Real-time advertising begins to arrive in Brazil

A new online advertising model, which grew by an incredible 203% in 2011 according to a study by IDC (International Data Corporation), finally begins to be used by Brazilian advertising agencies. This is real time bidding (RTB), a system of buying media in real time through auctions that promises to change the current scenario of digital advertising here. In the United States, more than 85% of agencies and advertisers have already subscribed to the model and it is estimated that 20% of investments in digital media will be made through RTB by 2014. Even Facebook announced this week that it is developing a system to sell ads in the RTB model.

Using RTB, companies will now be able to buy – instantly and with less intermediaries – banners that will reach their target audience. Using software that uses private data (1st party data) and third parties (3rd party data), it is possible for advertisers to identify whether people who browse a particular page approach their target, the target audience of a given campaign, and can bid in real time across space. If the company wins the auction, advertising can be delivered in an instant.

Who explains Ana Maria Nubi, partner at Agencia Click, the main digital advertising office in Brazil. “Now the agencies will be able to buy spaces more efficiently, with the whole process being done through the network, and with that there will be less dispersion of advertising”, he sums up. In the past, the purchase of online advertising was made by volume, being calculated by the amount of banners purchased on a given page for a certain period of time – with that, the advertisement reached many people who were not even interested in seeing it. Now it will be possible for the purchase of spaces to be made for performance, according to the audience that frequents a certain website, and much more quickly.

According to publicist Fabrcio Bruzetti, director of Adnetik, the tendency is for advertising to be less sectorized if real time bidding is used as a complement in advertising actions. “We ran a campaign to sell luxury sedan cars and used real time bidding, so we were able to reach a specific audience without having to necessarily bet on the media sites specializing in cars. We used data from third parties that showed us which spaces were frequented by men of 25/48 years, with an income of up to 180 thousand dollars, who have searched for luxury sedans in the last few months. With this model we have managed to reach precisely the people we are looking for “.

But not everything will be easy for the agencies, which will have to invest in the retraining of advertising professionals. “The advertising will now have to be much more focused on data and have to understand more sophisticated technologies,” says Ari Meneghini, director of the Internet Advertising Bureau (IAB).

Digital means of communication and portals will also have to adapt to the new system, but they should gain a lot from the innovation. With RTB, sites will be able to sell most of their advertising space through the new system. Greater automation of the sales process will also be possible, which will result in a reduction in costs and a greater return on investments. Publishers can define which areas of their website will sell via RTB and what is the minimum acceptable price for each. The main advantage is the sale of spaces that previously could be idle, since it is rare for the site to be able to fill all its spaces with advertisers. The tendency is for portals to start taking better advantage of their users’ data, offering a specific audience profile for agencies and advertisers.

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