Should advertisers bring programmatic advertising "in house"?
There is a lot of discussion in the news about advertisers moving programmatic buying "in-house". Target was one of the latest companies to talk about their strategy, and other large companies such as Netflix and P&G have executed similar activity.
At the core of this equation is the relationship between a company and their customer data, and it makes complete sense for these large organizations, to want to own their data, do analysis on it, and make better advertising decisions from it. Programmatic offers an ability to have your advertising change in real-time, be bid on in real-time, and make adjustments that suit the business in real time.
If Target notices that certain products are selling during a given week, or day, they may run specials on this product or do other activity related to real-time buying behavior to draw new consumers to their store. If you just started watching a new series on Netflix, they may have other shows that may also interest you which they can communicate during an advertising campaign targeted to you in a 1:1 capacity.
In an ideal world, programmatic advertising allows you to have optimized your media, before a single impression is served. This is why programmatic advertising is game-changing and why many of these companies want to have this capacity in-house.
Selfishly speaking, we want marketers to own this process as well. However, we realize that many companies don't have the headcount to support a skilled programmatic team in house. The education needed in the marketplace is high, the confusion is higher, and clarity and proper execution is incredibly valuable to any organization.
We feel the security of a customers data is incredibly important, it is the bedrock from which an organization understands and messages to it's customers and potential customers. We also feel that once marketing teams understand the operational capabilities available within programmatic platforms, the possibilities for story telling and consumer engagement have never been higher.
Combining the marketing goal with the economic execution needed in programmatic buying is a challenge, and having seen this first hand with many customers, we feel there is a market need for many marketers to truly see the benefit that programmatic buying can offer.