Advertising technology (AdTech) plays an important role in the digital advertising industry. Most advertisers use advertising technology to purchase, manage, and scale their digital advertising. Studies show that even though companies collect a lot of consumer information now, most marketers do not make use of this data to target their audience or market their products and services online. This is where the advertising technologies of Adtech come in and fix the issue. With the help of AdTech, markets can specifically target their audience, offer them relevant information, increase their profits, and improve the potential of the ad campaigns.
AdTech and Its Importance
AdTech describes software and tools advertisers make use of to reach their audience so that they can deliver and scale their digital advertising strategies and campaigns. At a time, the purchase and sale of digital ads were highly complicated and with the arrival of AdTech, the process was simplified. Popular AdTech tools like the demand-side platforms help advertisers to gain impressions and choose audiences across various publishing sites. AdTech helps agencies as well as advertisers to handle integrated campaigns successfully. Thus, brands can use their budget effectively and increase their investment (ROI) or return on digital advertising. Therefore, AdTech is an ideal option for advertisers to plan and develop powerful advertising campaigns.
Basics of AdTech
There are various technologies and tools in AdTech such as supply-side platforms, demand-side platforms, ad networks, ad servers, and agency trading desks. They allow advertisers to offer important advertisements to the target audience.
Programmatic Advertising is the technology used to sell and buy digital ads. They make use of automated processes to buy digital ad inventory through mobile, web, apps, social media, and video. They utilize machine learning algorithms and workflow automation to offer productive ads for the audience with the help of shopping patterns, demographics, etc. Programmatic advertising has many benefits. Advertisers can make effective ads, and get targeted reach, optimization, real-time measurement, and transparency with the help of programmatic advertising.
Demand Side platform (DSP)
Demand Side Platform (DSP) is a tool or software that advertisers use to purchase mobile ads, displays, and videos. It is a well-organized single marketplace that allows advertisers to access various publisher inventory using ad exchanges, Supply Side Platforms (SSPs), and direct integrations. DSP is necessitated by the advertising analogy’s demand side, which means advertisers will need inventory to reach their target audience at the perfect time with a pre-planned budget. The demand-side platforms such as Amazon DSP are used by different brands to reach their target audience and make use of insights to communicate their strategies. DSPs are efficient and affordable for advertisers to purchase digital advertising inventory.
Supply Side Platform (SSP)
The Supply Side Platform (SSP) is a popular tool used by publishers to automate the sale of various digital ad impressions like display, video, as well as mobile ads. They concentrate on the supply aspect of an advertising project. Publishers, ad exchanges, and ad networks use SSPs to sell advertising impressions to a huge pool of buyers and help publishers to create the bidding range so that they can increase their revenue.