As programmatic buying expands, look for agencies to build more private marketplaces in the next 12 to 18 months, says Julian Zilberbrand, EVP Activation Standards, Insights, & Technology at ZenithOptimedia Group in an interview with Beet.TV. That’s because private exchanges provide an ecosystem that can be “safer” and possess less potential for fraud and non-human bot traffic, he says.
Marketers may also be more willing to share first-party and CRM data in a private exchange and to then use that data for buying. “Programmatic is about automation, operations, scale and the ability to leverage data. But the possibility of fraud has turned some clients off to the open marketplace,” he says. As brands weave in more data into buys, ranging from first-party to third-party to facial recognition data, the key is to use the new data to optimize a campaign.
Programmatic buying has made some inroads to TV, with 8% of agencies using it for TV buying, but more time is needed to penetrate the TV market, he says. “TV is bought in a certain way, which is very different from how we buy digital. When TV is more IP-based then you can start applying digital targeting into that world as well, and that’s when you’ll see programmatic start to scale.”
We spoke with Zilderbrand for “The Road to DMEXCO,” a series of interviews with industry leaders produced in New York, London and San Francisco. It is sponsored by the automatic content recognition (ACR) technology provider Civolution.