Why Your Marketing Mix Needs To Include Programmatic Advertising



Have you heard?

Artificial Intelligence is making life so much easier. Automation is a megatrend. We’re in the middle of the 4th Industrial Revolution. And there’s a spaceman, sitting in a car, in outer space (thanks, Tesla!). Oh, and you can now use programmatic technology to automate the whole online bidding process for your digital ads! Why are we grouping in terms like ‘programmatic’ with a space car that’s orbiting the Earth? Well, it’s a serious game changer!

In the past, Ad buyers have had to rely on statistical analysis, AdWords and gut instincts. Definitely not as conclusive as machine learning and data-driven technology (we told you Artificial Intelligence was making life easier).



Programmatic advertising isn’t a new trend. But some exciting developments in the past couple of years have allowed us, as marketers, to hone the process. In fact, by 2018, 80% of all digital ad spend in the UK will be using programmatic strategy. 

At LUMEN, we’re pretty excited about this innovation and thought it was time we shared some information with all of you.



So, what Is Programmatic Advertising?

Programmatic Advertising is basically using machines to buy ad space online. Another way of explaining it? We use software to automate the process via functions like real-time bidding (RTB).

How does it work?

These days, we spend as much time online as we do off. And every time you browse, click or share, you leave an anonymous footprint online. That footprint is what programmatic software uses to help you target your audience.

The critical addition to the mix is machine learning. We may be scared silly about the idea of machines taking over but AI can analyse, assimilate and correlate data points in a way that no human brain could.

Not convinced? This is the vast array of customer data available to us online marketers:

  • Behavioral data enable targeting based on a user’s previous web browsing behaviour across the internet.
  • Contextual data enable targeting based on the content viewed by the user. Both the content and keywords displayed on the page are captured.
  • Demographic data provides details on “who” your customers are, including age, gender, income, marital status, and household size.
  • Geographic data provides information on “where” your customers are.
  • Psychographic data provides insight on “why” customers might buy from you, including personalities, beliefs, values, interests, and lifestyles. Read more here.


What human could correlate all that information into a logical decision? So we use technology to replace us (just this once) and we get some answers on how to target our consumers in the right place, at the right time.

It’s remarkable really.

The more data points the software has, the more it knows about your target audience just like the predictive text function on your phone, which gets better the more you use it. The more people interact with your campaign, the better the predictions. What’s more, because this is an AI function, bids are not just automated. They happen in an instant and are optimised in the real-time space.


What are the advantages of programmatic advertising.



Efficiency. Cheaper. Instant. Conclusive. Innovative.

Those are just some of the words that we’re throwing around in our meetings. But who needs adjectives? Here are the tangible results we’ve seen using this method:

  • Improved marketing funnel: Using big data to predict online behaviour lets you find more people at every stage of the marketing funnel, and not just at the evaluation and purchase phase.
  • A/B testing: Programmatic strategy is the best way to test creative concepts on a greater scale, with greater ease, using granular data collected from your current campaign.
  • Optimisation: Just like your phone’s predictive text, campaigns are optimised as people interact with your campaigns – and it’s all automated.
  • Insights: Because programmatic strategy is completely automatic and constantly working to improve your campaigns using new data points, it’s easy to access useful information about your campaigns, including assessing your KPIs.

LUMEN Tip: Think With Google is a wonderful resource we recommend to our clients who are wanting to explore this new technology.


Ready to give it a try?



We’re a Google Partner and member of AB, so you can trust us to always be up-to-date with what’s happening in digital marketing. We’re big on data and always use measurable and scientific principles to build the best strategies for you.

Contact us today for a free consultation.