Programmatic advertising (German: programmatic advertising) refers to the automated and software-based trading of online advertisements. For example, if a user visits a website and sees an advertisement tailored to them, such as an ad of shoes that they have recently viewed on another website, this is known as programmatic advertising.
The marketing goal is to display advertisements as effectively as possible with the least possible effort both for the provider of the online advertising space (publisher) and for the provider of the advertisement (advertiser). Especially in local online marketing, this type of online advertising offers many advantages, as target customers can be addressed individually and in a targeted manner and at the same time benefit from the variety of digital advertising spaces on the Internet.
How does programmatic advertising work?
Based on various data about user behavior on the Internet, individual advertisements can be displayed, which are based, for example, on the user's previously visited websites. By using demographic data, targeted local advertisements for, for example, a restaurant or gym near the user can also be displayed.
Various automated processes run in the background so that visitors to the website can see the ad tailored for them within a few seconds. In addition to being able to set a fixed price for the entire booking process, programmatic advertising is usually the case that the price for the online ad is only set when it is delivered. This is controlled by the so-called real-time bidding principle. Each advertiser is free to decide beforehand how much he or she wants to spend on online advertising on the publisher website. If a user then visits an online shop, for example, and the user data matches the advertisers' criteria, the auction starts. The advertiser with the highest bid may advertise their product on the website operator's advertising space.
How programmatic advertising helps local marketing success
The programmatic advertising model is becoming increasingly popular in online marketing. By delivering individualized ads in real time, you can better reach your target group in local marketing through programmatic advertising. Based on available data such as interests, location or age group, the user is shown individually tailored advertisements that are highly likely to respond to them. Another advantage is the time saved by eliminating manual bookings and negotiations. Due to the high number of digital advertising spaces on the Internet, a programmatic advertising campaign can also achieve a high level of reach.
If you use the local marketing platform for your local marketing, you can currently book programmatic advertising campaigns. Feel free to contact our team at any time if you have any further questions about programmatic advertising and the possible uses for your local marketing.