This post was most recently updated on September 28th, 2023
Programmatic direct advertising is transforming the digital advertising ecosystem, enabling brands to make informed decisions and garner impressive results. In this article, we unravel the complexities of programmatic direct advertising, exploring its mechanisms, benefits, and best practices.
Last year, programmatic direct accounted for 68% of programmatic ad spending, with private marketplace deals at 19% and open marketplace deals at 23%.
Programmatic direct is clearly a favorite. However, what is it really and how does it even work? Let’s take a closer look to find out just that.
Programmatic direct advertising is a method of purchasing digital advertising space directly from publishers, leveraging automation and real-time bidding to streamline the buying process. This approach combines the efficiency of programmatic advertising with the exclusivity and security of direct deals, offering a plethora of benefits to advertisers and publishers alike.
With programmatic direct, an ad transaction or agreement takes place directly between the publisher (seller) and the advertiser (buyer) through some kind programmatic ad buying system.
Programmatic direct can also contain a variety of programmatic deals such as private auctions, preferred deals, and guaranteed/non-guaranteed deals. The image below provides more information.
With other programmatic transactions, this would typically run through an ad exchange and RTB technology would be used to bid on ad inventory such as an open auction.
Real-time bidding is a pivotal component of programmatic direct, allowing advertisers to bid on individual impressions in real-time, ensuring optimal placement and pricing.
Advertisers utilize DSPs to manage multiple ad and data exchange accounts, facilitating efficient and intelligent ad purchasing.
Publishers employ SSPs to manage their advertising space inventory and maximize revenue through automated and optimized ad selling.
Ad exchanges serve as digital marketplaces where publishers and advertisers buy and sell advertising space, typically through real-time auctions.
Both are very much the same, however, programmatic direct can contain programmatic guaranteed or non-guaranteed agreements between publishers and advertisers as mentioned above.
Programmatic guaranteed is when the advertiser (buyer) buys ad inventory directly from the publisher with an agreement for a fixed number of impressions, a specific delivery timeline, and predetermined price.
Harness the power of data analytics to refine targeting strategies, optimize campaigns, and drive superior results.
Focus on creating compelling and high-quality content that resonates with your target audience, enhancing engagement and conversion rates.
Given the ubiquity of mobile devices, optimize ad content and formats for mobile users to maximize reach and impact.
Leverage real-time analytics to monitor campaign performance, making swift adjustments to optimize outcomes.
Adhere to prevailing data protection laws and respect user privacy, building trust and safeguarding brand reputation.
In an ever-changing digital advertising and ad technology landscape, Programmatic Direct still plays an essential role despite some challenges. It’s no wonder it’s the preferred programmatic selling method for publishers.
However, not every situation is the same in the world of online publishers. If you want to find out what’s the best way to sell your ad inventory, why not let the experts help?
Whether it’s utilizing programmatic direct, an open auction or incorporating header bidding, MonetizeMore has the solution.
With over seven years at the forefront of programmatic advertising, Aleesha is a renowned Ad-Tech expert, blending innovative strategies with cutting-edge technology. Her insights have reshaped programmatic advertising, leading to groundbreaking campaigns and 10X ROI increases for publishers and global brands. She believes in setting new standards in dynamic ad targeting and optimization.
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