PR Agencies Turning Toward Programmatic

PR agencies, traditionally, have the primary goal of gaining earned press, media or attention. As Forbe’s Robert Wynne stated, they don’t buy ads or create catchy slogans, but rather they “promote companies or individuals via editorial coverage,” otherwise known as earned media. As people use social media everyday, PR agencies rely on this platform as a means of gaining earned media. It is an easy way to organically reach thousands, if not millions of people while also maintaining brand image. Politics is an area that has seen great results from combining PR and social media. Political figures post their campaign commercials on social media, rather than paying for a TV spot and interact with voters firsthand on Twitter and Facebook. Even more effective, if a problem or scandal arises, they can take to social media to release a statement, directly reaching people. Social media platforms are a great tool for PR agencies to promote brands and people – but it is much easier for those who already have a significant following. For companies with smaller following, social platforms are becoming a tricky maneuver and pose different challenges that PR agencies are working to address.

Back in 2011, when social platforms changed their algorithm, the ability to rely on organic reach lessened. This was extremely problematic for PR agencies due to a market that is overly-flooded with media and news. PR agencies have continued to struggle to gain and maintain attention on behalf of their clients. As a solution, some agencies are looking to expand their services by including programmatic media buying as something they can offer to extend reach, especially when it comes to areas of interest like politics.

Less Focus on Awareness and More on Conversion

Marketing budgets are becoming more about ROI and attribution. Companies are less inclined to put their marketing dollars toward awareness, but focus more on conversion. They no longer just want customers to know about them, they want them to act on this awareness. Adding to this challenge, the constant influx of online content, makes it very difficult for articles and coverage to stay at the top of newsfeeds and searches. It is reported that nearly 2 million articles are posted online everyday. PR agencies are rising to this challenge and combining their standard PR strategies with programmatic media buys which include platforms like Facebook, which played a huge role in the last political elections.

PR is quickly evolving, companies like Cision are going beyond just distribution, moving data and analytics to the forefront. Reaching customers on social platforms, due to the high-paced change in newsfeed and content, is a real necessity for companies. As reported by Adexchanger, “…targeting a brand’s audience on social with a coupon or offer can drive customers back to the site, where a pixel tracks and learns more about them so they can be targeted with earned media in the future.” This tactic has two benefits. First, it drives the consumer directly to the website, putting them face-to-face with the brand and in an optimal position to make a purchase. Second, and most important to PR agencies, they are able to learn about the customer, how to better target them and what they most positively connect with. This in turn helps them determine the best content and placement of earned media to ensure its reaches the proper audience.  

The adoption of programmatic as a tool by PR agencies is still at the beginning stages. However, in the years to come, they will need to have programmatic media buying in their wheelhouse to get the reach and attention they need to maintain their clients and budgets. To stay current on Digital Media Strategies PR agencies are reaching out to programmatic buying companies and partnering with them. PR agencies understand the earned space, but savvy marketers want the best of all worlds which is the combination of paid, owned and earned media. Combining these marketing channels not only produces better ROI for companies, but more insights about customers and how to best reach them in the future.

Back to Basics: The Advantages of Direct Mail As Part Of Your Programmatic Media Buy

Gift giving stretches beyond the holiday season.

After researching the top marketing trends of 2018, no matter the source, the majority of topics include social media, influencer marketing, video marketing, artificial intelligence, and marketing software. Granted, all of these tactics are extremely important to create a thorough marketing mix, it is essential that as marketers and media planners, foundational marketing strategies are not lost. These practices, such as direct mail, have been used for years, and are still highly relevant and effective today.
The first reported use of direct mail dates back to 1888, when Sears sent out printed mailers to potential customers. These printed mailers, promoting their latest product offerings gained popularity very quickly. However, over 100 years later, as more companies started using this tactic, our mailboxes – which has now transitioned to our emails – are inundated with countless messages and offers.  This influx of “junk mail” – either via snail mail or email, is not enjoyable. So, the key to direct mail, just as with any marketing tactic, is to make it relevant, personal and unique.


