What is Programmatic Advertising and AI Marketing? | Melotti Media

What is Programmatic Advertising and AI Marketing?


A new era of Marketing is upon us now.
It involves Big Data, Machine Learning and AI Marketing in a revolutionary process called Programmatic Advertising. We shouldn’t be surprised – we all knew this was coming.
But now that it’s here, it’s time to educate ourselves. I spoke to one of the pioneers of this Marketing Technology in Australia, Adgility, who took me through it.

​Now, I’m going to do my best to explain my understanding to you.
Here’s what Programmatic Advertising and AI Marketing is, and how it’s going to revolutionise our industry for the better.


We’re living in an age where technology is evolving fast and innovation leads to significant disruption.
The practise of Marketing (or more specifically, advertising) is no different.
Our customers are becoming more complex and demanding, selecting when and where they’re open to our messaging. This leaves Marketers struggling to gather data and make decisions as fast as we can before our audience moves on.
It’s quite the challenge, making the right choices to reach the right audience through the right channels at just the right time. And what comes with this? A lot of manual guesswork with a lot of misspent marketing budget in the hope that our ads and content are making enough of an impact.

What’s the alternative, then?

Technology, of course.
We all know that data is the key today to unlocking better Marketing results – but there’s just so much of it and trends change too fast for us to keep up. We’re only human, after all!
Luckily, a new era of advanced marketing is here which gives brands access to AI and machine learning to process copious amounts of this customer data in real-time to make smarter decisions and optimise our marketing spend – and it’s all automated.
This is called Programmatic Advertising.
It’s a very exciting time for Marketers, as we now have a way to truly take advantage of trends and customer data to provide better experiences to people. With this new approach, we can start to get omnichannel marketing truly right, with media exposure on the channels, at the ideal point of our customers’ journeys.

With Programmatic Advertising, Marketers now have a way to get omnichannel marketing truly right.

Programmatic Advertising is starting to show a lot of potential in countries like America and it’s something that Australian businesses need to start looking at very soon.
In fact, just like most revolutionary Marketing techniques over the years, the rate of adoption will be so fast that I believe the current method of manual media buying and advertising assumptions will soon be a thing of the past. Perhaps even to the point where any Marketer not using Programmatic Advertising soon will be looked down upon.
Think of a brand that doesn’t use a website or the internet today- it’s almost sacrilege! I think Programmatic Advertising will be the same soon.
Ok, let me explain.

Machine Learning and AI – a leap forward for Marketing

Basically, Programmatic Advertising uses the power of both Machine Learning and AI Marketing to do what it does to get great advertising ROI.
Let’s break each element down.
What is machine learning?
While not as advanced as AI Marketing, machine learning is basically technology that uses statistical approaches to analyse large amounts of big data to identify trends. For Marketing, it is able to examine customer data and then determine patterns in responses to stimuli like adverts. Over time, it collects more data and it is able to become more effective at mapping out information about segments.
What is AI Marketing?
Artificial Intelligence (AI) marketing assesses the identified patterns of customer data from machine learning and then makes decisions to reach the optimal outcome. In other words, AI Marketing interprets Big Data from your audience and responds by working out what ads to serve up on a particular platform, in a format that will provide the ideal person with the right message to offer value and get them to convert.
Brilliant, ey?
See, Marketers do this now, but as I said – we’re only human.
AI Marketing does this on a larger scale, much faster. Just note: Marketers are NOT cut out of this process. We are still needed to make overall decisions and provide strategic direction. However, AI Marketing gives us a hand so that we can better understand behaviour and engage audiences in a more engaging way.

What is Programmatic Advertising?

Programmatic Advertising uses both Machine Learning and AI Marketing to make real-time decisions which determine:

  • what type of media placement is optimal,
  • what type of ad to deliver,
  • on what channel,
  • in what particular format, and
  • at what time in order to maximise engagement levels

What impact will Programmatic Advertising have on Marketing?

It’s pretty obvious how much this technology will change the face of advertising.
Imagine trying to look at bits of Marketing research and trying to guess where best to spend your Marketing budget, when your competitor just turns the Programmatic Advertising platform on and it homes in where your customers are and gives them what they’re looking for really easily.
You’d be left behind very fast!
So, it should be no surprise why Programmatic Advertising is one of the fasted growing methods of digital marketing at the moment. After all, the ability to use consumer data at scale to optimise ad campaigns on the fly is quite the game-changer.
Yet, in Australia, the marketing community still seems a little out of the loop.

How does Programmatic Advertising work?

Programmatic advertising works by using machine learning and AI to analyse and assess your target audience’s behaviour. It then automatically buys the most relevant advertising that it deems will be the most effective in reaching them when they’re most open to your messaging and content.
It does this over a range of online channels, formats and devices by curating your content and creative media, and getting it in front of people at the optimal time. So, if it determines that at particular parts of the day, your audience is browsing a specific website, it will place native ads there.
So, instead of having to try and predict where your customer will be, it does this using real data. Oh, and it also learns more over time. Needless to say, this has the potential to offer a very high rate of ROI, especially over the long run.

So, instead of having to try and predict where your customer will be, it does this using real data. Oh, and it also learns more over time.


The benefits of Programmatic Advertising

Programmatic advertising basically gives your brand the ability to offer a personalised experience, based on their real, collective behaviour.
Through this, Programmatic advertising:

  1. Takes a lot of the guesswork out of advertising choices
  2. Allows for the optimal advertising placement
  3. Provides advanced audience targeting through continual machine learning and AI
  4. Offers greater Marketing transparency through campaign tracking
  5. Generally earns a higher ROI via its real-time process

But most importantly, it allows Marketing Professionals to focus more on overarching branding and strategy, while AI Marketing and Machine Learning places optimised media right in front of the right people when they’re deemed most open to your brand.

Want to see Programmatic Advertising in action?

​ Ok, ok this was my best attempt at trying to explain it.
But if you want to know more, speak to the team at Adgility who specialise in this new advertising technology.
Their Adgility website is here.
Or contact Leah Dally and her team at bemore@adgility.com.au.

How Can Melotti Media Copywriting help you keep up with AI Marketing?

To engage your customer and achieve ongoing business success today, you need quality copywriting and consistent content. However, we understand that this is easier said than done.

You’re time poor and spread thin, and writing isn’t your expertise. So, focus on what really matters, while we take care of all of your copywriting and content marketing needs!

For more information or to speak to a quality copywriter to get the results your business deserves, contact me now at chris@melottimedia.com.au.

I can sharpen your words to achieve your goals, today!

Christopher Melotti

Melotti Media Copywriting and Marketing Solutions
Click here to view the FAQ page for all you need to know ​​


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