It’s a process where ads are bought and sold in just a fraction of a second faster than a webpage load. That’s exactly what Real-time bidding (RTB) advertising does. It’s a small technology that lets advertisers bid for ad space instantly, ensuring their online ads reach the right people at the right time, unlike old-fashioned ad buying, which takes time and effort.

Now, some questions might blow up in your mind, like how does it really work, and why is it so important in today’s fast-moving digital world? Let’s find out.

What is RTB Advertising?

There is only one ad placement, but multiple advertisers are eager to buy that spot to publish their ads. So, how can one decide who wins the placement? You could propose a lottery system that depends on luck. That’s a possibility, but what about the publisher? Would they receive a fair price for that placement? The chances are 50-50. However, in programmatic advertising, this issue is resolved. Publishers receive the best possible price, and advertisers secure the most suitable placement for their ads through RTB advertising.

RTB (Real-time Bidding) advertising is an automated process in online advertising where digital ad spaces are bought and sold in real-time. When a user visits a website, advertisers bid for the ad spot through an auction. The highest bid wins, and the online ad is instantly displayed. This happens within milliseconds.

RTB helps advertisers target the right audience efficiently while publishers maximize their ad revenue. It is a cost-effective way to show relevant ads to users at the right time.

What is Ad Server and Real-Time Bidding in Advertising Explained

Advantages of Real-Time Bidding

RTB plays a crucial role in streamlining the ad process in digital advertising and offers many benefits. Some of the advantages of RTB are given below:

Enhanced Targeting

RTB (real-time bidding) allows advertisers to target specific audiences to promote their offerings in real time. By bidding on the basis of accurate targeting data like location, interests, and behavior, you can show your online ads to the most relevant users. This not only increases the engagement rate but also improves the chances of conversion and reduces wasted ad spend, which makes your PPC ad campaign more efficient and effective. It’s worth bidding for ad placements that lead to quicker returns on your investment rather than targeting an irrelevant audience.

Cost Efficiency

RTB allows advertisers to bid based on their budget, choosing the price they’re willing to pay for an ad impression. It’s all about the traffic that the website offers in the area where the ad inventory is available. The bidding price varies accordingly. This results in more control over ad spend and helps ensure that money is spent only on valuable ad placements. It never forces advertisers to bid beyond their actual capacity or budget. Advertisers know their limits, and if a bid exceeds their set limit, they can simply adjust it or opt out of the auction.

Faster Decision-Making

RTB advertising delivers ads almost instantly after a bid wins. The whole automated process, from bidding to showing the ad, happens in just a few milliseconds. This thunderbolt lightning speed helps advertisers seize real-time opportunities for the success of their ad campaigns. It saves advertisers both time and effort, giving them a competitive edge that they truly deserve. They don’t have to wait long to see whether their bid wins or not. The process is so fast that if they don’t win the first bid, they can quickly shift their focus to other ad inventory.

Access to Premium Inventory

RTB advertising opens up access to a wide range of premium ad spaces across multiple platforms for advertisers. They can bid for spots on top websites or apps that they might not have had access to otherwise, ensuring they reach a more relevant and potential audience for their offerings. However, the more premium the spaces, the higher the cost. Premium ad spaces provide quicker results compared to other types of ad placements, making it worth spending on them.

How Real-Time Bidding (RTB) Works in Digital Advertising

Above, you understand that RTB is a programmatic ad buying process that allows advertisers to bid for ad space in real-time during the milliseconds before a user sees the ad. But how does it really work? Below are the steps that can help you understand its process:

1. You Set Your Campaign Parameters: You start by setting up your campaign on the demand-side platform (DSP). You decide on targeting criteria such as demographics, interests, or behavior. This ensures you’re bidding for the right audience.
2. A User Makes a Visit on a Site: When a user taps on a link and lands on a webpage, RTB kicks off. The website sends the available ad space and its dimensions to the supply-side platform (SSP).
3. User Data is Analyzed: The SSP examines the user’s cookies data on their browsing history, preferences, and behavior. This helps determine the type of ad that would be most relevant for them.
4. You Place Your Bid: Based on the user’s data, the DSP you’re using assigns a value to the user. You place a bid on the available ad space based on how much you’re willing to pay for that specific impression.
5. The Auction Takes Place: In the milliseconds before the page fully loads, all advertisers place their bids, and the highest and the most relevant bid wins. The process is quick and automated.
6. The Winning Ad is Displayed: Once the auction concludes, the chosen ad (your ad if you win) is displayed to the user on the site, and you pay the amount you bid for that impression.

The above steps look like a lengthy process, but in reality, the entire process happens in the blink of an eye. This quick process ensures that users see the most relevant ads while you, the advertiser, only pay for valuable impressions. (Remember, this process takes place between the time when the user clicks on search results and the page loads)

Didn’t get it? No problem! The upcoming example will help you understand the process better. Suppose you run an online business that sells high-performance gaming accessories, and you want to use real-time bidding to reach gamers actively looking for new gear. You set your targeting options and budget to focus on gamers who frequently search for mechanical keyboards, gaming mice, and high-refresh-rate monitors.

Now, a potential customer who regularly reads reviews about gaming accessories visits a popular gaming news website that has available ad space. The supply-side platform (SSP) analyzes the interests of the customers and sends the ad request.

Your demand-side platform (DSP) evaluates the opportunity and places a bid. If your bid wins, your ad appears on the gaming website.

