Programmatic advertising is an automated, technology- driven method of buying digital display ad placements. Definitions:
- Real-time bidding (RTB): Auction-based approach used to buy or sell impression- level inventory. Auctions can be either open exchange or private marketplace:
- Open exchange: Public RTB auctions open to all buyers and sellers; also called open auction, open exchange or open marketplace.
- Private marketplace (PMP): Auction owned by a single publisher or a small group of publishers and open only to an invite-select group of buyers; also called a private exchange or private auction. These are typically executed via normal RTB technology and may include a deal ID—a tag that notifies the auction that a specific buyer has some sort of preferential treatment, whether in price or priority.
- Programmatic direct: Non-auction-based approach to buying or selling ad inventory, not at the impression level. Programmatic direct deals can be orchestrated via pre- existing RTB technology, through publisher-owned APIs such as on social sites, or via self-service user interface or deal discovery tools. Programmatic direct deals specify a fixed price and may or may not guarantee fixed inventory amounts.
Programmatic ad spending’s 2019 growth will be 22.6%.
Programmatic is the primary method of transacting in digital display. The programmatic share of display ad will reach 74.1% in 2019.
Programmatic direct exceeds both open and private marketplace RTB spend combined.
Mobile programmatic outlays exceeded desktop for the first time in 2016. In 2018, mobile accounted for almost three-quarters (73.5%) of total programmatic investments, and will increase to 79.0% in 2019.
Mobile programmatic spend will increase 31.7% in 2019.
Mobile programmatic accounts for the majority of mobile display. Programmatic’s share of display ad spending will be 73.0% in 2019.