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I am looking to compile the most compelling information in support of digital programmatic advertising. I would like to find data that proves out the value of it not only versus traditional digital buying, but also versus other media (TV, Print, paid search, etc) in terms of driving Business results.
Hello! Thanks for your request for data proving the value of digital programmatic advertising.
The short version is that there are several statistics pointing to the value of digital programmatic advertising. For instance, in 2017, 66% of marketers in the United States report that, between traditional media and programmatic ads, the latter results in a higher ROI. Also, based a 2014-2016 study of the 200 biggest brand marketers in the United States, using other programmatic marketplaces and media aside from Google and Facebook results in a 4.5% increase in sales, three times higher than the 1.5% increase in sales expected when only Google and Facebook are used.
Below you will find details on these and the rest of the statistics that I found.
FINDINGS
After searching through programmatic advertising-related materials that were published in the past two years, I was able to compile the following concrete evidences of the merits of digital programmatic advertising.
1. Most marketers report that, between traditional media and programmatic ads, the latter results in a higher return on investment (ROI). This is based on the following reports of performance advertising platform AdRoll: State of the Industry - United States 2016, State of the Industry - United Kingdom 2016, and State of Performance Marketing - North America and Europe 2017. The percentage of marketers who report so is as follows:
United States
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Europe
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In its 2016 survey, AdRoll had 1,050 U.S. respondents and 220 U.K. respondents. In its 2017 survey, on the other hand, the company had 1,000 U.S. respondents and over 300 European respondents. The respondents were composed of marketers, advertisers, and executives.
2. Among the biggest brand marketers in the United States, reallocating the advertising budget to double the amount spent on programmatic ads results in a 6% boost in sales and a 22% boost in marketing ROI. In addition, using other programmatic marketplaces and media aside from Google and Facebook results in a 4.5% increase in sales, three times higher than the 1.5% increase in sales expected when only Google and Facebook are used.
These percentages are based on the following report of Rubicon Project and TFQ Strategy: Programmatic, Proven. In the report, the advertising technology firms presented the results of their 2014-2016 study of the 200 biggest brand marketers in the United States.
3. Advertisers in Europe name the following as the main effects of programmatic advertising on their business: decreased media wastage (56%), smaller media unit costs (47%), improved campaign flexibility (34%), improved campaign reporting (29%), and quicker campaign setup (33%).
This is as indicated in the following June 2016 report of IAB Europe: Attitudes towards Programmatic Advertising. More than 900 advertisers, agencies, and publishers were polled by IAB Europe during the period March-May 2016.
4. Compared to campaigns in general, programmatic campaigns do a better job of "driving purchase intent." Programmatic campaigns lead to a 3.5% increase in purchase intent, while campaigns, in general, lead to only a 2.7% lift in purchase intent.
This is according to the 2017 report on programmatic advertising of comScore and Kantar MillwardBrown. Percentages were based on a study of 3,421 campaigns and 414 programmatic campaigns.
5. Procter & Gamble is observing an ROI on programmatic ads that is three to five times higher than what it saw on traditional media.
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I also came across the following numbers indicating the increasing use of digital programmatic advertising. While they do not directly substantiate the benefits of programmatic advertising, they imply that more and more marketers see the importance of programmatic advertising.
1. Most marketers intend to either increase or maintain their budgets for programmatic ads. This is again based on the following reports of AdRoll: State of the Industry - United States 2016, State of the Industry - United Kingdom 2016, and State of Performance Marketing - North America and Europe 2017. The percentage of marketers who plan so is as follows:
2016
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2. The percentage of marketers who allot more than half of their online advertising budget to programmatic ads is increasing, based on the following report of AdRoll: State of Performance Marketing - North America and Europe 2017. The following percentages demonstrate this increase:
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2013 - 7%
2014 - 14%
2015 - 32%
2016 - 50%
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2015 - 12%
2016 - 30%
CONCLUSION
To wrap it up, I was able to several statistics that support the use of digital programmatic advertising. Among the information I gathered is the finding that, according to 66% of marketers in the United States, the ROI on programmatic ads is higher compared to the ROI on traditional media. Another one is the finding that, based on a study of the biggest brand marketers in the country, using other programmatic marketplaces and media aside from Google and Facebook results in a 4.5% increase in sales, three times higher than the 1.5% increase in sales expected when only Google and Facebook are used.
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