PROGRAMMATIC IS NOT AUTOMATION: WHY AGENCIES ARE STILL IN THE SADDLE

DorisRon

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Programmable media advertising buying has become an integral part of the advertising landscape. And many believed that the triumph of the new technology should become a death sentence for media agencies. But it certainly did not happen.

Such major advertisers like Procter & Gamble, Netflix and Kellogg's, have already made a bet on programmatic, and a recent survey of AOL, conducted among 177 US brands, publishers and agencies, showed that 84% of the market players use programmatic to buy display advertising, 60 % - mobile and 58% - video. More than half of the surveyed companies plan to increase the volume of algorithmic advertising buying through all channels next year.

It is argued that automated media buying minimizes human intervention in the working process. Taking into account all economic benefits to be gained from programmatic, more marketers strive to practice intra buying of digital advertising, rather than relying at the agencies in this issue, said in the report published on the pages of Wall Street Journal.

But as well as automated trading systems do not make financial traders unnecessary, programmatic does not exclude the human factor. Nowadays, preparation, launch, management and execution of advertising campaigns are performed by men. And it is impossible to argue with that.

There is a strong argument in favor of the fact that brands must allow the agencies to continue to be creative inspirers of advertising campaigns - even the best technology can not replace good creative, beating at the heart of the target audiences. Programmatic frees advertisers from such labor-intensive and very time-consuming elements in the preparation of advertising campaigns as planning and buying. This leaves more time for the agencies to focus on creating a compelling creative strategy.

Even if brands decide to conduct their own programmatic campaigns, they can outsource some elements of these campaigns to agencies. For example, agencies may be responsible for follow-up of campaigns and analytics. In addition, in most cases, agencies have established close relationships with key offline media. In this case, the brand can delegate agency the role of a chief buyer of offline advertising. Agencies may, if necessary, help brands manage automated advertising campaigns, for example, to be responsible for choosing the right automation platform that can satisfy all the requirements of the advertiser. Teams of agencies can also help determine how programmatic fits into the media mix of the brand.

Finally, a good agency is well aware that in order to stay on the horse, its activity should cover new spheres. These may be such additional services as digital consulting, interactive web development and lead generation.

Based on these considerations, here is our advice for brands: whether you decide to bet on internal experts or intend to use outsourcing services, remain faithful to the fundamental principles of your business. And, planning long-term business objectives, do not turn aside for the opportunity to receive short-term cost reductions.
 
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