The programmatic advertising landscape is seeing notable growth and improved efficiency, according to the 2024 Programmatic Transparency Benchmark Study by the Association of National Advertisers (ANA). The study reveals significant shifts in ad spend distribution, with connected TV (CTV) making up a larger share, and private marketplaces gaining favor among marketers seeking more control and transparency.
Programmatic Ads Becoming More Efficient and Effective
The study highlights a rise in programmatic advertising efficiency, with 43.9% of every $1,000 entering a demand-side platform (DSP) now reaching consumers. This marks a 7.9% improvement over last year’s figures, equating to an extra $79 per $1,000 spent. The increase in consumer reach reflects the broader trend of more targeted, impactful ad placements. Marketers are also shifting their focus, reducing ad spend on low-value publishers from 15% in 2023 to just 6.2% this year.
Connected TV (CTV) Takes Center Stage in Programmatic
A key finding in the 2024 study is the significant rise of CTV in programmatic ad spend, which now accounts for 28% of the total. While mobile and tablet devices remain the dominant platforms, representing 44% of programmatic spend, CTV’s rapid growth underscores its increasing importance as a medium for reaching consumers. With 80% of marketers now using CTV in their strategies, the trend signals a shift toward more dynamic and personalized ad experiences on TV platforms.
Private Marketplaces Gain Traction
Another key shift revealed by the ANA’s report is the movement of spending from open marketplaces to private marketplace deals. In 2024, 59% of programmatic ad spend went to private marketplaces, up from 41% in 2023. This reflects marketers’ growing preference for more secure, curated, and transparent ad placements. The trend is even more pronounced when CTV is included, with 66% of CTV-related ad spend now allocated to private marketplaces.
Future of Programmatic Advertising: More Data and Transparency
As CTV and private marketplace spending continue to rise, there is a push for greater access to log-level data (LLD) to unlock further optimization opportunities. While progress has been made, the ANA urges advertisers to request LLD from suppliers to make real-time, data-driven decisions. The report envisions a future where programmatic media operates as a fair, accountable global marketplace, fueled by a unified measurement framework.
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