In today’s market, digital marketing is an essential method of communication for marketers to reach consumers. Digital marketing incorporates communication through various channels such as the internet, email, mobile devices, and social media. It entails programmatic advertising.
According to the Statista article by A. Guttmann about programmatic advertising, it is the “automated buying, selling, placement, and optimization of digital advertising.” Programmatic advertising includes algorithms for placement and bidding of ads and includes social and native ads, mobile displays, and digital videos.
Programmatic advertising continues to gain popularity in today’s market. According to the eMarketer article on US Programmatic Digital Display Ad Spending, 2019, programmatic digital display ad spending was increased from 81.2% in 2018 to 83.5% in 2019 ($46.05 to $57.30 billion respectively). Moreover, increased programmatic advertising is projected from 85.0% in 2020 to 86.5% in 2021 ($68.47 to $79.75 billion, respectively).
Consumers today are exposed to various readily available information and resources relative to product and services due to rapid advances and emerging technologies that influence their purchase making decisions. As a result, digital marketing changed the retail industry by creating opportunities for one-to-one relationships between retailers and customers and engaging with consumers in a more innovative, personalized manner.
Programmatic advertising is beneficial to retailers in gaining a competitive advantage over its competition by utilizing technology to ensure that the right messages are sent to the right customers at the right time efficiently and effectively, increase sales, and reduce advertising expenses.
Real-Time Data Optimization
Increased Targeting Capabilities
Improved Budget Allocation
Custom Audiences and Customer Engagement
Programmatic advertising is a fast, cost-effective way for retailers to connect and engage with their customers. It is crucial in allowing retail marketers to use the right channel to communicate the right message with the right customers, and at the right time efficiently and effectively in a personalized way that enhances the customer’s experience on their customer journey. Furthermore, programmatic advertising increases retailers’ sales and reduces advertising expenses. Programmatic advertising not only equips retailers with the tools to maximize their relationships with customers but their overall return on investment.
Did you enjoy this post? Read about the significance of email marketing in the food retail industry in my last post!