# Demystifying Programmatic Native Advertising: A Beginner's FAQ

Overview

Programmatic native advertising combines automated, programmatic ad buying with native advertising formats that match the look and feel of the media they appear on.

In simple terms, programmatic native ads are:

Bought automatically through programmatic advertising platforms, using algorithms and real-time bidding. This makes the process efficient and scalable.
Served seamlessly into website or app content, like a natural piece of editorial content or recommendation. This makes the ads less disruptive and more engaging.

The main benefits of programmatic native ads are automation, advanced targeting capabilities, and natural integration that drives higher engagement rates. This makes programmatic native a go-to channel for digital marketers in 2024.

How It Works

Behind the scenes, programmatic native advertising relies on real-time auctions to automatically buy and deliver ads:

A user visits a website. An ad request is triggered.
The ad exchange connects to multiple demand-side platforms (DSPs) that represent advertisers and their budgets.
These DSPs analyze data in milliseconds to bid on the ad impression.
The winning bidder's ad is instantly served to the user in a native format blending seamlessly into the page.

This all happens in the split second before a page loads, allowing the native ad to be placed in the ideal context.

Native Ad Formats

Native ads come in several common formats designed to match natural website or app content:

In-feed native ads: Mixed into the main content feed, like social media ads in Facebook's newsfeed.
Recommendation widgets: "Recommended content" sections or tabs.
Promoted listings: Suggested products/services in ecommerce marketplaces.
Sponsored content: Articles, videos, or other editorial content paid for by a brand.
In-ad with native element: Native-style creative elements added to banner ads.

Part of what makes native ads so effective is this flexibility to take on different natural-looking formats.

Benefits

Programmatic native ads offer significant advantages that explain their rapid adoption:

Automation & efficiency: Programmatic buying automates the complicated process of real-time bidding and ad placement.
Granular targeting: DSPs utilize extensive data to target niche audiences and contexts.
Higher visibility & engagement: Native formats get more attention than banner ads.
Contextual relevance: Ads fit naturally with surrounding content.
Cost efficiency: You only pay for ads that are actually served.

For marketers, programmatic native provides the best combination of automation, customization, and performance.

Use Cases

Virtually any industry can leverage programmatic native ads:

Retail: Promote sales and new products.
Financial services: Increase visibility for loans, credit cards, and more.
Travel: Target interested travel intenders.
Entertainment: Grow awareness and ticket/download sales.
And many more...

Regulated industries like pharmaceuticals can also use native ads, as long as they comply with regulations. Overall, the flexibility makes it one of the most universal digital advertising channels.

Top Platforms

Many ad tech companies now offer programmatic native advertising, including:

These platforms use their own technology and publisher partnerships to enable native ad placement at scale. Marketers can use a single platform or combine several for greater reach.

Best Practices

Follow these tips to get the most from your programmatic native campaigns:

Create targeted ad creative: Make ads that complement specific contexts.
Leverage data and machine learning: Use the wealth of data to optimize targeting.
Measure beyond clicks: Track post-click engagement and conversions.
Optimize regularly: Continuously improve targeting and creative.

With the right strategy, programmatic native advertising provides unparalleled relevance, automation, and performance.

The Future of Digital Advertising

Programmatic native represents the future of digital advertising. By combining data-driven automation with natural, engaging ad formats, it delivers results efficiently and at scale. As more marketers adopt this approach in 2024, programmatic native will cement itself as a core channel for reaching and converting digital audiences.