Major Trends in Programmatic Advertising

A few of the major trends in programmatic advertising, based on data from eMarketer, Magna Global and Forrester Research:

  • Programmatic advertising will continue to grow in spite of brand-safety issues like the recent YouTube ad fiasco.
  • The use of PMPs is increasing while open exchanges are declining. For instance, about 95 percent of ESPN’s programmatic buying is managed through PMPs.
  • The fastest growing programmatic channel is mobile.
  • While programmatic TV is a small slice of total TV ad dollars, it represents 12 percent of local cable spend.
  • eMarketer estimates that programmatic display ad spend will reach $33 billion this year and will hit $46 billion in 2019.
  • In the U.S., over 74 percent of the total $32.6 billion programmatic display ad spend will go to private setups like PMPs, per eMarketer.
  • $600 million: The amount of money that will go into addressable TV (a targeted form of programmatic TV) this year, compared to $450 million in 2016, according to Magna Global.
  • Forrester estimates $10.9 billion will be wasted on low-quality display ads between 2016 and 2021.

Read the full breakdown from Digiday here.