We hope our previous blog- The RTB Ecosystem Unraveled – Part I helped you to understand every component for the RTB ecosystem. In part II, we will walk you through the working of the Real-Time Bidding (RTB) process.
The entire process begins when a visitor visits the publisher’s website/app/mobile web. As soon as the visitor visits the website, the visitor’s profile is broadcasted to the supply-side platform (SSP) or to an Ad Network telling it that an impression is available for monetization.
The supply-side platform analyzes the visitor’s information (like location, web history, age, gender, linking, preferences and so on) with the help of a Data Management Platform (DMP), as well as cookie sync process.
On the other hand, advertisers have created a campaign to reach the right audience at the right time by using our media buying platform, Ingenious Plex. If the visitor’s profile sent by publishers matches the targeting criteria of advertisers, then that advertiser can bid on that impression. Likewise, multiple advertisers must be having similar targeting criteria and they all can bid for the same impression.
As soon as the DSP will receive the ad request from a particular SSP, bidding will happen among all relevant advertisers. Out of all bidding methods. the second-price auction method is widely used.
An ad exchange is an autonomous platform that facilitates programmatic ad buying. It streamlines the buying (for advertisers) and selling process (for publishers) by automating it. It facilitates the entire bidding process to happen in real-time. The ad exchange is like the meeting point for advertisers and publishers, both of whom can interact with each other through it.
Data Management Platform (DMP) helps both the advertisers as well as the publishers for collecting user’s browsing information, processing it, analyzing it and packaging data it receives from various Data Suppliers. Advertisers use this data to create targeted audience segments & optimize campaign performance.
This happens every time a visitor visits the website/app, navigates to a different page or refreshes the current page. The interesting part is that this entire process happens within less than 100 milliseconds, which is faster than the blink of an eye!