Categories: Programmatic Advertising|By |6.3 min read|

Programmatic Advertising vs Managed Service

Brands and their Advertising Agencies new to Digital Advertising can sometimes be confused about the differences between our Managed Services and Programmatic Advertising. Both of these are advertising techniques but they have subtle differences. So, to help navigate each of them, we’ve developed the differences between Managed Service vs Programmatic Advertising to help you understand.

Like always if you have any questions, comments etc? please Contact Us.

What are the Major Differences ? 

Programmatic Advertising

Managed Services

Programmatic Advertising is where the advertiser uses their own DSP (Demand Side Platform) to run the campaign. Majority of the targeting is done on your side. It is basically used for advertising. Therefore, brands that are confused about whether it is marketing vs advertising, must know that programmatic advertising is used for advertising purposes.

Gourmet Ads will permission the advertiser to buy via Deal ID or PMP. The Deal ID o our side could leverage Gourmet Ads Audience Segments / Data.

See Outline of Programmatic Advertising here.

Managed Service, sometimes referred to as Direct or Direct IO. This is where we have Insert order or Media Plan with a fixed number of impressions, fixed CPM and fixed Total Spend.

Gourmet Ads manages everything in our DSP (Demand Side Platform) from start to finish ie trafficking of creatives to final reporting.

See Outline of Managed Services here.

Workflow / Process 

Programmatic Advertising

Managed Services

Every facet related to your campaign is managed by your team in your DSP. We are integrated with all major DSPs.

You’ll only work with the Gourmet Ads team to setup a DEAL ID / PMP.

Gourmet Ads’ Global Ad Ops will handle all facets from Media Planning through to Post Campaign reporting.

Since 2008 we’ve run thousands of campaigns and we have a refined workflow process to ensure advertiser satisfaction from initial  forecasting, delivery, optimization and performance.

Media Planning & Strategy 

Programmatic Advertising

Managed Services

Programmatic advertising relies heavily on media planning questions, and creating the right ones is vital for creating a successful media strategy.

Some advertisers who manage their own In House Programmatic Media Buying may choose to outsource the Media Planning phase to an agency or independent media planning house.

Gourmet Ads will work with you and your team in a “Pre-Sale” phase.

We’ll spend some time to understanding what the campaign is for as well as your campaign goals / KPIs and target audience. We tend to dig into your metrics so we fully understand what we need to do to succeed. Our team will only then develop a bespoke Media Plan for your consideration.

Despite having our own Managed Supply, we never bias our own supply, but rather develop a Media Plan to achieve your goals, not ours.

Supply & Publishers

Programmatic Advertising

Managed Services

You’ll need to handle management of the Supply Side your side.

This can range from developing your own white list of domains in open exchange through to negotiating Deal IDs with specific / important publishers.

Don’t forget you’ll also need to develop a Black List of sites you want to avoid.

Gourmet As not only has our own Managed Supply of Publishers, but we have direct relationships with some of the largest Food Publishers around the globe.

Apart from simply targeting our curated list of brand safe websites (there are thousands we’ve vetted) we will usually create a bespoke Domain Whitelist for your campaign. This is ideal for a Prospecting campaign. An example of this might be a client advertising Soy Sauce. We would develop a white list of Japanese Food Sites.

Whilst we are the experts in Food, we also run campaigns on non-food websites. Outside of Food, we’ve developed a range of curated list of brand safe publishers across the verticals of Health, News, Travel, Automotive, Shopping, Real Estate which are the cornerstone of any Retargeting Campaign.

Despite having our own Managed Supply, we never bias our own supply, but rather develop a Media Plan to achieve your goals, not ours.

Targeting Options

Programmatic Advertising

Managed Services

Other than simply Targeting the Deal ID we provide your team, you’ll need to handle all Targeting options on your side.

Your DSP will have “Turn Key” targeting options and Food they tend to be basic ie at the IAB Categories Level.

We do make available a range of Data Segments (Ask for our Taxonomy) can be used to power PMPs / Deal IDs across Gourmet Ads inventory or used Uncoupled in your DSP.

We have multiple Targeting Options available which can be broken down two ways.

Contextual Targeting
Gourmet Ads offers 200+ contextual targeting options in Food & Drink across areas like Cuisines, Recipes, Diets, Meal Category, Kitchen Appliances and Cookware. We can also create bespoke Contextual targeting for your brand.

Audience Segments
Gourmet Ads offers a wide range of First Party Data Segments some are based on Context and others are inferred, (Ask for our Taxonomy)

Campaign Trafficking & Execution

Programmatic Advertising

Managed Services

You’ll need to traffic the campaign within your own DSP as per your Media Plan.

To access Gourmet Ads Managed Publishers you’ll need to manually add them via ;

  • White List
  • Appnexus ID 1792
  • Appnexus Deal ID (Provided)
When setting up a new Campaign Flight we will set from the start what the Campaign KPIs / Goals are. Our buying algorithm uses these metrics as the basis for either real time optimization around campaign delivery and most importantly from a performance perspective.

Some of the KPIs we can setup include Cost Per Acquisition, Click Through Rate, Viewability Rate, Cost Per View or Cost Per Completed Video View.

Campaign Optimization

Programmatic Advertising

Managed Services

You’ll need to optimize the campaign within your own DSP, leveraging their own tools. For our Managed Services campaigns, we apply two types of Campaign Optimization.

Automated Campaign Optimization

Part of our strategy from the setup phase is to build individual line items (or strategies) in the ad server we apply different KPIs / Goals. This in turn helps as the campaign progresses as we have a range of algorithms that automatically optimize to hit the goals.

Manual Campaign Optimization

In addition to the automated optimization, our Global Ad Ops team manually optimize campaigns right through the campaign.

Campaign Reporting

Programmatic Advertising

Managed Services

You can access campaign reporting via your own DSP. For Managed Services Advertiers you can access Real Time Reporting via our Advertising Reporting Dashboard.

We can also provide ongoing commentary on changes or tweak we would like to change during the campaign flight.

Minimum Spend / Commitments

Programmatic Advertising

Managed Services

This really depends on the DSP. Some DSPs require high monthly minimum spend commitments like $50k to $100k per month.

There is a growing range of Self-Service DSPs that have lower spend commitments, but lack all the features of a major DSP.

Our Minimum spend is $10k per transaction.

This could be a monthly spend i.e 10k per month or could be annually 10k for annual retargeting program.

Ongoing Costs

Programmatic Advertising

Managed Services

So apart from the DSP Monthly spend commitments, there are other hidden costs that you’ll need to factor in when running your own in-house programmatic trading team, here is just a few of them;

  • Programmatic Traders
  • Supply / Publisher Managers
  • Data Management Platform – to house all your audience segments.
  • 3rd Party Data Connections
  • Tech Fees & Commissions
  • Brand Safety Subscriptions
We have no ongoing costs.

If you are using us for retargeting and on-boarding segments there is no ongoing charge to house that data with us.