Please login to the form below
What does programmatic advertising mean for your pharma marketing strategy?
Senior Associate Consultant Jiayi Chen explains the benefits and pitfalls of programmatic advertising and reveals how it can impact return on investment in your marketing campaigns.
In the last few years, programmatic advertising has become one of the most popular topics in digital marketing. A study by Econsultancy reveals almost two-thirds of marketers (62%) are using programmatic advertising for brand campaigns, as opposed to traditional direct response.According to a study from the Interactive Advertising Bureau, programmatic ad revenue in the US reached $10.1bn in 2014, accounting for 20% of total online ad revenue. This figure is likely to grow with eMarketer estimating a programmatic display ad spend will reach $33 billion this year and will hit $46 billion by 2019.
However, the pharmaceutical industry is falling behind. Peter Niemi, Partner at MDC Advertising estimates programmatic advertising accounts for a mere 4% to 5% of the digital ad spend in pharma, as opposed to other industries, which typically spend 50% to 75% of their budgets on this technology.
In the US, programmatic advertising in the healthcare sector is growing faster than in other parts of the world. Regulations state only direct-to-consumer (DTC) ads are allowed in the US and New Zealand follows a similar policy.
These adverts have been used in the key disease areas of cancer, allergies, dermatology, smoking cessation, and dental care, with pharmaceutical companies, hospital systems, medical devices, clinical trial and insurance companies targeting healthcare professionals (HCPs).
Regulatory requirements make programmatic advertising in healthcare more challenging in other countries. Outside the US, programmatic advertising is predominantly used in non-promotional areas, such as disease awareness campaigns and service-related content. This article is developed with a focus on using programmatic advertising in the US.
What is programmatic advertising?
Programmatic advertising, or programmatic media buying, is the algorithmic purchase and sale of advertising space in real time. During this process, bidding system software is used to automate the buying, placement, and optimisation of media inventory. Automating the process means it can be carried out instantly without relying on the human touch, manual insertions or manual trading.With programmatic advertising, marketers and brands can tailor a specific piece of content to the right audience, at the right time, in the right context. The programmatic advertising system targets audiences, at scale, by matching behavioral data such as browsing history, which is collected by cookies. In this way, marketers can deliver precisely personalised messages, resulting in more efficiently targeted campaigns.
Programmatic advertising in pharma
Although the healthcare and pharma sectors have been slightly slower to capitalise on the programmatic advertising trend, the tool has great potential to help pharma marketers deliver highly targeted and personalised communications to customers.With the use of data, pharmaceutical marketers can be far more targeted in their segmentation, choosing their audience by geography, psychology, and behaviour. This granular approach leads to a more efficient use of cookies for real-time bidding and trading. Pharma marketers can also use a third-party provider to track the cookies, saving further time and resource.
Download the full article from Blue Latitude Health
Company Details
Blue Latitude Health
Address:
Blue Latitude Health (UK)
140 Aldersgate Street
London
EC1A 4HY
United Kingdom
Latest content on this profile
- The changing face of pharma in the precision era
- Blue Latitude Health speaks to Nancy Brandt, a Senior Leader in Global Medical Information at a top 20 biopharma organisation. Here, she reveals what pharmaceutical companies need to do to prepare to bring precision medicines to market and how she is ensuring the patient is consulted every step of the way.
Blue Latitude Health
- Creative problem solving, solved
- Customer Experience Consultant Eimear Power explains how pharma teams can unlock their creativity and foster truly innovative ideas.
Blue Latitude Health
- Three strategies for managing loss of exclusivity successfully
- Claire Taylor, Senior Associate Consultant at Blue Latitude Health explains why you should be strategically planning your LOE strategy years in advance.
Blue Latitude Health
- Empowered patients: shaking the foundations of healthcare
- Precision medicine represents a new paradigm in healthcare.This new approach to treating and preventing disease views the patient holistically, analysing their genes, environment and lifestyle, and using this information to make a more accurate treatment decision. Here we discuss the barriers, opportunities and potential outcomes of the precision medicine era in healthcare.
Blue Latitude Health
- A uniquely English genomic medicine service
- The UK National Health Service is developing one standardised approach to embedding precision medicine across the whole of England. Blue Latitude Health speaks to Dr Tom Fowler, Deputy Chief Scientist and Director of Public Health at Genomics England, to find out how the NHS is achieving this goal.
Blue Latitude Health
- Diagnosing the lag in neuropsychiatric treatments
- The number of mental health research programmes in larger drug firms has shrunk by 70% in the past decade. Blue Latitude Health Senior Associate Consultant Sana Rahim explores this drop in investment and explains why developing a market-orientated model is vital for making progress.
Blue Latitude Health
