From small local businesses to large corporations, anyone looking to reach a targeted audience can benefit from programmatic advertising.
Whether you’re a retail brand looking to target a global audience or a local bakery aiming for nearby customers, programmatic ads ensure efficient spending and a greater return on investment.
With new privacy regulations like CCPA and GDPR shaping the landscape in 2025, it’s also crucial for advertisers to use compliant platforms that offer transparency.
In this blog, Meghan Parsons, SVP of Paid Media at Ignite Visibility, shares her insights on programmatic advertising, a powerful tool that can transform your display campaigns in 2025.
What We’ll Cover:
- What is Programmatic Advertising?
- Who Can Benefit From Programmatic Advertising?
- Common Questions (And Solutions) About Programmatic Advertising
- 3 Examples of Successful Programmatic Ad Campaigns
My Expert Insights on Programmatic Advertising
So, what is programmatic marketing, exactly? And what’s the difference between programmatic vs. non-programmatic advertising?
Display advertising offers a vast landscape of opportunity, but many brands either shy away entirely or struggle to see a real return on their investment. Programmatic advertising essentially automates buying and selling ad space.
One of the key reasons programmatic advertising is crucial now is its ability to deliver highly targeted and personalized ads. We have access to so much data and marketers must use it to create detailed audience segments and then craft messages that invoke action by speaking to demographics, interests, and behaviors.
What is Programmatic Advertising?
So, what is programmatic marketing, exactly? And what’s the difference between programmatic vs. non-programmatic advertising?
Programmatic advertising, which takes the manual work out of buying display ads, involves programmatic placements that are widespread on the internet outside of closed advertising platforms like Google Properties, Meta Properties, X, Reddit, etc.
Programmatic advertising takes the manual work out of buying display ads. In 2025, advancements in AI have made programmatic advertising even more efficient, providing marketers with unprecedented levels of audience segmentation and personalization.
Programmatic platforms now rely on machine learning to optimize bids and serve ads in real-time, ensuring that ads are shown to the most relevant audiences based on behavior, location, and context.
Here’s a breakdown of key terms to understand how it works:
Demand-side Platform (DSP):
Your control center. As an advertiser, you use a DSP to define your target audience, budget, and bid for ad space on websites and apps.
Supply-side Platform (SSP):
The other side of the coin. Websites and apps use SSPs to sell their ad space to advertisers through programmatic exchanges.
Ad Exchange:
Think of a bustling auction house. Here, DSPs and SSPs connect in real-time, with advertisers bidding for available ad spaces (like website banners or video pre-rolls).
Ad Space:
The virtual real estate where your ad appears. This could be a banner ad, a video pre-roll, or even a sponsored social media post.
Bid:
Your offer to win an ad impression (when someone sees your ad). You set a maximum bid based on your campaign goals and target audience.
Real-Time Bidding (RTB):
This programmatic advertising strategy allows advertisers to bid in real time to get ad impressions. Open exchanges most frequently use this model, and it can help maximize the reach and cost-effectiveness of programmatic marketing.
Private Marketplaces (PMPs):
You also have the option of joining an invite-only auction that offers a more controlled bidding environment than what you would get with RTB, giving you more access to high-quality ad inventory.
Automated Guaranteed Deals:
These work much like conventional direct buys, only they take a programmatic approach to them. Advertisers negotiate with publishers to establish a price for guaranteed ad impressions, typically to land premium ad placements.
While programmatic automates tasks, it’s still complex. A PPC expert acts like your strategic advisor. They have the experience of navigating the nuances of programmatic advertising, ensuring your campaigns reach the right people and deliver the results you deserve. Popular platforms for programmatic advertising include The Trade Desk, and Amazon Advertising, and emerging players like Criteo which provide advanced AI-based solutions.
Paid media AI and machine learning (ML) are particularly important in optimizing bids and creative selection. ML can help AI determine which types of visuals and messaging combinations to use based on the audiences you want to target and previous ad performance metrics, while AI can help match you with the best deals based on your budget and programmatic advertising campaigns.
In the video below, SEO Expert, John Lincoln, gives a brief explanation of the difference between programmatic advertising and a DSP. Check it out for further understanding:
Who Can Benefit From Programmatic Advertising?
Most businesses can reap the benefits of programmatic advertising with the right approach.
Programmatic advertising is a fantastic tool for businesses of all sizes, across almost any industry. Whether you’re a local bakery trying to reach new customers in your town, or an established clothing brand looking to expand your online reach, programmatic advertising & corporate video solutions can help you achieve your goals.