Is RTB Advertising Expensive?

No, not at all. In fact, it is very cost-effective because it delivers the results you desire from your ad. However, if you ask us about the cost, not only we but no one can tell you the exact amount spent on RTB advertising. This is because it depends on multiple factors, such as:

• Keywords,
• Location,
• Demographics,
• Interests,
• And most importantly, competition.

SSP Advertising: Everything You Need to Know

Its completely up to you how long you want to stretch your ad campaign within your budget, which can range from $100 to $10,000 or even $20,000, depending on the results you achieve. However, this is only possible if your ad gets the right placement to catch the attention of your target audience. You can also use RTB advertising in your retargeting strategies, as it allows you to attract customers who have previously shown interest in your business.

Conclusion

RTB advertising is a smart and fast way to buy and sell ads online. It helps advertisers target the right people at the right time while allowing publishers to get the best price for their available ad space. With RTB, you have better control over your budget, access to premium placements, and the ability to make quick decisions. Whether you’re a small business or a big brand, RTB can improve your ad performance and maximize your returns efficiently.

Frequently Asked Questions (FAQs)

What is RTB advertising?

Ans. RTB advertising is an automated process in which advertisers bid in real-time for the available ad space on websites. The advertisement of the highest bidder is shown immediately.

How does RTB advertising work?

Ans. When a user accesses a particular website, an auction takes place in milliseconds. Advertisers place bids based on user data, and the highest bid wins the ad placement.

Does RTB advertising guarantee ad placement on every website?

Ans. No, ad placement depends on bid value, audience relevance, and competition for the same ad space.

Is RTB advertising expensive?

Ans. RTB advertising is cost-effective because advertisers only pay for impressions that match their targeting criteria.

Is RTB the same as programmatic advertising?

Ans. RTB is a part of programmatic advertising. While programmatic advertising includes different methods, RTB specifically refers to real-time auctions for ad space.

But if the end goal is to buy advertising space, what’s all this fuss about? You can advertise and carry out successful campaigns through both. But, the actual difference lies in the features they provide, which may or may not align with your requirements.

Both ad networks and DSPs attract a good number of advertisers. Let’s understand all the reasons behind it with this blog.

Ad Network vs. DSP: The Web They Create

Before we debate about ad network vs. DSP, let’s first give you a rough vision of the web that both create.

When it comes to advertising networks, this is how they work. Imagine the ad network in the center as a big block, acting as a mediator for the media buying process. From one side, it branches out to advertisers, and from the other, it branches out to publishers.

It’s a bit different for DSPs (Demand Side Platforms). Imagine them in the center again. On one side are the advertisers. And on the other side, it has branched out to multiple publishers, SSPs (supply-side platforms), ad networks, and ad exchanges.

Now, it might look like DSPs here have better reach and scope, but that’s not all true. Let’s learn more about them both.

Defining Ad Networks

Ad networks are platforms that connect advertisers with multiple website publishers and automate the entire buying and selling process. First, they collect ad inventory from publishers who wish to monetize their content.

Later, they sell this inventory to advertisers who have registered with the network. This way, they act as an intermediary between advertisers and publishers, helping one advertise and the other monetize.

On the demand side, they offer advertisers the ability to sign up with their advertiser account, which gives them complete control over their campaigns. Advertisers can then create and adjust their campaigns with the sophisticated set of tools they provide.

On the supply side too, most advertising networks provide publishers an account where they can keep track of their income and update ad inventory.

Defining DSPs

DSPs, or Demand-Side Platforms, are software restricted to advertisers only. Advertisers first sign up with the DSP and create their ad campaigns.

The DSP then scours through its list of networks, which could either be individual publishers, advertising networks, or ad exchanges. The conversions on your ad campaigns totally depend on the quality of the DSP’s networks.

Similar to ad networks, DSPs also work on a programmatic advertising system that automates the buying process for advertisers.

Ad Network vs. DSP: The Differences

The question still remains unanswered. Ad Network vs. DSP, which one is better? Let’s look at the few factors that you should consider before making your decision.

The Platform Fees

Platform fees are a deal-breaker for many advertisers. Imagine fixing your budget and setting up the whole campaign, only to later find out that you’ll also be charged extra platform fees. There goes all your budget planning.

Sadly, this is the case for DSPs. DSPs charge you not one but multiple fees. You will have to spend on managed service fees, third-party rev share, percentage of ad spending, add-on fees for specific tools, and handling RTB costs. These usually range between 8% and 30% and often leave the advertisers feeling dissatisfied with their campaigns.

This problem doesn’t arise when you’re using an advertising platform. Most advertising networks never charge you any platform fees or require you to make payments while registering. You only spend bidding on ad spaces.

Ad Server

Ad servers are technological systems in the digital advertising network responsible for the delivery and management of ads.

Most ad networks have an in-built ad server that securely holds the information and data of the publishers and advertisers registered with it. This ensures timely delivery and quick optimization of ad campaigns.

DSPs, on the other hand, can either have their own in-built server or use third-party ones. Always be careful when you’re using DSPs with third-party servers, as they are prone to data breaches and privacy lapses.

Centralized Platform

Ad networks are centralized platforms that create a common space for advertisers and publishers. They are responsible for overseeing the network of publishers, collecting and organizing the ad space, curating appropriate inventory for advertisers, and negotiating ad rates. Right from creating their campaigns to measuring analytics and optimizing them, advertisers can do everything under a single roof.

