Almost two years from now, the scenario won’t remain the same as it is in online media today, commencement of automation in the media will also bring drastic changes, technology has always been the game changer so why not in media. So yes be ready for the change coming in as we need to strategize our self according to the future and not as per the present scenario.
Media has primarily viewed from the side while the unsold display advertising sales pitches played a key role, but has now conducting more and more of the buying and selling premium surfaces and direct purchases through automated systems. In recent time you must have heard the three letter word a lot of time, some has the clear picture about it and some trying to know it. No one clearly knows the exact picture until unless he hasn’t started to play with it. It’s none other than RTB (Real time bidding) which is common topic these days, everyone trying to taste the new technology and some has already tasted and started to use intensely.
It’s the benefit at both sides, whether publisher or an advertiser:
The automated purchase page for the advertiser promises many benefits, the purchase of manual administrative burdens of liberation too such as:
- Advanced targeting options,
- A more accurate determination of the frequency and reach,
- The higher the targeting and control of prices,
- The less reactive scattering or
- Lower unit cost (better returns).
The advantage to the publishers:
- Advertisers to reach a new circle (which is not related to the direct sales)
- Maximize the value of the advertising space (the fixed price or highest bid takes place the ad)
- Greater transparency with respect to the advertising networks,
- Matching new sources of revenue (eg. monetizing their data) and
- Hr lower cost (less sales application).
Looking at the publishing point of view of this market:
The IAB four different types of transactions identified are,
- Automated guaranteed (Automated Guaranteed),
- Non-guaranteed fixed price (Unreserved Fixed Rate),
- Restricted auction (Invitation Only Auctions),
- Open auction (Open Auctions).
|Type of ad slots||Pricing||Participation||Other names for|
|Automated guaranteed (Automated Guaranteed)||guaranteed (maximum, equal to the direct sale of priority)||fixed||a sale to a customer-||Programmatic guaranteed, Programmatic premium, Programmatic direct, Programmatic reserved|
|Not guaranteed fixed price (Unreserved Fixed Rate)||not guaranteed||fixed||a sale to a customer-||Preferred deals, Private Access, First Right of Refusal|
|Restricted auction (Invitation Only Auctions)||not guaranteed||auction||a few buyer-seller||Private Marketplace, Private auction, auction Closed, Private Access|
|Open auction (Open Auctions)||not guaranteed (the lowest priority, usually unsold sites)||auction||All a buyer-seller||Real-time bidding (RTB), Open Exchange, Open Market Place|
Source: IAB – Programmatic and Automation – The Publishers’ Perspective
It therefore appears that the automated sales not only far less than the value of remaining placements bid is based on the sale of (six), but the present is typically a direct (i.e. non-automated) through the sale of such schemes to be sold, as well as fixed price listing. These impressions are also the basis of targetable and optimize media usage and user data.
How big is the market for automated purchase?
Now when it’s beneficial for both advertisers and publishers who can stop it to grow? The market is too much excited and has a big space to adjust the new technology of automated systems. Everyone knows that technology never leaves the opportunity to get it as it gives accurate result in less time.
According to stats, in the near future the majority of the non-premium advertising majority of seats will be sold in an automated way, mainly through RTB systems based on technology. The programmed buying market at the global level in 2013 reached a size of $ 12 billion and by 2017 it will be 32 billion dollars. Not surprisingly, the biggest market is still in North America, the Asia-Pacific region, respectively.
Coming to the main topic!
The question here is the future of media planning and sales which I think it must be clear by now that what was the intention to write this article and with such heading. Everything is good with the new system but the concern here is the future of the ones who were dealing the work which is now automated. To run the system of course a resource is needed but not as much as it was required previously. The technology is growing sooner programmatic buying will take the place all over, including TV, ad networks pace has already got down the new digital world is about automation and we need to figure out the quick next role with the new system.
The impact will be for all the teams but mentioning sales and planner was more of concern as the major task of theirs has been taken up by the automated system.