How does programmatic direct differ from open auction buying?

Programmatic direct is characterized by its ability to facilitate guaranteed ad inventory purchases at a predetermined price. This ensures that advertisers can secure a specific amount of inventory in advance, providing them with more control over their campaigns. Unlike open auction buying, where inventory is offered to the highest bidder in a real-time auction setting, programmatic direct allows for greater predictability in terms of availability and cost.

This fixed-price model is beneficial for advertisers who want to ensure their ads are placed in specific environments, rather than competing for inventory that may vary in cost and availability in an auction-based scenario. By locking in rates and inventory ahead of time, brands can plan their budgets more effectively and align their ad placements with strategic goals.

While programmatic direct does often involve premium inventory and can feature ads on high-traffic websites, it is not limited to only those environments or solely reliant on retargeting strategies. Transparency varies in programmatic direct campaigns, but the key differentiator remains the guaranteed nature of the inventory purchase.