DSPs are not centralized platforms and only provide a functioning space to the advertisers. This may or may not limit the features, tools, and functions that you have access to. Moreover, since they are not responsible for overseeing the publishers, the traffic quality you get might not be the best.

Networks and Reach

Ad networks are only connected with publishers. They collect (or buy) inventories from many publishers in a variety of niches. After analyzing the ad inventory, they help negotiate the bids further.

DSPs, on the other hand, have plenty of connections and networks. This includes ad networks, individual publishers, SSPs (supply-side platforms), and ad exchanges. This ensures that you have better chances of advertising on premium websites.

Quality of Ad Inventory

When it comes to ad network vs. DSP, the quality of inventory is a significant factor. It is determined by the relevancy and genuineness of the traffic it can generate. This excludes all bot and irrelevant traffic. After all, why would you pay for traffic that’s not even relevant to you?

Advertising networks win this category as they focus more on providing better-quality inventory rather than quantity. Most of them set a benchmark for publishers that considers the average amount of traffic they must have to monetize with the platforms, ensuring superior traffic.

However, since DSPs focus more on providing increased quantity, they might overlook the quality of traffic.

Ad Networks and DSPs: The Similarities

For plenty of advertisers, Ad Network vs. DSP isn’t even a topic of debate. We’ll tell you why.

Ad networks and DSPs share similarities in automating the media buying process, targeting criteria, transparency in performance metrics, bidding models, and other customization features. Both work to serve advertisers just as actively, always adhering to the latest trends and integrating updates.

So, how can you make a decision between them? Instead of looking at the differences, we recommend examining factors that will help determine the best-suited platform for you. Let’s take a look at them.

Factors to Consider While Choosing The Best Platform

You need to reflect on a few factors before settling down with an ad network or a DSP. Consider thinking about the following.

How can you target?

How do you segment your audience, and how can you reach them? Some ad campaigns require you to target ads based on age, while others perform best when targeted locally.

So, look for platforms that provide advanced targeting options. This generally includes targeting on the basis of demographics, location, and online behavior of your audience. Plus points if the platform also offers contextual targeting and retargeting.

Is it affordable?

Ad network vs. DSP—what can your business afford? Both are good options, but you need to decide what fits your budget better. Generally speaking, small and mid-sized businesses usually prefer advertising networks because of their affordability.

However, the best thing to do is evaluate the cost structure of both first. For DSPs, combine all the platform fees and bidding prices. For advertising networks, look at the bidding models and average bidding rates. Whichever falls under your budget gets a point.

What’s transparency like?

How much transparency do you expect from the platform?

Analyze the platform for the following:

• Clear insights into the performance of campaigns
• Accurate data and detailed statistics
• Access to real-time data

Your future and current campaigns depend on this data, so never settle for a platform that offers anything less.

Do you have control over campaigns?

Having control over your campaigns is super important to assure that everything goes smoothly as planned. Look for ad networks and DSPs that offer:

• real-time changes
• automation of repetitive tasks
• optimization of keywords and bids
• setting budget limits
• additional customization options

Such features help you adapt to market changes and enhance your strategies quickly.

Ad Network vs. DSP: Making the Final Decision

Now that we are nearing the end of the blog, it’s time to make a decision. Ad network vs. DSP- what’s it going to be?

One major factor to consider is the differences. If any of the differences we just mentioned give you a significant reason to choose one over the other, go for that. For instance, if having a centralized platform is important for you, then an advertising network is what you choose. If it’s not a major concern, then you can choose either.

Next, we come to the similarities. Ad networks and DSPs share plenty of similarities, making both equally competent. But this isn’t always the case. Features provided by each platform vary from one platform to another. One DSP could give you the most advanced features, but another might not even provide the basic ones.

Lastly, you analyze which one fits your requirements based on a few factors. Here, you consider things like targeting capabilities, affordability, transparency, and control. This is your final deciding point.

Conclusion

That was everything you needed to know about the ad network vs. DSP debate. Well, it’s not really as big of a debate as people make it out to be. Except for a few key differences, it’s mostly about what each platform can offer individually. All you need to do is understand your requirements first and then align them with what the ad network or DSP has to offer.

So… Ad Network vs. DSP, do we have an answer yet?

Frequently Asked Questions (FAQs)

What is the difference between ad networks and DSPs?

Ans. Ad networks and DSPs differ in terms of platform fees, ad servers, centralization, users, networks, and the quality of ad inventory.

What are the similarities between ad networks and DSPs?

Ans. Ad networks and DSPs share similarities in terms of automating media buying, targeting capabilities, bidding models, performance monitoring features, and campaign customizations.

Ad network vs. DSP- how can I choose between both?

Ans. You can choose between both by analyzing your needs and aligning them with the features offered by the platforms.

Who are the users of the ad network?

Ans. Advertisers, publishers, advertising agencies, SSPs, and DSPs are the main users of the advertising network.

Ad network vs. DSP- which is more suitable for small and mid-sized businesses?

Ans. Ad networks are more suited for small and mid-sized businesses as they offer optimal bidding rates with no extra fees or charges.

As a publisher, you want to maximize your returns and ensure a seamless experience for visitors. Your first thought might be that more ads mean higher returns. But who’s going to stay on a website where all they can see is ads? What you need to do is find a balance that provides the best of both worlds.