Direct mail is so successful because it takes advantage of deep and intuitive part of the human experience that is giving, receiving and handling tangible objects, as determined in a study by UK Royal Mail, The Private Life of Mail. The emotional connection of receiving a tangible object results in a higher recollection rate and also makes the customer feel more valued. This tactic creates a more authentic relationship between marketer and consumer.
Simply put, finding a voice in an extremely chaotic and cluttered world is essential for marketers. CBS News has reported that people view almost 5,000 ads per day, up from 500 ads a day back in the 1970s. This is due to the mass amount of media. Direct mail is a great way to break away from the madness and utilize a much less cluttered channel. The small number of voices that use this channel results in a higher response rate. Email sees about a 0.12% response rate, whereas direct mail is more than 36 times that, at 4.4%, as analyzed by the Direct Marketing Association (DMA). Marketing will continue to move forward and utilize technology, but we need to ensure that we aren’t losing site of some great, long-standing tactics, especially as new generations gain more spending power. 

Anagram who is Agency of Record for brands, uses a variety of channels and tactics including OOH, Radio and Direct Mail.  When you think digital marketing, direct mail is probably not first on your list but today it is possible for a prospect or customer online behavior to lead to real-time, action-triggered direct mail. Those visiting a website, clicking on relevant emails, or replying to a comment on a social media site can receive targeted direct mail within days of their visit. By taking these actions, prospects indicate interest, and by following up with them via direct mail to leverage that interest, immediately increases the chances of customer response.

Marketers and media planners are very focused on reaching Millennials, and now Generation Z. There is an overwhelming amount of information stating that this group of people is married to all things digital. And, granted they have grown accustomed to phones, tablets and computers, Gallup has reported that 95% of 18-29 year-olds have a positive response to receiving personal cards and letters. This same report stated that 36% of people under the age of 30 look forward to checking their mailboxes everyday. There is a great opportunity to target this group of people, projected to hold $1.4 trillion in spending power by 2020, in a unique way, that sets itself apart from the mass media craze.

Staying up to date on the latest marketing and advertising trends is crucial. Technology is an amazing way to reach and target customers. However, every now and again, we must remember the “old-school” techniques that brought marketing to where it is today. Don’t be afraid to send a customer a letter or package. What’s most ideal about the world today, you can even send them a follow up email – combining the best of both worlds.

FIFA World Cup 2018 Infographic Part 4: Behavior, Retail, and Location Targeting


The 2018 Fifa World Cup has officially come to a close as France was crowned the champion in a very exciting championship game. Throughout the tournament many new records were set. The knockout round saw the most goals ever scored in history, Iceland became smallest country by population to participate in the tournament, and Cristiano Ronaldo became the oldest player to score a hattrick in the World Cup. These among many other statistics and records made for an extremely exciting month of soccer. The excitement didn’t stop at the games. Advertisers, media buyers and television networks saw fast shifts in viewing habits and purchasing power. This final post about the 2018 Fifa World Cup will cover all things Behavior, Retail & Purchasing Power, and Location & OOH Targeting.

Behavior


In Post 3 of the Fifa World Cup Infographic series, it was very clear that there is a captive audience very enthralled with the tournament, giving advertisers a great opportunity to engage and promote their offerings. Now that the games are done, we are able to see where fans were engaging in order to ensure that in future sporting and media events like this, that digital and programmatic advertising money is being spent and optimized to drive results.
In the infographic, it was projected that 48% of soccer fans planned to use their smartphone to follow the action. As reported by digiday, Telemundo saw that between 48 and 51 percent of its live digital viewers consistently watched the games on their smartphones. However, the most popular format for watching the games was still traditional television – although many chose to stream either on desktop or laptop. When comparing this tournament to other worldwide sports competitions such as the Summer Olympics, broadcast by Telemundo’s parent company NBCUniversal, people watched the events on their phones during the week and switched to television on the weekend. The World Cup saw stable numbers, despite the day of the week, mobile watchers stuck to mobile and TV viewers stuck to that platform.



Regarding the type of advertisements and its content, despite fans saying that they were more concerned about the advertisements being entertaining and interesting than relevant to the World Cup, most advertisers still chose to use the tournament as the platform for their ads. Companies like Pepsi, Coca Cola, Budweiser and Adidas all aired ads that starred fan favorite players and action from soccer games. These ads were successful as many sites, such as Highsnobiety dubbed them the best of the tournament. Contextually relevant content is always a safe bet for digital advertisers when choosing ad content and placement. Whether viewers realize it or not, when the excitement from the games carries over in the commercial breaks, they are much more likely to stay engaged.

