More than 75% of advertising budgets in the US is spent programmatically. This is because using technology to manage advertising cuts costs and enables advertisers to get much better results. Recently job boards have started adopting programmatic job advertising and this is why:
- More revenue
A lot of job boards sell part of their inventory via backfill (selling to other job boards) or Google AdSense. Selling this inventory via programmatic job advertising (technology) vendors can help them get money from employers and staffing agencies that are willing to pay a premium price for performance. This increases the price per click/applications job boards can get for the inventory they don’t sell directly.
- Again: More revenue
Another way job boards can generate more revenue by using programmatic job advertising is by starting to target candidates outside job search related websites and adding this service as a premium to their offerings. There are already quite some examples in the market of companies doing this.
- Effective media buying
Many job boards (in fragmented markets) depend on job aggregators more then they would like to admit. They would love to go back in time, but simply can’t. Job aggregators being extremely dominant in online job search simply means they have to work with them. Spending money in job aggregators is easy, but if they want to do it effectively and efficiently it’s almost impossible to let humans manage this. That’s why job boards work with companies that offer programmatic job advertising technology.
- Critical customers
Another issue job boards have is that their customers are becoming far more critical. In the ‘good old days’ you could just sell job postings and clients would keep buying them based on gut feeling. That era is over in many countries and will be over in most countries soon. Customers are now looking into performance of job boards and this means many of them see their providers fail to provide them with enough (quality) candidates for some or all of their jobs. To make sure their advertising budget is being spent on those jobs that need it most (and not on those jobs that already perform well), job boards use programmatic ad buying technology that pinpoints those jobs and buys traffic for those jobs automatically by using historic and real-time data.
- Multi channel approach
Since the largest job aggregator is not selling job boards traffic anymore, job boards have to go to other job aggregators who are much less dominant. Having to work with multiple job aggregators effectively is very hard, as you have to manage your budgets across different sources constantly. Again; programmatic job advertising technology is the solution.