Adoption of programmatic advertising has been growing rapidly over the past few years - and it’s not too difficult to see why. By automating the process of buying and selling media, it provides access to large amounts of audience data (for better audience targeting) as well as a large inventory for media placement.
However, programmatic advertising is notwithout its flaws. Facebook’s decision to nix the Atlas Demand-Side Platform (DSP) last month puts the spotlight on one of the biggest concerns facing programmatic advertisers: quality of inventory.
DSP versus SSP
There is no denying that low-quality inventory does exist in the programmatic media available through ad exchanges. Hence, it makes sense for a large publisher like Facebook to not want to dip its feet into programmatic. It already has a large inventory and the means to sell it directly to advertisers through its Supply Side Platform (SSP). Having a DSP in the media chain is likely to empower advertisers since it creates an environment where publishers have to compete against one another in real-time. As a large media supplier, the last thing Facebook would want is to relinquish the “supplier power” that it enjoys in the marketplace.
How can advertisers ensure that they are getting high-quality inventory that is fraud-free?
The key to “programmatic bliss” lies in Private Marketplace (PMP) deals. PMP deals allow advertisers to access more exclusive, first look premium-quality inventory. It increases ad placement transparency while still maintaining audience targeting, automation, and scaling. With PMP deals, advertisers know exactly what inventory they are getting and at what price.
Technology in PMP
Once you have decided that you want to leverage PMP media, it is important to be selective in choosing the right partner and technology platform. The ideal partner should have direct relationships with multiple premium publishers representing your specific target audience and geography. This will boost your chances of getting high-quality inventory at a good, stable price. The choice should also be based on the partner’s technology to perform KPI-based optimization over both ad creative and media placement. In mobile advertising, superior technology is the major driver of app marketing performance.
About Sid Bhatt
Sid Bhatt is the CEO and Co-founder of Aarki, a leading creative optimization and media buying advertising technology company for brands, agencies, app developers and premium publishers. Sid champions the company’s vision to help advertisers rise above and stand out in the digital marketplace through easy-to-use self-serve technology and a full app marketing agency. Prior to Aarki, Sid spent more than five years at startups in Silicon Valley, including the business development team at Mint.com.