PETALING JAYA: Brand building and brand safety are paramount in ensuring stronger market presence while capturing a bigger pool of customers.
These are among the hallmarks that a marketer intends to achieve to outpace competition and fortify the company’s brands locally and abroad.
With programmatic advertising gaining momentum in the country, many companies are embarking on this digital technology to improve efficiency, boost their bottomlines and capture the right target audience.
Dentsu Aegis Network Malaysia head of programmatic Suhail Ahmed told StarBiz that more marketers are capitalising on the programmatic space as they are able ensure brands are of the right content and ads can be targeted to the right consumers.
“Programmatic helps a marketer to reach the right target audience with the right ad message at the right time.
“This facilitates brand building and brand safety exercise. In Malaysia, programmatic advertising has been on an upward trend.
“Last year, programmatic spends stood at about US$34mil and for this year, it is projected to hit to the tune of US$77mil, ” he noted. It is estimated 82% of digital advertising revenue in Malaysia would be generated via the programmatic platform by 2023.
GroupM head of supply and product development Aravind Menon agreed that one of the fundamentals of programmatic is to ensure brand safety and brand building.
He added that by utilising this platform, it eliminates a high percentage of fraud occurence and deliver ads which are viewable to consumers.
He said programmatic advertising was growing year-on-year and would continue its growth trajectory, adding that more clients would move from direct buys to more programmatic buys.
Programmatic advertising is the use of automated technology for media buying as opposed to traditional (often manual) methods of digital advertising.
This form of media buying utilises data insights and algorithms to serve ads to the right user at the right time and at the right price.
Suhail said there is an urgent need to educate people on programmatic unlike in the US where about 40% to 50% of all spends comprised of programmatic.
“In Malaysia, a huge chunk of programmatic spends are basically from large advertisers. Advertisers need to look at it from the omni channel approach as there is the over-the-top (OTT) channel, programmatic audio and other multiple digital platforms etc. Publishers therefore need to leverage on these channels.
“Education needs to be stepped up in the programmatic space and all the parties - agencies, publishers and advertisers - have a role to play to further enhance this digital platform in the market place, ” he said.
On the implementation of an effective programmatic strategy, Aravind said firstly, marketers, for example, should look into the business processes and decide whether it is something they want to move into ie the programmatic space.
If they decided to do so, they should then decide whether to build this digital platform in-house or to outsource it to an agency or a partner, he noted.
Suhail said for effective programmatic strategy, a company needs to start from the very beginning when adopting this technology. Feedback and collaboration between the relevant parties are also important to ensure an effective strategy.
Suhail and Aravind were among the panelists at the recent Programmatic Malaysia 2019 which was held at Sheraton Petaling Jaya Hotel. The event was organised by the Star Media Group (SMG) and sponsored by Cxense.
Singapore Media Exchange CEO Hari Shankar, who was also one of the panelists, reiterated that a thorough and careful assessment of data was vital for programmatic advertising to capture target and quality audience, adding that a clear measurement metrics was also essential.
Meanwhile, in his speech SMG group CEO Andreas Vogiatzakis said while there is strong potential and benefits from the adoption of programmatic, it has had its fair share of bad press.
“Issues of privacy, safety and transparency plague programmatic and just as quickly as industries adopt the service, others are falling prey to some of its shortfalls.
“Talks of digital ad spends ending up in ad fraud, multiple data supply platforms leading to bidding for the same inventories, and driving false increases in cost per thousand, are not without merit.
Suppliers or enterprise publishers have entered into murky conversations of ad fraud pervading its inventory, adding specificities such as ads.txt inability to fully curb fraudulent deals, ” he said.
At the risk of over-generalising, Vogiatzakis said it can safely say that a significant portion of programmatic campaigns today are performance driven.
By that same token, the most high performing campaigns are typically assigned more revenue, he noted.
He also commended SMG’s efforts in the area of programmatic as part of the media group’s journey of digital transformation.
“Among the many actionables was to embark on a programmatic journey by automatic all our ad formats across Display, Mobile, Video and Native in preparation for what we knew would be another big disruption in our industry.
“Now our infrastructure is in place and we are ready to transact.
“In a short space of time, the amazing programmatic team have built and optimised programmatic and data foundation tech stacks to enable marketplace trading for all of SMG’s owned and operated sites, ” Vogiatzakis noted.
Mudah.my Sdn Bhd head of marketing Andrew Pinto, who was one of the panelists at the event, advised companies expanding their base to opt for technologies which can serve a bigger market.
Programmatic was one of such technologies as it can help consumers make the right decision of the product they are buying. Apart from that, he added such technology can reduce wastage and improve performance from a marketer’s standpoint.
Cinema Online Sdn Bhd director of marketing Dev Shadank, another delegate at the conference, said adopting programmatic would propel publishers to the next level. This is because the platform would pave the way for future revenue growth for publishers and an accurate market segment for clients.
“We should all embrace programmatic in our business operations and dealings and not resist it moving forward.
“ As publishers, this platform allows us to give buyers the right audience for them to target, ” he stressed.