What is Programmatic Advertising and When Should You Use It?

What is Programmatic Advertising and When Should You Use It?

Fishing is a lot like digital advertising. Sometimes you get bites, sometimes you don’t. So, what makes the difference between a nice catch and coming home empty-handed? It’s about strategy … finding the right time of the day, the right spot and the right bait.

Digital advertising works the same way. You choose when to run ads, what platforms they appear on, the message you send and more. With the help of real-time data, you can adjust timing, message and location to target your audience more effectively. 

Programmatic advertising is a powerful digital tool. It automates the media buying process, making it faster, smarter and more cost-effective. It can be complex to understand and execute, so we’re breaking down how it works and when it makes the most sense to use it in your marketing strategy. Whether you’re aiming to build awareness, influence consideration or close more sales through remarketing, programmatic can be a valuable piece of your overall plan.

What Is Programmatic Advertising?

Programmatic advertising is the automated buying of digital media using real-time bidding (RTB), a real-time auction where each ad impression is sold individually based on pre-set criteria. This streamlines the media buying process by removing manual tasks. Instead, ads are purchased via online exchanges, allowing for fast, data-driven decisions that provide greater value for your ad budget. These ads can run across websites, mobile apps, streaming platforms, outdoor digital signage and more, reaching users across different touchpoints in their daily routines.

Programmatic Ad Buying

There are a few ways to purchase programmatic media, from self-serve platforms to robust yet complex demand-side platforms (DSPs). Working with an agency that has direct access to a DSP can make programmatic media more effective. Since fewer layers are involved, costs are often lower and optimizations can happen faster. You’ll also benefit from stronger data insights and the experience of a team that knows how to put them to work. When those efforts are tied to the rest of your marketing through shared tracking, it becomes easier to see how different channels work together to produce results.

Programmatic Targeting Capabilities

Just as you’d swap out your lure depending on the fish you’re trying to catch, programmatic ads allow you to fine-tune your campaigns for highly specific audience targeting. 

These targeting capabilities can be adjusted based on the context of your product or service and your ideal consumer base, including the following:

  • Demographics (age, income, gender, etc.)
  • Behavioral and interest
  • Contextual targeting
  • First-party data
  • Website and app retargeting
  • Venue and location retargeting
  • Remarketing
  • And more

You can adjust these options at any time, allowing for improved campaign performance over time.

When to Use Programmatic Advertising

While programmatic can fit into nearly any marketing strategy, it stands out most in a few specific areas of the customer journey:

  • Building brand awareness
  • Influencing consideration
  • Retargeting and remarketing to close sales

Building Brand Awareness

Launching a new brand or product? Programmatic is excellent for brand awareness because it allows you to reach a wide yet specific audience across multiple platforms. Real-time bidding technology helps deliver your message efficiently and frequently to make sure it sticks. Doing this manually is time-consuming and expensive, and programmatic streamlines the process.

In rural markets or industry-specific sectors like agriculture or manufacturing, programmatic helps overcome the challenge of limited local reach. You can zero in on the right people across digital platforms they already use, from weather apps to TV and music streaming services, even if they’re spread across a wide region.

Influencing Consideration

Beyond awareness, programmatic supports ad formats that encourage deeper engagement. Video, audio and native ads explain your value in more dynamic ways. This helps move potential customers from awareness to seriously considering your brand or offering.

Retargeting and Remarketing to Close Sales

This is where programmatic gets personal. When someone visits your site but doesn’t convert, programmatic retargeting allows you to follow up with tailored ads. You can show them reminders, special offers or even coupons to encourage them to return. It’s particularly effective for cart abandonment or product viewers who are on the fence. By re-engaging this audience through ads across other sites, you can drive real action and increase conversion rates.

Programmatic remarketing uses first-party data to serve ads to existing customers, keeping brand awareness top-of-mind. Targeting those who’ve purchased your product or service in the past with a new offering is a smart way to keep customers engaged and coming back to your business.

When to Consider Other Options

While programmatic is versatile, it may not always be the best tool for every scenario. For customers actively searching for your product or service, search engine advertising or shopping ads might perform better. These reach users at the exact moment of intent. But programmatic still plays a valuable role, especially in retargeting these users after their initial interaction.

How Callis Helps You Succeed With Programmatic Advertising

Programmatic advertising can be a key piece of a strong integrated marketing strategy when it’s done right. As a full-service agency with direct access to a DSP, we help our clients reduce costs, streamline optimizations and integrate programmatic with other campaign elements like social media, broadcast and search.

Offering end-to-end support, from strategy and creative development to targeting, tracking and ad optimization, we help businesses navigate the complexities of programmatic campaigns to deliver valuable outcomes.

The result? A smarter, more effective way to grow your brand and connect with your customers.

This article was previously published on December 10, 2018, and updated on August 19, 2025.