“We need to stop interrupting what people are interested in & be what people are interested in.” – Craig Davis


Programmatic Advertising

Programmatic advertising or programmatic marketing is the process of buying and selling ad inventories in real-time through an automated bidding system. This intricate system allows brands or marketing agencies to buy ad impressions on sites, apps, or social media platforms. Programmatic media, as it is also known, encompasses ad spaces for digital out-of-home, online, streaming, TV, video, and voice ads.

Programmatic media buying leverages artificial intelligence (AI) algorithms, machine learning, and predictive analytics to deliver results. And since it relies more on programs and less on humans, the expensive and paperwork-laden practice of traditional marketing negotiations is eliminated. Instead, the bidding process and the purchase of ads are automated based on pre-established parameters.

Programmatic advertising analyzes a consumer’s behavior, demographic, cookie data, purchase history, etc., to determine which ad should be shown to a particular website visitor or social media user.

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Traditional large-scale advertising, such as commercials and billboards, have been reserved for big brands with big advertising budgets for some time. Well, until the internet and AI came along. In a way, media buying worked that way, too, in the beginning.

But with the creation of various systems and programs, smaller brands are getting increased access to technology as well. This allows them to be in the same ad space with larger brands without spending a lot on ad tech. Below are the potential benefits of programmatic advertising to brands, both big and small.

Assess and adapt to incoming data

The ability to access real-time reporting on how ad campaigns are performing is every marketer’s dream. A benefit of programmatic advertising is not only that it impacts the return on ad spending, but it also allows marketers and advertisers to make better informed and data-driven decisions to manage or tweak their digital ads.

With online advertising, marketers can track the location of the consumers they’re attracting, the devices their audience is using to engage, the ad formats with the most clicks, and the demographics with the highest conversion rate, among others.

Engage the audience more effectively

As much as marketers want an engaged audience, the goal is to convert said audience to buyers. Programmatic advertising works for retargeting users as well. Retargeting lets you focus your advertising dollars on users who’ve indicated an interest in your products previously.

This marketing strategy is also a way to increase your brand awareness since consumers who see retargeted ads are 43% more likely to convert. With AI technology’s increased flexibility, big and small brands can use programmatic displays to reach their target markets directly.

Access new advertising opportunities

Since programmatic technology relies on consumer data, it’s easier to modify campaigns and run them across various channels. You can also pre-set criteria into the algorithms for instantaneous data-based decisions on what online ads to show to attract and engage your target market.

Although AI technology can play a large part in your marketing success, make sure you also have the right people running your campaigns.

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