In-House Programmatic Buying: Starter's Guide

The heaviest rains fall on the house that leaks most. This Japanese wisdom has apparently struck many advertising minds for the last several years.

As time went by since its massive adoption, many brands have reconsidered the way they manage advertising, looking for holes and gaps that cause their media stacks to leak.

Moving programmatic in-house now shines as the bright sun on the horizon of numerous brand strategies. However, is this approach really worth it? Today we will tell you about what it implies, who is adopting it, and how to make the shift timely for your business.

What is In-House Programmatic?

Programmatic advertising is the automated buying and selling of ad space through real-time bidding. When we talk about in-house programmatic buying, it means the advertiser is bringing part or all of that process under their own roof, managing the demand-side platform (DSP), handling audience data, and managing ad campaigns directly instead of leaving it fully in the agency's hands.

Why move in-house? The traditional brand–agency model has shown cracks. Outsourcing often leaves brands with limited visibility into fees, ad placements, and campaign performance.

In-housing, full-stack or hybrid, is about reclaiming control, transparency, and ownership in an environment where those factors drive long-term efficiency.

What’s Up With Moving Programmatic In-House Today?

In-housing is no longer an experiment for bold brands. It has become a default programmatic ad buying strategy across many organizations. The numbers leave little room for doubt.

According to the World Federation of Advertisers (WFA), 66% of major multinational companies now run in-house agencies, and another 21% are actively considering the move.

In the U.S., the ANA reports that 82% of its enterprise members already manage at least part of their media in-house, which is almost double the share from a decade ago.

What used to be a cautious test has matured into a core business model. Within existing teams, 70% now cover strategic capabilities such as media investments, creative, and own data resources. That's up from 65% just a few years ago.

The scope of in-house programmatic advertising continues to expand:

• 83% of multinational brands plan to bring social media buying in-house
• 67% aim to take over social planning (up from 48%).
• 50% are preparing to internalize digital planning and buying

The trajectory is clear: functions once thought too complex or specialized for in-house teams are now being claimed by brands that want ownership over their audience strategies.

Ways of Bringing Programmatic Advertising In-House

In-housing isn’t one-size-fits-all. Companies approach it differently depending on their scale, resources, and goals. Some take on full programmatic operations ownership, others blend internal teams with external expertise, and many start small before scaling up.

Full-Stack Model of Programmatic In-Housing

Advertising giants like Netflix, Procter & Gamble Co., and Unilever became brands with their own programmatic advertising stacks long before the hype train.

But what exactly defines this approach? A full-stack setup means building or licensing a proprietary DSP, integrating first-party data tools, and running ad campaigns entirely with internal teams. The reward is control, greater transparency, and ownership of media and budgets.

In this case, the ad tech stack will likely include the following:

• A proprietary demand-side platform (obligatory)
• A data source like a DMP or other options (optional)
• Attribution & measurement tools for goal-based reporting (not just impressions).
• Traffic verification solution for blocking fraud and invalid traffic.

The trade-off here is the high barrier: significant investment in technology, data management, and skilled staff. For those who can sustain it, full-stack offers maximum independence, scalability and cost efficiency in the long term.

Hybrid In-Housing in Programmatic Advertising

Hybrid approach is the most common today. It allows companies and media agencies to own their DSP while collaborating with external partners for tech support or programmatic marketing expertise. It strikes a balance: transparency and control remain internal, but support from tech vendors fills gaps in tech base, knowledge, or cross-channel reach.

Why is this the most optimal path for programmatic advertising autonomy? Because it’s the ultimate compromise of control and affordability. Advertisers get complete transparency over media buying without the risks of investment into their proprietary technology. Plus, if the brand decides to part ways with the ad tech vendor, they remain in charge of data.

Self-Service/Full Outsource Programmatic Advertising

Self-serve DSP access is often confused with in-housing. In reality, it’s a transitional stage:

• Brands use it to learn the basics of campaign management before stepping into hybrid setups.
• Agencies use it to start testing programmatic advertising services for clients without committing to building their own infrastructure.

The catch: the DSP, the admin control, and the data all still belong to the vendor. It offers more agility than outsourcing but lacks the ownership that defines real in-housing.

The pros of this approach is that self-service is a cheap and simple way to take one step further to bringing programmatic advertising in-house.

Brands' Attitudes to Programmatic In-Housing

The latest IAB Europe report shows that advertisers are shifting away from the outsourcing model, but not completely. Right now, 25% of advertisers run fully in-house operations.

Hybrid adoption, while still emerging, accounts for 6% of advertisers. These setups blend internal teams with external technology, giving brands more transparency and control without carrying the full tech and staffing load.

The majority, however, still lean on outsourcing. When grouped together, whether to agencies, networks, or independent trading desks, nearly 70% of advertisers rely on external partners to manage their programmatic buying.

Ad Agencies' Stronger Preferences for a Hybrid Model

According to the same report, agencies are reshaping how they manage programmatic buying, with clear momentum toward models that maximize control. 33% of agencies operate fully in-house trading desks, running their own DSPs and ad ops teams to retain margin and deliver greater transparency to clients.

Another 15% favor hybrid in-housing, blending proprietary tech and staff with external support. Hybrid gives agencies flexibility: they keep ownership of strategy and reporting while leveraging vendors or partners for bandwidth, data integrations, or cross-channel scaling. A smaller share, 18% of agencies, lean on self-serve DSPs.

Key Drivers to In-House Advertising

At this point, you should’ve sketched the benefits of in-housing in your head. Still, no one would answer “Why bring programmatic in-house?” better than the decision makers themselves.

