstandard ad units
remains a problem
PRINTED

STANDARDS:
•Initial standards for viewability have been set by a few organizations but
they aren’t universally used
Agree to
Standards:
•Exchanges, SSPs, and publishers need to take steps to ensure a clean
marketplaceBe Proactive:
•Each company has created its own methodology for how viewability and
verification are actually measured, leading to companies needing a
consistent way of doing this while still allowing for innovation
Normalize
Methodologies:
PRINTED
Supply-side Companies (Publishers, SSPs, Exchanges, Verification
Partners):

CONCERNS:
PRINTED
Factors that contribute to ads not being viewed
Users blocking ads
Users not scrolling down far enough to see an ad placement
Questionable inventory sources
Outright deception

CHALLENGES:
PRINTED
Viewability & Verification Challenges:
Inconsistent
measurement
methodologies
among
verification and
viewability
partners
Lack of detailed
measurement
with high-impact
ad units
Post-campaign
reconciliation of
fraud impeding
optimization
Reconciliation of
discrepancies due
to verification or
viewability
Inability to access
high-impact ad
units across all
inventory
programmatically

CHALLENGES:
There’s more to inventory quality than placement and
viewability metrics, marketers need to be concerned about:
Brand Safety
Nonhuman Traffic
Outright Deception
PRINTED

FRAUD:
As the role of programmatic buying and
selling in digital advertising continues to
grow, issues surrounding viewability and
verification are moving to the forefront
Like with any technology, especially one
that allows for scaling and is
fundamentally dependent on
automation, programmatic is vulnerable
to fraud and questions of quality
Fraud is an economic issue not a
technical one and can happen because
of the rapidly changing ecosystem
PRINTED

FRAUD:
Greatly expanded
inventory and demand
call for automation to
fulfill the market’s
potential and
automation will also
be key to addressing
the fraud problem
that comes with it
Creating a fraud-free
environment is in the
best interest of all
players in the supply
chain
Companies rely on
their DSP or third
party providers to
check viewability and
fraud rates
Constant innovation,
as well as the
introduction and
refinement of new
standards will help
the industry get in
front of new types of
fraud
Heavy users are more
likely to trust the
accuracy of their
verification partners in
measuring specific
types of fraud, due to
a deeper
understanding of their
technologies and
methodologies
PRINTED

WORK CITED:
"A Guide To Programmatic Advertising." Think with Google. N.p., n.d. Web. 28 June 2017.
<https://www.thinkwithgoogle.com/programmatic-guide/>.
"How Will Programmatic Media Buying Impact Your Business?" Hampton Roads Business Weekly Blog.
N.p., n.d. Web. 28 June 2017. <http://www.hamptonroadsmarketingnow.com/blog/how-will-
programmatic-media-buying-impact-your-business>.
"LinkedIn: Programmatic The Ebook- The Ultimate Guide to Programmatic for B2B
Marketing." Business. LinkedIn.com. Business LinkedIn, n.d. Web. 28 June 2017.
<https://business.linkedin.com/content/dam/me/business/en-us/marketing-
solutions/cx/2017/pdfs/programmatic-the-ebook.pdf>. PDf From LinkedIn
Magazine, Advertising Age. Advertising Age Content Strategy Studio: Programmatic- The Future of
Television. N.p.: Advertising Age, June 2016. Print*
Magazine, Advertising Age. Advertising Age Content Strategy Studio: Programmatic and The Rise of
Digital Audio. N.p.: Advertising Age, September 2016. Print*
Magazine, Advertising Age. Advertising Age Content Strategy Studio: Viewability and Verification
Through the Programmatic lens. N.p.: Advertising Age, December 2015. Print*
Umashankar, Balaji Murugan. "Types of programmatic advertising, a bird's eye view." Softway Blog.
N.p., 27 Oct. 2016. Web. 28 June 2017. <https://www.softway.com/blog/types-of-programmatic-
advertising-a-birds-eye-view/>.
"Value of an Integrated Platform for Programmatic Buying." Think with Google. N.p., n.d. Web. 28 June
2017. <https://www.thinkwithgoogle.com/marketing-resources/programmatic/value-of-an-
integrated-platform-for-programmatic-buying/>.
*Also available online at adage.com 29

CONTACT US FOR THE FULL
PRESENTATION:
Mediacontact USA Inc.
13575 58TH Street North #160
Clearwater, Fl. 33760
T: 727 538 4112
E: contact@mcusa.co
www.mediacontactusa.com

Programmatic Marketing Part 3 of 3

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Programmatic Marketing Part 3 of 3