Programmatic – the key revenue for publishers in 2024

Programmatic – the key revenue for publishers in 2024
  • More than half of publishers plan to focus on increasing programmatic revenue.
  • About a third of publishers derive a significant portion of their income from programmatic advertising.
  • More than half of publishers report that most of their programmatic revenue comes from inventory sales through auctions.

Programmatic advertising has many issues. However, advertisers continue to buy inventory through this channel, and publishers remain dependent on programmatic advertising revenue.

Programmatic advertising is the automated process of buying and selling ads using software and algorithms. In Russia, this approach is actively developing, and major platforms such as Yandex and Mail.ru Group offer their solutions for this market segment. Programmatic enables advertisers to purchase ad inventory in real-time through auctions and deals, enhancing targeting efficiency. This technology helps optimize ad campaigns and improve their performance through big data analysis and dynamic bid management.

According to a survey by Digiday+, 82% of American publishers claim they receive at least some of their revenue from programmatic advertising.

A third of publishers derive most of their income from programmatic advertising

33% of publishers say that in the first quarter of 2024, programmatic advertising accounted for most of their revenue. The share of such publishers increased from 27% last year.

More than half of publishers will focus on developing programmatic

53% of publishers stated that in the next six months, they will primarily focus on further developing programmatic advertising. This is a significant increase compared to last year, when 41% of publishers reported this focus.

In recent years, revenue from direct programmatic deals has continued to decline, with only 17% of publishers earning a significant portion of their budget from them. Meanwhile, revenue from auctions accounts for a significant portion for 54% of publishers.

Direct deals in programmatic are automated ad sales that occur directly between the advertiser and the publisher, bypassing the open auction. These deals usually provide greater transparency and control for both parties, as terms including prices and placements are agreed upon in advance.

To Publishers

Programmatic is everything. The days of direct sales departments on the publisher's side are long gone; only large publishing houses can afford this now.

Publishers need to devote more time to programmatic and everything related to it (e.g., page load speed). They should monitor key metrics (CTR, VTR, etc.) and work on improving them.

Forecast

The growing role of auctions underscores the importance of automating everything.

Other Materials