|P&G to buy most online ads "programmatic"|
Ag Age says change is "groundbreaking"
Saying the move is "groundbreaking," Advertising Age is reporting that Procter & Gamble "wants to buy 70% to 75% of its U.S. digital media programmatically..."
Ad Age notes that, "The move follows a goal recently announced by American Express in an advertising-technology request for proposals to shift 100% of digital buys to programmatic..."
Much more here:
(Note: I thought this was hilarious:)
|[P&G] traditionally has been a buyer of premium online inventory and hitting its goal means getting publishers to make more premium inventory available for programmatic buying. |
How hard that will be is debatable. Rex Briggs, CEO of marketing analytics firm Marketing Evolution, said his research has found that more premium digital inventory is available than many people think...
Yeah, I think they will not have any trouble.
Ground breaking, eh!
Perhaps it's just a coincidence (not) that Google made an announcement on this. Google Announces Partner Select; A Programmatic Premium Video Marketplace [webmasterworld.com]
Soon, the whole of major inventory will be programmatic.
I think this has got to be very, very encouraging for webmasters or whatever it is thoughtful online publishers are calling themselves now. This was the promise of the internet, for better or for worse: More transparency, real numbers and details as never before for marketers. If you could provide the audience, you could get the ads.
And it's good for the users. Because users will respond to good content with traffic, and if sites have the quality ads, they can afford to produce good content.
This is, however, bad news for the three-martini lunch crowd.
Next time I hear some 12-year-old complains about not needing math, I'm going to reply, "Kid, tomorrow, it's going to be nothing but math." Then suggest he see the movie Moneyball.
What exactly does programmatic mean?
It refers to buying media in a similar way that traders buy and sell shares: Fully automatic within parameters set.
So its a synonym for algorithmic rather than the usual meaning of programmatic. Thank you ad industry for mucking up the English language a little more (yet again).
|Thank you ad industry for mucking up the English language a little more (yet again). |
Yes, it our job. Saw soap at the supermarket for kids to blow bubbles labeled as "Super Miracle Bubbles." Not just super, not just a miracle...
What "programmatic" means is that ads go to where the numbers say the buyers are, so it's garbage in, garbage out in regards to data. But, if you have a site that google analytics say can deliver, say, mothers of newborn babies, you gonna get some love from P&G.
And, as you know, the data is getting better and better on who is looking at what even on sites that are not working gathering much data. Sure, privacy is gone. But, I think anyone with a website knows that, and also knows that "it's nothing personal." And, if you're selling ads (or a repressive government), it's getting to be a good thing.
I was reading about the World Cup on The New York Times just a moment ago. On the side of this lead, major news and sports article was an ad from...my local Kia dealer. And I'm in a small, minor (albeit upscale) urban market nowhere near NYC.
THAT is (likely) programmatic advertising. My location, gender, age and income....wait a minute! They think I can only afford a freaking Kia? Like I said, garbage in, garbage out!
I am also getting stalked by a pink and white ad (?) for a Xerox a Phaser 7100 color printer. Which has a really good price on it. They (or someone) captured my IP address when I visited their website. So, right now I'll looking at their ad--on theOnion.com. And, I'm like, OK, tomorrow I'll look at it again, alright? Gimme a break... And I"ll likely go with HP.
Then, a week later we read that the giant ad-buying network GroupM says it is pulling its clients' budgets from open ad exchanges by the end of the year.
|Open ad exchanges offer vast pools of digital inventory to buyers through automated processes, part of the broader world of so-called programmatic buying. But when GroupM wants to use ad technology to buy digital inventory next year, it hopes it can instead rely on arrangements with publishers operating private exchanges or using automated tech to process direct sales. GroupM already has 91 such deals in place. |
...GroupM doesn't want to bid on relatively random inventory in auctions that almost any advertiser can enter, nor does it want to risk paying for wasted ads on sites it or its clients don't want. It does want to deal more directly with publishers so that it can assert its leverage.
There will always been a big league set of websites and advertisers who are concerned about enhancing their brand as much as increasing sales.