2. Bidder
Overview RTB ecosystem
Dataprovider
SSP
(Supply Side
Platform)
Bidder
DMP
Ad networks Ad exchanges
Adserver Verticals
Agencies PublishersMarketers
Measuring
Tools
Advertiser
DSP
(Demand Side
Platform)
Bidder
Agency
trading desk
Privat
Marketplace
Bidder
Adserver
RTB
RTB (Real Time Bidding) is a part of the general term „Programmatic Buying“. Programmatic Buying is
defined as any form of inventory buying based on the use of demand side technology. It describes
display advertising that is aggregated, booked, flighted, analysed and/or optimized with the help of
algorithms. That includes RTB but also non-RTB methods.
RTB can be understood as the capability to bid different prices for each impression based on the
information available for this impression.
The majority of inventory available via programmatic buying is non-guaranteed and auction traded
during the ad call.
3. DataproviderDMP
Ad networks Ad exchanges
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
Agency
trading desk
What is a DSP?
SSP
(Supply Side
Platform)
BidderBidder
Bidder
Privat
Marketplace
Bidder
DSP
(Demand Side
Platform)
Description DSP:
A demand side platform is a technology based platform which
enables advertisers to buy inventory on various sites. Core
objective is to fulfill all advertisers needs. Inventory buying is
always based on RTB functionality. DSP‘s are connected to several
exchanges, SSP‘s as well as to DMP‘s resp. dataproviders etc.
Functionalities:
- targeting – demographic, geo, contextual
- creative optimization
- maxixum CPM
- site booking (without fix CPM)
- automated optimization (including conversion goals)
4. DSP
(Demand Side
Platform)
DataproviderDMP
Ad networks Ad exchanges
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
Agency
trading desk
What is a SSP?
BidderBidder
Bidder
Privat
Marketplace
Bidder
Description SSP:
A supply/sell side platform is a technology based platform which
enables publishers and adnetworks to increase their revenue. It
provides a service enabling the publisher/network to sell the
inventory by an autmomated way. The SSP responsibilities are
amongst others ensure brand safety, filling the remnant inventory
as well as getting new customers on board.
Functionalities:
- Blocklists – advertisers, categories
- CPM guarantee
- creative verification
- CPM maximisation for the publisher
SSP
(Supply Side
Platform)
5. SSP
(Supply Side
Platform)
DSP
(Demand Side
Platform)
DataproviderDMP
Ad networks Ad exchanges
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
Agency
trading desk
What is a Private Marketplace?
BidderBidder
Bidder Bidder
Description Private Marketplace:
A Private Marketplace is a subform and a entitiy of SSP‘s. It‘s
often created for big publishers/marketers and enables them to
create their own small SSP with restricted access for advertisers.
Usually they only grant access to the preferred advertisers. With
a private marketplace the publisher/marketer is capable to use his
salesforce combined with the advantage of automated bidding
methods. Only impressions which are not served by the
marketplace are given to the DSP itself.
Functionalities:
- Bidding functionalities resp. all DSP functionalities
- Access restrictions to the marketplace
- Public bidding for remnant inventory through corresponding DSP
Lots of the big publisher
Privat
Marketplace
6. Privat
Marketplace
SSP
(Supply Side
Platform)
DSP
(Demand Side
Platform)
DataproviderDMP
Ad networks Ad exchanges
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
What is a (Agency) Trading Desk?
BidderBidder
Bidder Bidder
Description (Agency) Trading Desk:
An (Agency) Trading Desk is simliar to DSP but restricted to the
clients of an agency. It enables the (Agency) Trading Desk to
provide DSP-functionalities to their clients. Amongst others
targeting, RTB etc. In contrast to a private marketplace the trading
desk is mostly not integrated into a DSP although the technology
is sometimes provided by and connected to DSP‘s.
Functionalities:
- All SSP functionalities
- Key account management by agency
Agency
trading desk /
Trading desk
more...
7. Agency
trading desk /
Trading desk
Privat
Marketplace
SSP
(Supply Side
Platform)
DSP
(Demand Side
Platform)
Ad networks Ad exchanges
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
What is a DMP and Data Provider?
BidderBidder
Bidder Bidder
Description DMP:
Data Management Platforms are one of the most important
players in the RTB sector. A DMP collects data from several
dataproviders which is then structured into targeting criterias
like demographic, HHI, interests etc. The DMP‘s provide the
data for DSP‘s, Trading desks etc. As the data is very valuable
for the clients the DMP‘s can charge a relatevily high price for
their services. Average CPM for the usage of data ia around
0.75 to 1 USD. Without data no RTB!
Description Dataprovider:
Under the term dataprovider within the RTB ecosystem we
understand a Publisher, Agency, independet tracking tools, etc.
who gather data whether first (publishers) or third party
(clients) and use this data to provide enhanced targeting
possibilities directly to their clients or to share this data with
DMP‘s. Without data no RTB!
DataproviderDMP
8. DMP Dataprovider
Agency
trading desk /
Trading desk
Privat
Marketplace
SSP
(Supply Side
Platform)
DSP
(Demand Side
Platform)
Ad networks Ad exchanges
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
The most sophisticated part?
BidderBidder
Bidder Bidder
The bidder / decision engines:
The bidders resp. the decision engines are the most sophisticated part of the RTB ecosystem. Why?
Whenever there is an auctionable impression, all the information available for this impression (site,
time, location, browser, demographic information, user‘s interests etc.) are passed to all connected
companies. With this information the connected companies bid on the impression and pass their
bid back to the sender (most likely DSP‘/SSP‘s but not in all cases). The let‘s say DSP then compares
all the bids and makes the decision which ad from which company to serve. Now the winning party
has to provide the ad and the ad gets served via multiple market participants. That all has to
happen in milliseconds. So not only one company has to have enhanced technology but not less
than all!
9. Agency
trading desk /
Trading desk
Privat
Marketplace
SSP
(Supply Side
Platform)
DSP
(Demand Side
Platform)
Adserver
Agencies
Measuring
Tools
Advertiser
Verticals
PublishersMarketers
Adserver
Simplified overview
BidderBidder
Bidder Bidder
DataproviderDMP
SupplyDemand
Ad networks Ad exchanges
Match of demand and supply with the help of data.
Data
10. Status Quo and challenges?
Status Quo:
• Right now around 20-25 % of the global inventory is traded via RTB
• Not every impression is traded as we have seen two slides before
• The majority is still traded similar to the test we do with Sitescout or via
inventory buying through SSP‘s
• Reason for that is still a lack of data available and the high price for the data
In future:
• Consolidation of the market (examples: Pubmatic/ImproveDigital,
Admeld/Google, SiteScout/Rubicon)
• The future is data for a reasonable price