In this blog, we will disclose a few tips that will help you improve your ad inventory management.

Ad Inventory: What’s Your Total Advertising Space?

Ad inventory refers to the total advertising space a publisher has on their website, which they are willing to put up for sale for advertisers to purchase.

Earlier, this whole process used to be a direct negotiation between the advertiser and publisher. But nowadays, the rise of ad networks has made this exchange extremely unproblematic.

Advertisers and publishers don’t have to run around to find the best deal. Publishers can simply register their ad inventory with an ad exchange or network, set up their rates, and wait for advertisers to bid on it through an auction. The one who wins the auction gets to display their ad on the ad space.

Now, if you’re wondering what makes ad inventory so important for publishers, allow us to explain. One of the major sources of earning for a blog is through ads. So publishers need to find the highest price possible for the little space they have.

Types of Ad Inventory

All available ad spaces are not the same. Most of them differ in their functionalities and prices. Here’s how it can be classified:

Premium Inventory

Premium inventory includes high-quality ad spaces that offer the most engagement and viewability. Top-tier advertisers always sought out these ad spaces, making the bid to compete fairly high. But as expensive as it is, better returns are always guaranteed with customized targeting options and better ad formats. Ads on the homepage and above-the-fold placements are great examples of premium placements.

Remnant Inventory

Remnant inventory refers to ad spaces that are yet to be sold. They can be considered ‘unsold’ or ‘remaining’ inventory. They remain unsold as the publisher might not be able to sell them within a certain time frame or at the desired price. Other reasons can also be limited targeting or low demand. Such inventory is often suitable for advertisers with a lower budget or a very specific motive.

Ad Inventory Management: Get The Most From Your Ad Space

Ad inventory management can be termed the process of organizing and optimizing the advertising space. During the entire process, you need to keep three things in mind: the needs of the advertisers, the preferences and experiences of the website visitors, and your own revenue. Based on all these factors, you need to adjust, allocate, and utilize your ad spots to the best of your potential.

For publishers, the biggest use of inventory management is effectively serving the right ads to the right users at the right time. This leads to competitive bids and, ultimately, helps in maximizing revenue. You can make sure that each ad slot is filled with high-quality and relevant ads.

For website visitors, this enhances the user experience. Once ads on your website are strategically placed, users are less likely to find them interruptive. Moreover, this also helps you preserve a professional and crispy look for your website, leading to better user satisfaction.

For advertisers, inventory management is the gateway to higher user engagement. When you serve relevant ads to the right users, the click-through rates and conversions will naturally increase.

Tips for Effective Ad Inventory Management

When you effectively optimize ad inventory, what you’re left with is a well-organized framework and free time in your hands. Utilize the following tips to get there.

Shift to Programmatic Advertising

Selling ad space becomes so much easier with programmatic advertising. Using technologies provided by ad networks, advertisers can automate the entire selling process. All your inventory will be able to secure the most optimal bids. Plus, you’ll save a lot of time when you don’t have to continuously contact and negotiate with advertisers separately. This helps you find the best value for your ad spots and ensure a constant ad supply in the least amount of time.

Diversify the Variety of Ad Formats You Offer

The ad formats you choose to display on your website make a huge difference in your revenue. Nowadays, advertisers have increasingly been opting for banner, native, and video ads. Having them in the list of ad formats you offer will increase the demand for your ad inventory, making the advertisers bid higher.

Set Optimized Floor Prices

When setting floor prices, don’t undermine the value of your ad spots. Floor price refers to the minimum amount set by the publisher for the number of ad impressions or clicks. These ensure that the publisher’s advertising inventory isn’t sold for less than what the ad spot is worth. But very often, publishers set a comparatively low floor price, thinking that no one will pay for their ad inventory. This causes them to lose a large proportion of their revenue.

To set optimized floor prices, start by analyzing the historical data and industry benchmarks. Based on these insights, current demand, and the quality of your website traffic, you can balance out the floor prices.

Customize Your Ad Placements

How do you designate your ad placements for the best returns? Believe it or not, ad placements play a major role in user engagement. For instance, if an ad is placed below the fold, it will have low visibility and even lower clicks. But it will be more visible if placed at the top or on the side as a banner- making advertisers pay more. This is why customizing ad placements is so important.

The goal here is to increase the visibility and engagement of ads on your site. You can customize your ad placements by first examining website data and heat maps. How does the users’ experience look? Where do they spend the most time on your page? Based on these insights, choose your ad placements strategically.

Keep Up With Performance Metrics

Even as a publisher, it’s equally important to keep up with performance metrics. Take a pause once in a while and evaluate what’s going on behind the scenes. Analyze the ad inventory fill rate, CPC or CPM, and user engagement that ads on your website get. This real-time and updated data will help you keep your strategy on track.

Whether it’s about upcoming trends, changes in consumer preference, or advertiser demand, your advertising inventory needs to be upgraded enough to maintain its value.

Uphold High-Quality Inventory

Another important thing you need to focus on is upholding a high-quality inventory. The quality of ad inventory depends on a variety of things- authenticity and integrity of ad traffic, targeting abilities, and context and relevancy of ad placements. It also ensures that ads are seen by real people instead of bots.