Retail & Purchasing Behavior

The Fifa World Cup ranks the fourth most valuable sporting event brand in the world, falling short of the Superbowl, Summer Olympics and Winter Olympics. Even at fourth place, a 2017 Forbes survey revealed that the tournament is worth $229 million. This high price tag doesn’t solely fall on the games. Many companies find that this event has a high impact on their brand and they have significant pressure to make sure they get the most out of this captive futbol-fanatic audience. Adidas, arguably the most famous soccer brand in the world, projected to sell 10 million official tournament balls, 14.9 million replica jerseys. The top five selling jerseys are for Brazil, Portugal, Argentina, Spain and France and people are most inclined to search for Ronaldo, Messi, Neymar Jr and Coutinho.

But, as was published in our  infographic, advertisers need to be weary of changing emotions based on the outcomes of the games. After a loss, with lower morale, fans may be less inclined to make purchases unless prompted by a promotion or sale.

Monetary value didn’t stop at merchandise and fan apparel, this years ticket sales were tremendous. In May, it was already reported that 2.374 million tickets to the 64 matched had already been sold, accounting for 89% of all available tickets. The Moscow Times reported that there was a  98% attendance rate in the first 61 games of the tournament. Those attending paid high prices in order to see the action first hand. Newsweek reported that scalpers were selling tickets to fans for as much as $2,300 for one match!

Location & OOH Targeting

The World Cup offered great opportunities for advertisers to run location and Out of Home Targeting (OHH). Location targeting uses programmatic advertising to deliver ads to users who have attended an event or set of events at specific locations, dates and times. In regard to the world cup, this offered advertisers a great opportunity to run ads in areas that they knew fans would congregate and around and during the times of games. This allows great opportunities, as discussed in the behavior section, for fans to continue to see content surrounding the excitement of the World Cup. After a big win, if a fan sees an ad on the metro with their favorite player promoting a certain product, the advertiser has targeted and reached that fan in an ideal setting.

With each world-wide sporting event, advertisers and media buyers learn new strategies and tips on how to best reach their audience. This World Cup saw a very captive, engaged audience both at the games and watching – whether online or on television. Fans also took to social media to interact with their favorite players and teams. They were also quick to purchase apparel and gear and fans lucky enough to be close to where the games were played, were willing to purchase high-priced tickets in order to see the action live.

The Fifa World Cup only comes around every four years, making it essential that advertisers are prepared to showcase the best content in the ideal setting. For 2018, we have broken down the audience, social, content, behavior, retail and location targeting for the tournament. Comparing this 2018 information to the 2014 tournament, noting any similarities and changes, advertisers and media buyers can note any trends and study up for the next few years to ensure that 2022 World Cup sees the best use of media and advertising.
 


Digilant’s FIFA 2018 Digital Advertising Infographic covers who the consumers are, social media trends, how the content is consumed and by who, and more!

Download the full infographic here and don’t forget to share #DigilantData.

Did you read all four parts or our FIFA World Cup 2018 Infographic series? Start with Part 1 learning about the facts and figures of the World Cup here.

 

DC Dinner Panel Discussion: How To Fast Track to an Integrated Digital Media Strategy in 2018?

On Tuesday, March 6th, 2018, Digilant hosted a discussion and dinner at SEI D.C. in Penn Quarter.  I joined local digital media agencies and brands to hear their colleagues discuss their approach to delivering new and innovative programmatic strategies.

As programmatic technology becomes a commodity that everyone is using and has access to, it’s even more important to have integrated teams and strategies to get ahead of the competition. Today’s CMO will be delivering a single media strategy that includes search, social and programmatic. They will be partnering with agencies and businesses that can help them strategize, implement and optimize their digital media across audiences, formats, screens and inventory to most effectively deliver on business goals and objectives.

During this intimate dinner conversation, Digilant Executive Chairman, Alan Osetek, moderated a panel with Professor of Digital Strategy at Georgetown University and former SVP at Edelman, David Almacy, SVP of Media Strategy and Analytics at Discovery Communications, Seth Goren, VP of Marketing for Tegna, Meredith Conte, and Senior Digital Marketing Solutions Manager for ResonateLisa Villano.


