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The Value of Programmatic Advertising: Why KPIs Trump CPMs

The maturing programmatic advertising channel has become a go-to for many brands. But wider adoption of programmatic has led to higher prices, with eMarketer reporting that programmatic ad prices have risen considerably across all major categories (desktop, mobile, apps and video) over the past 12 months. Data providers — both buy- and sell-side — also reported an increase in cost-per-thousand impressions (CPMs) from Q4 2016 to Q4 2017.

The natural reaction may be to focus on the fact that programmatic advertising is becoming more expensive, but rising CPMs illustrate how strong a channel programmatic has become.

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