A newly released survey from Technorati is formatted as a report card on programmatic advertising efficacy, from the viewpoint of the buy- and sell-sides. In it, there is a sharp point of disagreement over the key values of programmatic platforms.
The Programmatic Partner Report Card (available here) is the result of surveying 600 buyers and sellers using software based, real-time ad markets. Comparing replies from buyers and sellers show mostly agreement about what works and what doesn’t. Interestingly, though, there are two stark points of disagreement:
- Buyers regard first-party data as more important than sellers do.
- Sellers regard ad format choices as more important than buyer so.
First-party data is audience targeting information provided by the publisher. The insight here seems to be that sellers might overvalue different ad formats (e.g. display sizes for web display), and undervalue the importance of generating proprietary audience intelligence and target segments. On the other side, the survey results seem to say that buyers prioritize reaching their audience targets more than choosing a creative format to do so.
The report is not focused on audio advertising, and there is no category breakout. Programmatic platforms have their biggest footprints in web display advertising, followed by video. Audio is following later in the adoption curve. General survey of satisfaction with programmatic buying/selling can furnish valuable insight into the demands and expectations of buyers who are increasingly using automated platforms to reach target audiences across categories — display, mobile, video, audio. These insights can inform audio publishers, tradition radio and online audio, about marketplace priorities.
If it is broadly true that programmatic buyers prioritize first-party data, then one of the winning strategies for audio programmatic sellers is developing those data sets. Doing so is arguably a greater challenge for traditional radio than pureplays (Pandora, Spotify, et al) which are essentially technology companies that have always harvested registration and behavioral data from their users.
Programmatic advertising will be a focus of RAIN Summit Atlanta, September 29. Executives from the buy and sell sides will discuss how audio can productively move forward in programmatic. CLICK HERE for a complete agenda, confirmed speakers, and registration. This leading event of the Internet radio industry takes place the day before the NAB/RAB Radio Show.