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Real-time bidding is the driving force behind most programmatic advertising campaigns. Programmatic advertising is “the automated process of purchasing and selling online ads.
Ad Exchanges offer many benefits for both publishers and advertisers. They provide publishers with a way to manage ad position on websites, ad formats, customized styling, such as fonts, colors and other parameters. They also allow them to manage CPMs, apply sophisticated filtering and sell excess ad inventory.
The publisher accepts your ad only if you place the highest bid. But remember: real-time bidding automatically does all the bidding. You don’t have to take any additional steps.
The important feature of the RTB process is its focus on the users, in contrast to other forms of advertising which can focus on the content and topics of publisher’s webpages.
Per-impression buying: By bidding on individual impressions instead of a predetermined fixed price, RTB offers a cost-effective method of ad purchasing that prevents overspending.
Before the bidding begins, advertisers set targeting parameters, such as maximum bid price and target audience. These parameters are essential for determining which impressions the DSP will bid on.
The Emodo Access SSP for publishers has direct access to demand from Emodo Activate and allows publishers to increase bid density to maximize competition across channels. Publishers can increase bid density to maximize competition across channels.
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All the requests and responses are managed automatically by the RTB algorithms running under the hood of SSPs, DSPs, and ad exchanges. Those algorithms send and receive RTB data, complete transactions, and deliver the ads to be shown on ad spaces. The ‘common language’ that SSPs, DSPs, and RTB exchanges use to talk to each other is called RTB protocol. It’s a standard communication protocol that defines how bid requests and responses should be written and what data they should contain. RTB Doesn’t Equal Programmatic Advertising
What is the difference between an ad exchange and RTB? An ad exchange is a technology platform that hosts open auctions for programmatic media buying. Real-time bidding is the protocol that the platform uses to process bid requests and bid replies from publishers’ SSPs and advertisers' DSPs taking part in the auctions. Is it difficult to build a real-time bidder? To build an RTB programmatic software you need a lot of time, effort, and money. Aside from that, you can’t be sure your team will deliver a solution that meets industry standards and your business needs. Yet you can take a shortcut and buy tried-and-tested white-label software, customize it, and start using it within weeks. How are bidding conflicts avoided in real-time bidding? It’s difficult to avoid competing with yourself if you run ad campaigns using several self-serve DSPs. These platforms might have the same SSPs among their traffic sources. It means each of your DSPs can potentially bid on the same impression Plataforma de publicidade sold by one of their common SSP partners. But if you use your own DSP platform connected directly to a chosen list of SSPs, you won’t experience bidding conflicts. How is the final price per impression set in RTB? The final price for an ad impression depends on three parameters: the publishers’ price floor, the highest bids of competing advertisers, and the type of RTB auction.
RTB gives advertisers greater control over their campaigns, allowing them to get the most out of their ad spend. In the past, advertisers would target specific websites. Now, advertisers can fine-tune their targeting to specific users rather than casting a wide net of anyone visiting a web page.
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Through real time bidding advertisers can buy and place ads quickly with more control over the process.