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UK Marketers Switch on to Mobile Programmatic

Over half of mobile marketers already get programmatic

January 19, 2016 | Marketing Technology | Media Buying | Mobile

A recent study from the Internet Advertising Bureau UK (IAB UK) indicated that 50% of UK marketers use programmatic for buying smartphone inventory. However, the research, which was conducted in December 2015 by Circle Research, also found that among those that advertise on mobile, 44% didn’t have good knowledge of the practice.

Level of Knowledge About Programmatic Advertising on Smartphones According to UK Mobile Marketers, Dec 2015 (% of respondents)

Another way of looking at those figures, though, would be to concede that 66% of UK mobile marketers professed to having either good or expert knowledge about programmatic advertising on smartphones. If the wider programmatic market is anything to go by, these proportions are likely to be even more heavily weighted toward those that are “clued in” to the programmatic proposition in the coming years.

In eMarketer’s September 2015 report “UK Programmatic Advertising Forecast: Automated Trading on Track to Dominate Digital Display Ad Spending,” Steve Chester, director of data industry programs at the IAB UK indicated that the education phase for programmatic trading at large had largely passed. “There’s a lot more confidence in the market than there was say two or three years ago when programmatic was really starting to take off in the UK,” he said.

UK Programmatic Digital Display Ad Spending, by Device, 2013-2016 (millions of £, % change and % of total programmatic digital display ad spending)

Mobile marketers were slightly later to the programmatic party, but with mobile taking an ever-larger chunk of programmatic ad spend, the education phase is likely to accelerate quickly. eMarketer estimated that mobile accounted for just 35.1% of programmatic digital display ad spending in the UK in 2013. However, by 2016, that proportion is forecast to reach 58.7%. Although UK mobile marketers are relatively well-versed in trading smartphone inventory programmatically, it’s apparent that more need to get up to speed.

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