76% of Brand Marketers Favor Programmatic; Only 27% Buying

76% of brand marketers consider programmatic buying an important development in the mobile ad realm, yet few actually purchase ads programmatically, according to new survey data.

According to the IAB's Mobile Marketing Center of Excellence, the “2015 Marketer Perceptions of Mobile Advertising” survey of top-level marketers shows that 41% of marketers concur that mobile programmatic advertising would behoove their efforts to reach target audiences. However, just 27% of marketers buy inventory in this manner. According to the survey, 18% use private exchanges and 17% use open exchanges.

Anna Bager, SVP of mobile and video for IAB, says “… programmatic advertising is strongly embedded in the minds of many mobile marketers… (but) there is still much work to be done before mobile programmatic can reach its full potential…”

Another nugget of interest for brand marketers, says the report, is advertising opportunities with new-generation connected (mobile) devices:

  • Connected TVs (73%) racked up the most interest
  • Followed by connected cars (69%)
  • And wearables (66%);

Marketers who consider themselves fairly or very experienced at mobile see even greater potential for these connected devices, with 80, 78, and 75% perceiving opportunity, respectively.

The survey shows that 87% of brand marketers are satisfied or fairly satisfied, and 8% say they're completely satisfied with the performance of their mobile ads. In addition, 14% say they expect their companies' mobile advertising budgets to increase by more than half over the next two years; 57% say they expect them to increase by less than half.

According to the report, 37% say privacy issues are a chief concern and a major challenge facing mobile advertising, a 15% increase since 2013. The other top concerns with regards to mobile include:

  • Device operating system fragmentation (50% important, 27% very important)
  • Lack of standardized metrics to measure mobile advertising (54%, 20%)
  • Lack of agency expertise in mobile advertising (52%, 20%)
  • Too many ways to source or buy mobile inventory (49%, 18%)

Mike Zaneis, EVP of public policy and general counsel for IAB, notes that “…an uptick in marketers' potential concerns surrounding mobile privacy is no surprise… The IAB is in full support of the Digital Advertising Alliance's… recent release of new user-friendly tools for mobile choice and transparency… for a new level of consumer control… “

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1 comment about "76% of Brand Marketers Favor Programmatic; Only 27% Buying".
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  1. Anni Paul from BoscoSystems, April 8, 2015 at 5:12 p.m.

    I don't see these as disappointing numbers. Programmatic is still a relatively new phenomenon. Give it more time. At least we're finally starting to have discussions about the importance or programmatic and Mobile RTB --

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