What is Programmatic Buying? Simply put, it’s a technology-powered, automated way to buy and sell advertising online which is the opposite of manually placing orders. It is hard to pin point exactly when programmatic buying was born but its early stages are tied to the launch of DoubleClick and RightMedia in 2005.
Just how big is Programmatic buying? Let's start painting the picture by taking a closer look at the growth of programmatic in the US. Programmatic is expecting to approach $15B mark. Not only the growth is expected to remain at 50% rate, this year over half of all digital spend in the US will be done programmatically.
Programmatic buying is often confused with Real Time Bidding (RTB), but in reality is encompasses all forms of automated trading: open exchange trading (or RTB), private marketplace deals, and programmatic direct. In 2015 in the US, RTB will account for about 46% of all programmatic spend.
In Canada, the growth of programmatic is lagging that of the United States'. Even though the percentage growth of RTB is about 50% (which is very much in line with that in the US), in 2015 programmatic is expected to account for only 20% of all media bought in Canada and amount to $810M. This is certainly an improvement from 2013, when programmatic only represented 15% of all digital spend in Canada (eMarketer). StackAdapt expects programmatic buying in Canada to surpass $1B mark in 2017.