To maintain high-quality inventory, remove all underperforming and ad spaces. Focus on providing better targeting, superior traffic, and user-friendly ad placements. Remember that, ultimately, it’s all about achieving higher engagement and retention rates.

Adopt Header Bidding

As a publisher, all you want to do is maximize your revenue from ad monetization. Wouldn’t it be better if you could showcase your advertising inventory through multiple demand partners? You can easily maximize your revenue by expanding the competition and choosing the highest bid request.

Header bidding is a programmatic advertising technique that allows you to offer your inventory to various ad networks and exchanges at the same time. By implementing it, you gain access to a broad number of advertisers and find better fill rates for your inventory.

Conclusion

In the long run, managing your ad inventory is a vital direction towards monetizing your website. Websites with proper inventory management systems set in place are the ones able to make the most profit. So you definitely cannot ignore it. With the correct strategies, you can enhance the user’s experience, utilize ad spots better, make better relationships with advertisers, and take your revenue to a higher level.

Frequently Asked Questions (FAQs)

What is ad inventory management?

Ans. Ad inventory management is the process of optimizing and organizing the advertising space in a way that generates maximum returns.

How can I effectively manage ad inventory?

Ans. You can effectively manage inventory by optimizing your ad placements, testing, setting appropriate floor prices, say updated with performance metrics, and opting for a programmatic system of advertising.

How does inventory management help me earn better?

Ans. Managing inventory helps you increase its value, ultimately attracting higher bids and increasing the amount you get from displaying ads.

What are some effective tools for ad inventory management?

Ans. Programmatic ad networks, header bidding tools, and data analytics tools come in handy for inventory management.

What influences the value of ad inventory?

Ans. The value of inventory will be influenced by factors like the quality of website traffic, visitor demographics, ad placements, seasonal changes, targeting capabilities, and ad formats.

But who are they, and how do they manage their ad inventory? They are the publishers, and they manage their ad inventory through supply-side platforms. All these processes fall under SSP advertising.

In the ad tech ecosystem, buyers and sellers constantly battle to connect and make deals.

On the one hand, advertisers look to connect and engage their ideal audience with the right message. On the other hand, publishers have valuable inventory (like ad space on their websites or apps) that they want to monetize.

Supply-side platforms (SSPs) are born to bridge this gap. These are digital ad marketplaces where publishers can list their inventory for sale. Advertisers can then show interest in the inventory through demand-side platforms (DSPs). In this blog, we’ll examine supply-side platforms in-depth. We’ll discuss what SSPs are, how they work, some popular SSPs, and much more.

So, if you’re interested in learning more about SSP advertising, continue reading this blog. In the end, you won’t be disappointed!

SSP Advertising: Beyond the Basics

Suppose you are looking to sell space to a business that wants to showcase its offerings. Your space is located in an area with good foot traffic, making it ideal for both you and the marketer.

One marketer shows interest in buying your ad space, and you sell it to him, receiving payment in return. That’s it! This is similar to how SSP advertising works, but the key difference is that the entire process of selling ad space is automated through SSPs.

SSP advertising refers to a technology that helps publishers sell their available ad space automatically and within a quick time.

Instead of reaching out to advertisers individually, SSPs allow publishers to offer their ad inventory to many potential buyers through real-time auctions. This increases the chances of getting the best possible price for their available ad space.

• Some of you might be unaware of the history of SSP. The first SSP was ‘Pubmatic, ‘ introduced in 2006.
• Previously, publishers and advertisers had to negotiate deals directly, which was often frustrating and time-consuming.
• Programmatic technology now automates the entire ad transaction process, eliminating manual work.
• SSPs connect with various Demand-Side Platforms, where advertisers show interest and place bids for ad placements.
• This interaction happens in real-time, allowing quick and seamless ad transactions.
• Competitive bids ensure publishers can maximize their revenue efficiently.

In simple words, we can say that SSPs make it easier for publishers to manage their ads and boost their revenue without much manual effort.

How Do SSPs Work in the Advertising World?

Supply-side platforms simplify the ad space-selling process through their efficient functionalities. Here’s how they work:

Publisher Integration

Publishers begin by integrating their digital assets, such as websites or mobile apps, with the SSP. This is typically done in two main ways:

• Installing a Software Development Kit (SDK).
• Embedding specific code into their websites or apps.

This integration allows the SSP to access the publisher’s inventory and manage ad requests efficiently, ensuring that ads are displayed effectively across different devices and formats.

Inventory Configuration

After integrating with the SSP, the setup process begins. In the second step, publishers configure their online ad inventory within the SSP by defining various parameters, such as:

• Available ad placements,
• Formats,
• Targeting options,
• Pricing rules.

Publishers set these details with SSPs and ensure that their ad spaces are optimized for maximum revenue while providing clear guidelines for advertisers on how to utilize their ad inventory.

Ad Request Generation

Ad request generation is the third stage in which SSP advertising starts. The ad request is generated when a user visits a publisher’s website or app. Just after that, an ad request is triggered. This ad request is sent to the SSP and includes relevant details for digital advertising, such as:

• User Information,
• Content Information,
• Ad Slot Information.

This data is crucial for determining which online ads are more suitable for display, as it allows the SSP to match user profiles with relevant advertisers.

Real-Time Auction Process

Upon receiving an ad request, the SSP advertising initiates a real-time auction. In this stage, the auction happens by inviting the DSPs (ad networks and ad exchanges) to the auction field. In the auction process, the DSPs place their bids on the available advertising inventory.

