Real-time offers for programmatic ads-it works

Real-time offers for programmatic ads-it works

As a marketing manager with experience in several different technology companies, I have become an expert in real time (RTB) for programmatic advertisements.

This process is often one of the most efficient and cheapest options for buying advertising inventory online.

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But even for experienced marketers, real -time bids can be confusing. That’s why I wrote this article: to break what RTB is, how it works, and the advantages and disadvantages of the users in clear, jargon-free English.

Table of contents

In a traditional The marketer ads must buy the purchase process in the media manually.

Let’s assume that I find a magazine that serves my buyer. I ask the magazine publisher for your media kit, I choose the ad dimensions that match my budget and then buy an advertisement for a certain time. As soon as time has expired, the display is removed.

Real-time bids eliminate most of this work. With RTB you can get in this magazine and hundreds from other place by automatically selecting a demand platform (DSP) the best publishers and advertising rooms and then offering them for you.

They are currently setting targeting parameters such as maximum bid price and target group. The DSP then uses these parameters to automatically determine where your ads are placed.

If you hand over the highest bid, the publisher automatically accepts your ad. The bid in real time enables the entire bid for you, so you do not have to take any additional steps.

As Mandar AmbekarFounder and managing director of Blueshepherd GmbH, explained“The real-time bid process is like an auction, but it happens at the time when a website has to be loaded. The advertisers compete for a certain audience based on criteria such as age, interests or browser behavior. The highest bidder wins and your ad is displayed on the user’s screen. “

The bid in real time is the driving force for most programmatic advertising campaigns. Advertisers can buy advertisers, place them online and make sure that they receive a certain number of impressions with their programmatic advertising campaigns.

Still confused? No worries. I will break down the concept of RTB and programmatic advertising below.

Knowing real-time bidders

There are several pieces involved in the real-time bid process. Before we put them together, we look at each piece individually.

      • Advertiser: The advertiser is the company or the brand that wants to make an advertisement online.
      • Demand-page platform (DSP): The demand platform is the service with which advertisers start their advertising campaigns.
      • editor: The publisher is the website or online property that wants to sell advertising space, which is often referred to as an “advertisement inventory”.
      • Supply-side platform (SSP): The supply-side platform is the service with which publishers make your advertising stocks available. SSPS use AD exchanges to carry out auctions in which ad rooms are immediately bought by the highest bidder.
      • Advertising exchange: The ad Exchange connects companies that want to advertise with publishers who want to sell advertising space. AD exchanges automatically carry out the bidding transaction in real time by connecting demand platforms and offer platforms.
      • Impressions: Impressions refer to the frequency with which an advertisement is seen or written. In the real-time bid process, advertisers pay per thousand impressions. These costs are known as the Cost per milleOr CPM of a campaign.

How does real-time bids work?

Real -time bids steps

In the following I will inform you what this looks like in action and explain how real -time bids work from both the advertiser’s side and from the publisher’s side.

Setting up an advertiser as an advertiser

Market DSPS or demand platforms use the advertising side to set up advertising campaigns and pursue their performance. To determine which advertisement inventory you should offer, advertisers set targeting parameters.

For example, a brand may only want to address users who are located in a specific region or have recently visited their website.

It is important that there are many tools with which today’s marketers can help develop effective ads. For example lifting spots Ai video ad creator Allows you to produce video ads quickly and easily while it Free KI circuit line generator Tool can create tailor -made headings for each target group.

As soon as the display is created and the campaign is set up, the advertiser’s DSP will rate the advertisement potential in real time. The DSP can then decide whether or not a bid on a certain ad room.

List advertisement inventory as a publisher

Publishers, on the other hand, use Supply-side platforms (SSPS) to list your advertising inventory and the prices you have raised.

When creating these lists, you would like to include important information for which DSPS will search to evaluate whether a certain ad space is suitable for your target market. This includes the type of content on your website and the available types of advertising room.

Meeting in the middle of the ad exchange

Next, the advertiser and the publisher in the middle meet at the advertisement exchange: the marketplace where the real-time bids actually takes place.

Advertisers determine their offer via their demand platform, while the publisher’s offer platform either either accepts or rejects the offer. The prices are negotiated on the basis of costs per thousand impressions or CPM, so that the advertiser does not pay at the disposal or even to AD dimensions. Instead, they pay for the frequency, in thousands that their ad is seen.

Still confused? Don’t worry – it can be difficult to wrap your head around. Let us go through an example in practice to illustrate how real -time bids can look in action.

Real-time bid example

Real -time -provision example

Let us assume that I am the Silk marketing manager, a beauty brand based in the UK that has just started a new brow line and is carrying out a marketing campaign to apply.