Alan kicked off the evening by reminding everyone that Digital Media has evolved enormously over the last 5-10 years, in the sense that when agencies used to present their media plans there used to be one slide at the end of a presentation about trying some digital.  Now for many agencies, not only do they lead with digital, but it could be the whole pitch.

So his first question to the panel was, what words would they use to describe what programmatic means to them?

Seth from Discovery kicked off by saying that programmatic to him is real-time buying, addressable and algorithmic, that their strategy is audience based. For David at Georgetown University, programmatic is an opportunity to use and collect data, because if your data is not good you might miss finding the right people as well as finding new audiences that you might want to communicated with. For Lisa at Resonate, programmatic is about being able to access all types of inventory through one platform and then being able to get audience insights that they can use to make decisions from.

What are the expectations that your brand/today’s brands have of their programmatic partners?

Companies are experiencing growing pains when it comes to digital, according to Lisa, which means that you need to have specialists for all the new topics like programmatic TV, OTT and all the new ad formats, along with a subject matter expert to keep them informed.  Meredith responded that for her, in-house education can’t be underestimated, that they have in-house teams that suit all of their clients needs and they constantly need to be kept up to speed on what’s going on in the market. For Seth, programmatic expertise has become an important part of the strategy and it’s making less and less sense to ship it outside of their company.

How much of your buying strategy or media is based on walled garden platforms? What are your general thoughts on walled gardens? 

Seth jumped in to say that it’s not that walled gardens are frustrating, but that you can’t live without them. Meredith said that for her it depends on your goal; sometimes it may be 100% in Facebook, but mostly it’s about who you are going after. David said that there are tried and true approaches out there, so with video and images Facebook might work better. Platforms like Snapchat are evolving, for example teenagers are using Snapchat to mobilize together to organize a protest against guns, the fact that protests were generated on this channel and it’s becoming a language and a tool for a certain age group, the originators of Snapchat never thought their platform would be used this way.  The lesson is to be open. The platforms will evolve and you have to be open to which are the most effective tools for your brand or campaign depending on what you want to achieve. Lisa finished by saying that Resonate can now use their data on Facebook, successfully pulling data out of the walled garden to try and reach the right people, though they can’t be sure that they will convert but have to manage to a KPI to make it work. It’s an education for all their clients.

What are you using to bring your digital strategy to the next level? 

Meredith started by saying that following the customer journey is really important to them, how people are engaging and when during the day, so that they can engage people when it’s relevant to them, it’s on their roadmap to solve. Seth’s goal is to build modular creative, hundreds of creative! For him the next level is on the execution side, “my first matzo ball out there, traditional metrics are terrible predictors, likes, comments, etc. has nothing to do whether they like the show,” it comes down to tracking attribution, and weighing each touch for attribution. For Lisa geolocation tracking is really important, knowing what people are doing and where, so that we know when to reach them. Lastly for David, he wants to measure what tools are most effective and when the optimal time to use them is.

What company organization changes are moving the company forward?

Meredith answered first by saying, audience based elements. Everyone can buy programmatic media now and old economies of scale go out the window.  You also have to hire the right people who are willing to take risks. It’s a time of massive disruption, people have to want to embrace the change.  Seth said, start somewhere, solve one problem at a time, then scale slowly. For David if there isn’t someone internally to educate people about these trends, get that buy-in, so that they can educated their bosses then it’s going to fail.  Maybe there are new tools available that might work better. Test, learn, iterate, repeat… Identify best practices locally and then scale if they work.

Has anything changed on the way you hire?

EVERYTHING! said Meredith. Communication skills, you have to have them… if you are great at data and can’t explain it, that’s not going to work for us.  Data and knowledge of digital is critical. Creativity and resilience are also important, if you can’t adapt and grow you won’t make it.  According to Seth the whole game has changed, it’s all about data scientists not just digital marketers. Lisa commented that they are constantly changing process and procedure, and you have to be able to keep up with it. For David, you need to be naturally curious or naturally creative, can’t teach that.

For the last question Alan asked the panelists to talk about a problem they are trying to solve for their company.