With new privacy regulations like CCPA and GDPR shaping the landscape in 2025, it’s also crucial for advertisers to use compliant platforms that offer transparency.
Programmatic advertising works across all stages of the marketing funnel, from the top of the funnel where you’re generating brand awareness, to the middle of the funnel where you’re nurturing leads, to the bottom of the funnel where you’re driving conversions and sales.
Here’s why you might enjoy the benefits of programmatic advertising:
- Efficiency: Imagine skipping the endless calls and emails trying to buy ad space on individual websites. Programmatic advertising automates the entire process, saving time and effort.
- Great Reach: With programmatic advertising, you can target your ideal audience with laser focus, no matter where they spend their time online. Think about reaching people who are interested in hiking boots, right when they’re browsing outdoor gear websites!
- Transparency: Programmatic advertising is all about clear pricing and real-time data. You’ll always know exactly where your ad dollars are going and how your campaigns are performing.
- Clear Measurement: Get detailed reports that track every click, impression, and conversion. This data is like gold for marketers, because it allows you to see what’s working and what’s not, so you can fine-tune your campaigns for maximum impact.
What are the Common Types of Programmatic Ads in 2025?
1. Display Ads:
These are traditional banner ads found on websites. They can be static or dynamic and are among the most popular types of programmatic ads. There are plenty of programmatic display examples out there, including brands that use dynamic creative optimization on social media and other types of programmatic advertising platforms, tailoring ads to each user using real-time data.
2. Video Ads:
In 2025, programmatic video advertising continues to grow rapidly, especially with the rise of video streaming services and short-form video platforms like TikTok. Brands are using pre-roll, mid-roll, and even shoppable video ads to engage audiences.
Check this funny Burger King example out, courtesy of Venture:
3. Native Ads:
Programmatic native ads match the look and feel of the content they appear alongside, providing a seamless experience for users. These ads blend into the platform’s design, making them less intrusive.
4. Audio Ads:
With the growing popularity of podcasts and music streaming services, programmatic audio ads have become a key format. Spotify, Pandora, and other platforms allow advertisers to target users based on listening habits and demographics.
Check out the hilarious example below, courtesy of Eskimi, as Lysoform’s ad, “The Last Germ,” cleverly brings to life the 0.01% of bacteria that remain after their disinfectant is used.
5. Connected TV (CTV) Ads:
As more people switch from cable to streaming, programmatic CTV ads are an effective way to reach specific audiences on platforms like Hulu, Roku, and Amazon Fire TV.
This is especially relevant for brands targeting cord-cutters or younger demographics. Programmatic video advertising works on these platforms to reach people with highly engaging ads, many of which incorporate certain interactive elements like QR codes. For example, Amazon allows users to click “OK” on their remotes to add items to their cart or get more information about an offering via email and a mobile notification.
6. Digital Out of Home (DOOH):
Another form of programmatic advertising to consider is DOOH. This programmatic approach harnesses the power of both billboard and digital advertising, allowing advertisers to buy time on various screens, from bus stop ads to full-scale roadside billboards.
Key Programmatic Advertising Platforms
There are multiple types of programmatic advertising platforms you can use for everything from bidding to measurement, including:
Demand-Side Platforms (DSPs)
These programmatic advertising solutions make it easy for advertisers to purchase ad inventory from one or more exchanges using real-time bidding.
Some examples of programmatic advertising DSPs include:
- The Trade Desk (TTD): This platform is great for developing highly targeted multi-channel programmatic advertising campaigns, with the ability to buy inventory for display, audio, video, native, and CTV ads, along with transparent reporting and granular targeting using Unified ID 2.0 for cookieless tracking.
- Google Display and Video 360 (DV360): If you want your programmatic marketing efforts to reach more people through Google platforms, there are multiple benefits of programmatic advertising with DV360. You get access to premium inventory on all Google integrations, including YouTube and Google Ads, along with advanced attribution and measurement and brand safety controls, making this solution great for enterprise programmatic advertising.
- Simpli.fi: Known for its programmatic advertising solutions, Simpli.fi offers robust local advertising capabilities and advanced targeting options, making it an excellent choice for reaching specific geographic areas and audiences.
- MNTN: A platform specializing in Connected TV (CTV) advertising, MNTN allows advertisers to leverage the power of television through programmatic buys, reaching viewers on their favorite streaming platforms with targeted campaigns.
Supply-Side Platforms (SSPs) and Ad Exchanges
These platforms give advertisers access to inventory using real-time bidding and multiple DSPs. They can also filter out low-quality ads through fraud prevention and brand safety.
