What does programmatic advertising involve?

Programmatic advertising is fundamentally about automating the buying and selling of ad inventory using technology, specifically artificial intelligence and algorithms. This approach allows for real-time bidding, where advertisers can purchase ad space in a more efficient and targeted manner than traditional methods. Automating these transactions helps marketers optimize their advertising strategies, making data-driven decisions that enhance campaign effectiveness and maximize ROI.

In contrast, other methods such as manual buying require human negotiation, which can be time-consuming and less efficient. Printed media does not fit within the digital landscape of programmatic advertising, and establishing fixed pricing contrasts with the dynamic, real-time nature that programmatic systems leverage by often incorporating auction mechanisms. Therefore, the defining characteristic of programmatic advertising lies in its use of automation and AI to facilitate ad transactions.