For Lisa it’s inventory scarcity for the newer formats. If customers want to spend a million dollars on OTT and they can’t deliver that programmatically it’s a challenge.  They are packaging it into a bigger offering, the idea of having access to different omni-channel inventory through one buying platform is great, but not completely achievable yet.  David’s personal challenge is to empower women in Mexico to use technology so that they can use the same channels that men are using to get elected into government offices. For Seth 2018 is the year of automation, his goal is to eliminate email and powerpoint communication in his company in exchange for dashboards. And Meredith wants to revisit audience segmentation for local broadcasts.

It was a wonderful evening of food, drinks and programmatic conversation.  We are looking forward to the next event in Atlanta, stay tuned for details.

In 2018, Mobile Video Spend Will Dominate Programmatic Media Buys

In 2017, programmatic digital display ad spending reached $32.56 billion and is projected to continue to grow rapidly throughout 2018 and hit $45 billion in spend by 2019. With this rise in programmatic ad spend, there also comes a shift in where advertisers are buying ad space. Another shift in programmatic ad buying is the rapid rise in mobile placements over desktop. The move to mobile is not surprising considering that on average, people in the United States are spending over 5 hours a day on their mobile devices. Media Buyers are set to capitalize on this shift, in 2018, programmatic investment on mobile will reach $30 billion, over 3x the amount spent on desktop. This is in large part due to the popularity of mobile video consumption and mobile-friendly sites such as YouTube, Facebook and Snapchat.

In 2018, Programmatic investment on mobile will reach $30 billion, over 3x the amount spent on desktop -eMarketer

This year, it is projected that mobile video ad spending will surpass non-mobile ad spend. This is due to the rise in popularity of consumers watching video online. It is projected that this year people will spend on average 36 minutes watching video on their phone or tablet compared to 18.5 minutes on non-mobile devices. Around the world, people will watch 25% more video on phone and tablets whereas computer and laptop video consumption is expected to decline. Smart TV streaming continues to rise, but not quickly enough to make up for the mass decline in non-mobile platform viewing. Mobile video ad spending alone is expected to reach $18 billion, a 49% growth. With more consumers watching videos on their phone, media plans are also being adjusted to include larger budgets for mobile video ads and creative.

Mobile Video Ad Boom Driven by Social Platforms

The move towards mobile video consumption is largely due to mobile-friendly apps like Facebook, YouTube and Snapchat. Over 500 million hours of YouTube video are watched everyday. 65% of people who watch the first three seconds of a Facebook video will watch for at least 10 seconds, and 45% will watch for 30 seconds (Facebook, 2016).  These stats clearly explain why Google as well as Facebook have the largest share in mobile advertising. Advertising agencies put aside a portion of their media budget for Facebook ads and although these agencies don’t necessarily plan to use this money for mobile, it is where the audience is going, as most of Facebook’s audience is through mobile. Views for branded video content on Facebook has increased 258% in 2017 making it a great media buy for advertisers. With 10 million videos watched on Snapchat everyday, the company is estimated to experience the fastest mobile ad revenue growth between 2016-2019. As more companies make their websites mobile friendly, the shift to mobile advertising will continue to grow, leaving desktop ads behind.  

By 2019, $45.72 billion will flow via biddable media, more than four out of five US digital display ad dollars. Mobile ad spending will be credited for more than $30 billion of this amount. The era of mobile programmatic advertising is just beginning as advertisers and brands spend more time and budget optimizing their campaigns for mobile.

Read about the other nine trends that we are predicting will be the key to success for programmatic buying teams in 2018 here.

If you haven’t already, there is no time like 2018 to get on the programmatic bandwagon.  If you need to get started Digilant University has all the information you need to get up to speed on native advertising and more than 30 other topics.  Need more information, you can also reach out to us here.

2018 Trends: Generation Z vs Millennials, What Programmatic Media Buyers Need to Know?

In the last five years, digital media buyers and brand marketers have been hyper-focused on finding and targeting millennials, forgetting about an extremely influential and profitable demographic, Generation Z. Generation Z defines the group of people born between 1996 and the mid 2000s. They have different purchasing habits and need to be targeted differently than millennials. Most importantly, their influence on the market is tremendous and if brands don’t adapt to fit their needs, they have a great possibility of getting left behind.

