Programmatic Advertising is taking digital media to a whole new level. However, Digital OOH is becoming increasingly popular in the outdoor media world.

What is Programmatic Advertising?

Programmatic advertising essentially uses technology to automate the buying and management of ad placements. In 2021, programmatic made up 72% of all digital ad spend, up from 61.2% just three years earlier. Programmatic is a different way to buy DOOH inventory, therefore, allowing marketers to view real-time advertising results and tweak their campaigns to improve them.

Why is Programmatic Advertising Important?

Applying programmatic principles to a DOOH campaign enables marketers to automate the buying and management of advertising units. Additionally, geolocation data determines the best placement sites according to factors like advanced market segmentation, consumer behavior, and audience movement patterns.

What are the Benefits of Programmatic DOOH?

• Flexible Activation: Automated ad-serving allows advertisers to stop, start, or make changes to a campaign that take effect in real time. A programmatic DOOH platform can trigger changes automatically when certain events occur. Additionally, the changes can be pre-programmed and launched manually when the time is right.
• Scalable Spending: Advertisers can cap the daily or overall spend on a campaign based on impressions, so they don’t end up forking out more than expected. Alternatively, they can increase the budget allocation in specific areas—and their ROI.
• Better Targeting: Programmatic DOOH takes a data-driven approach to digital advertising and targets audiences and impressions.  Targeting tactics used include:
  • Contextual targeting, which uses data to ensure relevant ad creatives appear in each location.
  • Behavioral targeting, where ads are shown to consumers who fit a specific behavioral profile.
  • Geo-targeting, which ensures location-specific creatives are shown to consumers based on data about their region or postal codes.
  • Device targeting, which reaches consumers across multiple channels. This tactic helps to increase the chances prospects will see an ad on one or more of their devices.

• Greater Transparency: This gives marketers transparency into the sites their ads are shown on, who sees them, and the returns they get on their investment.
• Data-Driven Results: Data-driven results available to advertisers include information such as impressions served, brand lift, foot traffic, online conversion rates, and additionally sales numbers.

What Can We Expect in 2023?

So what can we expect from programmatic DOOH in 2023, and why is it such as exciting time for the medium? Additionally, with DOOH ad spend projected to increase by 15% over 2021’s total to reach US$367 million in 2022. Some of the trends we anticipate for 2023 include:

• A bigger focus on contextual advertising and the development of new contextual solutions.
• Innovative new programmatic tools, such as AI-based predictive marketing platforms.
• Better education for ad buyers, to make programmatic DOOH easier to access and buy.
• New initiatives to create premium DOOH inventory that can attract premium demand.
• Reimagination of audience targeting methods, to prepare for a cookie-less future environment.

This blog post is sourced from OAAA. Click here to learn more about Programmatic DOOH and see some electrifying examples.