Popular programmatic marketing SSPs include:
- Google Ad Manager: Works with Google’s ecosystem.
- Magnite: One of the biggest independent platforms.
- PubMatic: Ideal for monetization using AI-powered data analytics.
- OpenX: Great for establishing partnerships with premium publishers.
You may also use ad exchanges, which are marketplaces that also allow the real-time buying and selling of ad inventory. They sit between DSPs and SSPs to enable automated auctions.
There are plenty of ad exchanges out there, such as:
- Google Ad Exchange (AdX)
- OpenX Exchange
- Xandr Marketplace
- Magnite Ad Exchange
Data Management Platforms (DMPs) and Customer Data Platforms (CDPs)
DMPs help with programmatic advertising by collecting and organizing audience and third-party data to optimize ad targeting and buying.
Here are some examples of DMPs:
- Adobe Audience Manager: Works well with Adobe’s marketing suite.
- Lotame: Ideal for segmenting audiences across devices.
- Neustar: Helps with data enrichment and identity resolution.
- Salesforce DMP: Works with Salesforce marketing solutions and CRM.
Meanwhile, you might also use customer data platforms (CDPs) that help you manage all first-party data at various touchpoints to build audience personas and help with personalized marketing efforts.
Some options here for programmatic marketing could include:
- Segment: Offers superior real-time integration of customer data.
- Salesforce CDP: Works with Salesforce CRM to provide you with deep insights.
- BlueConic: Emphasizes privacy compliance when managing customer data.
- Adobe Real-Time CDP: Allows for personalized marketing using Adobe Experience Cloud.
Advanced Targeting and Data Strategies
You’ll want to hyper-target your programmatic approach, which you can do with the following strategies:
Using Different Types of Data
It’s important to implement a blend of first-, second-, and third-party data, especially considering the uncertain future of third-party cookies. First-party data is the information your audiences willingly provide, often through lead capture forms, while second-party data is first-party data that another company shares with you, and third-party data comes from data brokers and other external sources.
Using a combination of these data types can give you a more complete picture of your audiences to help you optimize targeting.
Implementing Cookieless Solutions
To ease the transition away from cookies, consider using certain privacy-compliant solutions like:
- Unified ID: This cookie-less identity framework uses encrypted and hashed email addresses and other types of first-party identifiers to track users.
- Topics API/FLEDGE: These are a part of Google’s Privacy Sandbox, with Topics API replacing FloC to segment audiences based on topics collected from user browsers. Meanwhile, Google is testing FLEDGE to incorporate it into its Privacy Sandbox.
- Contextual AI: This kind of programmatic advertising analyzes content to deliver relevant ads to users on various platforms.
Integrating Lookalike Audiences and Predictive Modeling
With the help of AI and ML, you could implement lookalike audiences based on existing data and use predictive modeling to predict the behavior of customers.
To develop lookalike audiences, you could provide AI solutions with a list of high-intent users or existing customer data, which ML can use to match the data to new users who resemble that audience.
Campaign Planning and Optimization
When building programmatic advertising campaigns and optimizing them, there are some critical tasks to complete, including:
Setting Relevant KPIs
Start by setting key performance indicators based on your goals, whether you want to maximize impressions and brand awareness or drive conversions.
Some popular programmatic advertising KPIs include:
- Viewability: Measures the percentage of ads users actually saw.
- Effective Cost Per Mille (eCPM): Tracks the cost of ads per 1,000 impressions.
- Video Completion Rate (VCR): Looks at the percentage of people who watch programmatic video ads all the way through.
- Return on Ad Spend (ROAS): Looks at the revenue generated per dollar spent on ads.
Using AI-Driven Bid Strategies
You can also use AI-driven bid strategies to optimize the buying process.
A 2024 study by eMarketer revealed that 85% of programmatic advertising campaigns now use AI for audience targeting and bidding optimizations, showing a significant increase from 60% in 2021.
Specifically, you can do so through dayparting and performance forecasting. Dayparting involves scheduling ads to run at particular times when people are most likely to engage with them. Performance forecasting, on the other hand, uses AI to determine how ads will perform using historical data and other factors.
Conducting A/B Tests and Incrementality Measurement
To further boost ad performance, it’s important to regularly perform A/B testing and incrementality measurement.
A/B testing involves running two iterations of the same ad with one element changed, such as an image or copy. You can then determine which to make your official ad based on which performs the best.