Instagram Stories blow past Snapchat with 200 million daily active users as Generation Z becomes more valuable to most organizations than millennials -Statista


Generation Z has very clear and unique preferences that advertisers need to understand. Influencer marketing is very successful with Gen Z. Rather than looking at informational sites, they are likely to head to YouTube and watch a trusted influencer’s video for their information. Although many of them grew up with technology in their hand, this isn’t where they do their shopping. Millennials are much more likely to shop online than Generation Z who prefer shopping in person. Although millennials and Gen Z share short attention spans and the ability to toggle between multiple pages, Gen Z takes this to an extreme level. People in Gen Z have an average attention span of 8 seconds and usually switch between at at least 5 different screens. Advertisers had already seen a decline in television advertising success but now with an even shorter attention span, Generation Z is not the audience to target with TV spots. Gen Z wants real content that makes them feel like they know the brand and the person behind the content. Most importantly, this age demographic wants their independence. They are not interested in loyalty programs but rather want to interact with the advertiser on their terms. Brands that understand the unique preferences of this age demographic and can build media plans, creative and overall programmatic marketing campaigns that have better results.
 

Snapchat vs. Instagram

Brands that are looking to buy programmatic media that targets a younger demographic need to stay up to date with Gen Z likes and dislikes. Especially when it comes to social media advertising. Snapchat, one of the biggest social media platforms with 150 million daily users is starting to fall behind in market share as they realize their competitors are resonating with Gen Z more effectively. Although Facebook, who also owns Instagram, added the “stories” feature and have been accused of copying Snapchat, they already have more active daily users than Snapchat. Instagram started with a larger install base, at over 800 million active users, and have been able to successfully copy what Gen Z users love about Snapchat and adapt it in their own app. This leaves Snapchat to figure out how best to target Gen Z so the users come back to their app and don’t leave them behind in the likes of Facebook and Twitter.  
 

In Summary

What do we need to know about Generation Z?

  1. Trust influencers over direct brand advertising and would prefer to see a YouTube video from someone they follow vs. a TV spot from a brand they might like.
  2. Prefer to do their shopping at a brick and mortar store rather than online.
  3. Have a super short attention span, and are often toggling between 5 screens.
  4. Are super independent and don’t want to be defined by a brand, so advertisers that want to succeed with them need to celebrate the individual rather than trying to group them into categories or audiences.

Read about the other nine trends that we are predicting will be the key to success for programmatic buying teams in 2018 here.

If you haven’t already, there is no time like 2018 to get on the programmatic bandwagon.  If you need to get started Digilant University has all the information you need to get up to speed on native advertising and more than 30 other topics.  Need more information, you can also reach out to us here.

In 2018 Native Becomes the Leading Ad Format for Programmatic Media Buying Platforms

Native advertising was established to make ads appear more natural on a web page. Rather than making it overtly obvious that the ad is not part of the original page, native advertising uses the page’s design and layout to design the ad so that it appears as just a part of the webpage.  Programmatic native advertising takes this to the next level by targeting a person based on specific data parameters, with the goal of providing the right message to the user in the context of the page/ and or platform that they are on. This provides relevant and helpful information to the user at the right time.

Increase demand for more native experiences will drive programmatic native spend, reaching $24 million by years end, compared to 13.24 billion in 2016 – eMarketer

In 2018 native digital display ads will make up more than half of all digital display ad spending in the United States. This stems from both publisher and advertiser demands. Publishers are pursuing higher value and more mobile friendly content while advertisers are interested in more engaging, less intrusive ads.  This is a trend that programmatic media buyers need to pay attention to as it will be front and center in 2018 media plans. With the advances of machine learning and AI native advertising will become even smarter and which will likely increase the already enticing engagement metrics. Also, it is easier for publishers to guarantee a viewable and fraud free experience providing brands with a more reassuring level of transparency.

Native Gained Popularity Through Social Media Platforms

Native advertising has gained traction through social media platforms, the trend having started with Facebook. In 2017, 84.2% of native display ads appeared on social platforms, which resulted in a $18.59 billion spend. Because most people consume social media on their phones, the focus native advertising development is equally been mobile heavy.  In 2017, $19.5 billion was spent on native mobile display which encompasses 88.3% of all native advertising, and the share is only growing. However, the social platform trend is slowly shifting as other publishers outside the social platform walled gardens are incorporating in-feed ads and videos allowing media buyers to scale their native programmatic ad buys, especially for those brands who are seeking higher rates of engagement. In the coming months, it is projected that more non-social publishers will quickly move to accommodate native programmatic ad buying.

