Marketing Study: Programmatic Advertising: What is it and How Does it Work?

Businesses spend about $96 billion annually on programmatic advertising, which is quickly becoming a popular technique. By 2023, it is expected that this share will account for 91% of all digital display ad spending.

Programmatic Advertising works in the following pattern:

1. A person clicks on a website
2. The website owner puts the ad impression up for auction (SSP)
3. Advertisers offer bids for the impression (DSP)
4. The highest bidder wins the ad impression
5. The ad is served on the website to the user
6. The user clicks on the ad and converts