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Beginner’s Guide to Programmatic Marketing 2024

by Admin
Introduction to Programmatic Marketing

Programmatic Marketing has become the buzzword in the marketing industry. Everyone is talking about it, right? But do you know what it is? How does it work and what are its benefits? Well, as you are here we assume that you must be looking for these answers.

In this blog post, we are going to learn about programmatic marketing and everything else about it. Excited to know about it? Keep reading.

What is Programmatic Marketing/Advertising? 

Programmatic Marketing is a process that makes use of machine learning and AI to automate the sale of ad inventory on a real-time basis, ensuring that the ads target the most appropriate audiences.

The process depends on various platforms to make a fully automated process which lessens the need for manual insertion orders. Marketers can purchase the ad impressions based on contextual cues and user signals.

In simpler words, programmatic marketing is a process where the advertisers and publishers connect with each other through DSP that is “Demand Side Platform” and SSP that is “Supply Side Platform”. The whole process takes place through an ad exchange. The advertisers buy the ad space whereas the publishers sell their ad spaces.

Earlier this whole process was done traditionally where advertisers and publishers have to meet in person to buy/sell the ad space. But now, because of programmatic advertising everything is automated and it takes place through softwares. 

Moreover, programmatic advertising is cost-effective, which means even small marketers can make use of it.

What Are The Various Kinds Of Programmatic Advertising?

There are four popular types of programmatic advertising. They are video advertising, display advertising, search advertising, and native advertising. We are going to give a summary of each of them below.

1.Video Advertising

You must have seen commercial videos of brands when you open a website or an application, that’s video advertising. 

2.Display Advertising

Now these are the ads that you see on different websites. They are mostly rectangular and located on the top, side, or bottom of the webpage

3.Search Advertising: 

These are the sponsored results that you see at the top of SERP. As soon as you enter a query on any search engine, the result page displays both paid as well as organic results. The paid ones are called search ads.

4. Native Advertising:

These ads are designed in such a way that they mix well with the content on that webpage. For example, a product recommendation from a retailer or an article sponsored by any brand.

How to Implement a Programmatic Marketing Strategy?

Now that you know what Programmatic Marketing is, let’s understand the process of implementing the programmatic marketing strategy.

  • Firstly, set strategic goals for programmatic marketing.
  • After that, make sure to determine the ad campaign type.
  • Then, define the location, browse type as well and buyer persona categories that you wish to target.
  • When all this is done, make sure to research DSP which is demand side platforms for the best fit, and then pick a DSP.
  • Determine the budget for programmatic marketing and deposit to the DSP.
  • Finalize the date of programmatic marketing as well as limits for the frequency and maximum software impression.
  • Finally, review the reports of the results of Programmatic Marketing campaigns.

How Does Programmatic Marketing Work?

At first, the marketers make use of programmatic advertising software to set up the parameters of the campaign such as budget, geographical reach, and audience. Then, the platform connects with the online publishers who wish to sell the ad space as well as traffic. The data software then sorts through the cookies, clicks, and caches to inform the automated auction with real-time bidding over the best ad space available.

Okay, suppose there is a huge forum where the virtual publishers display the whole ad space available to sell and the companies that want to buy the ad spots can bid for the ideal opportunities. That is what goes on, but this is known as an ad exchange. Here, the negotiations are automated in the digital auction with the RTB(Real-time bidding).

Just like any other business, the purchasing and selling the online ads is based simply on the demand and supply. The publishers have a supply of ad space as well as traffic whereas the requirements of the advertisers determine the demand. The AI software simplifies the demand and supply balance with the three types of platforms that are mentioned below. 

  • Demand-side platforms (DSPs)

They are the software advertisers used to purchase the traffic in different ad formats – mobile, TV desktop, etc. from the virtual publishers.

  • Supply-side platforms (SSPs)

They are the digital software publishers that are used to sell their traffic and available space online.

  • Data management platforms (DMPs)

They are the data warehouses that connect to an SSP or DSP to store data that they need to enable strategic decisions on the digital bidding floor.

All these platforms have made the purchasing and selling process of ads for publishers and advertisers. 

What Are The Advantages Of Programmatic Advertising?

Traditional media purchasing is a very labor as well as time-intensive manual process. Whereas Programmatic Marketing is an automated process. It offers a lot of benefits, some of which we have mentioned below.

  1. Scale:

Advertisers and marketers can reach a large audience by buying ad space from any available ad inventory. Also, the publishers have access to the pool of purchasers.

  1. Efficiency

The process is much faster and inexpensive when compared with the traditional methods. Having access to large publishers means the advertisers can get a better return on investment.

  1. Ease Of Use

The automation makes the purchasing and selling of ad inventory a much simpler process and that too with low overheads.


That is all the basic information that you need to know about Programmatic Marketing. In this blog post, we have jotted down everything in brief about Programmatic Marketing. And we believe that you now know the basics of the same. 

Programmatic Marketing is becoming very popular these days, that’s why you must make use of it as well. It is very advantageous to the marketers. 

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