Real-time bidding, programmatic media buying or programmatic marketing?

Real-time bidding is not the same as programmatic marketing.Before we can think about how we want to organize ourselves around these topics and develop appropriate strategies, we need to understand them correctly. These are new disciplines, and even online and programmatic experts are not entirely in agreement when it comes to defining them. The different views often have a lot to do with one's own perception, that of one's own environment and one's own work. These are all subjective aspects. The author is the owner of an independent and specialized agency specializing in programmatic marketing.Some market participants claim or act as if RTB, programmatic media buying and programmatic marketing were one and the same thing. But if this is the case, why do these different terms exist? A first indication of different disciplines? a small analogy from cooking. Food and the way it is used make up a dish. The instructions as a whole or the way to get there is called a recipe. An ingredient alone does not make a dish or a recipe, does it? In a recipe, the contents and their preparation are organized and structured. Otherwise you would end up with mush. In order to better understand connections, it is definitely worth having a summarizing term that unites the individual disciplines.1. programmatic marketingProgrammatic marketing is the umbrella term that summarizes everything. A holistic approach with consideration and integration of all tactics, methods and tools that are necessary to carry out programmatic marketing. Just as online marketing as an umbrella term also combines individual disciplines such as social media marketing, search engine marketing, display advertising, etc. To stay with the online analogy.2 RTB Real-Time-BiddingRTB describes the real-time purchasing of online media inventory in a bidding process. It is safe to say that the mechanics have been copied virtually 1:1 from the long-established Google Adwords bidding model. The big difference, of course, is that Google has a monopoly or oligopoly on Adwords in most markets - with a few exceptions such as Russia or China. In comparison, the programmatic inventory that can be purchased in real time (RTB) is highly fragmented and is managed on the publisher side via so-called sell-side platforms (SSP). On the other hand, advertisers access these online placements or media inventory in real time - primarily via agencies with the corresponding tools (desk) - which are known as demand-side platforms (DSP). RTB is therefore an important tactic for buying online inventory as cheaply as possible in real time, but the true value of programmatic marketing lies elsewhere.3. programmatic media buyingProgrammatic Media Buying is nothing other than what has already been explained for RTB. So it's exactly the same as RTB but a more modern, more elegant word for it. As simple as that. Everything that plans and buys with a tool/program is called programmatic. So a media booking tool is also a programmatic tool. A somewhat simplistic simplification that smiles at the strength of true programmatic marketing, but in reality is not. It has become hip to be programmatic.What is the difference between RTB/Programmatic Media Buying and Programmatic Marketing?As explained at the beginning, programmatic marketing is a holistic approach that encompasses everything. Intelligent purchasing is one discipline, albeit an important one. But there are many more disciplines that are just as important, if not more important, for programmatic marketing. The most important thing is the interaction of all tactics and aspects in order to be successful with programmatic marketing in the long term.programmatic marketing uses data and its analysis to maximize efficiency and effectiveness in lead and customer acquisition. Programmatic marketing uses algorithms in particular, for more customer understanding and should be designed to accompany the buyer or customer journey of each individual potential customer/buyer at every relevant point and engage them through the right dose of contact. True programmatic marketing is designed to put the user first. It understands the difference between prospects and non-interested parties and manages to engage rather than annoy through personalized ads.re-targeting, for example, is also a tactic of programmatic marketing. If stupid impressions are bolted on, as with Zalando advertising, then it is nothing more than stupid re-targeting without further intelligence and has nothing to do with programmatic marketing. Re-targeting is an important tactic in programmatic marketing, but only in combination with appropriate analysis and data insights. Intelligent or not at all is the motto.The most important aspects and ingredients of programmatic marketing summarizedBelow is an unweighted list (in no particular order) of tactics and aspects of holistic programmatic marketing:- Conversion tracking- Conversion value or CPX cost per...? E.g. CPL Cost-per-Lead, CPO Cost-per-Order etc.- Daily Spent, Budget (min. 10K/Mt. recommended due to enormous reach of RTB)- Frequency Capping (especially important within the Re-Targeting tactic)- Re-Targeting- Audience: Uniques, Reach, Impressions, Conversions, Media Spend- Advanced Insights: Re-Targeting Effectiveness, Frequency Impact, Consideration Period- Intelligence: Activity Diagnostics, Bid Price Diagnostics, Campaign Pacing, DeliveryDiagnostics, Demographic Insights, Responder Profiles, Media Insights *Author: Ivano Celia is founder and managing director of media BROS. He is a proven online marketing expert with over 16 years of professional experience: http://www.mediabros.ch