Programmatic advertising might be one of the biggest buzzwords in the NZ marketing and advertising industry at the moment, but in five years’ time, the term programmatic most likely won’t even exist – it’ll just be the way things are done.

As you’re probably aware, Google holds a vast multitude of data about you – from your search behaviour to the emails you’re getting, to the videos you’re watching and the websites you’re visiting.

Programmatic is essentially a mechanic that uses all this data to help automate the way media is transacted. And here at Amnet, our mission is to underpin all brand communications with this data to form a single, consistent and deep view of consumers and context.

As programmatic advertising evolves and reaches new heights of complexity, the more questions, discussions and debates pop up.

For those new to programmatic, it can feel daunting to even know where to start, but lend us your eyes for 5 minutes and we’ll try to give you a few pointers on programmatic and how relates to us in the NZ market.

 

Programmatic trading is about technology

 

Technology is the great enabler of programmatic buying; it’s the foundation on which everything is built.

By allowing us to connect advertiser data with the right audiences, technology has single-handedly given rise to the modern era of media planning and buying, primarily through the use of demand side platforms (also known as DSPs).

The NZ market is very Google-dominated, with Doubleclick Bid Manager being the preferred DSP for 95% of programmatic advertisers.

 

Programmatic advertising is about data

 

It starts and ends with data. Data is what fuels this ecosystem.

Data is the driver that helps publishers justify who their audiences are, in turn helping buyers reach their ideal target audience: the right user, in the right context, at the right time, with the right message.

Here’s a quick snapshot of Amnet data sources here in New Zealand.

1st party data: Data collected directly from a company’s customers and used for their benefit. This is mostly collected through website cookies by tagging up the site, a company’s DMP or using Amnet Audience Centre tags to collect data directly from the advertiser’s website and audience discovery.

2nd party data: Data shared between two partners, e.g. publisher data shared with an advertiser. Partnerships are currently available via publishers such as Fairfax, TradeMe, Ray White, JetMax, Real Estate NZ and others.

3rd party data: Data provided by an external data provider not directly involved in the transaction. For example, Eyeota or Helix and Mosaic segments.

 

Programmatic advertising creates better efficiencies

 

Programmatic advertising has evolved at a rapid pace over the last couple of years, and it’s not limited to only reaching users on a desktop with a banner ad. Programmatic advertising now encompasses executing display, video, audio and native advertising, to name a few.

 

Programmatic advertising isn’t cheap

 

In line with driving better efficiencies, programmatic advertising is not all about getting cheap inventory. Programmatic advertising, actioned correctly, is about the technology and data utilised to activate audiences in real time, across selected inventory to streamline transactions and drive desired business outcomes.

 

Programmatic trading is about the people in the tools

 

Technology and data are meaningless without the skill and talent to connect the two. Though it can serve to automate monotonous tasks and allow us to create efficiencies in the workflow, the need for the human touch still remains. It’s the only way to ensure the technology’s potential is maximised and is challenged to continue to evolve.

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Linda Quach

Linda and Ains are the joint Heads of Amnet New Zealand - the programmatic trading desk of the Dentsu Aegis Network. The ying to each others yangs, they ensure that the programmatic wheel keeps spinning in DAN NZ.