From the answers of the surveyed companies from the IAB's report, we can distinguish these particular drivers:

Cost Efficiencies

The top reason cited overall, though especially by agencies. 33% of agencies name cost savings as their primary driver compared to 13% of advertisers. Running trading in-house allows companies to cut external fees and retain margins.

Audience Discovery

The ability to identify and activate sharper target segments remains critical. 35% of advertisers view audience discovery as a key driver, compared to 19% of agencies. For advertisers, better targeting translates directly into sales lift and campaign performance.

Greater Transparency and Reporting Control

While not the leading factor, a significant share still highlights the need for more granular control. 25% of advertisers and 15% of agencies point to reporting transparency as a driver, signaling that both sides want to focus on reducing black-box buying and bring visibility closer to home.

Key Barriers to Programmatic In-Housing

Now what about the drawbacks? Aside from the obvious expense and expertise needed to bring programmatic in-house, the surveyed name the following barriers:

Media Quality Concerns

Fraud, brand safety, viewability, and transparency remain the top challenge. 41% of agencies and 31% of advertisers see this as their biggest barrier. Running media buying process internally doesn’t remove the risks, just shifts responsibility to the in-house team.

Operational Complexity

Measurement, performance optimization, and making effective use of data are hard to master. 31% of advertisers flag this as a major barrier, compared to just 11% of agencies, who typically have more ad ops experience to lean on.

Costs of Digital Transformation

Successful transition of campaign data in-house isn’t cheap. 25% of advertisers say costs are a primary blocker, versus only 7% of ad agencies, who often spread tech and staff expenses across multiple clients.

For a more detailed picture on bringing programmatic in-house, just check the infographics attached below.

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Four-Step Guide to Bring Programmatic In-House

Moving programmatic in-house doesn’t happen overnight. Whether you’re an advertiser or an agency, it’s a staged process where budgets, people, and tech need to align. Here’s the four-step playbook.

Review Your Budgets

Full-stack in-housing is resource-intensive. Building and maintaining your own DSP and analytics stack can cost $1.5–2.5M annually, plus staff. That’s why it’s the domain of global players.

The most hyped adopter of full-stack in-housing in recent years, Bayer, had an advertising budget of $500 million once they started developing an in-house solution. Netflix spent $1.67 billion on advertising in 2021, Unilever – 7.8 billion dollars in 2022.

The benefits are worth it, as Bayer cut nearly $10 million of expenses in the first 6 weeks of moving programmatic in-house.

For most teams, a hybrid solution is more realistic. White-label DSPs lower the entry barrier, offering enterprise-grade tools at subscription rates instead of custom builds. Usually, the price for a good real-time bidding solution starts at 5% of your monthly ad spend.

Pick the Programmatic In-Housing Model

Ok, so what about the general philosophy of each model?

• Full-stack in-house – total ownership, suited for the biggest advertisers with deep budgets and ad ops expertise.
• Hybrid – balance of transparency and efficiency, where advertisers keep data and DSP contracts, while agencies or consultancies add bandwidth.
• Self-service DSP – often a transitional step, letting smaller teams test programmatic execution with minimal upfront costs before committing to deeper in-housing.

Hire an In-House Media Buying Team

Talent is the biggest barrier. In IAB Europe’s 2024 report, nearly three-quarters of advertisers said recruitment and skills development remain critical. A typical programmatic team includes:

• Media buyer
• Ad operations specialist
• Digital analyst
• Creative designer
• Developer

Hybrid setups reduce the hiring burden, letting internal teams focus on strategy while external partners handle technical support, first-party data integration, and ad inventory contracts.

Establish Your Programmatic Tech Stack

A functioning in-house stack needs five essentials:

• DSP (for buying)
• DMP/CDP (for consumer data)
• Attribution/measurement tools
• Verification & ad fraud solutions

Building this independently is expensive. A white-label DSP like Epom bridges the gap: you get full control over platform branding, reporting, permissions for team and clients. while the heavy tech lift is outsourced. Subscription models (~$250/month and up) mean even mid-sized teams can operate like big businesses without rebuilding the stack from scratch.

Transform Your Business with Programmatic In-Housing

Programmatic advertising is becoming more in-house as time goes seems natural once you grasp the better transparency, control, and cost-effectiveness this change brings. Full outsourcing still has its use cases though, so watch what suits your needs better.

We are sending a warm “Thank you!” to every researcher that helped to create this article, and we hope that our guide will help you better understand in-housing to make the right choice for the future of your business.

In-House Programmatic Advertising FAQ

• What are the “baby steps” for brands or agencies moving programmatic in-house?

  Most advertisers start with a self-service DSP or hybrid setup. This allows them to test workflows, audience targeting, and reporting without building a full ad tech stack. Over time, teams can bring more functions (like creative testing, measurement, or data ownership) under their roof.

• How do privacy regulations affect in-house programmatic?

  Privacy frameworks like GDPR in Europe and CCPA/CPRA in California set strict requirements for how user data can be collected and activated. In-house teams must ensure compliance directly, since there’s no buffer. That means leaning heavily on clean rooms and consent-based audience activation.

• Does in-housing programmatic really save money?

  Yes, but not instantly. Initial setup costs (talent, training, tech) can be high. Savings come later by cutting markups, reducing opaque fees, and improving media quality (less wasted spend on fraud or low-value impressions).

• Which industries are leading in programmatic in-housing in 2025?

  Sectors with strong first-party data ecosystems like retail, travel, finance, and entertainment—are moving fastest. Retailers, in particular, are blurring the line between advertiser and publisher by creating retail media networks and pairing them with in-house DSP seats.