The most important thing is to note that this auction happens in just milliseconds. In this quick time, the SSP determines which online ad will be displayed to the user based on the best bid.

Bid Assessment

The bid is not conducted forcefully. DSPs can do it by looking at the following factors:

• Targeting Criteria
• Budget Limitations
• Advertising Objectives

The SSP then analyzes all incoming bids, selecting the highest bidder as the winner, thereby maximizing the potential revenue for the publisher.

Ad Delivery

Advertisers put the maximum bid, and publishers sell their ad space. Why? To fulfill their objectives, and in the delivery stage, the objectives are fulfilled. After the auction ends and the highest bid is chosen, the SSP tells the publisher’s ad server to show the winning ad to the user.

This process makes sure the online ad (who wins the bidding battle) appears quickly and efficiently, improving the user’s experience while also meeting the advertiser’s goal.

Performance Reporting and Improvement

This is the last stage where the effectiveness of SSP advertising is measured. After online ads are served, SSPs provide accurate reports to publishers detailing various performance metrics, such as:

• Total Impressions,
• Total Clicks,
• Total Revenue Generated.

These important metrics help publishers see how well their ads are going and how they are priced. This allows them to improve their ad placements and make more money over time. It also helps them understand the quality of their website traffic and whether it’s good enough or needs improvement.

The Coolest Supply-Side Platforms You Should Check Out

An effective monetization journey begins with amazing content, high-quality traffic, and powerful supply-side platforms. Here are some popular platforms that are ready to give you a profitable SSP advertising experience:

Pubmatic

Pubmatic, the first supply-side platform that saw the huge gap in the ad space selling process, made its grand entry in 2006. When it entered, it was not so popular because most publishers didn’t know about its role, and trust issues were also common. Once publishers were educated, they began to understand the true value of this SSP.

It provides transparent solutions for publishers, media buyers, and data owners, enabling them to make data-driven decisions. By supporting ads across multiple screens and formats, Pubmatic ensures businesses can reach wider audiences. This platform focuses on maximizing profits for content creators, allowing them to re-invest in high-quality content.

This supply-side platform is increasing its global presence to make SSP advertising more accessible and smooth. Now, it has 12 data centers and 18 offices worldwide.

Google Ad Manager

Everyone knows Google, but did you know about Google Ad Manager? This is a trusted supply-side platform that helps publishers control, manage, and sell their ad space more efficiently. It connects publishers with DSPs and makes it easier to run online ads on websites or apps.

With powerful tools for tracking performance, flexible bidding options, brand safety features, and more, it’s popular among publishers who want to monetize their content.

However, many publishers complain that it favors publishers with high traffic, which can make it challenging for small publishers to generate significant revenue. If you ignore this, then Google’s vast reach in the ad ecosystem makes it a strong option for SSP advertising.

OpenX

OpenX is a global ad tech company that helps publishers and advertisers work together through programmatic advertising. It provides a platform where publishers can sell ad space, and advertisers can bid for it in real-time, like an online auction, and like all the SSPs work. OpenX focuses on header bidding, helping publishers earn more by getting the best price for SSP advertising.

It also gives advertisers access to high-quality ad spots. With its fast and smart technology, OpenX ensures ads reach the right audience, making advertising and monetization efforts more successful for advertisers and publishers. Here is what they claim:

• 130,000+ ( Active Publisher Domains, Mobile Apps)
• 100,000+ (Advertisers)
• 365B+ (Ad Requests Per Day)

Index Exchange

As publishers, we usually opt for large and popular SSPs to achieve better results. However, we often get the desired outcomes with less popular SSPs, such as Index Exchange.

This is a global marketplace that connects top digital media companies with advertisers in real time. As a supply-side platform (SSP), Index Exchange helps publishers sell their ad spaces while maintaining control over prices, settings, and other crucial things.

It focuses on transparency, allowing media companies to manage their ads effectively and earn more revenue. With advanced tools and real-time features, Index Exchange makes it easy for buyers and sellers to work together, building trust and ensuring the best results for SSP advertising.

Key Features of a Supply-Side Platform

The work of ad selling becomes easier for publishers if they consider the key features of the chosen SSP. If you are also looking to choose an SSP for selling ad space, consider the following features for successful SSP advertising:

User-Friendly Interface

It’s crucial for publishers to have a user-friendly interface. An SSP with a user-friendly interface helps publishers easily navigate and manage their digital ad inventory.

This means even those who are not experts can use the platform without any difficulty. Common but useful features like drag-and-drop options, clear menus, and simple dashboards make it easy for users to find what they need quickly. A good interface saves time and reduces frustration.

Analytics and Reporting

Analytics and reporting features in a supply-side platform (SSP) give important information about how online ads are performing and how users are engaging with them.

Publishers can see real-time data like the number of times ads are shown (impressions), clicks, and money they are making. These tools help publishers figure out which ads are successful and which are not, allowing them to make better decisions about SSP advertising.

Header Bidding

Many SSPs include header bidding functionality for publishers, although not all of them do. This feature lets many advertisers bid on ad space at the same time before deciding which ad to show. This creates more competition among advertisers, which helps publishers earn more money.

With header bidding, publishers can see more clearly how the bidding process works and make sure they get the best price for SSP advertising. It also helps them get the most value from their ad spaces by not depending on just one ad network.

