Why is programmatic advertising key for product success?
In order for the product or service to be even considered, it has to be on one’s mind and ’If you want to make a big impression on another person, you cannot worm your way into their mind and then slowly build up a favorable opinion over a period of time. You have to blast your way into people’s mind”. The 22 Immutable Laws of Marketing(Al Ries & Jack Trout, 2009)
In my earlier blogpost, we learned that programmatic advertising is well established in Finland. You can reach almost every online visitor, as well as Digital Out of Home screens along your potential customer journeys with a myriad of formats such as banners, video, audio and native.
Programmatic advertising enables you to reach every online user
Now it is time to tackle how it can help your product or service to succeed.
So, here are the 3 reasons, which make programmatic advertising key for product or service success:
- Opportunity to talk to potential customers across multiple media and mediums ensures your message is seen and heard.
User journeys can be both physical and digital. With programmatic we can not only know where and when potential customers are, but also talk to them at those key moments. Imagine, combining audio ad with a follow up video with a powerful protein drink commercial before the workout. You can be sure that the user will at least consider your product afterwards.
- Ability to measure, evaluate and execute formats and channels in real time allows greatest efficiency.
The nature of programmatic advertising is based in real time. The auction for the impressions happens as content is loading, be it a song on Spotify or latest hockey scores, an auction happens to decide which creative will be shown. Performance metrics such as visit time, conversions and costs also appear almost immediately. This allows to see what formats, messages and channels work best when talking to potential and existing customers and ensures your Euro is spent most efficiently.
- Ability to create multiple messages, approaches and journey allows to find the best path to one’s mind
Let’s begin with an example of misunderstanding the user needs and going all-in with it. When Ron Johnson become the CEO of JCPenney, he changed the pricing model from discount based to a more standard, easy to understand pricing. It was a huge flop and sales declined 32%. This could have been avoided by testing and accommodating multiple user needs. Programmatic advertising allows to combine all of it in the communication. It provides an opportunity to introduce the product’s quality, features and then follow up with the price and a discount if needed. This level of customizability and storytelling guarantees you can highlight correct unique selling points to the user, thus ensuring customer acquisition and long-term partnership.
The main takeaway of this blog post is- programmatic advertising is a great tool for branding, which is key to any product’s success due to its reach, efficiency and personalization.