The programmatic Ad industry has gained a lot of traction in the past few years and brands are seeing great transparency in their ROI and that have increased budgets and ad spends of the brand while growing the industry has come across multiple challenges.
Here is the list of Challenges and Solutions to overcome the same.
1. Fraudulent Traffic:
This is one of the common and the biggest challenges for advertisers. A study from multiple sources said that $42 Billion Ad spends wasted In Ad fraud in 2019. More intermediate was added in the buy and sell that opened up vulnerabilities for fraud throughout the entirety of the digital advertising process. that have made the visibility and accountability poor
Types of Frauds include Domain Spoofing, Fraudulent Interactions (Click Fraud), Invisible Ads, Bot traffic
Solution:
- It is estimated that ad fraud consumes a minimum of $1 out of $4 of ad spent, so when you plan to make a digital spent of $20000. You strategize, design, and plan a budget to achieve the desired result. But while setting up a budget do not forget to keep a minimum 25% aside as that will definitely get wasted in ad fraud
- Look for metrics and data to get better insights and clear picture about the spend based on that Blacklist unwanted inventory, Whitelist trustworthy inventory. Sign a direct deal with publishers that reduce the possibility of fraud
- Validate conversions. If your ads getting 1000 clicks but out of which only 1% conversions in the same period of time than something is not right.
- Support (GDPR) approach that will block fraudulent clicks based on privacy restrictions (like the end user’s IP address
2. Viewability / Lack of transparency:
If impressions are not fraud, it doesn’t mean it has reached the target audience. According to the IAB terms, Viewability refers to viewable ad impressions. The criteria for considering impression viewable is :
“Desktop display ads are considered viewable if 50% of the ad screen is visible in the screen for one second, desktop video ads are considered viewable if 50% of video ad screen visible for at least 2 seconds.”
Over 39% of marketers have raised a concern that they don’t have an insight into data where the budgets are being utilized.
Solution:
- Marketers are recommended to check their post bid domain/app reports
- Check the metrics of their ad spend.
- Work on the KPI’s that will help them to gain better ROI’s.
3. Brand Risk
It is always a risk when the ads are being exposed to the websites which may have adult content, drug alcohol-related, violence, offensive language, hate speech, and other potentially negative pages. This runs an obvious risk of brand damage.
There may be a chance as well their ads may appear next to some objectional article written in one of the top websites. It needs a single hit to destroy the brand’s credibility.
Solution:
- There are certain things you can do as a marketer to avoid such a risk, you can choose the networks, partners, websites whom you trust, and you can ensure that where your ads are exactly going.
- Create “black” and “white” lists of platforms and remember to update them frequently
- You can try a different type of ad format that supports full screen or type of ad formats that you don’t need to worry about later on about ads coming next to objectional content.
Conclusion:
There is no doubt that programmatic is the future of digital advertising. To see success with programmatic, take the control over above challenges and solve them now. By deploying the right technology and the right partners.