Incrementality measurement is also crucial, helping you determine the true impact of your programmatic marketing by separating the conversions and revenue you receive specifically through your ads.
Programmatic vs. Non-Programmatic Advertising
Let’s also consider the differences between programmatic vs. non-programmatic advertising, which we can break down into Direct Buys versus fully automated buys.
Direct Buys: Involve advertisers negotiating for and buying ad placements directly from ad networks and publishers via insertion orders (IOs). This means purchasing media for a set time and dollar amount, often securing premium placements like homepage takeovers on a publisher’s site. Both parties communicate directly, making for a more human bidding experience.
Meanwhile, fully automated buys use DSPs and other automated, AI-driven platforms to buy ads using RTB. This process is a lot more efficient and can better optimize ad quality and targeting in many cases.
Generally, Direct Buys are preferred if you want more direct control and transparency during the buying process, securing specific high-value placements. Programmatic advertising, on the other hand, is best for cost-efficiency, scalability, and general efficiency across a wide range of inventory.
Cost of Programmatic Advertising
Programmatic advertising can be highly cost-effective compared to traditional methods, but the actual costs depend on factors like audience targeting, ad formats, and the level of automation used. Average costs for programmatic ads vary as follows:
- CPM (Cost per Thousand Impressions): The average CPM for programmatic ads ranges from $1 to $15, depending on the platform and targeting options. However, video ads typically command a higher CPM, often reaching $20–$40.
- Minimum Spend: Some platforms, such as Google Display Network, have no minimum spend requirements, while others, like The Trade Desk, may have a minimum of $500 to $1,000 per month.
What’s crucial in 2025 is optimizing ad spend through real-time bidding (RTB) and using AI-powered tools to adjust bids dynamically based on campaign performance.
Common Questions (And Solutions) About Programmatic Advertising
The advantages of programmatic advertising are vast, but it’s natural to have questions before diving in. Let’s tackle some of the most common concerns and show you how to navigate them like a pro:
1. What if I experience ad fraud?
Did you know that according to Juniper Research, ad fraud is estimated to cost companies a whopping $172 billion by 2028?
But don’t worry, you can avoid ad fraud in a few ways:
- Partner with a Reputable Platform: Just like choosing a reliable bank, pick a programmatic advertising platform with a strong reputation for fraud detection. These platforms use sophisticated technology to sniff out suspicious activity and keep your budget safe.
- Work with a PPC Agency: A skilled PPC agency is like your own personal fraud-fighting squad. They’ll have the expertise to spot red flags and ensure your campaigns are reaching real people.
2. What about bots clicking on my ads?
In 2025, programmatic platforms employ sophisticated AI-based filters to combat non-human traffic, minimizing wasted ad spend. The Trade Desk and Google Display Network offer built-in anti-fraud tools to ensure that bots don’t consume your ad budget.
- Advanced Targeting: Programmatic platforms offer powerful targeting options that go beyond demographics. You can target users based on their online behavior and interests, making it much harder for bots to sneak through.
- Use Filters and Data Analytics: A skilled PPC agency will be familiar with the latest bot-blocking techniques. They can help you set up filters and use data analytics to identify and eliminate any bot traffic that might be inflating your clicks.
3. How will I know where my ads should be placed?
Ever seen an ad for skydiving vacations next to an article about overcoming your fear of heights? Not exactly a recipe for conversions! Programmatic advertising gives you the power to ensure your ads are displayed in the right places:
- Placement Targeting: Choose the websites and apps where your ads will be shown, ensuring they reach a relevant and receptive audience.
- Contextual Targeting: Take things a step further by targeting your ads based on the content of a webpage. This means your dog walking service ad can appear next to articles about dog training tips, not articles about the dangers of leaving pets unattended.
4. How do I protect my brand’s reputation?
Programmatic advertising allows you to safeguard your brand reputation with brand safety tools.
- Brand Safety Tools: Many platforms offer built-in brand safety tools that let you exclude certain types of websites or content categories from displaying your ads.
5. Do I have enough inventory to run programmatic ads?
Programmatic advertising is like a giant digital mall with endless ad space options. But what if you can’t find the perfect stores (websites) to display your products (ads)? Here are some ways to maximize your inventory:
- Flexible Targeting: Be open to expanding your target audience slightly. Instead of targeting dog owners who live in Seattle, consider including dog lovers across the entire state of Washington. This increases the pool of potential websites where your ad can appear.
- Creative Ad Formats: Think beyond the traditional banner ad. Explore video ads, native placements, or even sponsored social media posts. This variety can help you find ad space on a wider range of websites and apps.
