4 Programmatic advertising myths busted

The proliferation of the internet and digital channels has dramatically transformed the marketing and advertising landscape. The introduction of programmatic advertising – i.e the automation of media buying and selling – has been instrumental in helping marketers keep up with the ever-evolving industry.

However, in Southeast Asia, many brands are reluctant to embrace technological advancements like programmatic advertising mainly because of misconceptions surrounding the industry. Issues such as brand safety, viewability and privacy concerns are no doubt compounding the problem. Still, the uses cases of programmatic far outweigh the negatives and the onus is on industry players like us to address the misconceptions head-on:

Myth 1: Programmatic will replace human talent

Yes, programmatic predominantly involves technology, but that does not warrant the elimination of flesh-and-blood people. While programmatic manages the heavy lifting by automating the ad exchange process, it is people who cultivate the necessary working relationships, execute marketing campaigns and assist marketers in realising their targets. Programmatic may be gaining mainstream acceptance, but its power cannot be harnessed without the help of trained executives.

Myth 2: Programmatic is the same as Real Time Bidding

Both terms are often erroneously used interchangeably. A component of Programmatic, Real-Time Bidding involves the exchange of ad space in an online auction, with the help of sophisticated algorithms. Programmatic refers to the broader automated universe of planning, purchasing, and selling ad space- it consists of much more than just RTB.

Myth 3: Programmatic cannot be used for big marketing campaigns

Programmatic may be widely used for direct-response advertising efforts, but that does mean marketers cannot use it to execute large-scale marketing campaigns. Given the various issues surrounding programmatic, it is no surprise that some brands shy away from scaling up their marketing efforts. Programmatic’s current capabilities can support bigger branding efforts, such as brand-building and story-telling.

Myth 4: Programmatic advertising can’t be used for TV ads

In Asia-Pacific, TV still makes up a bulk of the ad spend mix. Indeed, in many emerging markets TV’s ubiquitous presence in households means that it is still considered the more effective platform to reach audiences. But, the ad buying process is traditional and tedious, and not without its inefficiencies. We believe that it’s possible to apply the same automation model to TV ad buying and selling, with even greater targeting potential, so that audiences are not forced to view irrelevant ads.


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