What is programmatic guaranteed?

What is programmatic guaranteed?

Programmatic ad spending is forecasted to grow by 30% during 2018 while reaching $47 billion. When we reach 2020, analysts predict that ads bought programmatically will make up 86% of all digital ad spend. Within the world of programmatic advertising, many different types of programmatic deals exist such as private auctions, preferred deals, and guaranteed deals. In this article, we’re going to take a closer look at programmatic guaranteed.

Looking at setting up programmatic guaranteed rules for your inventory? At MonetizeMore, we’re experts with Google Ad Manager and can help you set up your auctions correctly. Get in touch with us today for a free consultation!

What is programmatic guaranteed?

A programmatic guaranteed deal is where the buyer directly buys inventory from the publisher. The buyer agrees to buy a fixed number of impressions, and the publisher agrees to deliver the exact amount of impressions for a guaranteed price. Both the buyer and the seller (publisher) brings a guarantee to the table.

Find out how to set it up in Google Display & Video 360 here.

If you think that only a select few buyers and publishers deal in programmatic guaranteed (PG), think again. A recent report noted that 58% of all display advertising purchased programmatically goes through programmatic guaranteed deals. This totals to over $27 billion and is only for the United States, not to mention other worldwide markets.

What are the benefits for publishers?

Getting set up with PG often requires some work, connections and relationship building. It’s not as easy as putting your ad inventory on the open market through an exchange and getting advertisers to bid on it. However, the hard work is worth it.

With these guaranteed deals you’ll be able to increase your revenue as a publisher by getting access to premium advertisers who are looking for high ad inventory volumes while usually paying a premium.

It also brings security to your business as you’ll know for sure that your inventory is sold at an agreed upon price. This is because both you as a publisher and the buyer commit to the deal.

What are the benefits for advertisers?

For advertisers, the benefits are very much different sides of the same coin. As an advertiser, you get access to premium ad inventory that you previously might not have been able to buy via the open market.

Guaranteed delivery ensures that you know the exact amount of impressions you’ll receive instead of bidding on impressions hoping they’ll deliver.

Like publishers, advertisers also know for sure where their ads will be shown helping them pick and choose exactly which publishing sites. This helps with further brand safety and transparency concerns advertisers might have.

What is the difference between Programmatic guaranteed deals, Preferred deals (PMP) & more?

If you wondered how programmatic guarantee measures up to other types of programmatic deals such as an open auction, private auctions and preferred deals, take a look at the image below.

programmatic different types

Conclusion

Although programmatic guaranteed deals provide tons of benefits to publishers, it can require a lot of resources, contacts, and skills your team might not have. Why not let MonetizeMore help? Our team of ad optimization experts are fully versed in every form of programmatic and can advise you the best course forward for your publishing business.

Looking at setting up inventory rules to include programmatic guaranteed? At MonetizeMore, we’re experts with Google Ad Manager and can help you set up your delivery rules correctly. Get in touch with us today for a free consultation!

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Kean Graham

CEO and Founder at MonetizeMore

Kean is the resident expert in Ad Optimization covering areas like Adsense Optimization, DFP Management, and third-party ad network partnerships. Kean believes in the supremacy of direct publisher deals and holistic optimization as keys to effective and consistent ad revenue increases.

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