Did you know that almost every ad you see nowadays is made to target one specific person: YOU!
Programmatic advertising is a way to connect advertisers to publishers in order to target the viewer based on information about them, all in a matter of milliseconds!
Using Programmatic advertising, advertisers buy ad space in real-time through automated technology, sometimes even in an auction!
The technology’s that are used in such process most likely involve: SSP’s, Ad Server, Ad Marketplace and DSP’s.
Let’s dive deeper!
Before programmatic advertising, advertisers would manage their campaigns with publishers using a middleman such as ad agencies or ad exchanges.
This process had many disadvantages, such as:
• Advertisers had limited visibility into ad placement and pricing, this lack of transparency made it difficult to make the campaign effective.
• Negotiating with publishes or ad networks through middlemen was a time-consuming procedure due to manual negotiation process. This also caused adjusting a campaign in real time a difficult task.
• There wasn’t a way to target a specific audience, which led to poor ad revenue.
With programmatic advertising, all of these disadvantages have been solved, revolutionizing the advertising industry.
Instead of negotiating with ad networks or ad agencies, advertisers used a demand-side platform (DSP) to bid for ad space based on criteria such as target audience, location, and time of day. This means that ads can be served to users in a much more targeted and precise way, increasing the chances of engagement and ultimately leading to better return on investment.
The DSP then connects to an ad marketplace, where publishers offer ad inventory for sale. This is where the supply-side platform (SSP) comes in. The SSP provides publishers with a way to manage their ad inventory and sell it to advertisers.
When a user visits a website, the SSP communicates with the ad exchange to auction off ad space to the highest bidder, which is determined by the DSP . The winning ad is then served to the user in real-time, all within a matter of milliseconds. This entire process happens in the background, with no human intervention required.
Overall, programmatic advertising has transformed the way digital advertising works, making it more efficient, effective, and profitable. By using advanced technology to serve ads to specific audiences in real-time, advertisers can reach the right people at the right time, leading to better engagement and higher returns on investment.
All that can be quite complicated to handle at first, luckily, Added specializes by making this all simple, being the Ad server, the demand marketplace and even the DSP, all that whilst using today’s most advanced technologies such as SSAI, Auction Ecosystem, Audience Management, Analytics & Reporting, Frequency Cap and more!