Inventory Management

Publishers often have many tasks, such as researching and creating content, which makes it difficult for them to manage their ad inventory. This is where inventory management becomes essential for effective SSP advertising.

Inventory management in a supply-side platform (SSP) helps publishers organize and control their ad spaces easily. It involves keeping track of available ad slots, deciding which campaigns to prioritize, and making sure they fill as many ad spaces as possible.

Conclusion

SSP advertising has established its value by providing publishers with a way to manage and monetize their ad spaces. SSPs make it easy for publishers to connect with advertisers by using real-time auctions and other advanced features.

Platforms like Pubmatic, Google Ad Manager, OpenX, and Index Exchange help publishers earn more while keeping control of their ad inventory. As the digital advertising world keeps changing, using SSPs will be important for publishers looking to grow sustainably. With the right SSP, publishers can improve their monetization strategies, attract better traffic, and find more ways to make money.

Frequently Asked Questions (FAQs)

What is an SSP (Supply-Side Platform)?

Ans. A supply-side platform is a digital ad marketplace where publishers can list their ad inventory for sale. It helps publishers automate the process of selling ad space to advertisers.

How does an SSP work?

Ans. SSPs connect publishers with advertisers through real-time auctions. When a user enters or visits a publisher’s website or app, the SSP generates an ad request and sends it to participating DSPs. The highest bidder (who puts a high bid for ad space) wins the ad placement, and the SSP delivers the ad to the user.

What are some popular Supply-Side platforms?

Ans. Some popular SSPs for SSP advertising include Pubmatic, Google Ad Manager, OpenX, and Index Exchange.

How can I learn more about SSP advertising?

Ans. There are many resources available to learn more about SSP advertising, including online courses, webinars, and articles. You can also reach out to SSP providers for more information.

Can I use multiple SSPs at the same time?

Ans. Yes, you can use multiple SSPs simultaneously for SSP advertising. This can help you increase your ad revenue and sell all your ad inventory.

Whether you’re an advertiser, publisher, advertising agency, or network, your goal should be to deliver the right ads at the right time in the right place. IAB, or Interactive Advertising Bureau, makes this possible by publishing a set of standards and guidelines that ensure seamless collaboration among all parties. It operates as a valuable source of guidance for those who wish to make the most of their ad spending.

But what exactly are these IAB standard advertisements, and how can you even make one? Let’s get into the details with this blog.

About IAB: The Curators of IAB Standard Advertisements

Founded in 1996, the IAB (Interactive Advertising Bureau) is a leading association and governing body in the digital advertising space. With over 700 leading media companies, brands, and tech firms under its membership, the association centers itself around selling, delivering, and optimizing digital marketing campaigns.

The IAB, in affiliation with the IAB Tech Lab, also develops technical standards and solutions that help industries prepare for and tackle impending changes. However, it’s important to remember that IAB merely ‘recommends’ the parties to follow these standards for the better health of their ads. They’re not a requirement and definitely don’t put you behind bars for non-compliance.
But since all the major companies are part of it, advertisers and publishers will benefit greatly by adhering to the IAB digital ad guidelines.

Here’s How IAB Standards Make Advertising Better

The hype behind IAB standards has been increasing and for good reasons. Take a look at how these standards are improving advertising.

• IAB standards have simplified the way ad inventory units are developed and delivered.
• IAB focuses on responsive ad sizing that works on aspect ratio rather than fixed pixel dimensions, which ensures visual integrity.
• The standards aim to improve users’ experience by reducing load times, rendering ads quickly, and prioritizing privacy.
• IAB fosters guidance for publishers experimenting with merging technologies, including social media, augmented reality, virtual reality, and emoji advertisements.
• For publishers, IAB standards can be a great guide to earning profits through ad networks.

So.. What are IAB Standard Advertisements?

IAB standard advertisements refer to ad sizes and formats, categorized as ad spaces, that appear on websites. These ensure that the publishers who sell these ad spaces and advertisers who buy them go through an easy process.

At present, there are three major IAB standard ad sizes:

• Leaderboard Ads (728 x 90)
• Medium Rectangle Ads (300 x 250)
• Skyscraper (160 x 600)

What makes these ads the standard is the scope of high profitability- both for the publishers and the advertisers.

For publishers, these ad units are easy to implement and are in high demand in the market- ultimately increasing their earnings. As for the advertisers, these ads garner the most attention from their audiences, which leads to high conversion rates and returns. Let’s understand them in depth.

Leaderboard Ads (728×90)

Leaderboard ads appear at the top of websites in the form of horizontal banners. They are placed in such prominent positions to ensure visibility as soon as the page loads. In addition to being easy to create, leaderboard ads provide a nice user experience as they don’t take up much space.

Medium Rectangle Ads (300×250)

Medium rectangles, or simply ‘rectangles,’ are ads that can easily be found on all websites and are the first choice of almost all new advertisers. Advertisers can customize them according to their requirements, and when done right, they receive high attention from viewers.

Skyscraper Ads(160×600)

Skyscraper ads are vertical banner ads placed on the left or right of the webpage. The best thing about them is that they are hard to miss. Because of their height, they take up a large portion of the screen from top to bottom. Advertisers love to use these for brand awareness and recall.

While these are the most common ad sizes you see on most websites, they’re not all. Now, IAB also recognizes Smartphone Banner Ads (300×50 or 320×50) and Expansive Billboard Ads (970 x 250).

