Why Programmatic Advertising May be More Effective than PPC or Facebook Advertising

by | Jan 14, 2022 | Blog, Facebook, Google Adwords, Paid Advertising, Pay-Per-Click, Programmatic Advertising

Why Programmatic Advertising May be More Effective than PPC or Facebook Advertising | Mixed Media Ventures

Findings by Forrester Research have found that programmatic advertising can be more beneficial to businesses than Facebook or targeted PPC ads depending on the marketing goals.

The programmatic method of buying puts the business in direct contact with its target audience, allowing them to place ads on websites those users are likely to visit.  For example, if a user frequently visits news sites then programmatic buys would ensure that brand advertisements appear on these pages.  This contrasts with PPC or Facebook advertising which uses keywords and demographics respectively to deliver adverts for relevant products.

What may be most beneficial about programmatic advertising is that it allows companies to use data gathered about customers’ preferences and previous interactions with brands in order to ensure they receive marketing materials likely to be most effective at getting them to make a purchase.  This contrasts with Facebook and PPC which may not be as accurate or receptive because they are limited by existing data.

More Effective Than Facebook

Using programmatic advertising is far more beneficial for businesses than Facebook ads due to the nature of programmatic buys.  Programmatic ads use real-time bidding to ensure that companies can target audiences effectively, while simultaneously ensuring that adverts reach appropriate websites based on their interests.  This means programmatic advertising will reach interested users which other targeted advertising techniques cannot.

More Effective Than PPC

A recent survey has found programmatic advertising may be more effective than traditional PPC and Facebook advertising when it comes to user engagement.  The study by Forrester research asked participants to rate how likely they were to engage with programmatic adverts.  80% claimed they were more likely to engage with programmatic ads than those from other methods such as PPC or Facebook.

Prospect and User Engagement

Those who use programmatic advertising may not only notice an increase in engagement but also a significant decrease in cost per conversion.  The system allows advertisers to purchase programmatically based on data about the user’s preferences, meaning that adverts are served which will be most effective at converting users into paying customers.

Since programmatic advertising is able to target audiences effectively and efficiently it is a far more beneficial form of advertising for businesses than using PPC or Facebook marketing techniques.  Forrester Research proves programmatic ads have a greater effect on engagement levels making them more effective than PPC and Facebook advertising.  However programmatic campaigns may experience a decrease in cost per conversion making programmatic the most beneficial form of targeted advertising for businesses to use.

Conclusion

Programmatic advertising is considered the future of targeted advertising because it uses programmatic bidding to ensure campaigns are extremely targeted and therefore extremely effective.  Facebook on some level is a closed programmatic platform because you can choose ‘some’ targeting criteria, as the same goes for Google Adwords. However, with true programmatic advertising, there may be an increase in cost per conversion with programmatic, however programmatic targeting means that adverts will reach interested users which other techniques cannot.

Depending on your average order size, margins, who your customer base is, you may want to consider programmatic advertising as the medium to go to market with.

If you are interested in learning more, feel free to reach out to Mixed Media Ventures, at [email protected].

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