Display advertising – Programmatic #1 Phrases


The word programmatic has been a buzz word for a while in media, but there is still a lot of confusion about what it is. In this series of posts I will look in to the basics of programmatic buying..

First, allow me to go through some phrases:

Display advertising = is a type of advertising that is located on websites, it could take many forms, such as text, image, interactive and video ads

Yahoo Ad

Programmatic = is an automatic way of buying media in which no human interaction is necessary; it is based on data, quick and real-time

Source: http://altitudedigital.com/company-blog/programmatic-advertising-top-10-resources/

Let’s look at each of the elements from left to right.

Advertiser = the brand that invests in advertisement  (such as Coca Cola, Apple, TFL)

Media Agency = the agency who is assigned to allocate this investment based on their research and experience (such as Starcom MediaVest, MindShare, MEC, OMD)

Ad Server = the technology that places the advertisements on websites (such as DoubleClick, Sizmek, Mediaplex)

Agency Trading Desk = a group of people who will do the buying, they log into the DSP, set up and run the campaigns (such as AoD, Xaxis, amnet). Trading Desks sit separately, however some of the Agencies are merging their Trading Desks into the Agency, such as SMV and AoD.

DSP (Demand Side Platform) = the interface that allows agencies to access the inventory of multiple ad exchanges as networks (such as DoubleClick Bid Manager, MediaMath, Appnexus, Turn, Rocketfuel)

DMP (Data Management Platform) = the platform that manages data, such as cookie IDs to generate audience segments that could be used later to target specific users (such as Adobe AudienceManager)

First Party Data = is data the advertiser collects directly from its customers (such as CRM and Sign in data)

Second Party Data Providers = is similar to first party data, except other companies provide massive data about consumers (such as Sainsbury’s Nectar Card, Tesco Club Card)

Third Party Data Providers = are companies that collect data from customers and then sell it to advertisers to allow for better targeting (such as BlueKai, datalogix)

How first-, second-, third-party data is collected

Source: http://searchengineland.com/new-data-currency-digital-world-195356

Ad Exchange = a piece of software that connects the advertiser to the publisher in real-time (such as DoubleClick Ad Exchange, OpenX, Right Media, Facebook Exchange)

SSP (Supply Side Platform) = the interface that allows publishers to sell advertising in an automated fashion (sch as Rubicon, Admeld)

Ad Networks = aggregate the publishers’ unsold inventory and sell it in packages to agencies (such as Google Display Network, Advertising.com Tribal Fusion)

Retargeters = a niche agency offering that allows real-time retargeting at scale with dynamic creative targeted to the user (such as TellApart, Criteo)

In the next post I will explain how this comes together real-time.

Hope you found this post useful and please feed back any comments!

Thanks for reading! (´ ▽`).。o


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