I have set up the advertisement campaign on a Demand-side platform (DSP), on which I indicate that I want to address users who regularly shop according to make-up products that are located in the Manchester area and between 18 and 30 Are years old. I also find that I just want my ads to be displayed on websites with beauty and lifestyle.

So what happens next? A user visits the website of a publisher and the Publisher Supply-side platform (SSP) sends an offer request to the advertising exchange. Then my DSP evaluates the value of the impression. The DSP determines whether the user fulfills the parameters described in my campaign, and if this is the case, the DSP provides an offer.

Of course, not every bid is a winner. However, if silk has the bid of winning, the user will see my advertisement as soon as the page is loaded, and silk pays the costs associated with the bid.

This is real time to offer on a single advertising room for a single user-but most likely this process will take place on various websites for thousands of times during the Silk advertising campaign. The paid advertisement manager from Silk then monitors the performance of the display on the DSP to determine whether the display reaches the desired audience or whether the parameters should be set.

How much does real -time bids cost?

As with any marketing instrument, the costs for real-time offers for programmatic ads vary significantly depending on your unique application. First, however, remember: The price of an RTB campaign is measured at the costs per thousand impressions or CPM.

In my experience, the CPM will change for a certain advertising campaign based on who your target market is, the budget that you have assigned to the campaign and how long you have assigned for the campaign.

If you want to reduce the costs, you can adjust these factors so limited. On the other hand, if you have more budget, you can always examine options for expanding these factors.

In general, the CPM will be higher for a campaign that aims at a niche audience than that of a campaign that aims at a wider target group. Of course there are significant advantages to display a niche user basis. However, if you want to reduce the costs per impression, it can be helpful to expand the audience.

How to measure the success of real-time offers

Of course, every marketing strategy is only as useful as its ability to measure its success. When it comes to real-time offers for programmatic ads, some metrics can be an effective way to measure how well a campaign works.

At the most basic level, I always just start measuring impressions.

Impressions are the easiest to pursue metric, but of course, just because someone sees your ad, it does not mean that he clicks through to visit your website, let alone buy your product.

Therefore, the click rate must be taken into account another important factor: How often do the people who actually click on it click on it?

In addition to impressions and click-through-through, I have learned that it can also be helpful to examine more nuanced measures for the commitment of the users. For example, a website visit is one thing, but how long will users stay on your website? How many pages do you visit on your website and which pages do you spend the longest?

By persecution of metrics like this you can get a more detailed view of the actual level of quality of the leads for which you pay.

After all, I always remember that I can also zoom in larger success measurements and also see the image measurements of the picture.

What is the ROI of the overall campaign? What percentage of advertising impressions ultimately convert into purchases? And how faith are these customers as soon as they convert? Buy once and then dare or will you become a lifelong evangelist of your brand?

The exact measurement of success is not an easy task, but the factoring in a number of metrics and considerations like this can help you invest your ad money as effectively as possible.

Real-time bid platforms

Now you know what RTB is and you have thought about how to measure success. But what does it take to have started implementing a programmatic advertising campaign? I recommend you several tools that you can use to start with real-time bids for programmatic advertisements.

I will start with the advertising side and show which tools can help you buy space for your ads online. Then I switch to the publisher’s side and feature tools can help you sell your advertising room.

Real-time bid platforms for advertisers

Real time from the perspective of the advertisers

source

As an advertiser, you would like to find a Demand-side platform (DSP) with which you can manage several advertising campaigns at the same time. I recommend looking for a DSP with which you can determine certain target parameters, e.g. B. the most visited websites of the users and preferred brands.

Here are some of my favorite options.

      • Adroll: This simple self-care demand platform fits well with beginners in the programmatic advertising area.
      • Mediasmart: This more advanced self-service request platform offers detailed targeting and segmentation functions. Therefore, it fits well with experienced marketers who have already set up advertising campaigns with other tools such as Google ads.
      • thetradedesk: With this demand page you can place advertisements on several devices, including TV ads, online videos, music streaming devices, mobile apps and publishers on the Internet. About all these channels.

Real-time bid platforms for publishers

On the other hand, it is essential that you register for sales with an advertisement inventory to use the real-time bids. With an SSP you do not have to speak to advertisers or do the manual work associated with account management.

Here are some of my preferred offer channels with which publisher sells the advertising inventory through real-time bids.

      • Magnit: This offer side platform is best suited for large -scale advertising inventory sellers who also want to sell advertising space via private marketplace (PMP) and programmatic guaranteed systems (PG). It fits well if you are an experienced advertising seller who wants to upgrade to a more capable system.
      • Index exchange: On this simpler marketplace for the supply page you can start selling advertising inventory on several channels, including display, video, mobile and native. Therefore, it fits well with publishers that want to start selling advertisements or the plan to use all these canals available.

