Programmatic advertising can be beneficial to agencies and brands, automating the process with the proper targeted inventory. But for publishers, who are able to better predict the size of their audiences and manage a suite of verticals or properties, more value is created by premium direct sales in order to reach high-quality audiences.
Currently, programmatic display ads are underperforming compared to higher-CPM formats such as native and video. Large publishers and niche sites with highly coveted audiences have been able to sustain their CPM values via programmatic display for the time being. But some have diversified their ad buying strategy causing a 12% decline in programmatic ad buying between Q1 2016 and Q1 2017.