As non-social sites incorporate programmatic native ads, social platforms continue to incorporate these ads to accommodate demand from both publishers and advertisers for this advertising format, and we predict that the trend will be that in 2018 native programmatic advertising will continue to take share away from display ads. The numbers back up this trend. It is estimated that the total ad spend will reach $24 billion which will make up more than 50% of all display ad spending in the United States.

Read about the other nine trends that we are predicting will be the key to success for programmatic buying teams in 2018 here.

If you haven’t already, there is no time like 2018 to get on the programmatic bandwagon.  If you need to get started Digilant University has all the information you need to get up to speed on native advertising and more than 30 other topics.  Need more information, you can also reach out to us here.

2018 Programmatic Media Buying Trends: Video Takes 1st Place in Growth Opportunity

In 2017, advertisers spent more on video ads than banner ads for the first time. In the first half of 2017, advertisers spent $921 million on video ads which topped the $903 million spent on banner ads. This is in large part due to how many people are watching videos online. In a recent report, Cisco suggests that by 2019, 80% of all consumer traffic will be video. On mobile devices, 70% of the advertising traffic will be video ads. This yields a 14-times growth within the next five years. Advertisers and programmatic media buyers have a great opportunity to embrace this change, to make content that resonates with consumers and include video in more of their media plans.

Video display ads are expected to be the second leading highest spend platform in 2018 and in 2019 (source: eMarketer).

It isn’t just the growth in video consumption that is propelling a large spend on this ad format, there are also great opportunities for return on investment. Amazon, who owns one of the larger DSPs in the programmatic space, says that including a video ad increases the propensity to buy by up to 35%. Although video ads naturally cost more to produce, they are more engaging for consumers thus making them more effective. Advertisers need to ensure that they are still creating quality content, rather than a 15 second pre-roll TV ad.

Video is Winning the Attention Battle with Consumers


Consumers are now pre-programmed to ignore banner ads, so media buys need to make sure that this doesn’t happen with video advertising as well. Consumers are already watching videos, so if videos ads are interesting, they will remain hooked. As of now, video ads have the highest click-through rates of all digital ad formats at 1.84% which in large part is due to video trends yielding more brand engagement as opposed to direct-response, “buy this product” ads. Advertisers benefit because video ads offer live and very granular insights instead of static panel insights offered by other ad formats. There are many advantages for both consumers and advertisers that this ad format will continue to offer, as long as advertisers do not abuse it.

A Shift Towards a Video-First Strategy

The opportunity for revenue in video for publishers and advertisers is equally appealing and both are embracing video advertising as a dominant format.  Consumers have grown accustomed to the pre-roll and post-roll ads that appear when watching a video. But mid-roll, outstream and social in-feed ads are on the rise, now accounting for more than half of video spend ($478 million). Advertisers will need to proceed with caution with this ad format. Consumers do not like having their content disrupted and if this platform is abused, more people will start to use ad-blockers, thus making the ads irrelevant.
If advertisers and marketers stick to making quality, non-intrusive, creative video ads, consumers will begin to adapt pre, mid or post-roll ads as a ‘native’ format and part of their online video watching. This will allow programmatic media buyers to continue to see success with their video campaigns by both engaging consumers with brands and creating an overall return on investment.

Read about the other nine trends that we are predicting will be the key to success for programmatic buying teams in 2018 here.

If you haven’t already, there is no time like 2018 to get on the programmatic bandwagon.  If you need to get started Digilant University has all the information you need to get up to speed and get going.  Need more information, you can also reach out to us here.

Programmatic Media Buying 101: How the Industry is Solving Domain Spoofing and Ad Fraud with Ads.txt & Private Marketplace

In 2018 the ad tech industry, and especially the top DSPs, are going to focus on improving inventory quality for programmatic media, as seen in our top ten trends you need to know about programmatic this year.

Download the full infographic here

What Does Inventory Quality Mean?

