22 percent of programmatic will be automated guaranteed by 2020. Are you ready?
Summary
According to the market study released by Technavio earlier this week, the growth potential of the automated guaranteed (AG) technology sector is “tremendous.” The study predicts that the sector, which addresses the direct sale of ad inventory between buyers and sellers via automation, will represent 22 percent of all programmatic buying by 2020, overtaking PMPs in the process and coming second only to open RTB. Though well-documented concerns around ad fraud are an issue, those fears are outweighed by the advantages that RTB delivers, especially to the buy-side: low CPMs, scale, the ability to attribute their own value to an impression by introducing audience data to the equation and, perhaps most importantly, ascribing a margin to that value. In reality, programmatic should be replaced by automatic to describe the various infrastructure solutions that can give buyers access to all forms of inventory in combination. As Lucas Castillo, Account Manager at Amnet, puts it, “Automated guaranteed allows for programmatic to deliver on a full-funnel approach. The third and last step is that the technology must fulfill its promise of enabling more efficient and more effective transactions across the full breadth of inventory that the demand-side wants to access.