Posted - January 27, 2022

Programmatic Display Is the Workhorse of Digital Marketing

Posted Programmatic 101

Without a programmatic display campaign, your marketing strategy is missing a crucial feature: its foundation.

ZuuKeeper, a leader in programmatic advertising, understands that a well-rounded strategy starts with display and then adds additional programmatic services to complement it. According to research, display advertising is the workhorse of nearly every successful digital marketing media strategy.

The results of a study conducted by ZuuKeeper’s platform partner took a large sample of clients who were running various programmatic mediums (display, video, audio, OTT/CTV, etc) at the same time to examine how each medium yielded conversions working together. The findings of how much influence each media has when an advertiser runs all services at the same time are shown below.

Results of the study:

9% of all conversions were influenced by audio.

Display was responsible for 58% of all conversions.

Video accounted for 33% of all conversions.

OTT/CTV accounted for 22% of all conversions.

Retargeting, whether it’s through display, video, or a combination of the two, accounts for 27% of all conversions.

What is the main takeaway? While a healthy balance of programmatic mediums is necessary, display ads should be the cornerstone of any digital campaign. What is the reason for this? Display has a wider reach and a stronger influence, as seen by the fact that it accounts for 58 percent of all conversions.

The fact that display has a lower cost-per-thousand impression than other programmatic channels is one of the reasons it works so well. This means you’ll spend less for each time your ad is seen, which means you’ll get a lot more impressions, branding, and other benefits. The following are the charges that were observed for such mediums:

$2 – $4 CPM display

$10 – $22 CPM for video

$29 – $55 CPM for OTT

$21 – $37 CPM for audio

The lower cost is due in part to the availability of more ad inventory which also explains the improved performance—because there are more placements available, display ads will reach a wider audience. This means that for every video placement on a website, approximately three additional display ad locations are available.

Here’s what we discovered: if a marketer solely employs online videos, the number of websites, applications, or inventories on which those videos can be placed is limited. Online video advertising also cost at least 8 times more per impression than display ads, resulting in fewer impressions and, as a result, less branding and a longer conversion time. As a result, video, audio, and over-the-top (OTT) should be employed to supplement display advertising.

Having said that, we are not discouraging you from using other mediums because they also help with conversion. Furthermore, our data reveal that when a user uses all five of our services at the same time, the average conversions are influenced by at least three separate mediums. This suggests that at least three different ad types were seen by 56 percent of users who converted. Different mediums, in fact, can assist consumers move faster through the sales cycle (conversion funnel) and have additional benefits that can be strategically used when added to display.

To put it another way, Zuukeeper has discovered that by incorporating channels other than display, you can potentially shorten the conversion cycle, increase conversions, reach new audiences, and achieve other desirable metrics. However, if you replace display with other mediums and just run those, you’ll lose the base of your marketing and witness a reduction in performance. What exactly does this imply? Other forms of digital marketing should be utilized to supplement rather than replace display advertising.

These findings highlighted the importance of utilizing additional services to support display advertising. A strong digital campaign requires a variety of ad spend and media buying; however, it should all come back to display ads, as they do the heavy lifting that ensures the success of any digital marketing plan. The foundation you’re laying is significantly less stable without display ads, and you’ll never be able to reach the levels you could otherwise. Programmatic display ads are without a doubt the workhorse of any successful digital marketing plan. 

To learn more about how ZuuKeeper can help your business contact us here: Connect With Us Today

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