Programmatic glossary: terms to know
When it comes to advances in online advertising and technology, we're right there with you trying to stay ahead of the curve. Everyone seems to have their own definitions for terms like programmatic, private exchange and guaranteed direct.
We want to make sure that you have an easy guide to refer to as you and your clients make decisions around what's the best way to access specific publisher inventory or if you should explore programmatic. So we've put together a brand-new programmatic glossarythat encompasses both industry buzz words but also terms that you will now find in the programmatic section of our digital database. Access the full glossary here. In the meantime, here's a sampling of some of the terms that we think are critical to define.
Agency Trading Desk - These are centralized management platforms used by ad agencies that specialize in programmatic media and audience buying. They are typically layered on top of a DSP or other audience buying technologies. Trading desks attempt to help clients improve their advertising performance and receive increased value from their display advertising. Trading desk staff don't just plan and buy media. They also measure results and report audience insights to their clients. All the major holding companies have agency trading desks, including Havas, IPG, WPP and Omnicom. Trading desks were created in order to give the client and the agency more control over ad placement. When working with an ad network, the client often has limited say over where the ad is placed. Working with a trading desk allows the client to direct where ad dollars and spent and more closely examine the results to optimize if necessary.
Programmatic Advertising - Programmatic advertising refers to the automation of buying and selling digital media. Advertisers use programmatic technology to more efficiently buy or bid on digital ad inventory, with less (and sometimes no) direct communication with people. It reduces much of the manual back and forth that come with the middle steps of buying and selling, including IOs.
RTB - A form of programmatic buying where display ad inventory is bought by agencies/advertisers and sold by publishers through an online media exchange with auction pricing in real time. It takes place one ad impression at a time, sometimes in 1/3 of a second. RTB is impression-by-impression buying and valuation, with cost efficiency. The targeting and metrics involved deliver advertisers greater granularity. However, much of RTB is done blindly without the buyer knowing who will be running ads on their site and vice versa. Another disadvantage is that much of the inventory that is sold is remnant.
And remember, if you want to learn more about programmatic advertising, watch our latest webinar here or sign into SRDS.com and browse available inventory from our programmatic partners.