What is programmatic TV?

What is programmatic TV?

Programmatic TV definition

Programmatic TV refers to the use of automated software systems to plan, buy, and deliver television ads across digital and traditional channels, driven by real-time data. It replaces traditional manual TV ad buying, which is often based on show ratings and generalized demographics, with precision targeting and real-time decisioning. Programmatic TV spans connected TV (CTV), over-the-top (OTT) streaming platforms, and additionally, linear inventory via set-top box data. As consumer viewing habits shift toward on-demand and cross-device consumption, programmatic enables advertisers to reach a wide range of audiences.

The fundamental characteristic of programmatic TV is its use of audience data for more detailed segmentation. This allows TV marketers to target specific subsets of consumers based on behavioral, demographic, and geographic criteria. Instead of focusing on which shows attract the most viewers (and therefore command the highest prices), programmatic TV prioritizes reaching the right audience regardless of what content they're watching.

Programmatic tv components explained

How does programmatic TV work?

Programmatic TV works by automating the media buying process through software platforms that connect advertisers with available TV inventory. Instead of negotiating directly with broadcasters or selecting placements based on show ratings, advertisers define their audience parameters—such as location, interests, or device usage—and let the platform deliver ads where and when those audiences are watching.

Core functions of programmatic TV include:

  • Automated transactions that replace manual negotiations.
  • Advanced audience targeting using behavioral, geographic, and device-level data (where available/consented).
  • Real-time performance feedback to refine campaigns mid-flight.
  • Cross-device delivery across smart TVs, set-top boxes, and streaming apps.

This shift flips the legacy TV model. Marketers are no longer only buying context (a show or time slot), they’re buying audiences, regardless of what content they’re watching or how they access it.

Types of programmatic TV buying models

Programmatic TV uses several buying models that vary in control, cost, and transparency. Choosing the right model depends on your inventory needs, target audience, and campaign flexibility.

Open auction (real-time bidding)

This model allows multiple advertisers to bid simultaneously on available inventory. It’s fast and flexible, but you won’t always know exactly where your ad will appear. Pricing is dynamic and determined by competition, making it suitable for scale but potentially less predictable.

Preferred access

Advertisers can secure inventory before it hits the open market, typically through fixed-price agreements. This provides better visibility into where ads will run and helps avoid the volatility of auctions, while still benefiting from automation.

Private exchanges

Hosted by publishers, these curated marketplaces offer select advertisers access to high-value, reserved inventory not available via open auction. It strikes a balance between exclusivity and automation, and is commonly used by large brands looking for control without the overhead of direct negotiations.

Guaranteed automation

In this model, inventory and pricing are pre-negotiated, just like traditional TV, but executed through programmatic pipes. It’s ideal for campaigns that demand certainty in placement, timing, and cost, while still benefiting from audience targeting and delivery automation.

Benefits and future of programmatic TV

Programmatic TV offers a step-change in how advertisers approach television as a performance channel. It combines the reach of TV with the precision and automation of digital, allowing brands to run smarter, more efficient campaigns at scale.

By layering in data sources, from viewership metrics to behavioral signals, advertisers can target specific audiences with far more relevance than traditional linear buys. This makes programmatic TV particularly effective in smaller or fragmented markets where efficient targeting is critical.

What makes this space especially dynamic is how early we are in its evolution. Adoption is growing fast, but many broadcasters, platforms, and advertisers are still figuring out how to make the most of the technology. Measurement standards are maturing. Fraud prevention is improving. And audience targeting is becoming increasingly sophisticated.

In short: programmatic TV isn’t a mature channel, but it is a fast-evolving opportunity. And there’s still room for brands to get ahead.

Adjust’s role in programmatic environments

As measurement becomes increasingly central to the success of cross-platform campaigns, mobile measurement partners (MMPs) like Adjust provide the infrastructure, attribution, and real-time insights needed to validate performance across devices and environments. 

With reliable, privacy-compliant data, Adjust helps marketers understand not just when and where ads are served, but who they reached, how they performed, and how to optimize spend across connected channels. In the evolving programmatic TV space, Adjust’s tools, including CTV AdVision, offer the visibility and accuracy required to align outcomes with strategy.

To learn more about CTV measurement, programmatic ad buying, or how we can grow your mobile app business, request a demo today.

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