Smartphone Banner Ads (300×50, 320×50)

Smartphone banner ads are small rectangular banners that occupy either the top or bottom of your smartphone screen. They work similarly to medium rectangle ads but are specially optimized to fit in mobile devices. They can either be kept static or animated to attract more attention.

Expansive Billboard Ads (970×250)

Expansive billboard ads are larger and placed above the fold. When a user clicks on them, they expand and cover more than half of the screen. They work great for brand awareness campaigns and sponsorship deals when you need to get the word out quickly.

Even though these IAB standard advertisements are used less than the previous ones, advertisers and publishers should understand their requirements first. Experimenting with each will let you know what generates better results and can combat banner blindness.

The New Ad Portfolio by IAB

IAB continues to publish advertising standards while keeping market changes in mind. The latest portfolio was developed and published in 2017 and is still relevant to this day. There’s a lot that needs to be unpacked within this portfolio in terms of IAB standard advertisements, so let’s break it down.

The Release of New Ad Sizes

The New Ad Portfolio released the previously mentioned standard ad sizes that would offer better advertising returns. By fixating on these IAB ad placement standards, advertisers and publishers can better tap into their target audiences.

Users have now become extremely prone to ads and have developed a certain blindness towards them. This banner blindness can be tackled by adopting ad sizes and placements that can be better seen and understood by people.

New Media Experiences

It then moves on to emphasize the importance of engaging with ‘new media experiences,’ which would include delivering ads through Augmented Reality (AR) and Virtual Reality (VR). AR and VR have recently become a popular choice among advertisers. With the improvement in technology, consumers demand something that can conjure up their imaginations into reality. With immersive ads, advertisers can impress their audience like no other.

AR and VR are the present and future, and advertisers who are able to incorporate them today gain a competitive edge over others.

Prioritizing Privacy

IAB recommends prioritizing user privacy over everything else. The emerging privacy laws such as GDPR, CCPA, and CPRA have made this a critical issue for all advertisers. They shape how advertisers collect and utilize user’s data, proceeding to safeguard their rights and be transparent with data handling.

Complying with these regulations is past the stage of being a mere suggestion and has now become a necessity.

The User’s Experience

Another thing that the IAB finds extremely valuable is keeping the user experience as non-disruptive as possible. IAB standard advertisements aim to enhance this by giving viewers control over the advertising experience they face. For instance, adding clear close buttons and a ‘don’t show this ad again’ button can be an excellent way to do that. The goal here is to not push down unwanted ads to the users.

Additionally, they advise a faster loading speed that renders ads in seconds without the users having to wait for them. Slowing down the user’s experience can be disadvantageous for both advertisers and publishers.

Two New Additions in the Ad Portfolio

The growing and competitive market calls for instant changes so as not to miss out on any opportunities. This is why the IAB recommends flexible, lightweight, and cross-screen ads that follow the LEAN principle- bringing in two new ad units with the ad portfolio.

Flexible Ads

The IAB has added flexible ad units to its portfolio as the next big upturn, shifting focus from the previously followed rule of fixed pixels to the use of aspect ratio.
Nowadays, users come from different places and browse through different devices. This leads to varied screen sizes, resulting in a need for ads that can quickly adapt to such changes. And the answer lies within flexible ad units.

Flexible ad units work on the aspect ratio that ensures proper delivery of ads across different screen sizes. These can also be integrated with responsive website designs, providing a much better experience to the users. Moreover, this also works well for publishers in maintaining the original value of ad units and reducing their bounce rates.

LEAN Ads

Lean or Lightweight, Encrypted, AdChoice Supported, and Non-Invasive ad units are other features that the IAB standards recommend. LEAN ads provide a push to our priorities of enhancing privacy and user experience, making sure that the choice of viewers is respected throughout their content consumption. A lightweight ad will be rendered quickly and decrease the chances of page latency. Encryption will secure user’s data and privacy. AdChoices will tell consumers how their data is collected and used to serve ads. And non-invasive ads will expose them to a seamless experience.

Conclusion

While IAB Standard Advertisements are just suggestions, and there’s no pressure on publishers or advertisers, following them surely helps. Having flexible ad sizes that can adapt to different devices, emphasizing privacy, and being mindful of the user’s experience effectively tackles the concerns of the present and the future.

At 7Search PPC, we are committed to providing ad services that meet all criteria. By adhering to IAB ad placement standards and formats, we ensure that publishers take home profits and that advertisers are happy with their returns.

Frequently Asked Questions (FAQs)

What is IAB?

Ans. IAB, or Interactive Advertising Bureau, is an ad tech regulatory body that guides and sets regulations for the advertising industry.

What are IAB standard advertisements?

Ans. IAB standard advertisements are ad sizes and formats that the IAB has set and follow other features of the IAB priorities list.

How can IAB standard advertisements be beneficial?

Ans. IAb standard advertisements are made with the current market and users in mind. Following them will ensure better returns for both the advertisers and marketers.

What ad sizes does the IAB recommend?

Ans. IAB standard advertisements mainly include Leaderboard Ads (728×90), Medium Rectangle Ads (300×250), and Skyscraper Ads (160×600).

Is it necessary to follow the IAB standards?

Ans. No, it’s not necessary to follow or create IAB standard advertisements. They are just general guidelines provided for better advertising.