The impact of AI on programmatic advertising, productivity and sustainability

With the rapid advancement of technology in recent years, the advertising industry has undergone a major transformation.

The use of Artificial Intelligence (AI) in programmatic advertising has altered the way brands reach their target audience and helped to boost productivity. As businesses begin to adapt to new guidance on AI and data rules, data and programmatic expert Crimtan discusses the benefits of AI in programmatic and the positive impact it will have on the industry.

A study by Accenture claims that AI will increase productivity by 40% and in turn boost profitability by an average of 38%. AI has the ability to gather vast amounts of data in a small amount of time, allowing brands to automate ad-buying and placement processes, saving time and money. With the help of AI algorithms, brands can analyse data on consumer behaviour to determine the best time and place to display ads. This in turn frees up valuable time for employees and businesses to focus on optimising campaigns.

Marketers can optimise results in programmatic by using AI, as AI algorithms have the ability to adapt to any new patterns they encounter, unlike non-AI algorithms. With AI algorithms constantly analysing campaign performance, brands can quickly make adjustments to their ad creatives, targeting, and bidding strategies to improve performance and maximise return on investment. For example, AI algorithms can deliver more accurate insights by taking into account a wide range of factors, such as a consumer’s browsing history, apps, previous purchases, and any previous interactions with similar ads.

Andy Houstoun, Chief Commercial Officer at Crimtan, said: “The impact of AI on programmatic advertising will be significant and AI-powered programmatic advertising will not only enable brands to reach their target audience more effectively, but also boost productivity by automating the ad buying and placement process.

“As the advertising industry continues to evolve, the use of AI in programmatic advertising will only become more prevalent. We work with our clients to encourage them to embrace this technology in order to have a competitive advantage in the marketplace and be better equipped to reach and engage with their target audience.”

Additionally, multiple players in the ad placement bid stream have harnessed the power of AI for sustainability gains. By incorporating regional and channel differences, AI has the capacity to reduce processing loads by 80% and cut CO2 emissions by 40 kilograms per day. This suggests a transformative future for ad placement, where AI optimises processes while maintaining environmental consciousness and responsible control.

Houstoun concluded: “The use of AI in programmatic advertising will continue to revolutionise the way brands reach their target audience and embracing it not only enhances efficiency, but also contributes to a sustainable and environmentally conscious advertising landscape.”

Houstoun is speaking on ‘Artificial Intelligence Opportunities and Positive Disruption: Driving Efficient Marketing Planning, Attribution and Measurement through AI’ at the Martech Summit, London on 17 November.

To read more about AI and the programmatic landscape, Crimtan have produced a free whitepaper, which you can download here: https://lp.crimtan.com/AI-whitepaper.html