The risks and rewards of programmatic media buying

Programmatic media buying (PMB) has rapidly transformed the purchasing of advertising.Audience targetting and yield management are being integrated with real-time bidding in wayswhich transform advertising. Marketing budgets are under increasing pressure. Publishers,advertising agencies and networks, and their clients’ marketing managers all see PMB as a wayto get more value.PMB brings huge benefits, including greater transparency, choice and insight.

However, it requires analytical and technical skills that differ from the strong negotiation skills of media buying professionals. It has produced new opportunities for media organizations and new challenges for the CIO.This report summarizes the trends behind PMB, its impact on marketing operations and on the traditional media holding companies, and the risks and rewards that PMB produce for both marketers and the CIO.

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