Global digital advertising spend continues to show no signs of slowing down. Global ad spend is expected to rise 4.6% in 2024, bringing the total to $752.8 billion. At the same time, the digital advertising industry as a whole is projected to increase by 6.5% this year—-reaching $442.6 billion and accounting for 58.8% of total spend.
Traditionally, many advertisers have relied on the Google Display Network (GDN) for programmatic media. This approach limits your ability to access the wider ad inventory that lives outside of Google.
Now, with expanded ad inventory and diverse programmatic media from DSPs like Basis Technologies, advertisers must combine Google and programmatic for an effective media mix.
Programmatic and traditional display advertising both offer sophisticated ways to connect with potential consumers. But many advertisers are overwhelmed by the growing complexity of available platforms.
In this article, we’ll clarify:
- the benefits of emerging programmatic advertising and traditional display advertising on Google
- the differences between emerging programmatic advertising and traditional display advertising on Google
- reasons to consider programmatic or traditional display advertising
- how to strategically invest your time and resources into these different platforms based on your overall goals
What are the Benefits of the Google Display Network (GDN)?
The Google Display Network (GDN) allows advertisers to reach their audience via mobile apps, YouTube, email, etc. This multi-channel approach ensures a broad visibility for brands. GDN also increases the chances of engagement, as users are exposed to ads in different contexts throughout their day.
Some key benefits of GDN include:
- Improved overall campaign effectiveness. The right message reaches the right people at the right time.
- Boosted brand recognition and recall. Repetitive exposure to visual content reinforces brand identity.
- Engaging and memorable ads. The versatility of GDN ad formats—ranging from banners to video ads—allows for creative storytelling opportunities.
What are the Benefits of Programmatic Advertising?
Programmatic advertising offers a number of advanced capabilities that make it a preferred choice over relying solely on GDN.
For example, programmatic advertising includes advanced audience targeting and diverse ad placement options. Programmatic advertising excels in reach, ad variety, and deal-making options.
On the flip side, programmatic advertising may involve higher costs compared to GDN, which typically requires smaller budgets and offers multiple payment models.
Organizations can leverage programmatic advertising to:
- Enhance their online presence. Brands can optimize their website and content for search engines and strategically utilize social media. For example, implementing interactive content like polls, quizzes, and videos fosters a deeper connection with users.
- Drive conversions in an increasingly competitive market. Organizations can track user interactions and continuously refining marketing strategies to effectively guide potential customers through the buying journey. This can increase both conversion rates and sales.
What are the Differences Between Programmatic Advertising and the Google Display Network (GDN)?
While both offer benefits, programmatic advertising and display advertising on Google differ in their offerings, execution, and results.
Access to ad inventory
Programmatic advertising enables advertisers to reach a wider variety of inventory across media types by leveraging automation. In contrast, the Google Display Network requires advertisers to purchase ad space directly from publishers.
Audience targeting capabilities
Targeting capabilities are another key difference between these two ad platforms. With programmatic, advertisers can leverage data analytics to reach specific audience segments. GDN generally relies on broader demographic categories.
Ad placement reach
Programmatic advertising allows for a wider range of ad placements across multiple networks. GDN is limited to the Google ecosystem—an expansive and historically-powerful ecosystem, but one that still has limitations.
Tried-and-true reliability
Despite the growing benefits of emerging programmatic channels, advertisers appreciate the familiarity of GDN. As the go-to tool for advertisers for years, many advertisers are still hesitant to give up GDN’s consistent reliability in favor of emerging technologies in a fast-paced landscape. As an added bonus, GDN tends to have lower costs, too.
Building a Media Mix Roadmap For Your Goals
Let’s take a look at why you may want to pursue programmatic over GDN (and vice versa).
Programmatic advertising: Considerations
- Audience: Programmatic advertising allows for advanced audience targeting. This ensures your ads reach the most relevant segments, regardless of how niche they may be. A few examples of advanced audience targeting capabilities include: behavioral targeting, custom site lists, retargeting, and geotargeting.
- Diverse ad placement options: Beyond GDN, programmatic offers a myriad of ad placements across various platforms to improve your campaign's visibility. This includes mediums like audio and video. Programmatic advertising can extend the reach of your ads beyond Google's network via multiple ad exchanges, ultimately reaching a broader online audience.
- Superior performance: Real-time bidding and better optimization capabilities mean programmatic often yields superior performance metrics compared to traditional advertising methods (like GDN).
Google Display Network (GDN): Considerations
- Zero barrier to entry: GDN is an intuitive platform that many advertisers already know. It’s easier and faster to get your ads up and running. GDN’s features are also widely understood, enhancing accessibility for users.
- Lower cost: Advertisers often find that GDN offers lower cost-per-click rates. This makes it an attractive option for budget-conscious campaigns.
- Tried-and-true: Google display has been a steadfast tool in the advertising world for a long time. GDN’s historical precedence provides a level of reliability and consistency that is appealing for many advertisers.
Should I use a programmatic or Google Display Network strategy?
If you’re debating programmatic versus Google Display Network, you don’t need to choose.
You may find value in either or both approaches depending on your objectives. Remember, it's now feasible to run multi-channel programmatic campaigns at scale. This flexibility enables you to create a media mix that seamlessly integrates traditional display advertising, such as GDN, with other programmatic publishers like Basis.
Experimenting with both methods can foster innovative opportunities for your brand. Interested in learning more? Reach out to Fluency to discover how you can effectively integrate programmatic and display advertising into your overall advertising strategy.
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