6. How do I know if my ads are working?
Imagine planting a garden and never checking on it. That’s what happens if you set up your programmatic campaigns and forget about them. Real-time monitoring is key to success:
- Performance Tracking: Programmatic platforms offer detailed dashboards that track every click, impression, and conversion. This real-time data allows you to see what’s working and what’s not.
- Campaign Optimization: Based on your real-time data, you can fine-tune your campaigns on the fly. Adjust your bids, refine your targeting, or test new ad variations – all to maximize your return on investment (ROI).
7. What if I can’t manage my programmatic ads on my own?
Choosing the right programmatic partner is like picking a travel buddy for your advertising adventure. You want someone reliable, knowledgeable, and always there to support you:
- Transparency is Key: Look for a partner who offers clear and transparent reporting. You should be able to see exactly where your ad dollars are going and how your campaigns are performing.
- Expertise Matters: Choose a partner with a proven track record in programmatic advertising. They should have a team of experts who can answer your questions and guide you through the entire process.
- Ongoing Support: Your programmatic partner should be there for you every step of the way. Look for a company that offers ongoing support, answers your questions promptly, and helps you navigate any challenges that arise.
3 Examples of Successful Programmatic Ad Campaigns
Programmatic advertising isn’t just about showing banner ads on websites! It’s a powerful tool that can be used to reach your target audience across a variety of channels, from smartphones to billboards.
There are plenty of examples of programmatic advertising out there that can give you some ideas. For example, a B2B account-based programmatic marketing campaign could target specific accounts with personalized messaging and visuals that speak directly to them.
Here are a few inspiring examples of programmatic advertising that some big brands have used:
1. From Backpacks to Billboards: How The North Face Conquered the Customer Journey
The North Face likely used a programmatic campaign to target you with relevant ads at every stage of your buying journey. They have further enhanced their strategy by integrating real-time weather data into their campaigns, delivering hyper-relevant ads based on local conditions.
For example, users browsing cold-weather gear may receive a North Face ad when checking snow forecasts.
They started with general brand awareness on a travel website, then followed up with product-specific ads as you showed further interest.
2. Programmatic Video Ads Done Right: How Dollar Shave Club Went Viral
Dollar Shave Club wasn’t always a household name. Their 2022 programmatic video ad campaign drove success, and in 2025, they expanded into personalized programmatic advertising with AI-driven creative formats to target niche audiences even more effectively.
The tongue-in-cheek video ad, featuring a no-nonsense approach to men’s razors, targeted the right audience using programmatic tools. This resulted in millions of views and a massive boost in brand awareness. The campaign’s success proves that programmatic advertising isn’t just about efficiency, it can also be a launchpad for creative and engaging video content.
3. Reaching Specific Demographics: How M&Ms Targeted Streaming Services
Traditionally, TV advertising has been a one-size-fits-all approach. But with programmatic advertising, things are changing.
M&M’s, the colorful candy giant, wanted to reach a younger audience who might be ditching cable for streaming services. Their programmatic campaign allowed them to target specific demographics on streaming platforms, ensuring their ads reached the exact viewers they wanted.
They expanded this strategy to target specific niche demographics using streaming platforms like Hulu, Amazon Prime, and YouTube. Their ads appeared during moments when their target audience was most engaged, such as during live-streamed sports events.
In addition to these programmatic advertising examples and others, here are a few extra ideas for campaigns:
- Using dynamic creative optimization for remarketing to retail customers, promoting products they would like based on browsing history to encourage them to finish their purchase.
- Implementing programmatic video advertising for a non-profit to raise awareness and reach relevant audiences through CTV and other platforms, potentially with interactive media
Power Up Your Marketing with Ignite Visibility
In 2025, programmatic advertising continues to evolve with AI integration and heightened privacy considerations.
By leveraging data-driven automation, it’s possible to deliver highly personalized ads across a variety of digital channels.
The increased use of AI, the rise of CTV ads, and stricter privacy laws mean that brands need to be more strategic than ever in their approach. Whether you’re a small business or a global brand, 2025 presents exciting opportunities to refine your programmatic strategy.
Now that you have a better understanding of programmatic advertising and why it works so well, it’s time to get started with an effective paid media campaign.
Ignite Visibility can help you:
- Reach your target audience with the right message at the right time
- Monitor your campaigns in real-time to fine-tune them
- Develop various ad formats including static and video
- And more
Get started with programmatic advertising today! Reach out for more details.
