What Is Programmatic Advertising?

Programmatic advertising is the automated buying and optimisation of digital ad space using data and machine learning. It replaces manual negotiations with real-time bidding (RTB), allowing ads to be placed in front of the right audience at the right time, across a wide range of digital platforms.

Here’s how it works:

• Automated Auctions: Programmatic platforms run real-time auctions for ad impressions, automating what used to be manual placement processes.
• Data-Driven Targeting: AI and machine learning use behavioural, demographic, and contextual data to place ads where they’re most likely to convert.
• Real-Time Optimisation: Bids, creative placements, and targeting are continuously adjusted to improve performance while campaigns are live.

Programmatic vs. Traditional Advertising

Traditional ad buying is often manual, time-consuming, and involves fixed placements. Programmatic advertising, on the other hand, is automated, data-driven, and optimised in real time. It allows for greater efficiency, better targeting, and improved budget allocation.

Programmatic vs. Display Advertising

Display advertising refers to the visual ads (e.g. banners) you see online. Programmatic advertising is the method used to deliver those ads. In short, all programmatic ads can be display ads, but not all display ads are bought programmatically.

Where Does Programmatic Advertising Appear?

Programmatic ads span across multiple formats and platforms. You’ll encounter them in:

• Display Ads: Banner-style ads on websites.
• Native Ads: Ads designed to match the look and feel of a site or app.
• Video Ads: Pre-roll, mid-roll, or post-roll placements on platforms or websites.
• Audio Ads: Advertisements played within podcasts or streaming platforms.
• In-Game Ads: Integrated ads in gaming environments.
• Connected TV (CTV): Ads shown on smart TVs and streaming apps.
• Digital Out-of-Home (DOOH): Digital billboards and signage in public spaces.

Whether it’s desktop, mobile, or TV, programmatic technology likely supports the ad placements you see every day.

Benefits of Programmatic Advertising in South Africa

Here’s why programmatic advertising is gaining traction among local and global brands:

Increased Efficiency and Reach

Programmatic platforms streamline ad buying by automating everything – from targeting to bidding. This saves time and opens access to a broader audience across multiple devices and publishers, with little manual input required.

Cost-Effectiveness

Because targeting is based on user relevance, programmatic helps reduce waste. You’re not paying for impressions that don’t matter, you’re focusing on users who are more likely to engage.

Real-Time Data and Insights

Programmatic advertising gives you immediate access to data on performance, user behaviour, and engagement. These insights help you adapt quickly, test new strategies, and refine audience segments as the campaign runs.

Improved ROI

By using automation and performance data to drive decisions, programmatic campaigns tend to deliver better results over time. You can optimise based on real conversions rather than impressions alone.

Advanced Targeting Options

One of the biggest strengths of programmatic is the depth of targeting it offers. You can reach users based on:

• Demographics: Age, gender, income, location, etc.
• Behavioural Signals: Interests, recent site activity, previous purchases.
• Contextual Placement: Ad placement based on the content being consumed.
• Device and Network Targeting: Refine your campaigns based on device type (e.g. mobile vs desktop), or even by mobile network provider.
• Website and Category Targeting: Focus on specific websites or broader website categories your audience is likely to engage with.

This precision allows businesses to focus on quality over quantity and target users who are more likely to convert.

Programmatic advertising allows businesses to scale their marketing with precision and efficiency. Whether you’re running local campaigns in South Africa or reaching a global audience, it helps you serve the right message to the right person – at the right time.

With greater reach, improved ROI, and access to real-time optimisation, it’s no surprise programmatic is becoming a core part of modern advertising strategies.

Want to explore how programmatic can support your marketing goals? Get in touch with Ruby Digital to see how we can help you run smarter, data-driven campaigns that convert.