Le programmatic advertising ecosystem is the network of buyers, sellers, and everything in between that’s involved in the programmatic advertising process. There are two main players in this game: the publishers and the advertisers. Both use software to automate the buying and selling of ad inventory. SSPs, or Supply-Side Platforms, automate the real-time selling of a publisher’s ad inventory, while DSPs help advertisers purchase ad space efficiently and at the best price. Let’s see what that last one is about!
What is a DSP?
Demand-Side Platform, or DSP for short, is the programmatic advertising platform used by advertisers or media agencies to automate the process of buying quality ad inventory from publishers or SSPs. DSPs are toolkits used by advertisers to purchase ad impressions from publishers in the most cost-effective manner, improving ROI (the return on investment).
DSPs allow advertisers to reach their target audience within seconds on a large scale. They enable advertisers to buy the best ad placement for their audience at the best price and manage their campaigns from one single platform. This grants them control over the target and the price for the campaign.
According to HubSpot, DSPs partner up with third-party data providers, to give advertisers improved tracking and targeting capabilities. Also, the targeting options are more personalized, which helps to get better conversion rates.
How does a DSP work?
In the olden days, before programmatic advertising was a thing, advertisers had to negotiate the ad space with each Publisher manually. That’s too old school. Nowadays, artificial intelligence and machine learning automatically help advertisers match their ads to their perfect audience and reach a broad audience in a split of a second.
DSPs let advertisers to manage and track digital ads or even entire ad campaigns through one single process. This makes their lives easier and their budget more optimized.
Advertisers upload their campaigns to DSPs, specify their target audience, and when they match an available ad inventory in the Ad Exchange, a real-time bidding auction takes place where multiple advertisers bid or compete for that ad space.
It’s a time-saving process that grants advertisers access to a huge amount of publisher’s ad inventories simultaneously, allowing them to reach their perfect audience through a more personalized targeting and optimize their budgets.
What are some of the best DSPs in town?
Google Display & Video 360
Google Display & Video 360 is a platform for marketing professionals to manage from one place their programmatic campaigns across different channels such as display, video, TV or audio. This solution offers five integrated modules: Campaigns, Audiences, Creatives, Inventory, and Insights. Through these modules, advertisers can manage ad spending, align media, data, and creative inputs from different teams to create better ad experiences for clients, and generally deliver enhanced marketing thanks to the automated bidding and inventory recommendations.
Amazon DSP
Amazon DSP is an omnichannel solution that grants marketers control and flexibility to manage their marketing efforts with AI-powered automation. Advertisers can reach ideal customers across their premium supply, gain better understanding of their audiences with their unique signals supported by quality insights, and maximize ROI with their AI driven system that automates tasks and targets relevant audiences.
Xandr Invest DSP
Advertisers use Xandr Invest DSP, Microsoft’s DSP, to purchase ad space through auctions via a single and easy-to-use interface. It allows for a seamless integration with major ad networks and ad exchanges, optimizes the access to premium supply, and includes built-in fraud protections and inventory quality protections.
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