How Programmatic Advertising Can Steer Buyer Motivation

It is a given that advertising has a significant impact on consumers. Advertising giants even spend thousands of dollars on their campaigns in the hopes of changing the perspective of their target buyers and converting these strategies to actual sales.

Digital advertising is on the verge of a disruptive shift. The goal is to capture the appropriate target consumers and take note of their preferences and buying journeys to persuade them to buy. But, with competition so tight, advertisers need to create campaigns that are not only cost-efficient but are optimized to deliver results. This is where programmatic advertising comes in. Over the years, programmatic advertising has grown exponentially. In 2015 alone, as much as 50% of the digital media expenditures were spent on programmatic advertising.

Why? Because it delivers results. It provides a significant increase in ad revenue.

How? By having a direct effect on consumer perceptions and behavior.

 

The Effect of Programmatic Advertising on Consumers

An industry analysis of programmatic advertising revealed that it has a direct correlation on the efficiency of advertising strategies.

Programmatic advertising permits organizations to produce a specific advertisement that caters to the right target audience, at the most opportune time, and within the appropriate context. When you look at it and compare it with traditional advertising modalities, programmatic ad placement has a more fine-tuned control of personalized marketing. Looking back at the 2015 discussion at the Interactive Advertising Bureau (IAB), about 20% of digital advertising was carried out by automation, and, today, we see it growing at a rapid rate. With the advancement in automation, time-consuming tasks are achieved within minutes, and this leads to higher ad revenue compared with their expenditures. When there is better targeting, there is improved personalization. Personalization, in turn, allows buyers to change their perspective about a specific brand, pushing them to press that buy button.

Programmatic advertising means using consumer data accurately and altering targeting efforts accordingly. When this happens, consumers have a heightened consciousness about the brand. Once they feel a personal connection with a brand, it would be easier for them to recommend to their family, peers, and colleagues.

Given all these, it is no longer surprising to see the programmatic advertising industry to exceed US$4 billion this 2020 despite the growing concern about the General Data Protection Regulation (GDPR). As such, organizations can do well by investing their resources on strengthening their marketing strategy through the incorporation of programmatic advertising and the provision of proper education of this growing technology to their managers. While programmatic advertising has established benefits, it can be detrimental to organizations if done wrongly. For this reason, most major brands outsource their programmatic advertising to third-party ad networks like AlgoriX.

 

Final Thoughts

In sum, programmatic advertising is a growing industry that affords organizations with higher ad revenue by creating a marketing strategy that caters to the right person, at the right time, and in the proper context. In an era where personalization is high on any consumer’s priority, what programmatic advertising brings to the table is enough for them to take a look and change their buying motivation.

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Pranav Kataria

Senior Director, Programmatic Strategy

As the Senior Director of Programmatic Strategy, Pranav brings over 8 years of experience in the adtech industry working with Publishers, DSPs, Agencies, and Advertisers from global regions to improve their monetization, performance, and strategies. With great understanding of the mobile market, his expertise lies in analytics, account management, strategy, and ad sales. With this refined skill set, he brings customer-centric mindfulness that enables growth and innovation.

Before joining AlgoriX, his keen business perspective and skills have earned him opportunities to work across different organizations and verticals in the advertising ecosystem; be it improving the processes, sales enablement, and managing client relationships.

Ray Xia

VP, AlgoriX Partner Studio

Ray Xia was a mainstay at Tencent Games, having worked at the company for 13 years. There, he took on various roles including backend developer, application development manager, and game producer. During this time, he actively participated in the development and operation of popular titles such as QQ Pet, QQ Pet Fight, and games involving the Naruto franchise. To date, these games have over 10 million daily active users. Through this rich well of experience he has accumulated covering all aspects of game development and operation, he aims to spearhead more creative endeavors via AlgoriX Studios.

Naomi Li

VP, Research and Development

Naomi Li has a decade’s worth of experience in research and development for the adtech industry. At present, she is responsible for the overall direction of AlgoriX’s R&D efforts, which include product planning, technical architecture design, and talent training.

Frederic Liow

Chief Revenue & Operations Officer

A veteran in the digital advertising industry, he began his career during the early days of the dotcom era. To date, his passion for the digital industry is still as strong as ever (and getting even stronger). Spanning twenty years of his digital career, he has worked for leading companies like Nielsen, MRM McCann, Omnicom Media Group, Millward Brown and Smaato. Currently, Frederic is the revenue officer for AlgoriX spearheading global revenue growth, business expansion and strategic partnerships. He has set up and built AlgoriX’s global mobile ad exchange, hiring talents, establishing best practices, and injecting global industry standards into the company. Prior to his current role, he was the Head of Demand for Smaato, overseeing the demand business and operations in APAC. Frederic is currently based in our Singapore HQ.

Xinxiao Guo

Chief Operation Officer

Equipped with a decade’s worth of experience in global product operation as well as a deep understanding of emerging markets, Xinxiao brings her expertise in mobile traffic monetization and programmatic advertising to the table. Before her role at AlgoriX, she was a core member of iQIYI’s research and development unit. After that, she moved to Baidu as Head of Programmatic Advertising.

At present, she is AlgoriX’s co-founder and Chief Operation Officer. Together with the team, she aims to help game developers effectively reach global audiences and implement better monetization strategies.

Ruiz Xie

Chief Executive Officer

With nearly 20 years of business experience, Ruiz Xie founded AlgoriX with the vision of creating a global advertising platform and entertainment ecosystem. Through AlgoriX’s services, he aims to create a more inclusive tech ecosystem by providing customized solutions that meet the needs of businesses at every stage. At the same time, through AlgoriX Studios and its third-party partner studios, the company is currently bringing to life a greater goal of providing a comprehensive entertainment platform for people worldwide, which covers games, IP, comics, movies, and more. At present, he leads nearly a hundred employees with concrete plans to expand the company by establishing more offices worldwide.