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Programmatic Ads: MediaMath’s Predictions for 2019

From artificial intelligence to connected TV and identity, MediaMath highlights the biggest trends that are set to impact the industry this year.

2019 is shaping out to be an exciting year for programmatic.

Now fully into adolescence, the fast-growing technology is slated to take a 36% share of Asia-Pacific’s USD19 billion digital and video ad market. From artificial intelligence to connected TV and identity, MediaMath highlights the biggest trends that are set to impact the industry this year:

Artificial intelligence

This year, there will be a surge in the use of Deep Learning techniques by ad-tech companies in all aspects of marketing: customer ad response prediction, audience look-alike modeling, dynamic creative optimisation, probabilistic identity tracking, fraud detection, and optimal bidding. Companies who only talked the talk and did not walk the walk in terms of big data and omnichannel strategies are going to be left behind at a quicker pace, as the technology advances further.” – Prasad Chalasani, Chief Scientist, MediaMath

Data privacy

I expect certain browsers to continue to restrict third-party tracking and advertising by default. This tips the scales further in the direction of walled gardens and further fragments advertisers’ views of their customers. This also threatens the marketing dollars that fund free and open Internet content offered by independent publishers. Up to 80% of consumer browsing could be in privacy-enabled browsers by EOY 2019.

I see the advertising industry finding technical solutions to defaulted private settings, and I see privacy advocates ensuring consumer preference is respected. Ultimately, I see industry engaging consumers with consent to continue funding the free and open Internet with advertising and commerce dollars. This is a global thing—it’ll be there next year, on the heels of the GDPR and CCPA.” — John Slocum, VP, DMP

Identity

Consent management companies, customer data platforms and data management platforms will continue to become critical components for managing the interaction of consumer preferences, personal information and pseudo-anonymous online identities.  With DoubleClick’s decision this year to stop populating the encrypted UserID field in DCM and DBM for consumers globally, marketers wanting to maximize campaign effectiveness and achieve maximum relevance for consumers must now explore alternative solutions in earnest.” — Ellie Windle, VP, Global Business Development

Mobile

Mobile is not a channel anymore, but the channel of the other channels. Mobile is becoming the centerpiece of overall advertising spend, building the bridge between online and offline through location data ( DOOH, TV, audio, desktop, mobile). We expect a big consolidation of location data providers—they’ll partner with DSPs, TV and DOOH solutions to win market share. We also expect location data improvement of quality vs. quantity as the stakes for accuracy become high with attribution and we dig into the correlation between visits and sales. From a vertical perspective, location attribution will become especially interesting for CPGs, which don’t always have access to sales data, and for retailers as an additional down-funnel KPI for them to drive users to in-store purchase.” — Floriana Nicastro, Director, Mobile Product Solution

For more predictions in 2019, please visit MediaMath’s website.

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