Real-Time Bidding

Definition

Real-Time Bidding (RTB) is a type of digital advertising that involves an instantaneous auction, occurring within milliseconds, where advertisers bid to serve their ads to specific users on specific websites. This process is automated and takes place in the time it takes a webpage to load.

Usage and Context

In the context of digital marketing, RTB is used in programmatic buying where the price of an ad impression is determined in real time. It involves three main components: a demand-side platform (DSP), a supply-side platform (SSP), and an ad exchange. The DSP represents the advertiser, the SSP represents the publisher, and the ad exchange hosts the auction.

FAQ

• What is the advantage of Real-Time Bidding?

Real-Time Bidding allows advertisers to manage and optimize ads in real time, giving them the ability to target specific audiences and adjust their bidding strategies based on performance.

• How does Real-Time Bidding work?

When a user visits a website, information about the user and the webpage is sent from the SSP to the ad exchange. Advertisers on the DSP can then evaluate this information and place bids accordingly.

Related Software

There are several software and platforms that support Real-Time Bidding, including Google's DoubleClick, MediaMath, and DataXu.

Benefits

The main benefits of Real-Time Bidding include cost efficiency, precise targeting, real-time insights, and scalability.

Conclusion

In conclusion, Real-Time Bidding is a dynamic and efficient way of buying and selling online ad impressions. It allows for precise targeting and real-time optimization, making it a powerful tool for advertisers.