I’m still not sure whether the purchase or sale of programmatic ads through real-time bids is suitable for you? In the following I will go through some of the most important advantages and disadvantages to take into account whether I should invest in RTB.

Real-time offers professionals

Real-time offers for advantages and disadvantages

Better tracking

As a Teqblaze -CEO Anastasia-Nikita Bansal explainedThe bid in real time offers marketers “real-time views and the opportunity to adapt campaigns during the flight”. She continues: “((this) server advertising can optimize your ads in order to reach the right audience at the right time, which reduces wasted impressions.”

In other words, with RTB, advertisers can easily monitor their campaigns without relying on providers. You do not have to contact several publishers and ask for reports – you can receive all the data you need on your DSP.

This also gives the marketers the mobility to turn quickly if their campaign does not work as expected. For example, you can find that replacing a keyword for another increase the performance of your campaign and better match the audience you want to achieve.

In real-time bidges with programmatic advertising, you can track your campaigns and easily identify improvement options.

Better targeting

You also buy an impression when buying ads via RTB.

This means that every time a website visitor or mobile app user visits the website of a publisher, you will get the opportunity to evaluate the profile of this person and determine whether it corresponds to your target group. This creates a more precise goal because you can ensure that your ads only reach the right people at the right time.

In fact, “RTB has a clear advantage compared to conventional forms of media purchase,” notes Shridhar MishraChief Business Officer of the EMEA and APAC regions for Digiad DMCC. Especially he argumented that “the performance (from RTB) would be pretty better because they become contextual and the most relevant audience rates aim.”

Cheaper

Finally, A new report found that programmatic ads costs up to 20 -less per impression than conventional ads. In addition, I have found that the precision of real -time areas enables marketers to output their advertising collar for higher -quality impressions.

Too often I have seen brands marketing campaigns on the market that occasionally reach their target market and wasted a large part of their budget for users who do not fit the brand’s profile. In contrast, RTB marketing experts make it possible to aim at users who are likely to be interested in the brand.

In addition, RTB takes a large part of manual work out of the online advertising process and enables the marketers to concentrate on other efforts.

You can also add your RTB efforts by using A Free paid media template To pursue and organize your media planning. With such tools, marketing teams can get more for their money and prioritize high -quality work.

Real-time bids

Endangered brand security

Despite the many advantages of RTB and programmatic advertising, a bid in real time has to take into account in real time. First, it is important to remember that where your ad shows up, it is as important as whoever sees it. This is because consumers assess brands based on the content of their ads.

Indeed a Newer survey It found that 71% of US consumers report that they would feel less favorable to a brand if they advertise in the vicinity of inappropriate content, and 56% it would be unlikely to deal with an advertisement in the Near inappropriate content appeared. This can be all of a website on which pirated copies films are hosted to a blog that promotes hate speeches.

Due to the type of RTB, there is a risk that your ad will be displayed on a website with content with which you do not want to keep your brand. In order to alleviate this risk, marketers can rely certain keywords and websites on a “refusal” list.

Since RTB systems automatically place, there is no way to ensure that your ad is never placed in addition to unsavory content.

Potential ad fraud

I also learned that it is critical of being aware of the potential ad fraud. Advertising fraud occurs when fraudsters (or parties with bad intentions) try to trick digital advertising networks by counterfeiting impressions and clicks with bots.

Obviously, bots are not real people – so they are not potential buyers who can finally convert them to customers. Since you do not have hand-sharpener if you use real-time bids, there is a very real chance that your display of bots will be seen instead of real people.

The increasing sophistication of bots can also lead to brands collect inaccurate data on their campaigns and confuse impressions or clicks of bots for a real, human traction.

This form of fraud can take place without knowledge of publishers, but some fraudulent publishers promote impressions that knowingly steal from advertisers. One way to combat this is to use a DSP or AD network with fraud recognition software.

But of course, even if you take appropriate precautions, this risk will still be available.

Real-time bids are the easiest way to sharpen the brand awareness

At the end of the day, I found that the bid in real time makes online advertising procedures quickly and easily. While it is not without risks, RTB and programmatic advertising can lead to the tracking of the results that have previously been able to skip the back and forth connected with the purchase of advertising buyers.

You can also use HubSpot’s ADS software to create personalized and targeted advertising campaigns and see which ads transform potential customers to customers. Ultimately, this enables brands to increase the ROI out of their campaigns – and brands enable brands to grow better and faster.

Note from the publisher: This post was originally published in March 2021 and updated for completeness.

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