Programmatic is problematic, but growing: MAGNA’s 2018 Programmatic Intelligence update

Oct 16, 2018 10:43:35 AM

A decade in, and the programmatic industry is still struggling with a number of long-standing issues around transparency. Years of brand safety concerns, outright fraud, and murky metrics have formed the foundations of an opaque system in need of an overhaul. Brands and consumers alike are pressing for change and greater clarity.

On the same token, the promise of programmatic — better targeting, greater reach, real-time optimization — has never been bigger. It’s an industry filled with both discrepancies and confusion, impact and relevance. As the call for transparency bumps up against the enormous potential of better targeting and greater reach, where does the programmatic market actually stand?

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Our partners at MAGNA have shown that the programmatic world continues to heat up. In their newly published 2018 Programmatic Intelligence update, they’ve taken a close look at the forces that are driving and shifting the industry, working with Pathmatics to gain more insight into programmatic activity across geographies.

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Here are a few of the key findings from the report:

  • The global programmatic market is set to grow from $34 billion in 2018 to $60 billion in 2022
  • Programmatic transactions as a share of online advertising budgets is expected to climb from 85% today to 91% in 2022
  • The United States remains the largest programmatic market by spend in the world by far, representing nearly half of all global programmatic spend, followed by China, Japan and the UK

So while the programmatic advertising economy has its fair share of challenges, MAGNA’s view is that they are manageable ones. They believe that the pace of innovation and regulation we’re seeing can keep the programmatic ecosystem in check.

We tend to agree. Key issues in programmatic can be solved with digital marketing intelligence and the right applications of data. We believe that accurate, transparent data can help clear up the cloudy state of digital advertising, and provide an unprecedented level of transparency into exactly how ads work, from purchase to placement.

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Sarah Fleishman

Written by Sarah Fleishman

With almost a decade of experience across digital marketing, content, creative, and PR, Sarah is a creative and dynamic thinker who loves to delight clients with unique and relatable content. Sarah graduated from UC Berkeley with a BA in Sociology.

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