Programmatic Guaranteed: Discerning Fact from Fiction

Why should you read this article?
Because Programmatic Guaranteed is the most premium of all programmatic channels, and it’s future is bright! Learn how to separate fact from fiction in this article.

Programmatic Guaranteed may seem like an obscure sales channel. But Smart has found it offers buyers exactly what they’re looking for during an era when ad tech is facing major challenges on the quality and transparency front.

All players in the programmatic ecosystem are looking for greater transparency  and increased quality. Programmatic Guaranteed provides both, enabling buyers to book a predefined amount of impressions on particular ad placements at a fixed price.

But there are still some misconceptions surrounding this buying method. Let’s take a moment to determine the legitimacy of certain “rumors” surrounding Programmatic Guaranteed.

Rumor  #1 – Programmatic Guaranteed provides access to a limited type of inventory

FALSE – Programmatic Guaranteed is cross-device and available for display, video, and native, and can be deployed in any environment (desktop, mobile web, in app).

Any publisher can offer guaranteed deals on their inventory. Since programmatic guaranteed campaigns gets first look, buyers can access 100% of a specific inventory. However, it’s important to note that there are two prerequisites:
-The publisher’s SSP must provide the feature
-That SSP must also be the publisher’s ad server

Rumor #2 – Programmatic Guaranteed is 100% automatic, and does not require buyers and sellers to interact

FALSE – Direct interactions between buyers and sellers are a  crucial component of Programmatic Guaranteed

Before the campaign launch, buyers and sellers need to agree on both a price and a volume of impressions, just as if it were a direct sale. This transparent, direct agreement remains fundamental and definitely plays a key role in restoring trust between all players.

Rumor #3 – Programmatic Guaranteed will replace direct sales over time

TRUE – Programmatic Guaranteed enables the ultimate combination of both programmatic and direct channels, all at once.  It can easily be imagined that Programmatic Guaranteed will replace almost all direct sales!

Through guaranteed deals, buyers can access the same placements and  formats as with direct sales. Moreover, Programmatic Guaranteed facilitates cost optimization and increases efficiency; all transactions can be managed in one place,  and billing is automated.

Programmatic Guaranteed provides both buyers and sellers with great benefits. Zenith** predicts that 21% of US programmatic ad spend in 2019 will be through Guaranteed deals, which will surpass Open Auction this year. So get ready, it’s poised to become the most bountiful programmatic channel in the coming years!

*Are Programmatic Guaranteed and Automated Guaranteed the Same Thing?
**Emarketer, “US Programmatic Ad Spending by Deal Type 2013-2019”, 2017.

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