In 2023, global programmatic ad spend reached an estimated 558 billion U.S. dollars, with spending set to surpass 700 billion by 2026. The emergence of programmatic advertising has transformed how publishers connect with advertisers to sell their inventory and monetize their content. 

What is Programmatic Advertising

Programmatic advertising is the automated process of buying or selling ad space in real-time via auction. It replaces the manual process of ad negotiations and transactions. Programmatic advertising harnesses technology to increase efficiency, scalability, and revenue potential, streamlining the process for both publishers and advertisers.

History 

Programmatic advertising emerged in the mid 2000’s to improve inefficiencies of traditional ad buying, by automating the buying and selling process.

It began with the creation of ad exchanges, digital marketplaces for advertisers to buy and sell ad space in real time. This led to the subsequent rise of Real Time Bidding (RTB) in the late 2000s, allowing advertisers to bid on ad impressions in real-time. Eventually, programmatic technology expanded into video and banner ads, increasingly streamlining the buying and selling process, replacing traditional manual methods. 

Google’s DoubleClick, AppNexus, The Trade Desk, MediaMath, and OpenX were some of the key players that contributed to the widespread adoption of programmatic advertising. 

The trend then emerged in the affiliate space, merging programmatic advertising and affiliate marketing. 

In contrast to traditional ad buying, programmatic advertising was a transformative shift, relying on automation and data driven decision making. 

Benefits to Publishers 

Publishers selling their traffic programmatically benefit from real-time optimizations by adjusting their bid strategies. Rather than managing placements manually, publishers can focus on the actual content creation and monetize more inventory.

Programmatic affiliate links also allow publishers to gain access to a larger pool of ads, competitive rates, and to ultimately diversify their revenue streams. 

The process of real time auctions streamlines the buying and selling process, and empowers publishers with increased efficiency, larger ad selection, competitive rates, and revenue potential. Embracing and adapting to automation gives publishers an edge in the changing digital landscape. 

Harness the power of programmatic advertising with SourceKnowledge and put your traffic up for auction.