Over the past few years, the quantity of fraudulent ads has decreased greatly as the ability to monitor and prevent ad fraud has improved. However, there was still a significant room for improvement. Much of the development that has been made is for desktops ads. As the digital ad buying process continues to become more transparent and ad inventory quality improves, focus now needs to be centered on mobile and video ads. Video ads are extremely enticing to ad fraudsters due to high CPMs. The importance of eliminating fraud and enhancing the quality of ad inventory benefits both buyers and publishers.

On the buyer’s side, there are two major reason to ensure quality ad inventory: brand safety and media waste. If a buyer purchases fraudulent ad space and their brand is presented in a negative environment, it can greatly affect their brand image. In regard to media waste, if an ad is bought and only viewed by bots, instead of human eyes, the media spend is wasted on false impressions. Purchasing quality ad inventory ensures that an ad shows up on the site it is supposed to be published on and that human eyes are viewing it.

Publishers are primarily concerned with ensuring a quality customer experience. Customer experiences are deterred through malware or annoying ads. If the ad exchange is not properly screened, malware can arrive on a publisher’s site. If the consumer clicks on the ad, it will infect their browser, creating a very negative customer experience. Customers do not like when ads refresh, flash or are otherwise annoying. Publishers need to ensure that this is not occurring with their advertisements.

Publishers and buyers need to work together to become a trusted source of quality inventory which involves the following:

  1. Publishers sharing information with one another about negative buying experiences.
  2. DSPs need to educate their advertisers, that buying ad space from many different sources opens up the door for ad fraud.
  3. Create realistic standards for viewability. It is unrealistic to set 100% viewability goals.

Solutions for Fraud and Domain Spoofing

Private Marketplace Deals

Ad space was traditionally bought through open marketplaces. This is a process in which multiple media owners offer up their ad inventory to multiple buyers. All of the buyers compete to have their ad space placed on a page and the highest bidder wins.
Private marketplaces are auctions that are only open to select advertisers through an invitation-only format. Some of these entail only one publisher offering up ad space, others have a few. Before the auction, buyers and sellers negotiate a deal. Each deal is given a unique ID and advertisers bid on that deal only – inventory that does not meet the deal will not be bid on. This marketplace structure requires more work however, it is much more transparent. Buyers will know where their ad is being placed such as the URL of the website their ad will be shown on. The marketplace ensures a more transparent ad buying process and ensures that buyers ads show up exactly where they want them to, reaching the right audience in the right place.  

DSPs Are Implementing Ads.txt

IAB (Interactive Advertising Bureau) has released the latest mechanism that boosts inventory quality and makes the ad buying process less risky. In September, IAB released the authorized digital sellers or ads.txt. This is a simple, flexible method for publishers and distributors to clearly state which companies are authorized to use their digital inventory.

Companies drop a text file on their website that lists the different companies authorized to sell inventory on their site. This will enable buyers to see which programmatic firms have authorization to sell ad space on specific websites, ensuring validity in their purchase. The upkeep for this process is also simple. Someone will have to monitor additions to an ads.txt list to stay up to date with authorized sellers.

If you haven’t already, there is no time like 2018 to get on the programmatic bandwagon.  If you need to get started Digilant University has all the information you need to get up to speed and get going.  Need more information you can also reach out to us here.

10 Programmatic Media Buying Trends for 2018 That You Need to Know About

As we kick off 2018, it’s important as marketers, media buyers or media planners to be confident that we are making the right choices, spending valuable dollars in the right places and overall making the returns for those dollars that everyone is expecting.  How do we know for sure we made the right decisions?  We read, we discuss and we read some more on what’s next and how we can outsmart others by being ahead of the trends or implementing the newest ad technology before anyone realized they even needed it.

Our team at Digilant has spent a good amount of time doing the research for you.  We narrowed it down to 10 big trends we know will affect programmatic media buyers this year.  In 2018 you will be hearing a lot of talk about in-housing, ads.txt, OTT, DOOH, native, transparency, attribution and how digital media buying will be going fully programmatic in the next couple of years. We will cover all these topics and more over the next couple of weeks but in the meantime we offer you 10 things you need to know about programmatic for 2018.

Download the full infographic here or read it below. 
If you haven’t already, there is no time like 2018 to get on the programmatic bandwagon.  If you need to get started Digilant University has all the information you need to get up to speed and get going.  Need more information you can also reach out to us here.

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