This week has seen a few articles about us marketers making it far too complex to explain programmatic to clients. I have written about it before and now I am writing about it again.
We seem to move from RTB (real time bidding) in 2010 to Programmatic advertising and call anything we can programme via a machine programmatic, digital or machine learning (ML) enabled. Right now, we are creating a very complex space and we are lacking the confidence of really explaining what is going on in our industry. So ML is a simplification, right?
Actually, by removing IO (insertion orders) and manually signed orders submitted via fax machines (FAX), we can now tell a ML enabled DSP (demand side platform) which media to buy at which price and in which environment. We are adding more complex data streams from a DMP (data management platform) to the bidding and depending on our data crunching capabilities we are creating a better or worse outcome for our clients’ campaigns. Isn’t that great?
Let’s simplify. Let’s forget about machine learning and algorithms for a minute, customised algos you can choose and let us introduce AI (artificial intelligence). YES. Let’s do it, let’s look into 2017 and no doubt, we will see the advent of AI becoming the new programmatic, the new RTB, the new ML, the new data analytics. Why? Because we continue to make our space harder to understand; not necessarily more intelligent, but more intriguing. We are adding measurement metrics to the mix to justify the spend or catch out media owners that don’t comply with industry standards.
That is where in 2017, AI will come in. The clever intelligence that sorts out this complexity. Something that sits on top of all we do and determines which data we use. AI will sort out all our problems and helps us justify even bigger spends. As it is defined as “an ideal “intelligent” machine is a flexible rational agent that perceives its environment and takes actions that maximise its chance of success at some goal”. And this is solving all our challenges, issues and future challenges. Or will it 😉
However, having had a few discussions with clients over the past few months, the challenge is more around the actual understanding of programmatic. Once understood, they are not only happy, but keen to explore the options and advantages of controlling their data and media spend. We are winning. I shall of course introduce the added layer of AI next year, I don’t want to look stupid, do I?!
Volker Ballueder, Head of Media