Programmatic Expands Deeper into Video, With TV Next

Programmatic advertising has become widespread in display ads, and is poised to make deeper inroads into video and TV. Already, 84% of ad executives in the United States buy display ads using programmatic buying, with about 58% doing so for video, and 60% buying in this fashion for mobile ads, according to a survey by AOL Platforms reported on by eMarketer.

There’s more to come. Programmatic is a big growth area, with 58% of ad executives slated to spend more money in display programmatic, followed closely by video at 54%. Mobile is next, with 53% of executives plotting increased buying.

TV may be next. Only 8% of ad executives are currently buying TV ads programmatically, but about 12% plan to increase their spending in this area in the year ahead.

The reasons cited for the push into real-time buying? First and foremost, the cost. More than 75% of respondents like the “economic efficiency” of this buying style, while about 66% cited targeting.

But for programmatic buying to keep growing, hurdles must be crossed. Brand and agencies want more transparency into the buying, better inventory quality and less confusing technology, they said.

Video ad platform TubeMogul has also seen jumps in programmatic buying industrywide. The amount of pre-roll ad inventory that was being sold programmatically in the United States grew 14% from the first to the second quarter, according to TubeMogul’s analysis of the market. A large portion of that growth comes from top-tier sites moving into the real-time buying. For instance, the amount of pre-roll sold on a real-time basis from comScore’s top 100 sites rose 65% for the second quarter, the report said.

The amount of mobile video inventory being sold increased 11 times in the past nine months, TubeMogul said.

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